Wednesday, January 13, 2010

JAL Brand - Dead or Alive?

JAL (Japan Air Line) is now being considered to be restructured by the "government-brokered package (from WSJ 1/12)". So what would happen to the "JAL" brand?

JAL and ANA(All Nippon Airways) have dominated Japanese domestic airline so long and Japanese people in fact have little choice of the airline companies, especially for minor place like Niigata airport.

So what if JAL is restructured and lowers its service (decreasing some routes)? Will JAL brand be devaluated? Yes, definitely. But so what? JAL would maintain its position as one hand of Japanese main airlines taking advantage of its domination.

There has not yet been announcements that ANA will be allowed to increase its flight, or other airline companies, such as Skymark Airlines or Foreign companies will replace JAL's routes.

JAL brand might be keep alive, and would be revitalized in the near future. And Japanese people would accept it not only because they have little choice but also because of their tolerance, "Mizu-ni-nagasu", just same as Snow Brand...

2 comments:

  1. Could you share with us the meaning of JAL brand for Japanese people? What do you think when you see JAL logo?

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  2. Do you believe in the death of the brand? Whether your answer is a yes or a no, let me refer some of the perspectives regarding this.

    Brandweek is thinking about the unthinkable: Will branding die a lingering death in 2009? Are customers going to go back to price points and quality generics?(http://www.namedevelopment.com/blog/archives/2009/01/will_2009_be_th.html).

    The lesson of all these failed and failing brands is that the "value" of the brand is prone to disappear right at the point at which you might actually want to cash in on it(http://www.thebigmoney.com/articles/hey-wait-minute/2008/12/22/whats-name-0).

    "Blending into the herd" feels like one of the most common responses to the recession. 2009 is full of so much risk on its own, businesses are becoming even more risk adverse than usual to compensate (http://www.tomfishburne.com/tomfishburne/2009/01/blend-into-the-herd.html).

    Neither brands nor businesses are immortal (http://www.thehindubusinessline.com/catalyst/2008/10/16/stories/2008101650040200.htm).

    For me, brands will always be as important to differentiate products as names differentiate people. Brand power may increase or weaken but there will always be a brand. Some brands are even hard to kill such that even if the product they represent are already long gone in the market, its memories are left in customers minds.

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