How branding adds value to your business
Branding adds value to your business.
How does branding adds value to your business? A brand is so much more than just your logo. A brand is defined by how and why someone buys a product or service. This can include reputation, promotions, price point, communications and other areas.
You will be surprised by how many businesses are often sceptical of the value of strategic branding, but world wide house hold names are testament to the importance of a brand – look at Apple, they are an example we love to use. There are a number other examples of businesses who don’t just sell a service or product, but an experience, emotional connections and relationships. They add value to our lives by using every aspect of their brand to support us.
How can brand make a difference?
COMMUNICATION: At the heart of every communication strategy is a core message, and this needs to be communicated to the right audience; questions like what sets you apart from your competitors, how you add value, the benefits of your product/service, the values which are instilled within the business etc. This will increase the chances of engaging with your consumers in a relevant way. You need to have a story to tell, but not telling it right can mean your messages fails.
AWARENESS: The greatest value an effective brand can bring is awareness. Your business would not exist to your potential customers if they’ve never heard of you. Building awareness is one of the biggest challenges, but it has the potential to have a huge impact on the bottom line.
PRICE: An effective brand has the power to influence the price of its services or products because of it’s reputation it has developed in the minds of it’ customers. Why do we pay more for a Starbucks coffee when we could get it much cheaper from a local business? Maybe the ingredients are different and the recipe more precise, but their know reputation and supporting brand is responsible for the premium price we’re willing to pay.
ENGAGEMENT: Every business has a target audience it needs to engage. The more you engage positively with your audience, the better you are to sell to more people at a better price. The best know brands engage with their audiences so well that they develop a following of brand advocates. These advocates become persuasive sales tools for your brand! Word of mouth can be the most powerful marketing channel.
CONSISTENCY: When it comes to building a great brand, consistency is the key. You need to deliver it in-line with your promise to your customers at every thing they come into contact with; for example you customer service, quality of your product, your communications, your staff members, and in particular your design. They all need to align and deliver a consistent message.
PERSONALITY: A successful business sells more than it spends, and most will aim to maximise their profit, hit targets and out grow its competitors. Consumers fall over themselves to buy what they are selling, because they can engage with the brand in a very emotional way.
Branding adds value to your business by building a strong bond between your business and it’s customers which enables you to charge a premium price for your services or products or services.
One major element in the creation of any successful brand is the ability to expand a core service or product with additional and distinctive values that separate it from it’s competition because the importance of adding value to a product.
Why is adding value to your brand important? Whilst many small and medium-sized enterprises focus on practical values, less develop brand values that are easily copied, like the emotional value that is of optimal relevance to your target market.
Higher valued companies help create and preserve esteemed bonds between brands and their customers enabling the brand to charge a premium compared with the price in a non branded situation. Perfect example Coca Cola demand a premium over other colas.
With a free market, customers will usually pay more if they believe they are getting more value for their dollar, whether this in a functional, emotional or expressive. A brand has the capacity to add this additional value whether it’s real or just perceived.
The importance of value in marketing your brand is really critical if you are to succeed in business. People who drink Coca Cola don’t just drink a brown sugary drink, but a brand with many significance. It tastes like many other colas on the market, but it’s ability to conjure a desirable lifestyle and encourage positive self peer groups is why people buy it.
Small and medium-sized enterprises should look at the value their brand offers and make sure this extends beyond the functional and that their values they have created are credible and relevant.
This is how branding adds value to your business, does your businesses branding meet these suggestions?
In this regard a brand audit is a good place to begin.
Call Spiros on 0431 926 474 to book a free consultation now!