Last week, MBLM, the Brand Intimacy Agency focused on strategy, design, creative and technology, revealed that Disney ranks the most intimate brand in the media & entertainment industry according to its Brand Intimacy 2017 Report, which is the largest study of brands based on emotions. Netflix ranked second in the industry, jumping from 25 in MBLM’s overall 2015 study to the number five spot this year. Brand intimacy is defined as a new paradigm that leverages and strengthens the emotional bonds between a person and a brand. According to the 2017 report, top ranked intimate brands continued to outperform the S&P and Fortune 500 indices in revenue and profit over the past 10 years.
The media & entertainment industry is the second most intimate according to the study, climbing to this spot from number five in 2015. The most intimate media & entertainment brands in the U.S. following Disney and Netflix are: Nintendo, Xbox, HBO, YouTube, Amazon, PlayStation, WWE and Hulu.
This year, other notable media & entertainment findings in the U.S. include:
- Three out of the top 10 overall brands are from this industry – Disney, Netflix and Nintendo – where indulgence is the dominant archetype
- For half of the top 10 most intimate brands in the industry, their primary or secondary focus is video streaming
- The industry ranks highest with those under age 35 and those earning $75,000 a year or less
- Nintendo is the top brand for men, while Disney ranks highest for women, millennials and those 45-64 years old
- The industry ranks high for being difficult to live without
Mario Natarelli, MBLM’s managing partner tells DIVERGE more:
Why did MBLM decide to conduct this study?
The study was inspired by our belief that marketing for today’s modern times requires new approaches and insights. Especially since many methodologies remain unchanged for decades. We now know thanks to advances in neuroscience that emotion triggers all our decisions, including whether to try/buy brands. So we wanted to better understand, decode and measure the role emotion plays behind the greatest brands in the world.
Were you surprised by any results?
Every year the study presents a range of both expected and surprising results. This year, Netflix’s fast-rising performance and Disney’s popularity with millennials are surprising positives. The weak performance of luxury brands is an example of a negative surprise.
Why is it important to focus on emotion?
Great question. There are several important reasons we focus on emotion. First, science has recently proven our brains make about 90% of our decisions based on emotion. This flips conventional wisdom and with it, most marketing principles. We are emotional, instinctive beings who make decisions quickly, not rational, analytic ones. Second, we have found that top intimate brands outperform the top brands of both the Fortune 500 and S&P 500 indexes on an annual and over 10-year basis. Third, our research proves the more intimate you are with the brand, the more you are willing to pay more for the product. Brand intimacy creates significant growth opportunities for brands.
Why do you think escapist brands did well?
Here we are can only hypothesize. One reason may be that in the U.S., during a divisive election year (research was conducted in Q3 2016), and with much uncertainty about the economy and global affairs, many consumers are using entertainment brands as a respite.
Why do you think Apple was number one? Disney?
Apple dominates numerous aspects of the study. They really personify the enhancement archetype (making you smarter, more efficient, more enabled). They are brand that is hitting on all cylinders – great products (hardware, software, content), services, marketing, and retail experiences. They lead across demographics, countries, most income levels and do even better with women over men. Apple pays attention to the details and the entire experience of their brand, which is how intimate brands should behave.
Disney excels in nostalgia. It is the iconic brand of family entertainment and our youth. Recent growth and acquisitions of Pixar, Marvel and Star Wars, have extended the reach and relevance of the brand to more audiences across more age groups. It strikes an emotional chord. Like many top brands in our study, Disney also has vast and diversified businesses of content, theme parks and the merchandise that supports them.
How much do you think brand choices varied by age groups? Gender? Why?
This is a big question. We built an interactive dashboard that allows users to freely explore this very question. Select the brand, and you can see how its performance varies by segment, demographic or gender. In some cases (health and hygiene) gender makes a difference. Surprisingly, women play a significant role in both technology and automotive categories. We have found men tend to be focused more around entertainment, and especially gaming, while women are strong with retail and tend to be more varied in brands they form attachments with.
Were you surprised by any results?
Every year the study presents a range of both expected and surprising results. This year, Netflix’s fast-rising performance and Disney’s popularity with millennials are surprising positives. The weak performance of luxury brands is an example of a negative surprise.
How much do you think brand choices varied by age groups? Gender? Why?
This is a big question. We built an interactive dashboard that allows users to freely explore this very question. Select the brand, and you can see how its performance varies by segment, demographic or gender. In some cases (health and hygiene) gender makes a difference. Surprisingly, women play a significant role in both technology and automotive categories. We have found men tend to be focused more around entertainment, and especially gaming, while women are strong with retail and tend to be more varied in brands they form attachments with.
Certain categories like Apps and social platforms and even media and entertainment do particularly well with younger audiences, as one might expect while consumer goods, is stronger among older consumers.
Our study is purposefully broad and intended to be reflective of the general population to reveal where these age/gender preferences exist and why.
Why were the differences so great with income?
Some brands dominate across all income brackets. In other cases, you find more differences. A good example of this is Samsung as the poor person’s Apple. Value brands can dominate in their category. Intimacy isn’t price specific; we bond with brands of every price range.
Additional thoughts?
The study is a powerful predictor. We called for the rise of Netflix 2 years ago and we continue to expect Amazon, Netflix and Starbucks to dominate. We posit brands like Coca-Cola and Harley Davidson will start to recede.
