While most companies fail to understand the importance of branding, some choose to ignore it considering the cost that is attached to it. In today’s age, branding has evolved to be much beyond having a logo, slogan, font style and images.
The fundamental idea behind branding is to set up a process right from the designing your logo to the captions used in your taglines that would deliver a consistent message to your customers regarding your service/product offered, your value proposition and uniqueness in the market.
On closer observation, one could say that the message in the branding exercise need not be constant, but consistent enough to suit your changing customer behavior in relation to the market and in line with your core mission and vision.
You still think you are too early for branding exercises and want to focus on tangible metrics? Here is the bitter truth, in today’s fast paced world, there are thousands of companies that are incorporated and shut down on a regular basis. Customers tend to buy products/services from brands that they are familiar with and your branding efforts are fructified during those situations.
To explain in detail, the following are the points that would highlight the importance of branding.
Branding helps you to explain what your organization stands for your customers. A classic example of branding is Amazon Inc’s e-commerce platform. The logo of Amazon clearly shows that the platform sells everything from “A to Z” and delivers it with a smile to their customers.
Also, the name Amazon was chosen so that customers can relate it to the vast variety of products that are available much like the resources available in the dense Amazon forest.
One of the advantages of branding exercises is to earn the credibility from your customers. Credibility gives you the power to launch new products and services from your brand and have a ready-made set of the target audience who are willing to explore the same for you. Hence decreasing the customer acquisition costs for your early adopters who in turn if they like the services can become your evangelists.
Credibility ratings not only helps you with customers but will also help you to attract the right talent and potential investors for your organization. Google is one of the examples for a brand with high credibility, every individual you come across must’ve used Google’s services at least (or definitely more than) once in their lives. The organization has also been a dream job for many both from the tech and non-tech background.
Branding creates an emotional connection with your audience and establishes a very good relationship with your customers. Once the emotional connect is established, it is very hard for people to leave your organization even if there are minor hiccups from your end. They will stay with you and sometimes even help you in whatever capacity to overcome the situation you have put yourself into.
The emotional connection also enables your audience to subconsciously remember you over others giving you a competitive advantage. What would you think of every time when someone says “Just do it” or you come across a “tick” sign on the road? Nike, right? That is the impact of branding with an emotional connect.
A strong brand helps you build a loyal customer base and also tap into a new set of audience with much ease in comparison to new entrants or your existing customers. It is also a promise that you subconsciously make to your customers representing who you are and what is it that you stand for. Branding helps you to align your new product development, strategize your marketing efforts and develop a company culture that will help you to reap the benefits in the long run.