This week I attended a seminar called Stora Annonsörsdagen, arranged by the Association of Swedish Advertisers. This year many of the speakers were top managers, so for advertisers, it was a good reality check. Why? Because top management personalities are not impressed by advertising itself; they are rather measured by the end-result of advertising.
I think the best insight came from Swedbank’s CEO, Michael Wolf. To paraphrase part of his message, management and advertising must speak from the same source: the corporate culture.
My impression of Mr. Wolf’s message is that today’s employees and consumers are working in tandem via social media to steer companies, for better or for worse. Therefore, there is a demand for top management to be more transparent and join their employees and consumers to move the corporation forward. This effort would strengthen employee loyalty, and consumers would respond by purchasing and repurchasing their products or services. In other words, the free will and spirit of social media could be harnessed for the proverbial win-win-win. The three groups must join as one to make sense of this new paradigm shift in advertising.
In an exclusive interview after his speech, Mr. Wolf praised the Internet for its transparency and explained how it has impacted their business. I think he would be a great leader for companies like Apple or Nokia. Since he joined the company in 2008, Swedbank has started to focus on the future by blogging internally with employees to open up dialogue and improve their operations. It has been an excellent way of strengthening the corporation’s culture, which has increased performance and loyalty. He also added that social media is a great tool to hone messages during changes in the company.
I would like to credit Stora Annonsörsdagen for raising advertising up to top management. Even though Mr. Wolf does not believe that a consultant belongs in their boardroom, he may open the door for a few customers. He may even offer them a seat in the future.
Sounds like Mr Wolf has a lot of common sense when it comes to running his bank. Still, a board of directors needs to have people from all walks of life if it is to reflect the world—not just a numeric obsession.
Good point Jack. They are starting that journey and it can be really great when they go from from numbers to emotions and dreams.
You make a valid point; no doubt a paradigm shift. But could it be that executives like Mr. Wolf have made the connection? Social media has led them to realize that the game is really about brand management. It’s not who has the most toys anymore.
Interbrand named Credit Suisse the most valuable of 20 Swiss bank brands.
An excerpt from the press release (http://www.interbrand.com/en/news-room/press-releases/2011-01-13-f638c73.aspx) on January 13, 2011:
“Investing in brands is worthwhile – especially in the banking sector,” said Nik Stucky, Global Practice Leader for Brand Valuation at Interbrand. “The fact that Credit Suisse tops the list is no coincidence. It shows just how important consistent brand management is for success,” he added. “Credit Suisse did not escape the global financial crisis undamaged, but because the bank has made a commitment to strengthening its brand, it was able to regain consumers’ confidence much faster – especially because it focuses on customers as opposed to itself or its products,” Stucky explained. (www.interbrand.com)
Brand management is the elephant in the room for a lot of companies. The fact that Swedbank blogs with employees shows that they respect their brand. They can guard their tangible assets with valuable intelligence from the use of social media, and prepare their operations for any risks to their intangible assets. http://www.brighthub.com/office/finance/articles/19313.aspx
Great post. It’s refreshing to bite into something this meaty.
Thanks adding value and points to this blogg and my life Roland. Thanks also for help with the english. I thing Swedbank need to build a tribe of diffrent skills and passions to tap in to the future.