Branding is crucial for startups. Discover why?
Branding is crucial for any business. It is an initial introduction of what a company can provide to investors and customers. While it is easy for a great product to garner attention and sell on its own, the importance of communication with your customers and prospects cannot be overlooked. In order to succeed, you will constantly need to communicate to the world about your product, how it works, and it brings value to people and businesses.
Branding applies to all businesses, whether profitable or non-profitable, B2B, or B2C. No matter the type and size of a business, it will need to brand itself properly to convey its message to the audience and take a competitive edge over its competitors. In today’s dynamic times, companies need to be on top of their game to determine their position in the crowded market place.
What is branding?
Branding isn’t just a product or service. It includes everything such as the manufacturer or service provider, name of the product or service, business logo, the visual elements, and the reputation of the product and the company. The meaning of branding has been aptly put into words by Jeff Bezos – the founder of Amazon – as; “Your brand is what people say about you after you leave the room.”
There are several reasons why startups need to focus on branding. Here are a few of them:
Branding establishes business identity:
Startup branding helps new businesses establish their brand identity. This makes branding a vital component of a company’s development. While it is important to have your website or brand logo designed by professionals like Logo Design Valley, a company’s brand involves much more than that. It allows a company to build an image that represents and promotes its core values.
The purpose of startup marketing and branding is to identify who you are as a company, and why do you exist. By communicating the same values to your audience, it becomes easier for you to follow through on your plans.
Customer relationship and retention:
Branding is meant to inspire loyalty among customers by its very definition. Every day, customers see thousands of new companies, commercials, and brand images. It becomes challenging for new startups to grab the attention of average consumers. Therefore, it is important that startups avoid looking for shortcuts and carefully follow the process of branding and marketing.
Strong business image:
In the past, people used to form opinions based on what they watched on TV, read in the newspaper. Today, the ‘like’ and ‘comments’ you get on your social media platforms are important than over. One of the strengths of business lies in communication with customers across these platforms. Following a quality branding strategy creates a strong image of your business, so your competitors never get a chance to rise above you in the industry. It projects your beliefs that resonate with your audience.
Branding helps increase your visibility:
Nothing is more important for new startups than to gain visibility in the already crowded market place. It is said that ‘visibility creates opportunities’, and this fact highlights the importance of branding and marketing for startups. Branding helps people know that you exist and it is through branding that they learn about your offerings. It makes you visible not just to your customers, but also investors and stakeholders.
Differentiates you from the competitors:
Branding sets you apart from the competitors and gives you a competitive edge. It helps startups to create their own niche by communicating to the audience the gaps that your product or service fills. Proper branding requires a business to research the market and customer base and identify the problems that the customers face. Once you resolve those problems, you are able to sell your unique contribution to customers who are looking for that particular product or service. It also enables you to present yourself as an authority in the market.
Consider Uber and Ola Cabs. The difference between the features of the two services might be negligent, but still, both are perceived differently by the consumers. The emotions associated with each brand are different, and this is what makes one preferable over the other. For a startup, branding guarantees a connection between you and the consumers, which further keeps the business afloat.
Branding improves traction:
Branding helps you develop a sense of trust by conveying your business values to consumers. Think of Google and Facebook. These companies have established a brand and built an identity that assures the users that they aren’t going out of business anytime soon. It goes without saying that such stability and trustworthiness attract more customers and result in greater financial value for businesses. Not only does branding helps startups attract new customers, but it also helps to retain their goodwill.
To gain the required initial traction, startups need to connect with influencers or industry experts to forward the core values of their business. New businesses also need to make use of email marketing and reach out to prospects and existing customers. Moreover, they also need to invest in content marketing and constantly track their market performance.
Branding may look a daunting process, especially for a new startup or business. But let it not discourage you because it is undoubtedly one of the most important keys to the success of any business. Branding will not only help a business stand out from the crowd but also foster great customer relation for increased maximum retention.