2016 appears to be the year of mergers and acquisitions (M&A) in the energy sector. To provide some context of just how active the M&A activity is, here are some headlines featured in recent news stories:
- “Making Sense of Q1’s Monster M&A Activity in the Power Sector”
- “Pioneers of U.S. Energy Savings Turn Targets as Deal Spree Looms”
- “Energy Sector Bucks Trend as Deals Value Powers to Highest Year-to-Date Level Since 2011”
According to Dealogic statistics, the utility and energy sector is the third most targeted industry globally for mergers and acquisitions, following only technology and real estate. In fact, between January 21 and April 26 of this year, 362 deals were announced with a total value of $76.8 billion, up 78 percent from the same period a year ago.[*]
While mergers and acquisitions tend to mean more opportunities to maximize income potential, there comes inherent risks and challenges. One of those challenges is helping customers feel comfortable with the change.
Chief Marketing Officers are charged to help with this transition by managing a brand portfolio effectively and driving profitable growth. Can the CMO deliver a differentiated value proposition that compels and motivates company culture and behaviors while driving demand from customers? Can the CMO guide innovation and the development of new revenue-generating products and services?
Tough challenges to be sure. Challenges we help our clients successfully navigate by leveraging a simple yet powerful notion – making the brand the best friend it can be. We call it Brand as Friend®, our philosophy that allows us to create brand platforms that have a deeper meaning, more impact and help forge a powerful bond between a person and a brand.
At its core, Brand as Friend is our belief that brands can have a higher purpose in peoples’ lives and that to reach the status of “friend” you need to create Affection, Relevance and Trust by leveraging the nine proven drivers of friendship:
Our Brand as Friend methodology helps to uncover gaps that brands have with their targets and engage multiple disciplines, internally and/or externally, to concentrate on the drivers that helps brand achieve friendship status.
This approach is designed to take advantage of today’s digital age where more consumers not only expect to but want to engage with the brands that they can connect with and feel close to. Brand as Friend is particularly powerful for business-to-business brands that often compete in complex market sectors, such as energy, where leveraging the nine drivers can create powerful differentiation.
To learn more about the Brand as Friend philosophy, visit https://www.mower.com/about/our-philosophy/.
* CITY A.M., Energy sector bucks the M&A trend as deals value powers to highest year-to-date level since 2011. April 26, 2016