Microsoft Brand In Sharp Decline
Amy Bennett writes "A recent poll of about 12,000 US business decision-makers by market researcher CoreBrand found that Microsoft's brand power has taken a dive over the past four years. According to the study, Microsoft dropped from number 12 in the ranking of the most powerful US company brands in 2004 to number 59 last year. In 1996, the company ranked number 1 in brand power among 1,200 top companies in about 50 industries. The CEO of CoreBrand said: 'When you see something decline with increasing velocity, it's a concern.' To add some historical context, IBM suffered a much faster and more severe decline in brand power in the early 1990s and it took them 10 years to rebuild the brand's reputation."
You mean, they put out a new version of their main product, it was widely ridiculed, and their brand suffered as a result? Who would have guessed!?
Today's forecast calls for light showers with a high chance of flying chairs. Seriously, though, I used to doubt the power of "branding," but the more I learn about the average consumer (disappointing as it may be), the more I understand why companies care about this kind of thing.
Let us not become the evil that we deplore.
Can someone explain what "brand power" is, and how you can possibly measure it? I know that "branding" is important, but ranking companies by "brand power" seems like useless information being created by "CoreBrand". I'm guessing CoreBrand didn't make it very high on the list themselves...
Clovis
^ Clovis, look! It's that guy you are!
In my opinion they need to stop trying to take over the internet and look internally to focus and improve their core product lines. The release of vista and its lack of acceptance in the business sector was a huge blow to their reputation. I personally am aware of several VERY large companies that were considering Vista a year ago and have completely turned 180 degrees towards open source. I dont know how far MS thinks they are going to get by forcing Vista down the corporate throat.
Im not a microsoft hater, in fact I depend on MS products to make a living, but I know Im not alone on this sentiment.
Microsfot has forgotten, like many other corporations, is that all one needs to focus on is making a quality product. If you do that, all other things, quartely earnings, shareholder returns, marketing, ect, will take care of themselves natually.
Microsoft may be down quite a bit, but Apple is not even on that list at all.
IBM is at spot #18, which is quite surprising really - as far as I noticed there are no other software companies that high on the list at all. Most of the top 25 seems to be car companies, food/drinks/restaurant franchises and the like.
Every expression is true, for a given value of 'true'
The difference between Vista and ME is that now people have a choice. Back then Linux was too hard to use, too hard to even find out about. Apple was a has-been, and OS2 had made a good attempt, but clearly failed. Also, for those who complained too much, there was Windows 2000/NT, so there was enough goodness coming out of Microsoft to keep people happy.
Now, on the other hand, Apple is cool, Linux is for sale at Dell and Walmart, people realize that Windows XP isn't too bad, and there is no great potential for a new OS in the pipeline from Microsoft(as there was with win2000). Yeah, there's Windows 7.....don't hold your breath). Their brand power was good, now it's getting bad. The winds of change are in the air from a lot of different directions.....no company can hold a monopoly forever, it is destiny that there will be a change. The only question is when.
Qxe4
The reality is, being cool is about being cool. Can't be defined. Any attempts to do so peg you as uncool, and you'll probably never know why.
I have a hard time telling here whether you're serious or not, but really, more people hate Microsoft than love any alternative. Most casual computer users I have met (therefore I very carefully make no broad sweeping statements about "all" of any population of people), gripe constantly about Windows but use it anyway.
At the moment their a single digit player, but they are no longer just for graphic artists.
At work, just about everyone here has at least one Apple machine at home - for most people they're the primary machine, and all the new workstations I've seen bought at work have been a variety of MacBooks. Admitadly this is a Unix shop, so there's likely to be more of a skew towards Apple hardware.
However, almost everyone I talk to about getting a new computer is seriously considering Apple hardware. That's not just geeks, this includes my land lady, my flat mate (who's a carpenter), and even a 60 year old receptionist in my last job. Apple are huge at the moment, and I can't see them going away any time soon unless they do something *really* stupid.
Some of it is branding, and making good looking hardware, but a lot of the influence they're gaining is quite simply through building software that people want to use. People get excited about applications like iPhoto - when's the last time you heard someone actually being interested in Office?
I'm an educator and work with kids (and some university students) all day. Ask anyone aged 10-25 what Microsoft is known for and they'll say Xbox (or Xbox 360). Sit kids in front of a Mac and they'll start messing with it; sit kids in front of a Windows box and they'll start messing with that. They don't "see" the operating system or the cognitive dissonance of the Office ribbon... They're still platform agnostic. And Microsoft is counting on that.
We associate Microsoft with "Computers, Peripherals and Computer Software", we hate their stuff, and we take glee in the decline of the Evil Empire that brought us Windows, IE, and OOXML. If I were to be associated with the Vista debacle and ActiveX exploits forever, I'd want my brand to die, too!
Don't be fooled by the article however, Microsoft still has the mindshare of future consumers - they're the cool company that brought us the Xbox, Xbox Live, and the Halo franchise... In another 20 years, wouldn't you want to buy technology from the guys who brought you all the great memories from your childhood??
