Amongst a number of marketing outcomes, you’ll often see businesses prioritise brand awareness in their growth marketing strategies. Brand awareness represents how widely recognised a brand is, either on a national or international level. Businesses and organisations across the world are chasing brand awareness for a number of different reasons. Familiar, well-known brands often see higher sales because consumers are more likely to choose and buy from businesses that they recognise and trust. In this article, we will discuss what makes a brand and why consumers buy brands over products.
What Makes A Brand
The definition of a brand is one that is often misunderstood. A brand is the emotional, psychological and distinctive identity of a company, product or person. Within a brand, you will typically see three key components. First is the visual identity of the brand – also known as the brand identity – which encompasses the logo, colours, typography and slogan that are synonymous with a brand. The second component is the experience or services that the brand delivers. The experience of a brand is made up of all of the interactions that the business has had with customers, from their website to their packaging. Finally, perception makes up the third component of a brand. Perception is the reputation associated with the brand, and the emotional connection that customers build with it over time. For example, a popular women’s tracksuit and athleisure brand like Alo has built a reputation for premium, forward-thinking fashion because it’s popular amongst celebrities and online influencers who are pictured wearing Alo’s sets in both athletic and leisure settings.
Why Building A Brand Is Important
Consumer behaviours, compared to previous decades, have drastically changed. Consumers value honesty and transparency over other buying factors like cost and convenience. Creating a strong brand helps consumers form positive associations with your products and services, making them more likely to trust and choose your business over competitors. Look at Nike, for example, when customers see and hear its name, it’s not just trainers for men and women they think about. Nike has built a community of athletes and everyday people who associate the brand with motivation and achievement, often becoming the number one reason it’s the first brand they think about for sportswear. Successfully building a brand that people instantly refer to and can rely on also allows brands to justify higher product or service costs. If consumers are confident in the quality of what you sell, the price becomes almost insignificant – to a certain extent, of course. On top of that, it’s understood that the quickest and most reliable sales conversions come from existing customers compared to prospects and people who are entirely new to your business. For this reason, building a brand is even more important, as a strong brand awareness drives customer loyalty and boosts sales revenue.
How To Build A Successful Brand
Building a successful and recognisable brand doesn’t happen overnight. Firstly, it requires you to establish and fully understand who your target customers are, including their demographics as well as their pain points and buying motivations. Next, you need to outline a clear brand position and purpose. Beyond making money, why does your business exist? Your business’s purpose and mission should be intertwined with a strong brand identity that you consistently use. Happy and returning customers should then become your business ambassadors, who will help build a wider community of customers who know and love your brand.