What may be at stake in the longer term are growth, profitability and the risk of irrelevance – a slippery slope that can change the fortunes and value of brand propositions.

In a recent BrandWeek report entitled, ‘The Middle of Nowhere,’ author Steve Miller reports on a successful brand re-engineering in consumer electronics by Samsung. Once a mid-tier brand, Samsung embarked on a mission to move up the value chain with product improvements and recasting their brand position. They now enjoy a 12.8 percent share at the high end in the electronics market, ahead of category stalwart SONY. To emphasize the point Samsung now markets a $750 ‘Armani’ handset in the mobile phone business.

Michael Silverstein, author of Trading Up: The New American Luxury, estimates that nearly 60 percent of US households can find upscale electronics, appliances and auto brands within reach. For affordable indulgences such as gourmet foods, holistic pet diets, imported and specialty beers, even occasional trips to the local day spa – are attainable for many.

Features or Fundamentals?

Brands in many categories have observed this phenomenon and are working furiously to move up market where profitability is still growing. However, aspiration and successful execution are two different things. Merely tweaking the product package and tone or message of communications strategies may not be enough to win the day.

We are reminded during this political season of Bill Clinton’s triumphant Presidential bid when his campaign resolutely nailed an issue that clearly resonated with voters – “It’s the Economy, Stupid.” Success in the new economy driven by brand transparency, authenticity and consumer control works to factor in another comparatively succinct mantra – “It’s the Product, Stupid.” The product may need refurbishment in line with efforts to upgrade the marketing effort. Adjusting from price to feature selling is not moving enough marketing earth to build the right foundation — and if anything, may simply work to carve a deeper hole.

Respect and concern for the consumer running in parallel with efforts to drive away from the vanilla middle must include an honest assessment on product quality and performance. Investment in tangible improvements will help the maneuver stand the test of consumer, media and expert scrutiny. Emotional bonds and connections are table stakes for indulgent products — and don’t result because we TELL consumers to behave a certain way. Rather, it’s because they truly resonate to what’s in front of them: a remarkable, engaging, interesting and alluring product that delivers on their expectations and desires. They listen BECAUSE they feel a certain way about a brand that matters to them. And mattering in the end is the whole game in one word.