Branding has become one of the most important parts of any modern business. Brands serve a number of purposes and are becoming a vital component for success in a number of industries. Successful brands become cultural icons that will generate sales far into the future. There are five reasons why a brand is crucial for business success.
A major reason that a brand is essential for success is because it can be recognized immediately by customers. Brand recognition will create a distinct position in the market for a product or service. It distinguishes the business from all of the competition. This is most commonly done through the visual aspects of the brand such as the logo or color scheme. A company that has no distinctive or recognizable brand will become a vague memory in the minds of consumers.
A solid brand provides a service or product with credibility. Credibility means that customers feel the product or service is authoritative within the market. This is important for success because the customers will place the brand on equal footing with other larger companies when making comparisons or when shopping. A brand without credibility is often positioned below other credible brands in the minds of consumers. No credibility results in lower sales and more criticism regardless of actual quality. Customers can only assign credibility to a brand and not a faceless business or a generic product.
Brands encourage, reinforce and sometimes reward loyalty. Brand loyalty is often the difference between success and failure. A loyal customer will return to purchase the product or service again. Loyalty increases lifetime values and improves marketing return on investment when the customers are properly segmented. Building brand loyalty can also lead to a surprising demand for branded merchandise such as custom drinkware with the company logo. A business without a brand cannot encourage loyalty because there is no identifiable message.
Nearly all companies need to expand at some point in order to satisfy demand and capture new markets. A business with a recognizable brand and loyal customers will be able to leverage the credibility and other positive aspects of previous products in order to provide new items with the same core appeal. This will allow expansion into peripheral and niche markets with a new product that already has an existing reputation. Businesses with no identifiable brand will have an incredibly difficult time transferring success between products.
1. Emotional Experience
A brand is important for success because it creates an emotional customer experience that is hard to achieve in any other way. A complete brand that has visual, service, quality and personality components in place will connect with consumers on several different levels. This means that the usage or appearance of products will generate an emotional response. Encouraging this connection by providing HALO promo items to interested customers will bring the brand into everyday life each time the items are used. The ultimate result of the connection is trust that makes the brand a valuable commodity for consumers.