Brand strategy is the process of defining, developing, and managing a brand. It is a flexible plan that guides how a brand will be positioned in the market, how its value will be articulated to consumers, and how it will be differentiated from its competitors.
- Increased revenue: A strong brand increases customer loyalty and attracts new customers.
- Increased brand awareness: A well-known brand is more likely to be chosen by consumers over an unknown brand.
- Growth opportunity: A strong brand facilitates the introduction and success of its extensions to other markets and other products.
- Higher prices: A strong brand decreases price sensitivity and can command a premium price over its competitors.
- Increased market share: A strong brand can help a company to gain market share from its competitors.
- Second chances: A strong brand enhances customers’ willingness to forgive mistakes made by a company.
- Market protection: A strong brand serves as a barrier to entry to future competitors.
- Increased stock price and shareholder value: Strong brands have been proven to outperform their weaker counterparts in the S&P 500 as positive perception influences the price of their stock.
- Increased clarity of vision: A strong brand creates and increased ability to mobilize an organization’s people and focus its activities.
- Maximized human capital: Strong brands can help strengthen an organization’s ability to recruit and retain talented people who will ultimately determine the company’s success in the marketplace.
- Extended duration of cash flow: strong brands last longer than weak ones, therefore a strong brand will generate profits for a longer period of time than a weak brand.
- Extended lifespan: A strong, well-positioned brand extends the life of your organization indefinitely by providing independence from a particular product category, increasing flexibility for future growth (through extension), and therefore, increasing the ability to expand into new product and service categories and alter the product and service mix to keep up with marketplace demands. Without a strong brand, your organization’s life span will be tied to the life span of the products it manufactures or the services it provides.
- Strong alliances: A strong brand facilitates alliances with desirable and powerful external partners.
- Cost efficiencies: A strong brand is in demand, which allows the company to take advantage of economies of scale as well as reduce cost of capital by facilitating access to financial markets with more favorable conditions (lower perceived risk)
The Elements Of Brand
A brand is the sum of all experiences a customer has with you and is formed by a number of different elements, including:
- Brand identity: The brand identity is the visual and verbal representation of the brand. It includes the brand name, logo, tagline, and other visual elements such as the brand’s website and marketing materials.
- Brand values: The brand values are the core beliefs and principles that guide the brand.
- Brand promise: The brand promise is the promise that the brand makes to its customers. It is what the brand delivers to its customers in terms of quality, service, and experience.
- Brand positioning: The brand positioning is how the brand is defined and meaningfully differentiated from its competitors.
- Brand communication: The brand communication is the way that the brand is articulated to consumers. It includes advertising, public relations, social media, and other marketing activities.
Developing A Brand Strategy
A brand strategy is developed through a process of research, planning, and execution. The first step is to conduct research to understand the target market, the competitive landscape, and the brand’s strengths and weaknesses. Once the research is complete, the next step is to develop a plan that outlines the brand’s goals, objectives, and strategies. The final step is to execute the plan by implementing the marketing activities that will communicate the brand to the target market.
The Importance Of Brand Strategy
A brand strategy is essential to succeed in today’s competitive marketplace. As mentioned above, a well-defined brand can help a company to differentiate itself from its competitors, build customer loyalty, and command a premium price for its products or services.
Here are some tips for developing an effective brand strategy:
- Start with a clear understanding of your target market. Who are you trying to reach with your brand? What are their needs and wants?
- Define your brand’s unique value. What makes your brand meaningfully different from the competition? What value do you offer that no one else does?
- Create a strong brand identity. Your brand identity should be visually appealing, memorable and be a visual representation of what your brand stands for. It should also be consistent across all of your marketing materials.
- Communicate your brand consistently. Your brand should be communicated consistently across all of your marketing channels. This means using the same messaging, tone, and visual style in all of your advertising, public relations, and social media efforts.
- Measure your results. It’s important to track the results of your brand strategy to see what’s working and what’s not. This will help you to make necessary adjustments and improvements over time.
The Blake Project Can Help Differentiate Your Brand: Simply email us, for more about how we can help you define the unique value your brand can own in the marketplace.
Branding Strategy Insider is a service of The Blake Project: A strategic brand consultancy specializing in Brand Research, Brand Strategy, Brand Growth and Brand Education