A question I get asked a lot is “What is the ROI or return on investment of branding?”
Branding is most commonly a tool for solving problems to make a company more valuable. When considering a brand’s value, it’s important to look past the product and business and look at the brand’s equity. We start every project by looking at three distinct elements of the brand: brand awareness, brand associations, and brand loyalty, and how we can build these three elements of the brand. These three aspects of a brand while intangible can create real value for a business by differentiating your product offering. This is where brand strategy gets a majority of its value. Aside from excluding repeat customers, it can be very difficult to assign a certain percentage or number to growth seen after a rebrand without subjecting customers to a good amount of surveying.
Other value that can be seen from branding is:
-Narrowing down your brand to your target audience can boost growth and loyalty
-Building a strong internal brand can boost efficiency
-Branded and purposeful touch points create a good customer experience and encourage loyalty and recommendations
-A strong brand can help you survive while your competition folds under the pressure of a downturn, regardless of the cause of the downturn, whether economic or scandal driven
The other question I get asked a lot is “When is the best time to start branding a company?”
I usually explain that there is no bad time to start branding. None of the benefits of a strong brand listed above can be achieved over night, so the sooner you start planning to have a strong brand, the sooner you will start seeing the results.