Brand refers to a unique sign, symbol, logo, color, slogan or any creative element that establishes a unique identity for a company and differentiates the products/services of one company from others. The brand identity suggests the perception of existing and potential customers about the brand or the company to which the brand belongs.
The brand identity also takes into account the perception in the customer’s mind about the brand in comparison to a competitor’s brand. Factors including the vision and mission of the company, its ability to satisfy and delight its customers, the ability of the representatives of the company to project a favorable brand image, etc. form a part and parcel of brand identity.
Need for Branding
When a company enters a market, it has to face competition from rival companies and has to establish a favorable image in the market to tap the customer base. The existence of brand identity becomes crucial to achieve these goals. The identity of a brand leaves an impression in the mind of the consumer about the existence, reliability, quality, and serviceability of a company and helps a consumer in making choices that satisfy his/her needs. A brand strategy needs to be formulated by the top management during the planning process to outline the framework for building brand identity and subsequently, brand equity.
With the passage of time and employment of resources, a company can build a strong and respectable brand identity that specifically tells why a consumer should choose your brand over your competitors. For instance, branded apparels sell at higher prices as compared to non-branded apparel, irrespective of their quality. A brand acquires some value over time which is an indication of how much the consumers are willing to spend to buy products/services of a certain brand. While computing the assets of a company, the value assigned to a brand becomes a huge constituent of the company’s total assets.
Formulation of Branding Strategy
To build a unique and favorable brand identity, the first step is to formulate a branding strategy. Branding strategy lays down the pricing strategy, creates awareness about the brand through promotion over the internet and other sources, and builds a corporate identity for the brand mocospace login. Identification of a positioning strategy for a brand, concerning competition, acts as a precursor to building a branding strategy. The positioning strategy defines the attributes of a product/service and establishes a different image/position in the minds of the consumer.
The differentiation between competitors’ brands and your brands guides the customer in the decision-making process. A Branding strategy can be formulated by assessing and elucidating the attributes of your offerings which make your offerings desirable. The next step is to identify those benefits or attributes which would attract your potential target market and satisfy the needs of prospective customers. Furthermore, a brand is positioned in the minds of consumers in a way that it connects to the emotional aspect and leaves a positive impression in the consumer’s mind regarding your brand.
Assessing Various Scenarios
In the worst-case scenario, a company can run the business without a brand identity. The absence of a brand identity can lead to the inability of the customers to take into consideration the benefits of choosing your brand over your competitors and thus, a company loses out on its prospective customers and suffers huge losses. In a neutral scenario, where the company does not have a brand identity but it has also not suffered any apparent losses up till now due to the absence of a unique brand identity.
The problem that arises is that the market is unable to have a consistent view of the company’s offerings and the customers find it difficult to associate with a brand. The best option is to have a well-defined and detailed brand strategy that not just differentiates the offerings of a company but allows it to tap a large market share and even charge a premium for its brand.
Positioning a Brand
Management experts are of the view that a marketer can only create tactical strategies that act as an encouragement for customers to accept a certain positioning for a brand in their minds. In essence, customers are the ones who create Brands by forming a negative or positive image in their minds concerning the brand. For instance, a customer might associate ‘quality products’ with a certain brand and ‘ostentatiousness’ with another brand. Brand positioning as a strategy demonstrates why a brand should be preferred and how a particular brand can fulfill a particular need in better ways.
While launching a brand positioning campaign, a few things should be kept in mind. The campaign should back the attributes or benefits of an offering with persuasive and realistic reasons that attract and persuade customers to build a strong brand image in their minds. For instance, the positioning campaign for toothpaste can focus on the constituents of the toothpaste such as mouth-freshening ingredients which attract potential customers by emphasizing the ability of the product to perform not just the core benefit of cleaning teeth but the augmented benefit of keeping the mouth fresh all day. The differentiating aspect of a brand should become its USP and should be emphasized in the advertising campaign to achieve maximum response and benefit.
Assigning a Personality to Your Brand
Personalizing a brand is aimed at assigning traits to a brand that defines the brand’s important characteristics, what the brand stands for arvig webmail, assigning a human aspect to the qualities of your brand, etc. With proper and effective use of brand personality, a company can reap the benefits of lowering a customer’s defenses towards and brand and cashing on the emotional link between the brand and the customer. It acts as reinforcement during the purchase decision and reduces the post-purchase dissonance.
While building brand identity, a company can opt for attractive tag lines, colorful and catchy logos or visual designs, etc. The representatives of the company along with the front-end employees should reinforce the brand identity to reap maximum benefits.