Price and quality are not enough
If you think branding is a fussy extra, think again.
In today’s global market place, price and quality are no longer enough to ensure profit and sustain success.
Branding has become the main way for companies to gain the attention of customers, consumers and the trade.
In fact, brands are now the main differentiator when it comes to driving profit margins.
Brands lead to loyalty and business growth
Successful companies have learned how to create engagement and loyalty through their brands. For example, Apple Inc. spends heavily on understanding and communicating its brand and is enjoying customer engagement, loyalty and profits way above its competitors as a result.
Earlier this year, the US technology giant reported a net profit of $18bn in its first quarter, the biggest quarterly profit ever made by a public company.
Other high-growth companies that have learned how to harness the power of the brand include Samsung, Hyundai and Corona, who have all become rival leaders in their fields due to the powerful messages they communicate through their brands.
Brands establish a sophisticated relationship with consumers and become the reason why consumers engage.
Strong brand benefits
The benefits gained by successful brands are clear.
Strong brands can:
• Achieve higher prices and better margins
• Gain loyalty and sustain long-term earnings
• Add value and attract good business partners through brands
• Drive company innovation through brand profits
Successful brands also share certain characteristics.
The challenge of brand-building
However, companies who want to build their brand and break into developing markets must address key challenges:
1. Recognise that brand creates product preference.
2. Commit to investing in brand building.
3. Address existing reputation issues.
4. Adapt the business model to meet market needs.
5. Always innovate to stay relevant.
6. Make long-term brand plans.
Clear Eye can help you build your company’s brand voice. We are global brand communication specialists based in Dublin. Email Margaret@cleareye.ie to find out more about we can help your company gain brand growth.