Having a strong corporate brand piques interest, attracts customers and potentially gains their loyalty for good. It is also one of the core foundations in solidifying the marketing strategies of businesses.
The term ‘corporate branding’ is often associated with big and established companies, but in reality, it applies (and is influential in the long run) to every type of business no matter how established or small it is.
What Entails Corporate Branding
An effective corporate branding strategy projects all of a businesses’ mission, values, and goals as a single entity to achieve a unique and consistent representation across every platform and the public. This also includes the businesses’ creative aspects such as their tagline, logo, fonts, colors, and design. It would indeed take a lot of work and effort to truly establish one that sticks and would also stand the test of time. Startups might find the process too complicated and complex, but a strong, efficient, corporate branding strategy is vital for every business whether big or small, and plays a major factor in consumer persuasion.
Corporate Branding Establishes Identity and Reputation
Developing a strong corporate brand initially starts with defining their identity — first through establishing a name, though not just any name but a name that best represents and summarizes what your business is all about and what it stands for. It should also be easy to remember, would stick in the minds and hearts of consumers, and would leave a positive and lasting impression. Some examples of these stand-out names are ‘Your Sole,’ which could easily be associated with shoes, or New Age Digital, which could be related to something modern like advertising or digital marketing — names that easily roll off the tongue and give you a glimpse of what the businesses offer, yet are also fused with style and impact. The name would serve as the company’s main foundation, and dictates how the public would associate and identify with them.
Increasing Brand Awareness and Familiarity
Having a strong corporate brand affiliation gives the smallest businesses a fighting chance in securing a spot in a crowded marketplace and becoming a consumer’s go-to choice. The simplest way to encourage customers in trying the services and products of a new brand is by letting them know of its existence in the first place. Recognition plays a huge role in consumer conversion; a crucial piece and factor that affects whether a consumer would consider trying a company’s product or service. A person’s recall of a product or brand would influence their purchasing decisions and they may be more likely to include the product for consideration, and eventually give it a shot. Recognition is stemmed from identity through corporate branding, therefore emphasizing its effect in influencing and converting consumers.
The Impact of Corporate Branding
While the path to purchase and conversion varies depending on the consumer, there could be a common denominator among the many different factors that could drive a consumer to commit and purchase — emotions. A study conducted by a Harvard professor revealed that at least 95% of decisions made by consumers involving purchases are done subconsciously. It was revealed that emotions are one of the leading factors that influence a consumer’s overall purchasing behavior. Once a consumer finds that their emotional values align with that of a business, along with positive consistent encounters, it would build an exceptional reputation for your corporate brand, and as a result, increases the chance of customer loyalty and awareness.
The Direct Effect of Corporate Branding to Sales
Companies with strong and effective corporate branding strategies do not only attract public interest and create and reflect a good reputation while securing customer loyalty. It also increases the chances of reaching higher sales. There is a significant amount of increase in total return (at least 31%) for businesses that invest and put effort in establishing robust and highly effective strategies to attain a strong corporate brand. Companies that have effective corporate branding are also likely to gain at least three times more profit compared to those that do not. Not only will a company see light in the increase of shareholder return and profits, but they can also aid in boosting and encouraging employee morale, engagement, and productivity which would further strengthen the entire company’s brand and overall foundation.
Once consumer trust and loyalty are cemented through a successful corporate branding strategy, it would not only make company awareness and sales growth possible, but rather inevitable.
This is the same principle for artists who have established themselves in the industry, and have become more than simply ‘singers’ who provide songs. They have surpassed what they can offer. For instance, while every Rihanna and Beyonce song is indeed top-tier, the added factor of them being ‘Rihanna’ and ‘Beyonce’ respectively is what makes the public appeal to whatever they do and put out. That’s usually a result of talent, hard work, and most especially effective branding. Companies that are striving to stand out, inspire influence — and yes, increase sales — are no different.