Apple went from a declining "Computers, Peripherals and Computer Software" company to a hot mainstream company, and used the iPod halo effect to come back into their old, failed "Computers, Peripherals and Computer Software" market, hotter than ever. Microsoft is simply stealing a page from Apple and guaranteeing its survival for the next 20 years, when the Xbox gamers of today take their turn at being CIOs and CTOs.
Unlikely. Apple only owns about 14% of the laptop market right now. Just look at the iPod - initially it certainly did impart some coolness on its owners, but in the end it simply became a hip commodity item, like driving a hybrid.
Until we see another company as consumer-savvy as Apple come along as the next underdog chic electronics manufacturer, I think Apple's position is pretty safe.
As a Mac user I can only see the pattern continue. The Mac has seen an explosion of popularity ever since the Intel switch (the best move ever, really), and that has started to remove the main weakness of the platform: lack of software. Many app developers are now clamoring to port apps to the Mac, and most encouragingly a lot of open source projects now have stable Mac ports as well. As the software barrier becomes removed it will only become easier to switch to the Mac.
Hahahahahahaha.... they might be if you could actually trust them to run reliably. A lot of people don't ride their harleys to the bike rallies: they drive their car and cart the harley in a trailer. One of the reasons that's so is because riding a motorcyle long distance is very tiring, the other is the rate of failure of Harley's is atrocious.
I can't believe I'm doing this, but if Harley Davidson is ranked number 4, then this study has little or no bearing on the reliability of products the company makes. At best, it's showing what the public perceives the reliability of the products the company makes.
Gentlemen! You can't fight in here, this is the war room!
Comment removed based on user account deletion
Actually, one thing I remember about ME in comparison to Vista, is that it didn't last all that long (even MS dropped it somewhat like a hot rock), and that the previous options (win98) were still supported, followed not too long after by a somewhat worthy successor (win2k and, eventually, winXP). I know only a few people who had machines come with ME, and when those machines screwed up, 98 still worked.
Vista is different, as there is a lack of choice in the MS realm. If you want to run software that runs on a Microsoft OS, you need to keep your old PC up and going for as long as possible, or switch to Vista. With the limited exception of some business-class machines, a lot of newer machines simply *do not* work properly in XP: There are no drivers, or limited functionality (no cardreader drivers, media buttons don't work), or many other hurdles to using the legacy OS. People are forced to try Vista, and because of that many have the choice of either "love it or hate is." As it is, with a mediocre reception in the business arena, and a less-than-warm reception in the home arena, this has turned a lot of people off the MS brand, moreso than previous issues.
Oh wow, there is so much more to being cool than differentiation. The truth is, random people CAN be cool. The real world isn't like high school where people are divided up into "cool" and "not cool." That's so lame. In the real world, trying to make other people think you're better than them is NOT cool, it's weak. In the real world, making fun of the 'dumb' kids isn't cool, it's messed up.
Coolness is about being yourself, respecting other people, and not getting pushed around. It's about learning how to communicate with people in a way they understand....that's why if you go to a club, it is important to dress nicely, because how you dress is an immediate communication of who you are. If you're thinking only about yourself all the time, "oh, I hope they think I'm cool" that isn't cool, that's following. If you're thinking about other people, "hey, I can help this girl out" that's cool. If people aren't recognizing your coolness, it's because your having issues communicating (body language, bad mood all the time, your manner of speech). Uniqueness isn't necessary to be cool (think of the common peer pressure technique, "everybody's doing it"), but being yourself is. That's where the uniqueness comes from. That's why we can all be cool, because we don't feel we have to be "better" than someone else to achieve it.
As for Apple, people will buy it if it makes them feel good, or if it's useful to them. Buying a Mac makes my friend feel good for a number of reasons. It made me feel good too, but for different reasons. If people still feel good buying Macs when they are as popular as iPods, then that will be good for my Apple stock.
(Sorry for the rant, it just bugs me sometimes when people think they have to put other people down in order to be 'cool'. Not saying you did that, it's been on my mind).
Qxe4
'only' 14%? Against Dell, HP, Samsung, Toshiba, Lenovo, etc? And running a completely different OS by default no less. Wow.
:) ) ;)
Only: "merely: and nothing more;"
It's a bit more than 'only'. I've always liked Macs since the late 80s. I kind of detested how it took the iPod to get them into the mainstream, but I like the halo effect that it had anyway. I now only use Windows at work and 100% of my time outside of work is spent in Mac OS. I've just got a PS3 today, and have had a Wii for the last couple of years. I may boot into Windows at home to play Test Drive Unlimited again at some point, but I think GT5 and GTA IV will be good enough that I won't have to. When TDU2 comes out on the PS3 I may just never need another game again (I have a nice setup with a full HDTV, soundrocker chair, and steering wheel with clutch and stick-shift
which is totally what she said
The problem with Microsoft isn't Vista or Clippy or XBOX360; those less-than-good products are just the result of the arrogance that runs through everything they do. They've turned out a few good products, too.
If you need to point a finger at them, how about pointing at - well, how about their anti-trust conviction? Did you notice how they changed their ways after this conviction? No? That's what's wrong with Microsoft. It's the anti-competitive way they insure that every new computer has Windows installed. It's the anti-competitive way they bundle other products. It's all the companies who were crushed by Microsoft - but not before Microsoft "liberated" the intellectual property from those doomed companies.
