Why is Brand Building Important?
At first view, a brand might just seem to differentiate, but its aspect is much deeper and more crucial.
A brand is a set of thoughts and emotions that appear in the minds of the target audience when they think about your business. It’s not just about the distinct features, benefits, or problem-solving aspects of your products (product communication) but covers the feelings, emotions, impressions, memories, lifestyle, vision, and even alignment with good causes (brand communication). This broader perspective on branding ensures that every customer interaction contributes to a composite, emotional experience that defines their perception of your brand.
Decisions, even those seemingly pragmatic like pricing comparisons or the fear of missing out (FOMO), are driven by emotional undercurrents. Understanding and leveraging these emotional currents allows brands to engage more deeply with consumers or customers fostering loyalty that transcends conventional marketing strategies. This emotional connection is why branding must be at the core of business strategies, influencing every touchpoint and experience offered to the customer.
Myth 1: Branding is Only About Appearance
Reality: Branding Encompasses the Entire Customer Experience
A common misconception is that branding is simply about logos, colors, and visual identity. While these elements are significant visual indications, authentic branding encompasses far more – it involves the totality of experiences, feelings, memories, and interactions that customers have with your brand. One of definitions of branding: Branding is the process of giving a meaning to specific organization, company, products or services (bringing the brand identity into live) and shaping it in customers’, consumers’ minds.
Moreover, our decisions, including those related to brand preference, are predominantly made subconsciously and are driven by emotions. No matter how rational a decision might appear, it is often guided by deeper emotional factors. For instance, choosing between two identical products based on price often reflects not just economic reasoning but also deeper emotional influences such as the fear of overpaying or the thrill of finding a bargain. These choices are layered with personal beliefs and emotional associations.
Consider personal shopping decisions influenced by brand communication rather than just product features.
Years ago, when I was choosing running shoes for my first half marathon, the decision went beyond just the functional aspects of the shoes. In that time Nike and Adidas were my top-of-mind brands, however I selected Nike not only for their product quality but also for what they represented — lifestyle, and values such as empowerment of female athletes. Nike’s focus on female runners and their stylish design resonated on a personal level, aligning with a lifestyle and identity that I felt was right.
Few years later, for my first marathon I chose Adidas, since in my head it was endorsed by a trusted running coach who I followed on Instagram and the brand’s commitment to sustainability also influenced my purchasing decision, demonstrating a profound connection to the brand’s values.
Last year when I was preparing for my first ultra-marathon (70km in 9 hours), there was no question of running in Hoka shoes. In my mind they were the brand of the ultrarunning community, I was captured their engaging communications (Fly Human Fly, UTMB), plus they already had a sustainability focus on product development.
So, as you could see, this decision-making process underscores the difference between product communication and brand communication. It illustrates how effective branding must encapsulate a full spectrum of experiences that engage customers emotionally and foster a lasting, meaningful relationship. Thus, a brand is much more than its appearance; it’s a dynamic and comprehensive narrative crafted around the emotional and experiential needs of its audience. So, branding activity should involve the totality of experiences, feelings, memories, and interactions that customers have with your brand, not only the visual impressions.
Myth 2: Only Big Companies Need to Build a Brand
Reality: Branding is Essential for All Businesses, and for Small Businesses It Can Even Help Compensate for their Possible Disadvantages
There’s a bad notion that only large corporations require and can afford branding. Because they are already big enough, they have enough money to invest and enough time to get a return.
However, branding is equally critical for small businesses. In a marketplace crowded with options, a strong, distinct brand helps smaller companies distinguish themselves and frame meaningful connections with their customers.
Emotional engagement is a great tool for small businesses, allowing them to compete on more than just price or product features. A small company can significantly benefit from a well-established brand that can even compensate for its size, product features or actual offerings by creating strong customer loyalty and a distinct market presence.
What is important for small businesses regarding branding, they need to spend money and time on it in an even more targeted and conscious way step-by-step, find quick-win solutions and areas where conscious brand building pays off in the short-term, and identify the area(s) which will only pay off in the long-run, but where they can start invest money/time now.
Myth 3: It’s Only Worth Building a Brand After Stabilizing the Business in the Market
Reality: Effective, Conscious Branding is Necessary from Day One
Some argue that branding should wait until a business has matured or at least spent 2-3 years on the market and clarified everything in product, pricing, sales etc. However, like it or not, from the moment you enter the market, people will see you as a brand. Why? Because you have a name (personal or company) and there is an impression, a feeling, emotion that others will remember after seeing, hearing or meeting you.
Branding from the inception of a business helps you shape initial customer perceptions, position on the market and lays a robust foundation for all future business and marketing-PR communication strategies. It’s about shaping and narrating your unique story in a way that not only resonates but also sticks with your audience right from their first interaction with your brand. This proactive approach ensures that your intended brand messages align with the public perception, thereby developing recognition, credibility, and consistency from the start.
What are the Benefits of Building a Brand?
Brand building, though a gradual process, begins to deliver actual benefits shortly after its initiation.
In the short-term, by ensuring a consistent, unified presentation of your brand’s appearance, impression, and messages, you can strengthen credibility, create extra trust, increase your visibility, enhance your recognition and generate referrals.
In the mid-term, these efforts can spark interest and generate leads, build commitment, and deepen the loyalty of your customer base.
In the long-term, the persistence in nurturing your brand pays off by boosting sales, enabling the brand to withstand challenging periods, and establishing a durable, resilient presence in the market.
And one more important fact: applying a good branding from day 1 can increase the value of your product or service, and make the sales process easier.
Wrap-up
As we have discovered throughout this article, branding is far from a peripheral concern to be sidelined until a business finds its footing. From the moment a company enters the market, it is perceived as a brand, defined by its name, the impressions it creates, and the emotional connections it initiates. This immediate recognition highlights the importance of actively shaping your brand from the outset, secure that the identity you project aligns closely with the values, mission and vision you wish to communicate.
Therefore, branding is an integral part of business strategy from day one, essential for businesses of all sizes and at all stages. It is about crafting a holistic and engaging experience that not only captures but also retains customer interest, assuring a lasting impact in a competitive marketplace.
Are you ready to transform your branding strategy and propel your business to new heights? Sign up to my newsletter for further insights on effective brand building or contact me today to discuss how I can help you build a compelling and resonant brand from the ground up.
