Icebreaker’s International Growth & New Zealand’s Brand

Posted: June 26th, 2011 | Author: | Filed under: Business | Tags: , , , , , , | 5 Comments »

About a month and a half ago, as winter was just setting in here in Wellington, I bought an Icebreaker merino undershirt. I’d heard a lot about Icebreaker stuff being incredibly warm, so thought I’d give it a go. A few weeks later, and I own everything from an Icebreaker coat to Icebreaker briefs. Their stuff is so warm, so comfortable, and so breathable that it doesn’t smell at all. It’s really even better than their advertising describes. Anyway, this post isn’t actually a pitch for Icebreaker – although I completely and utterly recommend you buy their stuff. I wanted to just talk about a fantastic Kiwi business success story, and touch on how they’ve successfully used New Zealand’s brand to help them sell their products internationally.

Icebreaker is now sold in pretty much every continent, and they’re incredibly well known for a Kiwi company still owned by its founders and original backers. 1999 was when they decided to do a test in Europe, and since then their growth has been simply astounding.

It’s funny how a couple of the most talked about New Zealand success stories in recent years have both been companies that have heavily used New Zealand’s brand to help sell their products. 42 Below, a New Zealand vodka company that was sold to Bacardi a few years back, also used “Pure New Zealand” as part of their marketing.

And that phrase – “Pure New Zealand” – should not be underestimated. A country’s brand is something very valuable (provided the country has a good brand) because it’s something people can relate to. More than a company’s brand, a country’s brand is in some ways tangible. People can actually walk around a country and therefore they gain a deeper understanding of what values and images are associated with that country. A company on the other hand isn’t a tangible object that people can walk around to better understand. In most cases their images are simply marketing strategies.

So Icebreaker, and other companies utilizing New Zealand’s good brand, are very smart about it. In some ways it’s a free marketing strategy that can’t easily be replicated any other way.

I’ve travelled quite a bit, and one thing that I notice no matter where I go is how responsive and positive people are to hearing “New Zealand” in response to asking where I’m from. I’ve never heard anything negative in response to me saying New Zealand, and usually the next comment is one involving a word such as “beautiful”, “stunning”, “clean”, or “safe”. When you have those kind of connotations to a brand, something is going right.

While some companies like Icebreaker are doing a fantastic job riding New Zealand’s image to achieve international growth, I think more could be doing it. And don’t get me wrong – by no means do I think every New Zealand company should use NZ’s brand. But I do think that a few more could at least use “New Zealand” in their tagline to conjure up images. We just have to be careful not to overuse it, and only let companies who truly can achieve huge international growth use it.

And on top of all the other benefits of using NZ’s brand internationally – it keeps us back home happy. We just get even more passionate about Icebreaker and our country!


  • http://alterocentrist.tumblr.com Danielle

    In my Economics class we had a spotlight lesson on the founders of Icebreaker. 

    Living in West Auckland I have never been to, let alone seen, an Icebreaker store before (although I frequently visit the Kathmandu for thermal undershirts and fleece jackets). If the Icebreaker in Wellington is in the CBD, I might pop in to have a look at their products because I’m going to fly down there later this week for a conference.

  • JR

    Mike, could not agree more. The wife raves about the clothing, albeit, no woolly knickers in her wardrobe just yet. As an Aussie, you are blessed to have such a pristine image to market globally and IB has used this positioning to great effect, all without endorsements from sporting stars, models or the odd All- Black…

  • http://mmoorejones.com Michael Moore-Jones

    The only actual Icebreaker store in Wellington is in the airport – so take a look when you arrive! But a number of stores sell Icebreaker stuff, like Kirkaldies and Stains.

    Out of interest, what kinds of things did you look at when you studied the founding of Icebreaker in economics?

  • http://alterocentrist.tumblr.com Danielle

    We looked at the company’s development and how their revenue contributes to NZ economic growth. We also looked at other NZ businesses as well.

  • http://twitter.com/PeterJThomson Peter Thomson

    Great post Michael, it inspired me to put down a few thoughts of my own on Icebreaker’s excellent branding and marketing at http://www.economicsofinnovation.org/2012/02/business-of-merino.html