5 Reasons a professional brand is necessary for business.
Repeat after me, “My brand is my company’s most valuable asset”. It is the sum total of how your organization is perceived by your customers, your employees, and beyond. Shaping those perceptions is the key to influencing behavior. And its behavior that ultimately impacts your bottom line.
It stands to reason, then, that branding is one of the soundest investments a company can make—especially if your company is in the midst of stagnant growth, waning profits, or even just a good old existential crisis.
Branding shouldn’t be seen as another cost counted against your marketing budget. Branding is an investment—one that, if done properly, will yield exponential returns over the life of your business. That might sound salesy, but when you consider the benefits of a well-positioned brand, it’s hard to argue that a “professional brand” isn’t one of the soundest investments you can make.
So, why invest in branding? Here are 5 returns that will positively impact your bottom line for years to come:
1. Attract better customers
Brand research enables you to identify exactly which types of customers are aligned with your company’s unique culture and purpose. Clearly defined customer personas enable you to craft messaging specifically targeted at the right customers. Not only are the right customers more likely to purchase your product or service, they’re also markedly more loyal over the lifetime of their relationship with your brand. This loyalty becomes exponentially valuable when your customers become brand advocates, convincing their friends and family to buy your products or services as well.
2. Command a premium price
The age-old adage is true: people don’t buy products, they buy brands. I’m sure you’ve read the social media meme “R.I.P. to all the conversations that died after you told them your prices.” But with a trusted product and/or service, people are willing to pay premium prices for premium brands. Branding gives you the power to position yourself as an industry leader with a compelling set of value propositions offered by none of your competitors. Brands that establish meaningful variations are able to justify their worth and command higher prices for their products or services. And increased prices, as we all know, equal increased revenue.
3. Close sales more easily
The difference between trying to sell a boring, outdated brand and a fresh, boldly differentiated brand is like the difference between trying to sell a jalopy and a Ferrari. Well-defined brands are easier to sell because their positioning is woven into their brand story. The arguments for the unique power of your products or services have already been articulated through your brand strategy. With a cohesive and compelling brand, most of the work is already done for the salesperson before the initial conversation. Branding gives your sales team the advantage it needs to close deals with confidence and ease.
4. Reduce marketing costs
A cohesive, well-articulated brand increases the efficiency and effectiveness of all your marketing initiatives. By better understanding your audience, you can develop campaigns with highly relevant messaging targeted at your most valuable customers. No more wasted effort in disorganized messaging. Brand cohesiveness also means that marketing efforts are effortlessly integrated—each of your initiatives reinforces the others. And your bold new identity means that campaigns are radically distinguished on all of your materials, social media platforms and other customer communications.
5. Boost the value of your company
Brand equity is a powerful thing. Not only does it allow you to increase the price point of your products and services, it also has a measurable effect on share price as well. How a brand is perceived determines how its customers behave, and customer behavior determines your brand’s financial performance.
When you look at branding or re-branding as an investment, rather than a cost, the benefits are clear. Professional branding pays out over the lifetime of your company, enabling you to attract better customers, with more authority, while commanding higher prices for your products or services. Furthermore, customer loyalty, and brand equity position you for an exponential return on investment. If ever there were a no-brainer investment for your company’s future, professional branding is it.