Brand optimization is something that more small and medium-sized businesses (SMBs) need to pay attention to. Competition in many areas is fierce and while it might make sense short-term to cut back on marketing your brand, in the long term it may prove quite detrimental. Branding adds value to your business. Here are four benefits of branding.
1) Branding improves recognition. Be honest: how many competitors do you have? Just in your area, your customers probably can choose from a dozen competitors. Without branding, consumers might consider your goods a commodity and not care which company they purchase from. Marketing your brand allows you to stand out from the pack.
2) Branding creates trust. While this is less important for low priced goods, this is especially important for high cost items. Trust is often necessary to sell something expensive like a refrigerator or a car. You might lose out on a sale even if you have the cheapest price because the consumer doesn’t trust you.
3) Branding encourages loyalty. Once again, make sure your customers know your products are not a commodity and that your goods are superior in quality. If you communicate this properly and you speak the truth, you will start creating a loyal customer base.
4) Branding increases referral business. What’s great about having a well branded business is that consumers will naturally become your promoter. Word of mouth is often said to be the best form of marketing – it’s both free and powerful.
Branding is very important in today’s competitive marketplace. Don’t cut corners on your marketing budget because it may end up biting you back in the long run.
How Brands Build Trust in a Digital World, Huge