What are the benefits of branding?

The Benefits of Branding: Laying the Foundations of a formidable Brand

Branding is a global buzzword. It’s the roar of entrepreneurial conferences and the focal point of online business videos.  From corporate bigwigs to small local businesses, everyone’s talking about it. But the real question is why is the branding of such heightened significance? How does it help a business put forth a solid statement in the marketplace? How does it separate the commoners from the kings? Does it provide an advantage against your competitors? If so, then how? Understanding the benefits of branding is vital to get to the bottom of these questions. But before we actually delve into its nitty-gritty, let’s first understand its meaning.

What does Branding Entail?

Most companies have a rudimentary understanding of branding at best. They think it’s only limited to signature fonts and colors and all-in-all “just looking pretty” and therefore are only able to the scrape the surface of this powerful marketing tool. Branding is, in actuality, a delectable dish concocted from a long list of ingredients, each equally important and equally contributing to the overall success of a branding campaign. These ingredients are as follows.

• Social media presence
• Customer service
• Website and marketing
• Taglines and slogans
• Brand Personality
• Product specification
• Work ethic and workplace culture
• Storefront
• Design elements (color palate, colors, typography etc.)

Some companies hold this misconception that branding costs a fortune. But they are sorely mistaken, for it is your prowess of creativity and research that is the deciding factor. Branding, at the end of the day, is simply the terms in which people talk about your brand. And if you don’t want people to talk about it in unrespectable words, you have to think about investing your time and effort in a branding campaign. RELATED: What is Branding?

The Qualities of a Strong Brand

Remember; when it comes to branding, finer details make a big difference. While the quality of products and services is important; they are not the only critical things. A solid brand message, customer service, target marketing, and many other factors come into play and prove pivotal in making a brand shine. In the end, what makes a strong brand isn’t just one single thing, but a combination of several. Understanding this is key. One fine example of a respectable and strong brand is Nike. Excellent customer experience, stellar advertising, solid call-to-actions, clear brand message, high-quality products, and many other solid points, have cemented its place in the global marketplace. Rarely will you find it lacking in any brand constituency. Similarly, other corporate magnates like Amazon, Paypal, Facebook, don’t just have an eye-catching logo or a great tagline, but a killer combination of many other things.

The Benefits of Branding

Now Onto the million dollar question… how does branding help raise a business among the common herd? How does it actually impart something extraterrestrial, something unique in a brand’s personality?

1. Increases Customer recognition

A brand that has a distinct identity and is easily recognizable is a step ahead of its unfamiliar counterparts. Branding plays a huge role in increasing customer recognition. When customers spot the characteristic typography, colors, and message of a brand, they instantly recognize it. They no longer require proof of its reliability.  And hence, are inclined to buy its products or put their faith in its services more willingly. Take Audi for example. The concentric rings on an automotive automatically tell the onlooker that he is standing close to an Audi. And when he’s able to recognize it, he’s able to figure out other things about it as well; its engine, horsepower, fuel capacity etc. etc. and when he knows the product of the company, he’s more inclined to buy it.

Design By: Jyothi

2. Helps build a loyal customer base

Within no time, branding transforms a one-time customer into a loyal fanatic that awards his trusted brand with lofty public praise. Once a customer has a good experience with a brand, he is bound to keep coming for more as long as the quality of branding is maintained. When a business pays heed to the quality of its products and services and also hits the bullseye in terms of branding, customer loyalty shoots through the roofs and brings revenues in the thousands and millions.

3. Conveys a Consistent brand image that builds Customer Loyalty

An inconsistent message equates to an incoherent, murky, and misunderstood image of a brand. When a business has its branding figured out ― personality, website layout, fonts, and print etc. ― only then can it ensure that the foundation of its business is not shaky. Otherwise, its future marketing campaigns trundle down like a building undergoing demolishment. For instance, if you’re designing a flyer to introduce a new product, and have no idea about the copy, the design elements, the printing specifications, then the flyer is going to turn out an untargeted mess, an implosion of implosions. And even if you do have an idea, and you keep on changing things up, you are going to confuse or rather keep your intended audience “in the dark”. The trick is to single out fonts, images, copy and other branding aspects and to stick with them, to keep marketing consistent throughout.

Design By: Alexandra Colvin

4. Fast-tracks the launch of new products

When lays introduces a new flavor into the market like French cheese or even an eccentric one like herb yogurt, it catches the public eye instantly. Already familiar with the brand and its longstanding history, its loyal customers or even the ones who have heard of its upstanding branding standards, set out to try its new products. In a way, branding helps to promote new products and services.

Design By: Benish Ayub

5. Raises Credibility

Professional credibility is of utmost importance in this merciless era of corporate combat. If credibility is Cupid’s bow to keep customers stay blindly in love, branding is the limitless stockpile of arrows. A strong brand stands resolute in its industry; its fierce rivals respect it and hold it in high esteem and its customers swear of its credibility. Visually arresting aesthetics, engaging marketing techniques and top-of-the-mill customer service paint a solemn and professional image of a business.

