US$925 billion market capitalisation Krispy Kreme has a market capitalisation of US$925 billion. Zara has a market capitalisation of 27.91 Euro. Rolls Royce has a market capitalisation of 614.96 billion Stirling. These are just three examples of highly successful businesses that have no advertising budget. They are also examples of businesses that are very effectively […]

US$925 billion market capitalisation Krispy Kreme has a market capitalisation of US$925 billion. Zara has a market capitalisation of 27.91 Euro. Rolls Royce has a market capitalisation of 614.96 billion Stirling. These are just three examples of highly successful businesses that have no advertising budget. They are also examples of businesses that are very effectively differentiated in a way that is market responsive and tangible.Compare these businesses to Myer in Australia that has not made a commercial return for 10 years despite a well-known brand name and a multi-million dollar advertising budget, or Harvey Norman which is constantly discounting and leaning on suppliers to create a price advantage and spending a bomb ($152 million) on advertising because they really have nothing different to offer than Retravision and JB Hi FI, the second of which has grown to become the 7th largest electrical retailer in the world. You might then consider…