Brand Builder Lab

Daily Dose | How to Build a Community-first Brand | Liquid Death, ELF Beauty, Lego, Crocs, the NBA

• Brand Builder Lab • Season 1 • Episode 15

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In this episode, we explore how building genuine emotional connections drives brand growth and longevity in today's turbulent market. Data shows emotion-driven brands see 3x greater lift, double the profitability, and grow value 2.5x faster than competitors focused solely on product features.

Listen to hear more about what's shaping fast-growing brands:

  • Since 2000, over half of Fortune 500 companies have disappeared, proving size and history aren't guarantees
  • Emotionally connected customers have 3x higher lifetime value than just satisfied ones
  • Research from industry leaders including Kanter, Ipsos, Interbrand, and WARC
  • The LAVEC method provides a systematic framework for building brand resonance
  • Lexicon (words), Audio (sounds), Visual (style), Experience (behaviors), Culture (empowerment)
  • Case study: Coca-Cola vs Pepsi demonstrates how emotional assets create lasting advantage, unpacking their growth from 1985 through 2025 
  • Why ads with strong emotional pull are 4x more likely to build brand equity

Inspired by the Brand Builder Lab newsletter, this discussion on why the secret to standing out isn't just talking about your past accomplishments but clearly articulating the future you want to build.

Whether you’re building a startup or refreshing your brand, this is your blueprint for turning an audience into a tribe.

Subscribe to the weekly Brand Builder Lab newsletter. 

Produced by Kai D. Wright. Follow Kai on LinkedIn. 

Buy the companion book, "Follow the Feeling: Brand Building in a Noisy World" on Amazon. 

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Speaker 1:

Hey there, welcome to the Brand Builder Lab.

Speaker 2:

Great to be here.

Speaker 1:

This is your daily dose of creative inspiration, designed to help you build a brand that you know really stands out and thrives in this incredibly noisy world we're in.

Speaker 2:

Absolutely. It's definitely a challenge out there.

Speaker 1:

Today we're digging into some fascinating stuff straight from the Brand Builder Lab newsletter by the brilliant Kai D Wright you know the brand expert, columbia lecturer and author and our mission today really unpack what it takes to build brands that truly connect, that resonate right now.

Speaker 2:

Yeah, and it's crucial because the landscape is well turbulent. Think about this Since 2000,. Over half of the Fortune 500 companies, they're gone.

Speaker 1:

Wow, over half, over half of the fortune 500 companies.

Speaker 2:

They're gone. Wow over half. Yeah, it just shows that you know, the old advantage is just being huge or having been around forever, they just aren't guarantees anymore. Things are shifting okay.

Speaker 1:

So if size and history aren't the magic bullets, what is working? The newsletter points to something really interesting it does.

Speaker 2:

The core idea is that lasting growth isn't really about the short-term numbers we often chase. It's about feelings.

Speaker 1:

Feelings? Okay, tell me more.

Speaker 2:

It's about forging genuine emotional connections. That's what builds cultural relevance, what creates that fierce community loyalty.

Speaker 1:

Right, that makes sense, and there's data to back this up.

Speaker 2:

Oh, definitely, the data is pretty eye-opening. Actually, Brands that really lean into emotion they see like three times greater brand lift, according to Ipsos. Three times and campaigns built on emotion can be twice as profitable as ones just focused on, you know, rational features. That's from a work.

Speaker 1:

Double the profit just by focusing on feeling.

Speaker 2:

That's huge it is, and Kantar found that brands people see as both meaningful and different. Well, they grow the value two and a half times faster.

Speaker 1:

Okay, so it's not just fluffy stuff Not at all.

Speaker 2:

And get this. Combine that big picture, brand building, the emotional stuff with your performance ads, you could see total revenue ROI jump by up to 90% 90%. Plus, emotive brands often have about one and a half times the pricing power.

Speaker 1:

The link between emotion and business results one and a half times the pricing power, the link between emotion and business results. And you see this playing out, don't you? With brands like Liquid Death or ELF Beauty, Glossier, even Duolingo, Oatly, poppi.

Speaker 2:

Exactly. They're not just pushing product.

Speaker 1:

No, they're building these like communities, creating belonging and identity people connect with.

