Exploring Optionality and Brand Resilience

What you’ll learn:

What’s the strategy behind strategy?

Strategy is more fluid than ever across a landscape where market signals are more prolific and immediate. Traditional approaches that served us well in a linear, campaign-centric environment are no longer optimal.

Curated by Brian Kaiser, EVP, Head of Strategy, Klick has launched the Difference-Making Strategy series, explorations that reveal what happens when you dissect your craft… and then rewire it.

These conversations reveal how Klick is adapting its approach to strategy to lead the way in a rapidly evolving marketplace. From gaming to AI and storytelling to experiences, our expectations of strategy are growing to include more than ever before.

Brian sat down with Meredydd Hardie, VP, Strategic Futures, to discuss uncertainty and optionality. By keeping as many options open as possible, brands can position themselves to win in a range of potential futures. Meredydd published her Cultural Forces articles throughout 2024, reflecting on the trends shaping our world and, more specifically, the healthcare landscape. She is passionate about uncovering insights at the intersection of people, culture, and brand. 

The Power of Futurism

Brian Kaiser [BK]: Let’s [talk about] how a future-focused mindset can benefit strategic planning…how does futurism play into long-term strategy?

Meredydd Hardie [MH]: Futurism is a key element. It’s not just about being passionate about the future, it’s a practical necessity. 

Futurism is a useful tool to help us get to where we want to go. Every strategic goal, whether for us or our clients, is inherently future-focused. Scenario planning is critical in this process, as it helps us lay out the pathways to achieve these future goals.

BK: And how does the concept of optionality fit into this framework?

MH: Optionality is essential because it acts as a bridge between the present and the future. It allows brands to open multiple avenues, making it possible to pivot as circumstances change. This flexibility is crucial for adapting to new opportunities and challenges, ensuring that a brand remains relevant over time. For example, a brand targeting Gen X must also consider how it will appeal to future generations. This foresight helps maintain relevance as market conditions and demographics evolve.

BK: Is there a way to test the level of optionality within a brand’s strategy?

MH: That’s challenging because a brand is such a living thing. It’s not just a logo or a manifesto, it’s an ongoing interaction between the corporate identity and its consumers. However, scenario planning can help. We evaluate if a brand’s positioning is expansive enough to accommodate different futures. We ask questions like, “Can this brand pivot if needed?” and “Will it still resonate if market conditions shift?”

BK: It’s almost like turning your curiosity into data. I know we’ve always riffed on the idea that the fragments of the future exist in the present. The future is revealing itself to us now if we’re paying attention. It hasn’t fully formed, but it’s like seeing a child and imagining who they’ll become as an adult. You can see the fragments of their personality and future inclinations early on.

MH: I love that analogy. It’s similar to when I trained people to look at data tables and market research. I’d tell them to look for the oddities…[what makes them say] “Hey, that’s weird.”

Sometimes, it’s weird because there’s a mistake—and it’s an anomaly. But sometimes, it’s weird because something is happening there. When you notice these oddities, you begin to see patterns forming. 

BK: So, it’s about recognizing these initial signals and not jumping to conclusions too quickly.

MH: Exactly. As you keep observing, you might find another anomaly that supports your initial observation. Now, you have two data points and a story begins to emerge. The key is not to seek out confirmation too aggressively because if you do, you’ll find it. Instead, let the data and the world naturally tell you the story.

Exploring the Adjacent Possible

BK: Let’s talk about the adjacent possible. How does this relate to strategic planning and innovation?

MH: The adjacent possible refers to the realm of possibilities just beyond our current reach, accessible through incremental steps. This concept is vital because while we often consider innovation as giant leaps, the most impactful advancements usually come from building on existing capabilities. 

For instance, the iPhone was a major innovation, but it was built on existing technologies like touchscreens and internet connectivity. In strategic planning, focusing on the adjacent possible means identifying small, practical steps we can take today that open up new opportunities tomorrow. It’s about leveraging immediate possibilities to move towards a broader vision gradually.

BK: How can brands effectively utilize the adjacent possible in their strategic planning?

MH: It’s about taking actionable, incremental steps that align with a larger vision. For example, brands can start by refining their messaging to align with emerging trends, forming strategic partnerships, or experimenting with new technologies. These steps help lay the foundation for future innovations. 

We advise clients to consider which partnerships to form and how to align their strategies with evolving market dynamics—setting a clear path from the present to the future, recognizing what’s feasible now and what can be developed over time.

The Importance of Resilience

BK: Resilience is another key concept… how does it fit into this broader strategy?

MH: Resilience is crucial for ensuring a brand can withstand disruptions and recover from setbacks. [Not just] surviving crises but emerging stronger. 

Resilience involves building robust systems that can absorb shocks, whether from market changes, economic downturns, or other external pressures. A resilient brand maintains its core values and mission while being adaptable enough to embrace new challenges and opportunities. It’s about having a strong foundation that allows for agility and growth.

BK: How does resilience work in practice, especially in fast-changing industries?

MH: Resilience in practice means having contingency plans and continuously reassessing the brand’s strategic direction… being proactive rather than reactive. 

For example, during the pandemic, we saw brands quickly shift to digital platforms or adjust their supply chains to meet new demands. These brands could maintain operations and engage with their customers, demonstrating resilience. Moreover, resilience includes maintaining strong stakeholder relationships and fostering a supportive internal culture, helping the organization navigate challenges effectively.

Can AI Predict the Future? 

BK: Can you share an example of how AI has been used effectively in your scenario planning?

MH: We’ve utilized AI to explore scenarios in cardiovascular and metabolic health sectors. Initially, AI might generate basic scenarios, but it can develop much more nuanced possibilities when we provide it with specific contexts and framing. 

For example, I might start with a broad question and refine it with specific scenarios. This process helps generate valuable insights that can guide strategic decisions.

BK: How does the rapid advancement of AI and other technologies impact your approach to strategic planning and futurism?

MH: AI is a powerful tool for identifying patterns and exploring scenarios, but it’s not good at predicting the future. AI excels at handling vast amounts of data and offering insights into trends, but it lacks the human touch of creativity and intuition. 

AI helps us see what we might otherwise overlook, but it requires a “spark” from us to make the insights meaningful. Combining human creativity with AI’s analytical capabilities leads to a more comprehensive understanding of potential futures.

A Delicate Balance 

BK: Balancing innovation with practicality seems crucial.

MH: Absolutely. While innovation is vital, understanding the incremental steps required to realize a future vision is equally important. This means preparing stakeholders, like healthcare providers and patients, for upcoming changes. We must ensure that every initiative, from messaging to partnerships, aligns with and supports the overarching strategic goals. It’s about creating a cohesive narrative that guides the brand toward its future state.

BK: This has been an enlightening discussion, Meredith. Your insights into futurism, optionality, and resilience provide a thorough approach to future-proofing strategies.

MH: Thank you, Brian. It’s always a pleasure to explore these concepts and discuss how we can help our clients not only anticipate but also shape their future proactively.

Look forward to more Difference-Making Strategy conversations in the near future or reach out to connect with Brian and his team today.