Why Branding is Important

Branding!

Art direction maintains the cohesiveness of branding and brings subtle layers of meaning to visual representations connected with the company, combining art and design to achieve recognition and advertising goals.

Forbes magazine contributor Scott Goodson says “Branding is fundamental. Branding is basic. Branding is essential. Building brands builds incredible value for companies and corporations. When Tata Motors of India bought Jaguar and Range Rover were they buying factories? ” READ MORE  In fact, if that quote was from a magazine that you had never heard of, would you consider the information as important or as trustworthy?

What is a brand and WHY is it so important?

A brand is a visual connection between a consumers experience with your company’s customer service, reputation, advertising, and logo. When a consumer has a memorable experience of any part of this operation, that positive experience builds your brand’s reputation. As we have seen on Yelp, poor experiences can cause consumers to eviscerate your brand, causing your reputation to flounder.

How does a strong brand impact your business?

1. Branding Improves Recognition

Your logo is a shorthand representation of your company. As the “face” of a company, logo design is critical because that simple graphic will be on every piece of correspondence and advertising. A professional logo design is simple enough to be memorable, but powerful enough to give the desired impression of your company.

2. Branding Creates Trust

The more experiences a consumer has with your company and brand, the more they trust you or it to deliver a certain experience. How many times have you personally, gone to a vendor or restaurant that you knew would be consistent, rather than reaching out for a more interesting or cheaper alternative?

3. Branding Supports Advertising

Advertising is a necessary way to remind consumers that you are still around- or introduce new people to your offerings. Both how you advertise and who you advertise to tell people who you are. With too broad of a focus, your message may become diluted. Trying to be “all things to all people” never actually works.
A narrower focus is advisable, but strategy must be considered to tactically expand into new and related markets.

4. Branding Builds Financial Value

Prestige and trust have financial value. Valuations are partially based on future earnings, not hard cash. Without trust, this ‘future value’ is worthless.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.

5. Branding Inspires Employees

Many employees want to be inspired by the company that they work for- to feel as if they are an important part of something bigger than themselves. When employees believe in your company’s mission, it increases their dedication and pride and therefore commitment to the company. Having a strong brand is like turning the company logo into a flag the rest of the company can rally around.

6. Branding Generates New Customers

Branding enables your company to get referral business. Without a catchy name or logo (or both) could you tell anyone about your favorite car? Even your favorite pizza couldn’t carry your endorsement without a company name. Word of mouth referrals or “warm leads” have trust built in, and just the mention of your company, increases its gravitas in the mind of the referred.