In our consumption-driven age, when demographic-based branding dominates the conventional marketing wisdom, the Sorites paradox presents a useful and novel way to think about brand relevance. There's no greater risk for a brand than vagueness, and there's no harder thing to determine than when it actually happens. Yet it does again and again in the marketplace; brands that once stood for something, brands that embodied edginess, youth and vitality, end up in a mushy, amorphous place, standing for nothing at all.
Consider the life cycle of retail brands, in particular the creeping irrelevancy that threatens so many brands born when boomers were young. For Coach, its brand story began in 1968; Starbucks, 1971; Victoria's Secret, 1977; and Nike , 1978. Yet despite gaining cultural traction when boomers were essentially teenagers, each of these brands has managed to matter to the next generation. All four brands ranked in the top seven in a recent survey we conducted to track brand appeal across generations. That's quite the balancing act by these four brands, especially as boomers pass imperceptibly into a new stage of life.
Not so lucky
Not all brands born when boomers were teenagers have been so lucky. Case in point: Gap. It doesn't even break into the top 10 for brand appeal. Founded in 1969, the same year the Beatles released "Abbey Road," this specialty brand once stood for and defined mall-shopping culture. Within a few decades, it stood for everything that was wrong with that culture. Gap had ended up in the vague middle. It lost its edge as seemingly small changes -- loosening the fit of its jeans, for instance -- pushed it across some invisible line. It succumbed to the Sorites paradox. Gap was growing old with its original customer base, yet was failing to address the needs, wants and desires of the next generation. It was a nearly fatal mistake that took years to recover from, yet the story of Gap's rise and fall stands as an object lesson for specialty retail brands.
Ann Taylor is another example. When the retailer started skewing older in the 1990s, it somehow crossed some line and became associated with an aging demographic. It took an entirely new brand -- Ann Taylor Loft, opened in 1996 -- to get young women to walk into its doors again.
The question today, especially for retail brands like H&M, Pink and Forever 21, is how to navigate a target market's slow maturity into adulthood? How to stay loyal to the customers who created your brand in the first place and still appeal to the next generation? A good place to start is to rethink what fashion and brand appeal actually is and how it fits into consumer identity.
Fashion will always drive sales for specialty retailers, especially when we expand our ideas of what a specialty retailer is and what fashion really is . Apple is a specialty brand. And fashion is not just the latest Prada line in Milan -- it's the next iPhone. It's also the decline of mall culture and the rise of outdoor lifestyle centers; the end of aerobics and the triumph of yoga as more than a sport, as evidenced in the meteoric rise of a brand like Lululemon, which now sells nearly $1 billion in high-end athletic wear to fit and style-conscious women of all generations.
As people age, research has shown, they don't become less concerned about fashion; it's just less relevant to how they structure and create personal identity. They still want to try the latest flavored coffee and embrace the latest lifestyle trends.
Even though boomers need brands less and less to tell the world who they are, they still want brands to do things for them. They favor brands that empower them to communicate with family and friends in an informed way. And for female boomers, staying fresh and relevant in a world where people are living longer is a real emotional need.
Every aging specialty brand in America today faces the same seemingly impossible choice: Grow old with boomers or start chasing the latest demographic boom as 80 million millennials come into peak buying power. The temptation to try to appeal to both generations in the same way is too great. Dozens of brands, not just retailers, are vulnerable to the Sorites paradox and will stumble as Gap and Ann Taylor did.
Don't plant a flag in the vanilla middle; stand for something. There's no fate worse than vagueness for a brand.