The purpose of branding is to influence what your customer thinks of your business. It’s how businesses stand apart from each other, and used wisely – it’s how some businesses dominate a crowded marketplace.
A strong image that is used consistently results in customer conversion and retention. Get it just right and it will even sell your products for you. Effective branding will influence how customer feels about a company – emotions are at the root of nearly all buying decisions.
The fashion and cosmetics industry have many highly influential brands. Think Nike, Tommy Hilfiger, Chanel and Calvin Klein. These brands have been established well so that people can relate to them and they want them in their everyday life.
There are many components of a brand that goes way beyond the logo. It’s the complete image and includes:
- Positioning in the market (top level, mass production, commodity, etc)
- The values of the company (ie speed, customer service, quality, environmental awareness, etc)
- The name of the company (this can communicate a product line, but it can also tie you into delivering only those products)
Why Does a Business Need to Use Branding?
The business world has changed dramatically over the last 20 years. Prior to the web, small businesses didn’t usually venture further than their local region. They were up against a small handful of competitors – but now all businesses can compete in the international marketplace. It’s possible to source services from the other side of the planet and when it comes to technology, India is leading the way.
How and When is a Brand Used
Every single touch point with customers is a chance to use the brand to your advantage. Here’s a list of opportunities:
- Business cards
- The delivery of service
- Customer experience
- Business premises
As we touched on earlier, branding isn’t just the logo, it’s the style of doing things, the paper that is used, the images and the values of the business.
Next time around we’ll look at what you need to know about creating a brand that works for your business in the marketplace.