The Global Brand Simplicity Index, released at the end of October, showcases the world's most effective brands. Brittany Golob explores the rankings with Siegel+Gale

Simplicity is beautiful. It's effective and it's successful. But simplicity is not easy. Achieving it requires a firm grasp on brand values alongside innovative communications and an adherence to clarity.

The best brands at maintaining a simple approach are ranked in Siegel+Gale’s annual Global Brand Simplicity Index (GBSI), now in its fourth iteration. The index examines the effectiveness of brand simplicity on a global and local scale and in sector-specific league tables by surveying more than 10,000 consumers in seven countries.

Doing well in the rankings is not just a point of pride, companies who embrace simplicity stand to capture $50 billion in the U.S., UK and Germany. Consumers are more likely to recommend a brand that provides simpler communications and there is a direct linkage between revenue and simplicity.

“Simplicity pays,” Rana Brightman, senior strategist in brand development at Siegel+Gale says. "In today's crowded and complex world, it does matter as individually, we are seeking to have more time in our lives to experience the things we want to. A lot of that comes down to looking for avenues and ways to make our lives easier. Brands that do that are the ones that are going to succeed."

Making good on simplicity’s promise of an enhanced bottom line relies on innovation. This focus stemmed from last year’s results. “Companies can make it easier for employees to innovate at work. We found that promoting innovative ideas is the second-least simple thing to do in the workplace, after asking for a raise,” Brightman says.

Siegel+Gale alit upon 27 attributes that contribute to workplace innovation. The two most important were understanding and commitment of purpose, essentially answering the “Why do we do what we do?” question. If employees understand that, they will not only be able to represent the brand better, but will be more engaged with the purpose and more likely to think creatively about their role and their company's work, fostering innovation. 

Chief strategy officer and co-CEO David Srere, says, "Numerous quantitative studies have demonstrated a strong correlation between purpose and business success. It is more than a feel-good statement of corporate responsibility. Purpose is grounded in the realities of the business: how the organisation makes money, what makes it competitive, and what truly inspires its people. If it's powerfully articulated, and brought to life in wrod and deed in a way that employees understand and believe in, purpose will drive businesses forward."

Some of this year’s highest ranking brands, and those perennially topping the charts, are in such a lofty position because of their abilities to encourage innovation in the workplace. Indeed, at companies marked simple, 51% of employees say they are rewarded for coming up with new ideas. That number drops to just 6% in complex companies. Companies like Google, Nokia and Canon are typical of the top-25, though innovation and simplicity is not the sole remit of technology firms. The best global brand, somewhat surprisingly is Aldi, up from 10th place in 2012. At a time when budgets are shrinking, Aldi's fulfillment of its low-cost, focus on essentials attitude earned it scores of happy customers.

In both the American and British country rankings, however, Amazon nabs the pole position. While the GBSI ranks prominent global brands, it is not an indication of popularity, but a judgement of the effectiveness and simplicity of the brand to its audiences. In the UK ranking, First Direct bank, lastminute.com and Travelodge all took top-15 spots. Arguably, other brands in the sector are more established, experience higher rates of custom are are just flat-out more popular. They rank so highly, thought, because they embrace simplicity, communicate effectively and create a positive reputation as a result.

First Direct in and of itself is a case study representative of the best brands in the GBSI. Retail banking, as a sector is stuck at 19th out of 25 globally, and 21st of 25 in the UK. Customers marked the sector poorly at touchpoints including deciding which account to use, tariffs and fees and online customer service. First Direct was, only a few years ago, a flagging brand. It was perceived as inaccessible, uncool and stodgy.

In response, First Direct rebranded and altered  its communications to draw in its desired audience  of young people and urban dwellers. “This year," Brightman says, "They've coume out and done something quite unexpected. But it hasn't deviated from what it's core purpose is there to do: pioneer amazing service." The bank, now at number three in the UK, jumped nine places in the rankings year-on-year. It is the first financial services brand ever to break into the top 10.

Not all the top ranked brands have improved, however. Virgin Atlantic, formerly the second-best brand in the GBSI, fell to number nine this year after a £93m loss and the acquisition by Delta airlines. After a year of uncertainty and change, the brand’s straightforward nature took a hit. Despite this, however, the brand remains simple and was praised for the ease of use of its website and its bold advertisements.

Boots was another that went through a merger in 2013. The chemist merged with longstanding American pharmacy Walgreens prompting greater trust in the brand and a sense of the company’s heritage. Boots thus rose 33 places in the index.

The most improved brand of the year honour goes to EDF Energy. The utilities provider flew up the ranks a phenomenal 101 places from 122nd to 21st. Energy companies have perennially poor reputations in the eyes of consumers, however, their brands are often resilient. EDF benefitted from its sponsorship of the 2012 Olympics during which it espoused an energy efficiency and carbon reduction standpoint and an effort to address consumers’ desires via communications and digital tools.

Sectors such as utilities, energy and finance are often poor players in the simplicity game. Utilities is the 22nd ranked sector in the world and the 23rd in Britain, second only to insurance sectors. Complexity of tariffs and unclear communications with consumers and stakeholders plague these organisations. E.ON, for example, wowed consumers with its website and messaging but was unable to follow through when communicating about tariffs.

The bottom 10 is rife with utilities providers, insurance companies and banks. But pulling up the rear is Ryanair, in 124th for the second year running. The love to hate it budget

airline is perceived as sneaky and deceptive and is maligned for its lack of usability and transparency. “No frill it might be, but simple it is not,” one of the judges says.

There is no guidebook to simplicity, but, Brightman says it comes about as a result of holistic changes to the business. A company must look at five factors: clarity, credibility, personal experience, usefulness and innovation. “When it comes to reputation, a brand has to be all of those things. You can’t put a great message out there if your service isn’t backing it up, and vice versa,” she says.

Those brands that did deliver on their promise, the ASDAs and Aldis of the world did so, this year, by espousing a value proposition in the midst of a troubling economy. A brand’s ability to build and maintain its reputation, accrue customer loyalty and engender trust rely on a clarity of communications and a simplicity of purpose. That, in turn, has a direct and marked impact on bottom line. Quite simply, simplicity pays.