The Importance of Branding a Company
What is a brand? When should you brand it? What types of images should you use for branding? These are some of the questions we answer in this article about branding and how to become a part of the movement.
Branding is a trendy term with inevitable aspects to be exploited and sold in today's economy. In its simplest form, it is a brand name often associated with a product, service, or business. However, a brand is much more intangible than a product or service itself; it is a set of emotions and perceptions revolving around quality, image, lifestyle, attitude, and status. A brand is a complex personality formed by a multitude of factors that aim to create a perception in the minds of consumers.
This perception must convey to the consumer that there is no identical product or service in the market. A brand is a reflection of security, a benefit derived for the consumer. If you cannot convince customers that your product is worth purchasing, no amount of advertising, packaging or public relations will help you achieve your sales goals. Therefore, a successful brand starts with superior quality products and services, backed by excellent customer service that is reflected throughout the organization.
One of the truths in the business world is that products and services have a strong tendency to look like what your competitors can replicate in a very short time. If your idea is great, expect it to be copied. And even worse, they will probably not only copy you but also improve and sell at a lower cost to win market share. In this context, it is imperative to ask the question: What competitive advantage can you offer consumers that your competitors cannot duplicate?
When products are similar, it is the brand that makes all the difference. The brand creates value for both the consumer and the company. So a consumer will choose one brand over another because they recognize themselves in the personality of the brand. The relationship between the brand and consumer is based on personality as well as interpersonal relationships. In the real world, we feel sympathy for those with whom we have an affinity, which we would like to reflect. The brand is used to communicate who you are and connect with consumers by sending a specific message. "You know what I am."
Identity is so important psychologically in the minds of people. Creating a strong brand identity is gaining notoriety in the minds of consumers, and it is an invaluable competitive advantage. If I said the word hamburger, you would probably think of McDonald's, and when you want to eat a sub, Subway is the brand that instinctively comes to mind. These associations are a direct result of the strong identity created by the company.
The brand helps support sales. With the arrival of the internet in households and consumer portals, it is easy for a consumer to choose between this and that product. There is only one click away from the competitor. They do not need to search the whole city to find what they seek. Consumer confidence and reassurance in the brand will probably lead to buying the product or service. If a first-time buyer's experience is positive, they will probably make a second purchase and try a third-known brand.
This is called brand loyalty. A loyal customer is a great asset for the company. It is very expensive for companies to acquire new customers compared to retaining existing ones who are loyal to the brand. Brand loyalty is the real value of the brand since a loyal customer provides an economic flow and economies of scale to the enterprise. Until the consumer is disappointed, they will continue to make repeat purchases.
The brand reflects the personality of the company, and it is with this personality that the consumer identifies themselves in their consumption behavior. The personality is reflected through the product and creates a perception of the consumer. Consumer buys according to their impressions and knows very little about the technical and functional characteristics of a product. The ultimate objectives of the brand are brand loyalty and product differentiation in its market.
And you, what brand do you identify with and why?