How about their shrink-wrap license agreements that they use to bind you - but if you disagree and try to use the remedy they've provided (return product for refund) you'll find that's virtually impossible to do? How about the way they're currently trying to subvert the ISO standardization process?
Remember when XP went out the door with a list of 50,000 bugs still unresolved? They're still sticking band-aids on it - but rather than complete that product they're off to yet another (arguably less functional) product which was also rushed out long before it was ready.
For those who want to defend this miserable excuse for a software company, here's a question for you: name 10 technologies that Microsoft has shipped that were invented in-house by Microsoft.
how Microsoft refuses to play well with others. That is my biggest beef with them on a corporate level. We are currently trying to integrate a few windows machines into our all mac/linux network, and it is painful. There are all sorts of "security policies" that need to be fiddled with because they aren't the same, XP gets upset if you have more than one domain controller on different domains it seems, and it doesn't even support NFS....NFS a protocol that will be celebrating its 20th birthday next year, isn't supported by Windows XP. Can you name me one other major PC operating system that doesn't support NFS out of the box? Any Mac box can be an NFS server or client, ditto for Linux, BSD, Solaris etc. But since it wasn't invented at Microsoft Microsoft doesn't consider it to be important, esp. since they could use their lack of NFS support to get you to buy a Microsoft server product that does the same thing but isn't nearly as secure.
SSH, LDAP, etc. the list of technologies that almost every other OS on the planet supports but XP doesn't(I don't know about Vista, but it's not like XP is that old). Microsoft's client OSs seem to have features that try to force you into buying Microsoft server OSs. Samba is great, and I certainly don't want to denigrate the brilliant people who write the stuff, but it shouldn't be necessary. Maybe back in 1996, when most business networks outside the megacorps consisted of a dumb hub with very little centralized management Windows wasn't all that bad, but the problem for Redmond is that the rest of the world moved on and they didn't. They still seem to think its a Microsoft only world, but the rest of the world thinks differently.
Monstar L
This study has nothing to do with reliability, only brand recognition. Regardless of Harley's reliability, they are a very, very widely recognized brand name.
The article isn't about product reliability, it's about brand identity. Brand identity is about awareness. As they say, any publicity is good publicity, it's who consumers are attracted to because of the brand. Apple computers fail at roughly the same rate as any Intel-based PC (e.g. Dell, HP etc.) however, because of the coolness of the brand, I would much rather own a Macbook Pro rahter than a DELL XPS, or an iPhone rather than a Blackberry. It's the brand, nothing more.
For some reason, Windows users feel happy after they fix their computer, not pissed.
I believe thats the primary reason behind Windows still having popularity.
You see it all the time.
E.g. Printer wont print just before something urgent is due.
They are annoyed when it occurs but are happy when they fix it (usually by rebooting or restarting the app).
I've been watching people using Windows and most of the time they dont even realise when it crashes.
Its just automatic for them to reboot/restart the program and they edit what happened out of their memory.
I've actually had to tell someone that their computer crashed because they didnt notice.
They have been taught that all computers are like that and they just accept it.
Whenever I make Windows crash (very often with Explorer) I get really pissed.
Which is why I make a point on not using Windows unless absolutely necessary.
Microsoft makes money off of defense contracts and their contractors. You can be assured that the Green Zone is a Microsoft zone. The Business Software Alliance sues the customers of Microsoft by proxy. So its more than incompetence, Microsoft is the computer face of Brand America... and we know that brand has been in free fall for some time now. Apple seems more international, and less Amero-centric.
There are no absolutes.
With a distro like Ubuntu do those 99% need to deal with config files, CLI, and compiling from source?
Seriously, using Ubuntu on this machine I rarely if ever have to go to any of those above. Almost anything I could want (except high-end games) is up on Apt/Synaptic with a decent summary, push button installation/un-installation/updates. Configuration is much the same way, with far more options available through nice gui menus than are ever available to the Windows user.
Even those games that I have for linux such as Second Life and Eve Online have been push button to install. Sure with SL I did have to make my own menu button for it but that was filling in a gui form menu and was not strictly necessary.
Income doesn't matter in publically traded companies; Growth matters, and hitting projections, nothing else.
I wish I was a C-Level exec that could run a company for 10s of years without turning a profit all while pulling a 7 figure income and an 8 figure golden parachute when the company finally pops.
I generally point out that Microsoft's brand is dying because they've stopped innovating, but then, the only time Coca-Cola's brand ever weakened was when they did try to innovate (with New Coke). When they brought back the formula (Coke Classic), they recovered. I guess Microsoft is different, though, because they're a technology company, and thus should be perpetually innovating. Instead, they've turned into a bank, and just buy up other companies and use monopoly power to control their market.
So last quarter RH's income was 22m while MS's was 6B+.
That's profit, not revenue but anyway. MS's income depends almost entirely on a government-granted monopoly, whereas Red Hat is thriving even though they allow (in fact want) people to copy their software.
Rich.
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