10 Powerful Reasons Why Branding Your Business Is Important.
Think brand is just for big businesses? Think again. Branding is critical for businesses of all shapes and sizes. Branding will make your business stand out.
Your brand is what the outside world thinks of you. That’s it. Although you can influence your brand through well-designed logos, hilarious ad campaigns, carefully crafted press releases, or super-friendly service, ultimately, your brand is what the outside world says it is.
Why bother? Because strong brands are the key to customer loyalty and higher sales. The Economist recently reported, “Brands are the most valuable assets many companies possess. But no one agrees on how much they are worth or why.” Strong brands inspire loyalty, and we can’t always put our finger on exactly how they do it.
Good branding increases the value of a company, provides employees with direction and motivation, and makes acquiring new customers easier. So what exactly is a brand?
The short answer is: “Everything.”
A brand represents the sum of people’s perception of a company’s customer service, reputation, advertising, and logo. When all of these parts of the business are working well, the overall brand tends to be healthy. On the flip side, we all probably know a company that offers excellent products or services, but has a tarnished brand due to poor customer service.
Also Read : What is Branding? All You Need To Know
Important ways a strong branding impacts your business:
1. Branding Makes You Look Bigger.
If you scream “small-time vendor,” or “mom working in her bathrobe,” that is how your customers will want to compensate you. Branding will help elevate your business. Research other businesses—who do you look up to? Find an example of what you want to look like.
2. Branding Improves Recognition.
One of the major components of your brand is your logo. Think of how we instantly recognize the golden arches of
3. Branding Attracts Customers.
When customers understand who you are and what you offer, they think about doing business with you. When they trust you and begin to love you, they tell their friends. Once your brand is solid, word of mouth is the best way to grow your base. Ask your customers for reviews and referrals. Make sure they know you appreciate the business. Build on great reviews by showcasing your happy customers. Grow your business further with well-planned and brand-consistent marketing campaigns, using the same colors, fonts, and personality.
4. Branding Generates New Customers.
Branding enables your company to get referral business. Would it be possible for you to tell a friend about the new shoes you love if you couldn’t remember the brand? A large reason ‘brand’ is the word used for this concept is that the goal is an indelible impression. As the most profitable advertising source, word of mouth referrals are only possible in a situation where your company has delivered a memorable experience with your customer.
5. Branding Builds Credibility.
If you want people to trust that you can deliver, you need to look the part. A well-designed brand is as important as brushing your teeth before the first date. Think about what you stand for and communicate that to your customers in everything you do, from the colors you choose to the words you use.
Also Read : 14 Famous Logo Design(s) & Their Costs
6. Branding Creates Trust.
A professional appearance builds credibility and trust. People are more likely to purchase from a business that appears polished and legitimate. Emotional reactions are hardwired into our brains, and those reactions are very real influencers.
7. Branding Supports Advertising.
Advertising is another component of your brand. Both the medium chosen and demographic targeted for advertisements builds a brand. Too narrow an advertising focus, and a company risks being “pigeon holed” and losing their ability to expand into new markets. Too broad a focus, and the company fails to create a definable impression of the company in the minds of would be customers.
8. Branding Builds Financial Value.
Companies who publicly trade on a stock exchange are valued at many times the actual hard assets of the company. Much of this value is due to the branding of the company. A strong brand usually guarantees future business. Whether a company is in the position to borrow funds for expansion or rolling out to an IPO, being perceived as more valuable will make the process advantageous for the owner of the company. The greater a company’s devotion to build its brand value, the better the financial return from its efforts.
9. Branding Inspires Employees.
Many employees need more than just work— they need something to work toward. When employees understand your mission and reason for being, they are more likely to feel that same pride and work in the same direction to achieve the goals you have set. Having a strong brand is like turning the company logo into a flag the rest of the company can rally around.
10. Branding Makes You Memorable.
Stand out from the crowd, in the right way. Your customers have to remember you to find you. If your potential customer Googled your service, what would they find? Identify elements of your business that are different from your competitors, and showcase them in unique ways.
Did you work hard to brand your business before you opened, or did you work on branding after the fact? How has your personal brand affected how you do business?
The most profitable companies, small and large, have a single thing in common. They have established themselves as a leader in their particular industry by building a strong brand.