What is Branding? Why is Branding Important?

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It’s 2021 and you’ve finally decided to begin your entrepreneurial journey. Congratulations on being a business owner! You know what service or product you’re going to promote, you have a name for your company… now it’s time to begin branding it. But, what exactly is branding, anyway? And why is it so important when starting a business? Read on to understand the importance of branding when creating your business.

Branding Definition

Branding, according to Google, is “the promotion of a particular product or company by means of advertising and distinctive design.” Basically, to brand your company is to give it a unique identity. Branding sets your business apart from the competition, and trust me, you’ll need that if you want to run a successful business. For example, McDonald’s and Burger King are well-known rivals in the fast food industry. If they’re selling essentially the same products, how do they differentiate themselves? Think about each one and what they’re known for. McDonald’s is associated with bright yellow and red, their “golden arches,” and of course, they’re slogan, “I’m lovin’ it.” Burger King, on the other hand, stands out with their mascot, the king, and their brown, red and green bags. Branding gives your business the opportunity to tell consumers what you’re all about before they decide how they feel about you. 

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Why Branding Is Important

So, you know that branding is a way to identify your brand, but you’re not sure why that’s so important to have a business that is successful. There are several reasons why it’s essential to properly brand your business. 

Increases Employee Loyalty 

One important reason for branding that business owners don’t typically consider is that it increases the loyalty of their own employees. As a small business owner, you might not have too many employees right now. That’s okay! But, if your goal is to one day grow your business, it is crucial that you have employees who you trust and who love your company. When a business has good branding, employees will feel like they are a part of something. Like they belong. Having that sense of belonging and being a part of a team is an important factor in employee loyalty. Employees who are overall more satisfied with their work environment will work harder and produce more quality work. 

Increases Validity In Market

A well-branded, professional-looking company not only increases employee loyalty but also increases validity in the marketplace. Zig Ziglar said it best, “if people like you, they’ll listen to you. But if they trust you, they’ll do business with you.” When people see a business and they can clearly know what to expect from that business, that trust builds. People are not going to want to support a business if they can’t gauge what the business’ mission is or what their goals are. As a business owner, you should be keeping your branding and advertising consistent. Make people recognize who you are and what your business provides. 

Leaves A Lasting Impression 

Let’s talk about new customers and how good branding affects those who could potentially be attracted to your business. How likely are you to come back to a business that had no clear message about what service or product they provided? How likely are you to search to the ends of the earth for a company whose name or logo you couldn’t even remember? It’s important to catch the attention of your target audiences quickly and efficiently. Nowadays with social media and people having instant access to information in unprecedented ways, there are more options than ever before right at one’s fingertips. That’s why it’s especially important to make sure your business leaves a lasting impression through branding. People will come back to a business that they can recognize and trust. 

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In Conclusion 

You might have just started your business or maybe you’re just thinking about starting one. Either way, it’s important to know that branding is one of those first aspects to your business that you should plan for and figure out. You need to give your business or a brand a unique identity so you can stand out from the crowd. By properly and effectively branding your business, you will be able to increase the loyalty of your employees to your business. You will also gain credibility in whatever market your business is trying to break into, which is essential for your overall success. Lastly, you will leave a lasting impression on potential future customers.

Tags: brand, branding, business, personal branding
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Deven McCray

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