What is Branding? At the mentioning of the word “branding”, most people automatically think of a company’s logo. But while your logo is an important component to your business brand, branding entails far more than the visual elements of your business brand. Branding includes not only your company’s visual identity but also your customers’ overall perception of your brand. These perceptions are informed by a number of elements, including intangibles such as:
- Brand promises (value proposition)
- Brand personality
- Brand reputation
- Customer experiences and expectations
Why Is Branding Important for a Small Business?
The importance of branding in your marketing strategy can’t be overstated — even for small businesses. Your brand influences every aspect of your customers’ perceptions of your company. Branding builds:
According to Accenture, 66% of consumers say that a brand’s culture and transparency attract them to buy from a certain brand, and 62% want companies to stand up for the issues they are passionate about. This illustrates the impact of strong branding. Your brand has the potential to say so much about your company’s:
- Products or services
- Customer relations
- Employee relations
- Societal goals
Consider Nike, a brand that leverages its strong brand identity across all its marketing strategies. Nike’s brand recognition extends beyond the iconic red swoosh of its logo. Even its short and powerful slogan “Just do it” is immediately identifiable to the majority of consumers.
Brand Marketing: What Is the Relationship Between Brand and Marketing?
What is the difference between branding and marketing? It’s not uncommon to see people and companies using the two terms interchangeably, but they are actually two very distinct concepts.
Branding is about who your company is, its brand personality, its voice, its purpose. As the driving force behind customer loyalty and recognition, branding speaks to the long term. Marketing, on the other hand, is about achieving more tactical goals through more short-term marketing objectives such as:
- Sales and revenue growth
- New customer acquisition
- Expanded market dominance
But despite the differences, a successful brand marketing strategy understands the interplay between the two concepts. Branding serves as a guide for your marketing plan, while marketing promotes your business, products and services by building and leveraging the power of your brand.