Principles and Importance of Branding
Definition: The marketing practice of creating a name, symbol or design that identifies and differentiates a product from other products
An effective brand strategy gives you a major edge in increasingly competitive markets. But what exactly does “branding” mean? Simply put, your brand is your promise to your customer. It tells them what they can expect from your products and services, and it differentiates your offering from that of your competitors. Your brand is derived from who you are, who you want to be and who people perceive you to be.
Branding is the process of creating a strong, positive perception of a company, its products or services in the customer’s mind by combining such elements as logo, design, mission statement, and a consistent theme throughout all marketing communications.
What are the Principles of Branding?
- Brand strategy Thinking: Brand strategy is a long-term plan for the development of a successful brand in order to achieve specific goals. A well-defined and executed brand strategy affects all aspects of a business and is directly connected to consumer needs, emotions, and competitive environments.It essentially means not to just settle for the available alternatives but to think outside the box, sans being limited. The concept, in effect, applies to the brand strategy creation process that experts often term as brand strategy thinking. It’s always easier to execute tactics, instead of introducing a new strategy because that could imply a possibility of failure. It’s always much easier to copy what worked for the competitor than come up with something creative and original.
- Measure the Effectiveness: Focus on the return on investment (ROI), which is a key indicator to measure the effectiveness of your brand management strategies. It often depends on how well your company can be inspired to carry out these strategies. The effectiveness is also reflected in your brand valuation i.e. how the customers react to your product and price adjustments. Brand readjustments should ultimately lead to better sales and profits. But make sure not to focus solely on increasing sales, when you can achieve better margins by reducing expenses and overheads.
- Define your Brand: It all begins with ‘authenticity’, the key purpose, mission, vision, position, character and value. Focus on what you can do best and then communicate your strengths with consistency. There have been several instances where companies acquired other brands, only to sell them off later, because the acquisitions didn’t fit into the parent company’s brand architecture.
- Connect at the Emotional Level: A brand is a much larger thing, a desirable idea manifested in products or services, places, people, and experience. Coffee major Starbucks created a third space experience that was exclusive and desirable so that people preferred staying back and pay for the overpriced coffee. Try selling something which satisfies not only the physical needs of people, but also their emotional needs. They will slowly start to identify with your brand.
What are the Importance of Branding?
We’ve seen the overview of Branding, its principles, lets take a closer look at the importance of Branding as it affects various areas of a Brand.
Protection
Branding protects you from competitors who want your success. Without it they will have no problem making copycats of what made you popular and claim it for themselves. They can carry the same or similar products but they won’t be able to take your style and originality away.
Your brand is the identity customers come to know. The importance of branding with your business cannot be overstated. Branding is how customers perceive you and the blueprint of the business. May your brand be the symbol of happiness, comfort, loyalty and lasting impressions. Company branding usually begins with a unique company logo. Quite often, companies don’t realize the importance of properly branding their company. We could help you brand your company properly. (Click Here)
Trust
As customers get to know your business they will begin to trust you.In order to build trust you must give customers a reason to test you out. The branding must be spot on as the first customers will determine how many more (or less) you will receive. Exceptional customer service, experience with the product/services and positive online communication on social networks will keep them coming back for more.
A professional appearance and well-strategized branding will help the company build trust with consumers, potential clients and customers. People are more likely to do business with a company that has a polished and professional portrayal. Being properly branded gives the impression of being industry experts and makes the public feel as though they can trust your company, the products and services it offers and the way it handles its business
Sales
Let’s talk of sales, branding will create sales and revenue for your business. You will make money based on how the branding marketing strategies work out. Customers will be tempted to test you out, and your results will determine if you make more sales.
United
Branding links your name, logo, online presence, product/services and appeal to the masses. Make marketing skills consistent and the content the same across all channels. This brings a united and clear message to customers, future partnerships and their competitors.
Increases Business Value
Branding is important when trying to generate future business, and a strongly established brand can increase a business’ value by giving the company more leverage in the industry. This makes it a more appealing investment opportunity because of its firmly established place in the marketplace.
Employee Pride And Satisfaction
When an employee works for a strongly branded company and truly stands behind the brand, they will be more satisfied with their job and have a higher degree of pride in the work that they do. Working for a brand that is reputable and help in high regard among the public makes working for that company more enjoyable and fulfilling. Having a branded office, which can often help employees feel more satisfied and have a sense of belonging to the company, can be achieved through using promotional merchandise for your desktop.
