Best Practices:
Redundancies are identified and eliminated to stay relevant
LEGO, the famous toy company that was founded in 1932, is still one of the most successful companies in the world. During 1900s, after years of success, their products had grown stale and outdated. It’s signature bricks, had been around since the 1950s, and were a part of their initial product portfolio. The bricks were obsolete and they had not introduced anything new i for a decade. By 2003, LEGO was strapped for cash and was in severe debt. It was then that LEGO decided to move the company to become more customer-focused, stepping away from their comfort zone. They invested in what worked and got rid of what didn’t. They added digital channels to engage kids and parents and reestablished the brand . To further diversify their portfolio and revive the brand, they also added LEGO themed movies and entertainment venues to the franchise. They remodeled their brand image as fun and delightful. This led to further engaging their customers wherever they happened to be in the world. In 2014, The Lego Movie had 96% approval rating from Rotten Tomatoes. The Lego Batman Movie outperformed Batman v Superman: Dawn of Justice, pressuring DC Comics to have a pompous and plastic LEGO version movie of the Dark Knight, rather than a live action. The rebranding of LEGO was so successful that it had been called the most significant turnaround in corporate history.
Radical changes are embraced to create a better future.
The comic book market crashed in 1993 and the sales were dropped by 70%. It was at the time that the company was heavily in debt and was almost going to file for bankruptcy. But n Marvel decided to restructure themselves to focus on movies rather than paper and ink. They embraced the success of their comics and entered a new market by bringing their characters alive through movies. The company’s master plan to connect many of its characters through a single cinematic universe turned it into one of pop culture’s most powerful brands.