Why is it necessary to build a brand?

You could be the nicest person, your product could be the best, or you might be the best at what you do - but it’s not enough if your customers can’t differentiate you from your competitors. This is why building a brand is so important. But first let’s clear up the question, “what is branding?”

What it's not

The words 'brand' and 'logo' are often used synonymously, but this is a misconception. While logo design is an important part of a branding, building a brand goes so much deeper.

What is branding?

A brand is a reputation, or rather, a perception. Your brand is your audience’s gut feeling about your business. Branding is the ongoing effort to reshape your audience's perception so that it’s in line with how your brand describes itself.

Now that we know what branding is, we can talk about why it’s necessary to build a brand for your business.

Summary

Building a brand helps to establish your business’s identity and differentiates it from your competitors. A strong brand increases customer loyalty and trust, which can lead to higher sales and long-term success.

Identity

One of the benefits of building a brand for your business is that it helps to establish your identity. A well-designed logo (and other brand elements) can convey your values and mission - which makes it easier for customers to understand what you, or your business stands for.

This makes it easier for customers to connect with and trust your business.

Differentiation

A strong and well-established brand will differentiate your business from its competitors, which is especially necessary in the crowded marketplace we deal with today.

Ask yourself the question: “If other businesses do something that’s similar to our business, what would make potential customers choose us over them?”

Everything you think of to answer this question won’t matter unless people commonly think of you the way you think of you.

Loyalty

When customers feel a strong connection to a brand they’ll be more likely to return to the business and recommend it to others. This leads to increased sales and long-term success.

Attraction

A great brand creates awareness and interest for your business, which leads to more people learning about your business, which increases the chance that new people become your customers.

Conclusion

Building a brand is an essential part of any business strategy. I’ve said it before: “In a business, brand strategy is the left side of the brain, and business strategy is the right side.”

Building a brand helps to establish your business’s identity, differentiate your business from its competitors, increase your customer’s loyalty and trust, and attract new customers.

Be warned - branding is not a short-term play and it's not for the faint of heart. Building a brand requires the investment of time and resources to set your business up for long-term success.