Volkswagen

"Everybody says they obviously want to find the best television they can within their price bracket. They’d answer all these questions as if they were hyper-logical, they’d say that obviously if this thing costs less than the iPad, and it’s better, then they’ll buy it. Then reality comes into it, and actually, the reason they buy the iPad is that they know that every time they get out the Samsung, all their friends will say: “why did you get that, why didn’t you buy the iPad?” and that this will bring with it a little burst of anxiety and a little burst of effort. Never, never underestimate the importance of that. If you buy a Ford or you buy a BMW or a Volkswagen and it breaks down a lot, it’s Ford’s fault, and you and all your friends will go: “golly you’re really unlucky you bought that new Ford and the clutch plate’s gone, bloody hell, I do feel sorry for you”, and you will get a degree of sympathy from your friends, okay? If you go and buy an Alfa Romeo and the clutch plate goes, deep down all your friends are thinking: “what does he expect, he goes and buys an Alfa Romeo, what the hell does he expect?” If you’re going to buy this flash, weird Italian car, it’s going to break down."

"I suggest it is by far the more valuable economic role that brands play: not to be a promise of ultimate superiority but a cast iron assurance of pretty dependable non-shitness. The Fina ad is one good example. Even better is that great CDP ad for Smirnoff: “why waste money on real lemons”, which I can’t find, or the Volkswagen promise of reliability. But overall this proposition of “loss avoidance” is rare — most ads seek to boast a lot more than they reassure. Yet when you are handing over £1,000 to buy that flat screen TV, how much of your brain is worried about whether it is the best TV you can buy for £1,000, versus the part of the brain thinking “I hope this TV isn’t a crock of shite?” I’d put the ratio at about 1:2."

"Apple was different: under the design direction of Jony Ive, Apple’s product portfolio remained radically simplified. Even by 2015, Apple was only releasing two new iPhones a year. They were hand crafting luxury phones but doing it in mass-market quantities. In their search for suppliers, Apple gravitated toward quality, not price. To reach that quality, Apple had to come up with new processes to make the phones; but until Apple chose a new design these processes wouldn’t exist. So it had to work far more intimately with suppliers. “Apple influenced the entire manufacturing process because what they were doing was so unique. Nobody else was doing this, so Apple had to fund that equipment,” says Brian Blair, a tech analyst who repeatedly toured Apple’s suppliers back then. He uses an analogy from the automotive world: it’s one thing for Volkswagen or GM to make 10 million cars a year; what Apple was doing was akin to making 10 million Ferraris a year."

"Under the umbrella of the holding company, the brands Dywidag, Züblin, and Heilit+Woerner Bau GmbH are maintained alongside the group’s main brand, Strabag – the latter had come to Strabag with Walter Bau. However, the entire company network consists of more than 80 subsidiaries – from A like Abfall Behandlung Recycling GmbH to Z like Züblin Umwelttechnik GmbH. At first glance, this may seem confusing, but in the world of large corporations, it is entirely common for numerous brands to gather under the umbrella of a holding company. For example, the Dutch-British consumer goods corporation Unilever operates with 40 brands: from Axe, Becel, or Coral, via Lätta, Lipton, and Lux, to Thea, Timotei, and Unox. The largest European automotive group, Volkswagen, has ten other brands alongside its main brand VW, from Audi, Bentley, and Bugatti, through Scania, Seat, and Skoda, to Porsche."