Schools have long debated the necessity of starting a business with or without branding. Some argue it is better to begin operating the business for a while before developing the brand identity. On the other hand, the optimal approach is to establish the basics, ie a logo, mission, vision, and colour palette before starting anything.
Consumers are more likely to remember your brand by its logo and colours after they have experienced the unique service you offer. The goal of mission and vision statements is to help align the internal stakeholders with the general direction of the organisation. Branding and brand identity are more visual ways of representing the business to the outside world.
What you need to know about Branding
A company's brand guidelines are a set of rules that govern how it uses its name, terminologies, design, symbol, etc. that sets it apart from other businesses in its industry. Branding is the act of creating a unique perception of a brand for target customers in the market.
Developing visual elements, mottos, writing and even sounds helps the company also build brand recognition as these in the long run become easily identifiable with the business. Associating these components with the quality goods or service that the brand provides grow any business into a successful brand.
A brand voice helps not only the target audience in identifying relevant communication from their beloved brand but also helps the brand maintain consistency in its communication. A very popular example of how brand voice and iconography can directly affect a brand is the usage of the "Swoosh" sign, an internationally known representation of the Nike brand and its very popular slogan "Just Do It" which both rank top of mind in every country on the planet. Ref: How Nike redefined the power of brand image
Nike uses its brand name and slogan to communicate its validity and presence in a certain neighbourhood or advertising campaign.
A brand name is important, but other elements such as Logo, Colors, Iconography, Typefaces, Tone, Mission/Vision, Slogan, and Mnemonic also contribute to identity.
Brand elements can help to communicate a brand's unique identity, making it stand out from the competition.
Creating a recognizable brand can harness emotion to draw in customers, energize workers, and encourage buying.
Let's further look at 4 ways by which brand building can impact businesses:
It taps into the power of psychology
There are many reasons to build a great brand identity, but psychology is the most important one. Different colours, shapes, and patterns used in different countries, industries, or demographics have different effects on human behaviour. Therefore, using colours that are more “sales-friendly” is more likely to result in increased sales than choosing colours that convey power.
Brands that use warm colours are more likely to be chosen than those with brighter tones. To evoke the desired emotion, brands should be aware of the colours, patterns and elements used.
It increases Brand Awareness
Branding is important because it helps businesses to stand out from the competition. Consumers are overwhelmed with ads and messages, so they tend to only think about what is relevant to them. What they see as important may be something that they have experienced before or something likely to be repeated. A business needs to be consistent in its brand communication, with prominent colours, unique sounds, and logos.
It generates trust
By creating a strong brand identity that encourages customer loyalty, businesses can further develop their psychological pillars. By providing their audience with brand visuals, they can feel more confident and comfortable about the products and services they offer.
It creates customer loyalty
Millennials and Gen Z are more likely to trust brands that align with their values. Businesses can take advantage of this by communicating what their brand stands for and building emotional connections with their target audience.
Quite literally, do not send the wrong message to your audience, they have become more sensitive than they used to be 10+ years ago.