Branding is so much more than just a business name and a logo design.
Branding is the overall impression you give potential customers. Your business’ branding shapes how potential customers will talk about your business to their friends and family. It curates the experience customers have when doing business with you. A business that lacks cohesive and consistent branding isn’t going to stick in someone’s mind for very long, and can actually drive business away.
Your brand identity represents the DNA of your business; its heart and soul, its personality. It should be a visible interpretation of your mission and vision.
Why is branding so valuable? Branding can increase customer attraction, brand loyalty and retention. For example, when the Portland region’s public transportation agency rebranded TriMet in 2002, they saw an increase in its public approval rating by 15%(Measured by an independent public research survey, 2003).
So taking the time to thoughtfully curate your business’ branding is time well spent. It takes 5-7 impressions to produce brand awareness. And you have only 7 seconds to make that first brand impression. So you better make it count!
1. Branding helps you stand out from the crowd.
What did Coconut Bliss change to better catch vegan ice cream lover’s attention? They updated their branding to be bold, colorful, but minimalistic.
There is especially more competition online and on social media. Your potential customers are encountering more brands each day than ever before. Strong branding will break through this “digital noise” and catch your audience’s attention.
2. Clear and consistent brand messaging is essential in making a lasting impression with customers.
Nike has created a brand that is identified in three words, “Just Do It”. Consistent branding like Nike’s can increase your revenue by 20% (Marq 2022). If you apply consistent branding from the very beginning, brand recognition (like what Nike has) will be built more efficiently.
Consistency in both design and messaging builds a foundation of trust with potential customers by helping your brand feel familiar to them. Where do customers shop when they want to buy a product or service? They will buy it from the business they remember, who’s personality they like, and most importantly… who they trust. In fact, 46% of consumers will pay more for products or services from brands that they explicitly trust (Salsify 2022).
This is how consistent branding is able to increase revenue by 33% (Marq 2022). So carefully ensure that your brand values, imagery, and messaging are the same across all your channels.
3. Building trust makes loyal customers.
Brand loyalty is worth its weight in gold! A loyal customer will encourage their friends and family to shop with you. Brand loyalty thereby yields 10x more profits than you make with a single transaction with a non-loyal customer (Venngage 2022).
That being said, customers also want to buy from brands who value the same things that they do, and who are transparent about their business practices. In fact, shared values are the driving factor in more than six out of 10 brand relationships (Harvard Business Review 2012). 94% of customers say transparency is also key to winning their brand loyalty (Label Insight 2016).
4. A strong brand identity communicates stability and professionalism.
Branding communicates to potential customers that your business is in it for the long haul because you have made the effort to stick around!
5. Your branding colors make or break your brand recognition.
Using a signature color can boost brand recognition by 80% (Reboot Online 2018).
You want to select branding colors that align with your industry.
For instance, Mountain Equipment Company moved to use a forest green for their updated branding to further illustrate that they are an outdoor gear company.
Careful research about what branding colors your competitors use, and what meanings certain colors convey is an important step when selecting your branding colors.
Why do companies later rebrand their businesses?
Sometimes even the best brands can be even BETTER! To stay competitive, businesses must be willing to evolve their branding over time. Every day that you continue to use an outdated brand identity, you set your business further behind your competitors by resisting modernity.
In 2022, Kia wanted to visually express their intention of becoming the next powerhouse in the automobile industry. They wanted to prove that they had changed and adapted their strategies to transform Kia into something bigger and better than before.
The right rebranding strategy can breathe new life into your business. It can make your business stand out again and give your audience a new reason to be excited about doing business with you. Additionally, a new brand identity can signal that you care about your clients and customers, and they can expect an elevated or improved experience when they visit you. When executed correctly, a rebranding can play a significant role in increasing sales and brand loyalty, making your business a more relevant competitor in the marketplace for years to come.
How to Tell Your Business is Ready For a Rebrand:
- Your brand aesthetic no longer reflects your company’s values and market offering. Think of Paramount (now Paramount+) who transitioned to an online streaming platform and needed branding that reflected a more digital forward aesthetic.
- You are expanding your business into new markets or locations.
- Your current branding is too generic and is not effectively differentiating you from the competition.
- Your current branding is outdated and is making your business look stagnant and unprofessional.
- You want to rebuild your business’ reputation and show that your business has truly changed.
- Your business is merging with another or has been acquired.
- Your business is struggling to attract enough customers.
- You want to stay relevant and competitive during changing times.
On average, businesses update their brand identities every 7-10 years.
Why Rebranding Sometimes Fails:
- You were bored with your existing branding and it wasn’t actually time for a rebrand. Now your customers feel confused about your brand identity.
- New management just wanted to “leave a mark” by rebranding an already successful and growing business.
- You were unwilling to rebrand ALL of your branding components. Remember it’s important to be cohesive and consistent!
When to Change Your Business Name:
- Your business name no longer reflects your business scope.
- Your business name is too generic.
- Your business name is confusing and/or difficult to spell.
- There are trademark issues with your existing business name.
Putting careful thought into your branding will always prove essential to the success of your business. Strong branding that quickly reflects your business’ personality, product offering, value proposition, and personal values will leave your potential customers with only one logical course of action… to buy your product or service.
Interested in exploring rebranding options for your company? Schedule an initial meeting with Beth and Parker, our branding experts, to talk about what we can do for your branding! Contact us at hihello@fab-brands.com to schedule a time.
