11 Advantages of Branding For Small Businesses
According to Forbes, 77% of marketing leaders say branding is critical to growth. This couldn’t be more true for small businesses who are yet to make their mark in the market.
Unfortunately, most small businesses do not realize the advantages of branding. Or how it can make or break their business.
If you’re a small business owner and are still on the fence about branding, here are 11 reasons why you should:
It Helps You Stand Out
Imagine buying ice cream at the grocery. In a row of colorful containers and even more colorful labels, you see one that’s printed in black and white. Chances are, that’s the one you’ll eventually buy.
This is how branding works. It helps you stand out and be noticed in a very competitive marketplace. And if you’re new to the market, being able to distinguish yourself from competitors is essential.
It Communicates What Your Business Stands For
Though a logo is essential in building a brand, it’s not the be-all and end-all of branding. A brand represents everything that you stand for as a business. It communicates what your business is all about: your vision, mission, goals, and values. Through your brand, customers can form an impression of your business and your products.
It Builds Trust
A strong brand adds credibility to a business. This, in turn, builds customer trust which is beneficial to your business in the long term.
Think of businesses like Coca-Cola, Colgate, DuPont, and JP Morgan Chase. These companies have been around for more than a century and customers continue to patronize their products. Their strong brand helped them dominate the market and last this long.
It Encourages Consistency
Brands provide a blueprint of how you want your customers to perceive your business. You won’t have a headache thinking about what color to use for your flyers or what to post in your social media accounts. It encourages consistency which, according to Lucidpress, helps increase brand visibility. Inconsistent branding can also lead to confusion in the minds of your customers.
You Have Control Over Your Price
What do you think allows brands like Rolex and Apple to price their products way above the market rate? A strong brand.
Customers are more likely to pay for products that came from brands they trust. Your brand lets you charge a premium for your products. This results in a greater degree of control over your prices. You won’t have to be tied down to prevailing market prices just to be competitive.
Retaining Customers Is Easier
When people trust your brand, it is easier to build loyalty. After all, there is already customer recognition. Once they like your product or services, they’ll keep buying from you.
Why do you think Starbucks customers continue to patronize them when there are a lot of coffee shops out there that serve better coffee? It’s called brand loyalty. Their customers are already familiar with the menu, the prices, and the ambiance plus they get various incentives for being a loyal customer. Hence, they keep coming back.
It Speeds Up Customer Decision Making
A strong brand not only helps you, but it’s beneficial for your customers too. When they’ve developed a loyalty to your brand, they’ll spend less time thinking about which product to buy.
For example, think about the last time you bought shampoo. Walking along the grocery aisle, you went straight to your favorite brand ignoring all the others. How many minutes did it take you to make that buying decision? A few minutes? several seconds? Or perhaps you didn’t even give it much thought at all. You went straight to your favorite brand because you’re not interested in all the others.
It Helps Attract a Niche Market
When you set yourself apart from your competitors, chances are you’ve created a niche market. You may still be selling the same product but yours appeal to a group of buyers with specific needs.
Think of Whole Foods, Lululemon and Lefty’s store in California. Their products and services may not appeal to the masses but they have a loyal following from the people who need them. They don’t have to worry about competition because they already have a captured market.
It’s Easier to Promote Your Business
Are people constantly asking you what your product or service is? That means you have a weak brand. People do not yet recognize your products hence the constant questioning and, most of the time, skepticism.
But with businesses like Apple and Starbucks, people don’t ask what they are about. They’ll know instantly what their products are with a mere mention of the brand’s name. Thus, it’s easier for them to promote their business.
You Get Free Advertising
Remember that scene in Game of Thrones where a Starbucks cup can be seen on a table? It’s a very minute detail yet people managed to spot it making it a viral topic in various social media platforms for days. And who benefitted from all that publicity? Starbucks. How much did they pay for it? None.
This is one of the advantages of branding. When you have a very recognizable brand, it tends to become a household name giving you lots of free advertising.
It’s Easier to Introduce New Products
As a small business owner, what do you usually do when you introduce a new product? Maybe you’ll print out flyers, give discounts or give out free samples. Despite these, you may still find customer response to be sluggish at best and skeptical at worst.
It’s understandable though. You haven’t yet built credibility making it hard to get customer trust. So when you launch a new product, people are bound to have reservations. But if people trust your brand, it’ll be easier for you to convince them to try out your new products.
Looking to start your business in Florida?
Jumpstart your entrepreneurial journey with our luxurious office spaces for rent in Boca Raton, Florida. It boasts of great amenities and a gorgeous view of the beach. You can also impress your clients with our meeting rooms for rent. We offer both short term and long term contracts. Contact us to book a tour now.