Branding (a.k.a. brand identity) is a visual system, which is most commonly comprised of a logo, tagline, set of colors and typefaces, graphic style, and tone of voice. It not only defines a company’s look, but also communicates its personality. A brand is what connects the consumer to a product or business, and can strongly influence a potential customer’s decision whether to purchase a product or service. Creating a consistent image for your company makes your business memorable—but that’s just the beginning. Here are 5 reasons that explain why branding is so important:
1. A Brand Makes You Recognizable
People tend to do more business with companies they are familiar with. If your branding is consistent and easy to recognize, it helps people feel more comfortable when choosing your product or service. One of the most important parts of a company’s brand is the logo. The Golden Arches for example make McDonald’s recognizable worldwide. Your company needs a brand in order for your customers to recognize who you are, too. A professional logo design should be simple enough to be memorable, but powerful enough to give the desired impression of your company.
2. A Brand Sets You Apart
In a world with thousands of similar organizations, how do you stand out amongst your competition? Good branding makes your business appear professional, stable, and reputable. It shows you’re putting time and effort into your company, on every level of detail.
3. A Brand Sends a Message
A brand is a way to broadcast your company’s message to the world. Its tone tells your customers what they can expect from your business. Even without words, it can communicate things like quality, value, and professionalism. Emotional reactions to certain words, shapes, and colors are hardwired into our brains, and those reactions are very real influencers.
4. People Pay More for a Brand
Even in a bad economy, 60 percent of consumers are willing to pay more for a brand they know and believe in. They believe a branded company will provide a better product or better service, and they’re willing to pay more for that experience. Take Starbucks for an instance: Starbucks customers are aware that the price of a Starbucks coffee is astronomically high compared to other places that sell good coffee, too (some might disagree). Often times it’s not only the quality of the product that people are willing to pay more for but also for how it makes them feel.
5. A Brand Builds Loyalty
Professional branding gives your company a unified message that your employees can take to heart. Additionally, when a customer sees your brand, they’ll remember you. When that memory is combined with an experience they enjoyed, they will come back to your brand for a repeat experience. That customer loyalty—and subsequent referrals—is the key to success. Without a brand, there is no company image. That image is integral to drawing attention to your business, accruing customer loyalty, and obtaining referrals. Before building a website or even buying business cards, it’s essential to obtain a professionally designed brand to establish the image you wish to project.