There is no doubt that a business’s brand is its most valuable asset : the brand is its identity, plays an essential part in its marketing program, distinguishes its products from those of competitor companies, and last but not least, can be something its employees feel proud to be a part of.
According to a survey carried out worldwide in 2015 by Nielsen, nearly 60% of the respondents admitted that they often shop from familiar brands, and 21% of them chose a product just because they liked the brand. In short, a company’s brand can be the primary reason why its products are actively purchased.
First, your brand is the identity of your business, including all of your products and services. It is what consumers can build a connection with.
Second, your brand helps consumers remember and recognize your business and products in the competitive market.
Third, a well-built brand can significantly enhance the efficiency of your marketing plans.
Finally, your staff will feel more motivated and proud working for a reputable brand name. Not only does branding help your business thrive externally, it also makes it stronger internally.
Getting to know Branding terms
There are some jargons in this field that you need to get familiar with before starting the process of branding your business.
Brand awareness indicates the level of familiarity that the general public and your target customers feel towards your brand. The higher your brand awareness is, the more trendy and popular your brand is among consumers. This index is highly important because consumers need to first know your brand in order to consider purchasing it.
Branding increases your business’s popularity.
Brand extension is made when the business wants to launch new products or services in completely different fields from their old ones. Therefore, brand extensions usually accompany a rise in both brand awareness and revenue for the company.
Branding increases your profit.
Brand identity is all visible elements of a brand that distinguish it from other businesses. It is the impression that you want to linger in customers’ minds about your business values and personalities.
Branding brings your name to life.
Brand management includes all activities relating to maintaining the promotion of your brand, from deciding the visible elements such as color palette, packaging, and style guide, to supervising the invisible elements like the reaction of its target audience and customer base. After all the efforts to bring your brand to life, it should also be managed as a living, breathing asset.
Branding also needs constant aftercare.
Brand recognition is how well a consumer can recognize your brand through its logo, tagline, packaging or advertisement. There is also a related concept - ‘brand recall’, which is the customers’ ability to think of your business name even when they are not triggered by any visual or auditory factors.
Branding pins your business name at the top of customers’ mind.
How strongly do your customers believe in your brand? Brand trust is decided by how well you can keep the promises in your advertising as well as the quality of your sale and after sale service. It is reported that only about a quarter of the present world population place their trust on big businesses.
Branding creates trust among your customers.
Brand valuation is determined by consumer perception, recognition and trust towards your brand. This commercial valuation is closely connected with the concept ‘brand equity’. A strong brand can increase your business’s value in the eyes of investors, shareholders and potential buyers.
Branding makes your business more valuable.
⁃ Reference source Hubspot
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