Every successful business is built on the foundation of a strong brand. Once this is established, there is no denying how important branding is in marketing. However, many new entrepreneurs often get sales & marketing and branding mixed up and assume that they are the same. Although they fall under the same category, they have different functions. So to remove any confusion, let’s start by differentiating them.
Brand identity, or branding, involves developing and implementing several features, such as a name, symbol, or design, that is easily identifiable as belonging to the company. It is simply the shorthand statement of what the company is about and what they can do for someone. Whereas marketing is the execution or the way entrepreneurs communicate their brand, products, and services to their target audience to build engagement and drive sales. Marketing also involves analyzing consumer behaviors, which is necessary to help attract potential customers by instilling brand loyalty and satisfying their needs and desires.
What Does Branding Do?
Branding increases the recognizability of products and services among the consumers, giving entrepreneurs that competitive edge within the market. Having strong branding is crucial not just to provide a lasting impression on customers but also to allow them to know what to expect from a company. It is a way of distinguishing entrepreneurs from their competitors and clarifying what it is they offer that makes them the better choice. Branding will help entrepreneurs build a representation of what their business is all about and how they wish to be perceived.
How Important Is Branding?
Branding is not just about choosing a name, logo, or design, it involves more than its identifiable features. It is the whole personality of the company. One of the main importance of branding, especially for business startups, is that it helps the new company establish its own identity. Good branding is what remains in people’s memories after entrepreneurs introduce their business to their audience. That’s why the company needs to choose and promote a brand that represents its business methods and core values, and when entrepreneurs succeed in conveying their messages to their audience, then they have achieved great branding. Moreover, entrepreneurs should have a clear vision of their business. By identifying the goals right from the start, it is much easier for them to follow through with their marketing plans.
Here are some of the reasons why companies, especially startup businesses, need strong branding.
Branding Gives Businesses a Unique Identity
Having a unique business identity helps entrepreneurs differentiate themselves from their competition, and creating a brand experience that encourages their target market to engage with their products or services. For a business to stand out from its competitors, entrepreneurs must provide a cutting edge of their business in Thailand. That means they need a strong brand that could attract their target audience’s attention. Formulating a brand identity requires that a new company conduct research into their customer base and the surrounding market. Entrepreneurs can highlight their business’ unique points and educate their consumers about the gaps that they are going to fill in, carving out their niche.
Branding Helps Increase Business Visibility in the Market
The most important thing when starting a company in Thailand is to make their products or services known to the public. Keep in mind that consumers confronted with choices are most likely to engage with products or services that are known rather than the unfamiliar ones. That is why establishing brand awareness is crucial when marketing and promoting a startup business in Thailand, especially in its early stages. With branding, it helps entrepreneurs bring their business to light, which also helps people recognize their existence – it is the key step to effective marketing. And when products or services maintain a high level of brand awareness, it is likely to generate more sales.
Branding Helps Businesses Stay in the Market
Because of the harsh changes in the marketing world, many establishments or businesses are already shutting down. This gives an impression to the consumers that a business is not stable and capable enough to provide for their needs. But establishing a brand will mark an identity that serves as an assurance to customers that the company will be in business for a long time. Also, developing a strong branding for business startups provides an impression that the company intends to be one of the recognizable and reliable businesses in the industry.
Branding Generates New Customers
A wide selection of products and services leads to confusion. One way customers manage these issues is by leaning towards brands that are widely known. When entrepreneurs have strong branding of their business, it is viewed as less risky to engage from. Keep in mind that customers are more likely to purchase products or services that are intensively marketed since they believe that they would always perform better, which is true as the results reflect that. The more entrepreneurs give importance to branding, the more it would last longer in the market. And once a brand has been well-established, customers will most likely spread or advertise the brand to other people through word of mouth.
Branding Leads to the Development of Trust and Goodwill
Customers are more likely to engage in a business in Thailand when they feel that it has a connection with them. Branding helps entrepreneurs build a relationship between their company and their potential customers, which enables them to appear more reliable and promotes feelings of trust and goodwill in the public. When customers get to know a business, they will then begin to trust its products or services. That means to build trust, entrepreneurs must give their target audience a reason to test them out. Moreover, branding helps create customer loyalty. When entrepreneurs established a loyal-based community, it will continue to support them in good and bad times. They will spread a positive message to the people they know. Their influence will introduce new people to the company.
Branding Drives up More Sales
More often than not, customers will reach out for the product or service that they have heard most about. Although the product or service may not be the best or the cheapest available, yet it has been selling the most – the reason for this increase in sales is branding. Keep in mind that having strong branding helps entrepreneurs get noticed by their potential customers – even among their competitors. When entrepreneurs can make people remember them during their shopping spree, they must put enough effort and money into building themselves as a brand.
Whether entrepreneurs are just setting up a business in Thailand and are trying to gain a foothold in the harsh corporate market or are a decade-old company, there is one thing that they need to do to survive: have a unique identity. Branding is the initial introduction of what a company can provide to investors and customers. It is the identity potential customers will come to know. Entrepreneurs should know that the importance of having strong branding with their business cannot be overstated – it is how their customers perceive their company and the blueprint of their business. An organized and planned branding strategy can go a long way, and when done right, the company will surely succeed.
Interesting Reads: