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Case: Lady Gaga
Team: Brains Я Us
(Maria Gavrilenko, Jiyoung Chang, Danyang Han (Holly), Kun Fan (Peter))
Summary: The purpose of this write-up is to present the analysis of Lady Gaga’s brand building
process during 2008-2009. Based on our analysis, we hope to thoroughly explain our rationale behind
the decision why Lady Gaga should pursue arena tour, rather than scale the tour down to a theatre
tour or cancel the plans altogether.
Part 1. Lady Gaga Brand Building Process
At present, Lady Gaga is known to be one of the largest pop-stars on the planet and a marketing
phenomenon. Back in 2008, she was an emerging star, however, the approach to her as to a show
business brand, opposed to that of to an ordinary performer, was very evident. Delivering a bundled
experience that combined music, message, live visual parade, fashion concept and close emotional
connection with fans, she and her management team conveyed a successful art and commerce project
- the brand of Lady Gaga. Pros and cons of building a Lady Gaga brand at those times included:
Pros
● Fortunate Resources: From the beginning of Lady Gaga's brand building process, she was
managed by famous producer Vincent Herbert and the manager Troy Carter, both ready to start on a
new point in their career and sharing Lady Gaga’s vision. Therefore, Gaga could freely express her
talent and unconventional style under the team's protection and promotion.
● Small-Scale, Group-Specific Approach: Lady Gaga initially performed frequently live shows
catered to minority communities that strongly resonated with her style, which gave her a solid fan
base and grassroots recognition. What Gaga did was using her unconventional style in music and
aesthetics as a comparative advantage to target a segment of customers.
● Taking Advantage of Social Media: Her usage of social media, which many other superstars
(Michael Jackson, Madonna, etc.) did not use at their time, gave her an advertising advantage as the
basis for emphasizing her talents and taking advantage of human networks outside singers operation
range. Gaga took on various activities such as mini videos and collaborations with famous bloggers,
which allowed her fans to have a better understanding of her behind the scenes, created personal
connection and expanded her fan base.
● Creating Own Label: Many of her interactions, both direct and indirect, were planned by Lady
Gaga herself. For example, managing her own pages rather than letting managers take on her social
media gave her a sense of ownership and created a persona-based label.
● Distinguishable Style: While her unconventionality was not for everyone's taste, she became an
icon in the fashion community, which contributed to consolidating her brand image.
● Comprehensive Brand: The combo of live performances, social media strategies and unique style
created a bundle experience of entertainment and made Gaga effective in self-marketing and
advertising, someone more than a musician. Using this brand, Lady Gaga can generate more
comprehensive revenue streams, including secondary products associated with the brand.
Cons
● Costly Process: Gaga’s brand building process, which emphasizes sophisticated live show and
interaction with fans, is costly and therefore not profitable for Gaga and her team. If the shows fail to
succeed, this aggressive expenditure may constrain Gaga’s future development.
● Risky Location Choice: Gaga launched her first album, The Fame, in Canada and Australia, where
she previously did not have extensive shows and fan base. This choice of location is rather risky,
