The Importance of Branding
You may already realize online branding is one of the most critical aspects for your business. It makes no difference if your business is B2B, retail, big or small. When you use an effective branding strategy, you achieve a significant edge in a highly competitive market. The best way to define the term branding is as the promise you have made to your customers. Online branding informs your customers as to what they will receive from your services and products while differentiating you from your competitors. Your brand is a reflection of who you are, who you want to be and the perceptions of your target audience.
The Innovation of Branding
The innovation of your brand is the defining factor in how you are perceived online. This can be as reliable, experienced, knowledgeable, etc. Your product perception will be low or high cost, low or high quality and low or high value. It is impossible to be everything for everyone. Your brand must reflect the desires of your target customers and your perceptions of what your brand represents. It is critical to understand your brand is responsible for the success and growth of your company regardless of what you are selling. Your customers need to understand your brand and your mission. This is a lot more than simply the colors you have chosen for your brand. The process of brand development begins with conducting research. Your brand values must be strategically developed and communicated to your target audience to be effective. A brand can be associated with the latest fashions or how to reduce car insurance. There are four critical components to effective branding.
The Competitive Advantage of the Brand
You will be competing for your resources, the attention of your audience, talent and funding whether you are for or non-profit. To be successful in your category you have to have a good strategy to implement and an organizational plan. Your goals require a detailed plan for outlining specific measures and actions. You can outmaneuver your competition by reaching these goals. When this is accomplished correctly, your brand will properly represent your company. This will promote initiatives and strategic areas to improve your company, aid in growth and set you on a path for the future.
Brands are a Stable Asset
Companies will always succeed and fail; some products will not achieve success and every day technology changes. Despite this, a strong brand has the ability to continue moving forward through all the inevitable changes. Your brand should be the most sustainable asset of your company. When your brand is combined with your overall strategy, it becomes the principle for decision making and organization. There are numerous brands that have been in existence for more than 100 years, are immediately recognized by consumers and have an astronomically high value. These facts become even more impressive when you consider the life of the typical corporation is only 25 years. Your brand is your company’s most stable asset.
The Economic Value of the Brand
Every business is segregated into tangible and intangible assets. Your brand is an intangible asset. A study revealed the brand of the company is responsible for over a third of the shareholder value. The greatest values of most companies are intangible. The most prominent asset is the brand. The brand for Coca-Cola is responsible for in excess of 54 percent of the stock market value for the company. Just the brand name is valued at $67 million. The value of a brand is a critical asset. The brand of the Red Cross enables the organization to attract both volunteers and donations. Your brand is exceptionally important for your company because of the unique impact on the consumers. Your online brand is the key to your business because it attracts and influences partners, employees and your target audience. Your brand can create awareness for organizations and consumers, cut through the clutter of the marketplace, attract and develop relationships mutually beneficial for the public, suppliers and customers to help everyone reach their individual goals.
The Expectations of the Brand
The basis for the world you live in is promises. The promise of the airline mechanic is to be thorough, check the aircraft numerous times and ensure the safety of the passengers. Restaurants promise to provide a clean environment and prepare fresh food. The consumer believes their children will be protected and educated during the course of the school day. These promises are not usually bound by legal repercussions. They are a vow based on the ethical and moral code of the business owner. When you opened your business, you assured your customers you would do exactly what you promised. This is an agreement encompassing your services, products and company. Your branding is based on any promises you made to your target audience. The promise of your brand tells your audience what you believe in, who you are and why your product is valuable and unique. When you make the effort to fulfill your promises throughout the relationship, you are helping your business grow and succeed. When these promises are not kept, the reputation of you company is in jeopardy. This often results in failure because your brand has suffered. Keeping the promise of your brand results in the affection and loyalty of your customers
The Bottom Line
People see the promises made by brands every day. Even purchasing a soda from a vending machine engages the promise of the brand. Despite the numerous options available, the consumer will choose their drink based on their past experiences with the brand. The selection has the expectation of receiving exactly what the consumer was prepared to receive. This involves the process of awareness, desire, interest and satisfaction. Many of the greatest influencers are not directly related to the service or product. The influencers are the association the person has with the specific brand. This makes your online brand identity, promises and advertising crucial for the success of your business.