Media buzz around Donald Trump is already widespread and common, however what effect does it have on Trump’s property and his precios brand? Let’s start with the analysis of Mr. Trump’s brand and explore some valuable stats. 

The phenomenon of Trump’s brand

In 2014 in a submitted tax return, Donald Trump revealed that his net assets constitute 8.74 billion dollars. Notably, a significant part of a businessman’s wealth ($3.3 billion) accounts for quite a specific section: “real estate deal, brand, and branded developments.” It is not a secret that Trump positions himself as a great and influential brand which is certainly connected with his luxurious property and the appropriate lifestyle, however a number of “branded” goods do not in fact belong to this candidate for presidency.

Numerous people who want to invest their assets into Trump-named objects do not suspect that Trump is not liable for them and can simply revoke a costly licence. Thus, in 2011 The New York Times published an article which revealed that Donald Trump simply rented his name to the developments and had no responsibility for their outcomes, which provoked losses (and a sense of betraying) for hundreds of buyers.

As for now, Trump’s brand is made up of various product and business spheres: Trump Restaurants, Trump Home, Trump Model Management, Trump financial (which provides mortgage services) and even Trump Steaks. Adding the Trump name to something can increase value between 20 percent and 37 percent, according to a recent research of Brand Keys.  Thus, occasionally a businessman intentionally dissolves boundaries between his assets and branded products of others, just not to provoke disputes and doubts among the customers. However, does he realize what effect on the mentioned customers can have his questionable actions, media behavior and debate claims as a presidential nominee?

Negative tendencies: how brand is being destroyed

The mere fact of candidacy did not result in any negative effects, only increased the number of stakeholders, however some media actions did. To illustrate, the recent video regarding Trump and sexually assaulting women has culminated in serious consequences for businessman’s brand. Just look at the figures, the chart speaks for itself.

Effects of Trump brand

Judith Carr-Rodriguez, branding expert and president of Figliulo&Partners, claimed that she finds Trump’s comments “horrible,” but this is exactly the kind of thing brands are advised to do: have a point of view, not be afraid to communicate it. “This is basically good advertising,” she said. “He has a strong belief system that is his branding, and he is so polarizing.”

Does property suffer?

Previously, we analyzed such indicator as a foot traffic (concerning Trump’s hotels, casinos and other public property), which demonstrated a downward trend after Mr. Trump’s candidacy and his media activities. However, it is not all. The given bar chart provides the information about bookings for Trump Hotels’ most popular locations before the boom around his campaign, in 2015, and after the growing media attention, in 2016. It can be stated, that the percentage of bookings declined significantly, by 58.46 % compared to the same period last year.

Bookings at Trump Hotels Plummet

Donald Trump VC Trump Tower

A 58-story skyscraper, Trump Tower, is probably one of the most well-known branded property of Donald Trump. And therefore, its media image is a remarkable reflection of Mr. Trump’s media image.  “Before the campaign there was a balance between the brand Trump and Mr. Trump himself,”- claimed Howard Pulchin, global creative director at APCO Worldwide. Now, “the individual has usurped the business, and when the individual strikes this much controversy it can’t be good for the brand.”

 

Donald Trump Vs Trump Tower

 

We can conclude that when Trump does not prosper, especially on social media, his property (Trump Tower in this particular case) is even more vulnerable. The business model of Donald Trump was always based on protection of his brand and brand identity – and this is what is especially required now.

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