Speaker 2:

That's the key. They harness that feeling. The newsletter even suggests that creator-led brands think Mr Beast could potentially outpace the big guys because they start with that built-in community bond.

Speaker 1:

So how do you actually build that intentionally? It sounds a bit like magic.

Speaker 2:

Well, it can feel like it, but there's actually a method. It's called the LAVEC method, pronounced LAVEC method pronounced LAVEC.

Speaker 1:

Okay, yeah.

Speaker 2:

It's a framework Kai developed after studying something like 1,500 fast-growing brands. It's a systems-based way to think about building that resonance.

Speaker 1:

So, more than just a buzzword, it's a practical system.

Speaker 2:

Precisely. It helps you look at your brand holistically across all those emotional dimensions and you don't need like formal training. It's about applying creativity.

Speaker 1:

Okay.

Speaker 2:

I'm listening. What are the parts Right? So L-A-V-E-C. L is for lexicon triggers, the specific words, the insider language. A is audio cues, sounds, music, voice. V is visual stimuli, logo colors, everything you see. E is the experience driver how interacting with the brand actually feels. And C is cultural connections how the brand fits into the wider culture, builds that belonging.

Speaker 1:

Lexicon audio visual experience culture L-A-V-E-C.

Speaker 2:

Got it. It's about shaping that feeling across every single touch point to earn trust and spark loyalty.

Speaker 1:

Let's take a classic example, like Coke versus Pepsi. The newsletter mentioned them.

Speaker 2:

Perfect example. Back in 85, they were basically neck and neck in market share. But think about Coca-Cola. Right, they've consistently built these deep, distinct emotional assets. I mean, coke is supposedly the second most recognized English word. That says something about their lexicon and cultural connection.

Speaker 1:

Wow yeah, they always rank super high in brand value.

Speaker 2:

Exactly Now. Pepsi's grown too obviously and made smart moves like adding poppy. But Coke really shows the power of playing the long game, building that specific feeling over decades. Emotional relevance is key.

Speaker 1:

And that emotional connection. It pays off directly with customers right.

Speaker 2:

Hugely Get this Motista found. Emotionally connected customers have a 306 percent higher lifetime value.

Speaker 1:

Whoa 306 percent.

Speaker 2:

And HBR says they're more than twice as valuable as customers who are just highly satisfied.

Speaker 1:

So satisfied is good, but connected is gold Absolutely.

Speaker 2:

Even with digital ads, Kantar and Effectiva found ads with strong emotional pull are four times more likely to build brand equity.

Speaker 1:

Four times.

Speaker 2:

And Nielsen data shows ads with above average emotional response drive 23% more sales. Plus, 71% of customers recommend brands based on that emotional connection. It's not soft stuff, it's hard results.

Speaker 1:

Okay, this is clearly grounded in serious thinking. You mentioned Kai's book Follow the Feeling. It touches on this systematic approach.

Speaker 2:

It does. The LAVSC method draws inspiration from people like Donella Meadows on systems thinking, Daniel Kahneman on behavior, Richard Thaler on choice. It's structured, it's evidence based.

Speaker 1:

So for everyone listening, whether you're just starting out or leading a huge brand- Right.

Speaker 2:

The message is clear Intentionally building that emotional connection, that community feeling. It's not optional anymore, it's fundamental. Like Kai says, focus on what matters most the emotions, the feelings.

Speaker 1:

So the big takeaway from today's Brand Builder Lab dose winning means following the feeling. Build those genuine emotional ties within your community, and LAVEC gives you a framework, a powerful one. To explore this more definitely. Check out the Brand Builder Lab newsletter on LinkedIn and grab Kai D Wright's book Follow the Feeling Brand Building in a Noisy World. It really dives into the secrets of these fast-growing brands.

Speaker 2:

And hey, don't forget, you can actually download a free PDF guide covering the Brand Builder Lab stuff we talked about. Great for saving, sharing or using in a brainstorm. Just head to the newsletter on LinkedIn to get it.

Speaker 1:

Awesome. Okay, here's a nod to leave you with thinking about your brand. What's one specific way you could start building a stronger emotional connection with your community, maybe even today?

Speaker 2:

Good question to ponder.

Speaker 1:

See you next time in the Brand Builder Lab. Let's get to work.

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Kai D. Wright

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