Design By: World Packaging Design

6. Attracts Talent and retains employees

Skilled labor is attracted to a strong brand like ants to dice of sugar. Everyone wants to somehow associate him or herself with it. Whether it’s an Online marketing company or a world-renowned graphic designer, a company with a strong branding policy, is in pole position to cherry pick the best. And of course, when wielders of creative magic work with a brand, it’s bound to benefit heavily ― innovate and revolutionize the industry. Staff retention also works in the same way. A strong brand rarely gives a reason for its employees to up and leave them for another rival. I mean, come on ― how many times do you see a Google employee leaving his job for a new startup? Once in a blue moon. According to a study conducted by Linkedin, an established brand registers at least 2.5x applicants for a single job post. A study done by career arc showed that 75% of job aspirants consider branding to be a major decider in job hunting.

7. Builds empathy between Company and Client

A lot of companies have strong empathic values. Some proclaim to plant trees for each product sold, while others announce that they are going to act as a medium for donations for the homeless. The creation of this empathic connection also falls under the auspices of the ‘all powerful branding’. Harnessing this emotional connection with the target market helps a brand to develop a more intimate, a rather friendly connection with its customers. It enables it to get in close with them and uproot the fence between corporation and customer.

Design By: Christina

8. It is a source of encouragement

Every artist needs a cup of recognition now and then to keep him creatively awake and driven, and this is exactly what branding regularly provides. Great branding isn’t just a marketing tactic to snatch a truckload of customers. It’s also quite beneficial for the business and its employees. Of course, if a company’s products and services are leaving a lasting impression, they are bound to gather the vote of confidence and appreciation of customers and critics. This appreciation provides encouragement and puts the workers in the mood to further their work, and reach new heights, to keep their loyal customer base satisfied or even surpass their expectations.

RELATED: How to Brand Yourself? 

9. Strong Branding is a great communicator

The more your customers know about your brand’s philosophy, its message, vision and ideas, and culture, the better the client-customer relationship. Not only does branding help communicate the essence of the brand, but also its size and quality. Here’s how… Most fledgling startups don’t want to give off the impression that it’s just a couple of guys in an old garage room fiddling with a couple of computers. Branding can help arrange the persona of prestige and venerability for them. Even though their size is presently insignificant, they can use the art of branding to tell their audience that in the future they are going to be big shots. Quality is also something that branding can help convey. For example, Tesla is the talk of the automotive industry because of its revolutionary technology, eco-sustainable electric cars, and other excellent branding standards. It is therefore deservedly renowned for its quality,

10. Brand Loyalty permits you to charge more

Good branding gives you the go-ahead to charge above the market-rate. There’s a reason why Apple’s flagship phones cost significantly higher than Huawei’s or LG’s. It’s because Apple has been in the business for ages. It has used this time to establish a solid brand image. The apple faithful blindly believes in the company’s products. Their loyalty knows no bounds. Even if you somehow find a way to show them that an Android phone is better than an iPhone, they have become so used to their devices; they are highly unlikely to give up on them. And this fierce customer loyalty is the reason why they can charge a premium and get away with it. A new phone company with branding in its embryonic stages can never. Branding is a plant that you have to nurture and raise by the sweat of your brow. Otherwise, it wilts and no one gives it a second look.

11. A Strong Brand Provides an Easy Way Out

This is one of the most neglected benefits of branding. A brand’s value is heavily dependent upon its marketing efforts. When the day comes when it wants an out, its value depends upon its brand image, its place in the global marketplace, and its current state. Potential buyers don’t want to spend ages fixing its problems. A brand only interests them when it is headed in the right direction and there is little work to do to keep it on track. This is only possible when its owners have been investing in brand recognition and customer loyalty for years.

12. It helps you to stand apart from your Competition

Branding doesn’t just benefit corporate giants but also small domestic and local businesses. It helps them stand out and leave their own corporate footprint, no matter how small. Sure, your competitors might have the same products with the exact same features, but branding can give you an edge. The way you present your products, your style, your design presentation and other aspects will enable you to showcase your uniqueness. It’s increasingly important for a good brand to have a clear message and a purpose in mind before stepping into the unsparing world of corporations. First impressions last. They cement your place. Sending out an unfocused, unclear and purposeless first message will prove detrimental in the long run. Keep this in mind.

13. Saves Valuable financial Assets

Small businesses function on a very tight revenue and budget. In order to survive, they must spend every buck astutely and conscientiously. The error for mistakes is small. They have to make informed decisions about what will benefit them and discard what isn’t. I understand the itch to go with the cheapest solution, but it’s not always possible, especially not with a consistent branding policy in place. Furthermore, businesses who make changes in their websites, logos and other branding aspects on the go incur heavy losses in the long run, whereas those who build a solid foundation before making any major branding decisions actually end up saving valuable assets. This constant desperation to make changes will also give a fatal blow to customer loyalty.

Conclusion: The Benefits of Branding: The Bottom-line

The brand culture is in vogue. Brand consciousness is a real thing. It’s inbuilt in the minds of contemporary customers. Nowadays, a stellar social media presence is critical. Most people, before buying your products or relying on your services, visit your Facebook or Twitter, and judge you on the basis of customer reviews. Are their products any good? Do they stand for something good? These are some questions they ask themselves. So, it behooves you to ask yourself, “is my branding strategy covering all the bases? If it’s lacking, in some areas how can I make improvements?” Your brand is something that should make you proud. If it doesn’t, a reevaluation of branding tactics is in order.