How Important is Brand Equity?

By radint

Dec 1, 2018 Data, Marketing, Mobile

What is the secret sauce needed to create great branding campaigns?

Individuals and companies at scales large and small dedicate a great deal of time and resources to building their brands.  They are carefully articulated facades cultivated with a ton of planning, marketing strategy, a fat dollop of hard work, sprinkles of business acumen, some real-world experience and a consistent vein of sound financial planning mashed together to produce meaningful success.

While difficult to define, a brand consists of five different factors: a promise, a perception, expectations, a persona, and unique elements.  A brand is not a slogan, a logo, or a product.  It is a gut feeling, an emotion, that people have about your business, product or service.  If many people share that same instinctively positive reaction to your brand then you have succeeded in building a product that customers migrate to as a in initial reaction any time they have a desire that needs to be filled.

The principal reason all capable businesspeople spend time, effort, and resources on building a creative footprint is to build brand equity.  Defined as the additional value from the consumer’s perception of a product or service, it is brand equity that enables one to charge and increase the overall value of your brand.  Any brand that you personally love and have established as part of your life has done their due diligence in building a persuasive brand equity that draws in audiences and keeps them.

Without a brand there are other ways you can charge premium pricing for your product or service in the form of legal protections such as copyrights, patents, or licenses.  Otherwise you are vulnerable to the whims of the market in the form of commodity pricing for your product or service.  The sticky nature of a loyal audience can carry a brand through bad products, poor timing, and less-desirable events that each company faces at one time or another. Thus one must always recognize that it is brand equity that can help your brand weather the highs and lows that come with the unpredictable nature of entrepreneurship.

So what are the  ingredients of a successful branding campaign?

The essential first ingredient is a strong understanding of your customers, competitors, and marketplace. Only with an understanding of your target market through research can you ensure that you are delivering the value and utility that your users are expecting.

The second essential ingredient is creativity, the ability to see things differently and develop thoughts and ideas about things that no one has yet considered.  Ideally you should connect with your customers on an emotional level so it’ important to ask yourself: is my brand utilizing a uniquely creative approach that leads to an emotional connection with each and every customer? And if so… now what?

The difference between a good and great.

If your branding campaign is successful your name, design, logo and other recognizable symbols will stand head-and-shoulders above your competition. Your brand should have a unique personality and reputation that keeps it distinctive among your competitors in the same marketplace.  So much should your brand distinctiveness be that when your customers have a need for a product or service you provide it should be YOUR brand that stands out in their mind when that desire comes to mind.  They have should have established in their mind that nothing but value comes from using your product or service because the quality and uniqueness of your brand leaves lasting impressions.

Closing thoughts

Research alone does not guarantee success… and unfortunately, neither will creativity.  It is only when research is combined with creativity and a painstaking diligence that a potentially sticky brand is created.  A fun exercise I recently conducted identified the best 3 brands across men’s fashion, protein bars and women’s shoes. The results were telling to say the least… Quite simply, there is no doubt in my mind why successful brands are leading their respective markets.  Each brand looks, tastes, and feels different.

The takeaway here is straightforward, but not easy. Invest pennies, resources, time, effort, energy and whatever else can be mustered into your brand’s identity.  Your efforts will reflect on how the world sees you. These are the essentials that can put you in the game….. But, have you yet considered additional work necessary to market your brand, navigate social media, contract with influencers and ensure your e-commerce site is converting properly? It’s never easy work, but it will be rewarding if you put in the time… and at the end of it all when you’ve finally made yourself a sticky, converting brand that people love, you’re going to need a vacation from all your work.

#e-commerce #brand #conversion