Tuesday, June 21, 2011

SOCIAL MEDIA STRATEGY AND BRANDING; HOW HENRY FORD USED SOCIAL MEDIA TO CREATE A BRAND FOR THE MODEL T

Henry Ford created a brand for the Model T because he had a lot of engagement with both customers and competitors.  Around the Flint area, a strong community developed in which people strongly engaged one another. Henry Ford, David Packard, the Dodge Brothers, Billy Durant, Alfred Sloan, David Buick, Albert Chevrolet,  Ransome Olds,  Walter Chrysler, and Henry Leland were the primary players.  They were rivals, but they strongly corroborated with each other.  It is strange dynamic about entrepreneurs.  People compete yet still share large amounts of information.


Henry Ford was the platform that people went to when they had content to share.  Henry knew people. Through engagement with them, he knew what kind of car they needed.  Henry knew how to create a car that people would buy.
            Henry knew the players. He knew the business models and strategies of the other 88 companies. This knowledge that was gleaned from the social networks of the day allowed Henry to gather information. This information allowed him  to understand how to create a great brand. Henry Ford realized that people needed affordable, reliable transportation. They needed a car that was reliable, and easy to repair.  They needed a car that could easily be repaired if it broke down.
            A  major observation that Henry Ford made was the car was not a toy for the rich, but a necessity for the average person. He knew that if a car could be developed that provided basic transportation, with few bells and whistles a world class brand could be created.
            This is how he positioned himself in relation to the other brands. The Model T was a car for the masses, in contrast to a toy for the rich.  If you purchased a Model T, you could get it in any color you wanted as long as it was black.  The Model T provided transportation to masses and this revolutionized the American society as no product has ever had.

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