Cult Brand


DEFINITION of 'Cult Brand'

A product or service that has an energetic and loyal customer base. A cult brand, unlike others, has customers who can be described as near-fanatical, true believers in the brand and may feel a sense of ownership or vested interest in the brand's popularity and success. Cult brands have achieved a unique connection with customers, and are able to create a consumer culture that people want to be a part of. Examples of modern cult brands include the Mini Cooper, Harley-Davidson, Vespa, Zappos and Apple.


A brand, by definition, is a distinguishing logo, mark, sentence, symbol or word that identifies a particular product. Companies use various strategies to improve brand recognition and build brand equity. Very recognizable brands include Nike, Coca-Cola and Microsoft.

Cult brands are different from fads. A fad is a short-lived "craze" where a particular product suddenly gains a lot of attention among a large population, marked by a temporary and excessive enthusiasm and then just as quickly fizzles out of style. Where fads are unsustainable and last only a short period of time, cult brands typically begin small and gradually build a steady following.

  1. Repeat Sales

    A purchase made by a consumer that replaces a previous purchase ...
  2. Brand Loyalty

    When consumers become committed to your brand and make repeat ...
  3. Brand

    A distinguishing symbol, mark, logo, name, word, sentence or ...
  4. Brand Awareness

    The likelihood that consumers recognize the existence and availability ...
  5. Brand Equity

    The value premium that a company realizes from a product with ...
  6. Corporate Social Responsibility

    Corporate initiative to assess and take responsibility for the ...
Related Articles
  1. Professionals

    Advertising, Crocodiles And Moats

    Memorable advertising is a brick in the fortress that keeps competitors at bay.
  2. Entrepreneurship

    The Power Of Branding

    It's the ultimate economic moat, and we look at the approaches and effects of good and bad branding.
  3. Personal Finance

    How Companies Create A Brand

    We take a hands-on approach to creating a brand, and see what it can mean as an investor.
  4. Investing

    3 Secrets Of Successful Companies

    Make smart investments by spotting up-and-coming success stories early.
  5. Entrepreneurship

    Top 3 Most Successful Korean Entrepreneurs

    Discover the backgrounds of some of the most successful Korean entrepreneurs and information about the companies and projects leading to their success.
  6. Entrepreneurship

    Why Every Small Business Needs A Website

    The reality of living in the twenty-first century is that customers find business information and product offerings predominantly on websites, and small businesses without an online presence ...
  7. Entrepreneurship

    How Twitter Cards Can Help Drive Traffic to Your Website

    Understand what Twitter cards are and how they are used to increase website traffic. Learn about the top six ways these cards drive Web traffic.
  8. Entrepreneurship

    5 Ways to Make Money on Twitter

    Find out how people are making money online on Twitter, and get some ideas that can turn Twitter into a source of revenue for you or for your small business.
  9. Investing

    Ad Blockers Could Spell A Boom For Publishers  

    In a free content world, largely subsidized by advertising, ad blockers can eat into publishing revenues. But, publishers can still stand to gain.
  10. Investing

    Digital Advertising Is The Future, But Why?

    Digital advertising has outgrown the internet.
  1. Is a financial advisor allowed to pay a referral fee?

    A financial advisor is allowed to pay a referral fee to a third party for soliciting clients. However, the Securities and ... Read Full Answer >>
  2. How does a long tail become profitable?

    A long tail becomes profitable because the costs to produce, market and distribute a product or service in a niche are low, ... Read Full Answer >>
  3. How do companies with a large product portfolio use BCG Analysis?

    BCG analysis is used to evaluate an organization's product portfolio in sales planning and marketing. It is specifically ... Read Full Answer >>
  4. What are the similarities between product differentiation and product positioning?

    Product differentiation and product positioning are important elements in a marketing plan, and most marketing strategies ... Read Full Answer >>
  5. Why is product differentiation important in today's financial climate?

    Product differentiation is essential in today's financial climate. It allows the seller to contrast its own product with ... Read Full Answer >>
  6. What are the major categories of financial risk for a company?

    There are many ways to categorize a company's financial risks. One possible perspective is provided by separating financial ... Read Full Answer >>

You May Also Like

Hot Definitions
  1. Gross Profit

    A company's total revenue (equivalent to total sales) minus the cost of goods sold. Gross profit is the profit a company ...
  2. Revenue

    The amount of money that a company actually receives during a specific period, including discounts and deductions for returned ...
  3. Normal Profit

    An economic condition occurring when the difference between a firm’s total revenue and total cost is equal to zero.
  4. Operating Cost

    Expenses associated with the maintenance and administration of a business on a day-to-day basis.
  5. Cost Of Funds

    The interest rate paid by financial institutions for the funds that they deploy in their business. The cost of funds is one ...
  6. Cost Accounting

    A type of accounting process that aims to capture a company's costs of production by assessing the input costs of each step ...
Trading Center
You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!