How startups can create value proposition for its brand and improve customer retention
It’s a no-brainer how the startup ecosystem has created a barrier to entry for new players. Though the growing number of startups opens the door of opportunity, it also invites huge competition in the market. Positioning the brand in the eye of potential consumers is crucial to gain edge in the market.
Delna Avari, Brand Expert and Startup Advisor, highlighted that the brand building process ‑ be it B2B or B2C ‑ starts only when you converse with the customers and understand their needs. The company should clearly define two things: What they want to stand for? And who do they believe? The answer should be authentic and honest.
The job does not end with claiming that you are the leader in the space, but the behaviour or the representation towards the target consumers are very crucial.
Lack of harmony in serving the customers easily gets noticed sub-consciously or psychologically. Delna emphasised that a company should have the ability to articulate the customers to build a leadership position in the market. Because consumers will never express their likes or dislikes towards a brand, but the way they react will determine the authenticity of a brand.
How you communicate with your customers plays a very important role in helping you position your brand in the market,” says Delna.
Retaining the brand position
When a company defines what it stands for, it also decides certain steps that need to be taken to build and measure the brand. Though some people say that branding and marketing is an art, Delna does not agree to it. She says that that marketing can be measured like science.
When you decide you marketing campaign, always observe your consumer. Understand consumer behaviour and preferences,” says Delna.
For example, understand how your customers perceive your brand. Find out if they are coming to you for a specific product that defines the brand’s unique selling proposition (USP). Luring the customers by creating value additions to the products helps in establishing a leadership position in the market.
“If the customers are not buying from your brand, then there is something wrong. One needs to make sure that every new customer who gets acquired should lead to referral and advocacy or repurchase from your brand. There are brands whose purchase cycle may be four to five years, so these brands should have their customers advocated,” said Delna.
It is imperative that you closely observe how your customers react to your product, their experience and if they are attracted to it. Creating the value proposition of your brand in an overcrowded market is a key to survival, success and incremental growth.
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