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5 Reasons Building a Brand For Your Business Is Important

Simplified by Simplified
October 5, 2021
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Building a successful brand does not happen overnight. It takes time. Time to understand your target audience, what you’re selling, and how to craft a message that connects the two. Branding also takes consistency and clarity. Failing to maintain consistency or clarity in your messaging can hinder your business’s ability to establish a strong brand that resonates with returning or potential customers.

A brand is a combination of many things that make your business unique. Your products, the way you communicate, your tone, logo, name, colors, and fonts are just a few key things that influence a customer’s perception of your business. Businesses that want to build a strong brand must first understand the importance of building one. And secondly, how to do so effectively.

As rightly quoted by Jeff Bezos, “ A brand is literally what people say about your business when you’re not in the room.”

Related: Guide To Set Up Your Brand Kit – Authenticity and Consistency!

Volkswagen brand logo

Here are 5 reasons building a brand is important:

1. Customer recognition

Having a solid brand helps a business build customer recognition. An example of customer recognition would be someone shopping or looking for a particular product or a service. And they recognize a business with no prior purchase history. The chances of customers choosing a brand they are familiar with are high compared to choosing a brand they have never heard of. A unique logo or tagline can also serve as a key brand identifier. It can also be very effective in helping the business’s brand recognition.

Check out Simplified’s Brand Logo Templates now!

2. Gives you a competitive edge

You may have heard the saying, “ you only get one chance to make a first impression”. Although many businesses do often re-brand themselves, this often holds when it comes. A great brand with strong messaging can make a business stand out. Moreover, it can give them an edge in the market from the beginning that differentiates them from their competitors. Generating more brand awareness and recognition will help to elevate a business and help it compete better.

via GIPHY

Related: What Is Brand Messaging And How Do I Use It Effectively?

3. Branding creates customer loyalty

Once a business’s branding has been firmly established, and customers begin to buy their product or service, a great brand will help a business market to them more effectively and keep them coming back for more. As a result, the business creates a loyal customer base. Users are often drawn to brands that share similar values. If a business has an amazing product with great branding, a business can develop an emotional connection. This was, it also creates more loyal customers.

4. Improve the credibility of your business

A solid brand enhances the credibility of a business with its customers as well as in the industry. A brand with clear and distinguished messaging will make their customers and their competitors take them more seriously in the market. Customers are likely to buy a business’s products or services if their messaging sounds like they have established expertise. Another way of establishing credibility is by having past customers give testimonials. Moreover, testimonials give credibility to a business’s product or service and their brand as a whole. If a customer does not resonate with the brand, more than likely, a customer won’t feel comfortable vouching for the product or service.

Apple product kit-branding for business

Related: Top Ways To Build Brand Loyalty

5. Helps you attract new investors

Accessing capital can be crucial if a business is at the beginning of its journey or at a growth stage. Although it may be difficult to build a strong brand in the beginning stages of a business, finding a way to do it despite the odds can mean the difference between getting funded by investors or not. Most investors want to see what you’ve been able to achieve on your own. And, even if the brand changes down the road, they will invest in a company that has built a decent brand and brand value for themselves. So, if your business has solid branding with a decent customer base, you are more likely to attract potential investors.

via GIPHY

“ When done properly, strong branding can advance a business further than the owners ever thought possible.”- Unknown.

Related: How to Build a Small Business Community

The longevity of a business is usually dependent on how firmly they establish their foundation. Branding is a part of that foundation. Moreover, the way a business’s customers and potential customers view their brand gives them leverage in a market and a better opportunity to compete. A strong reputation can help a business reach incredible heights. Just as a weak or tarnished reputation can do the opposite. Branding has different layers and structures, all playing an equally important part in the brand’s success. From its visual identity to its brand voice, the elements that make up a brand must be carefully thought out and communicated to help a business achieve real success.

This is why, over at Simplified, we offer the opportunity for you to build your entire brand kit for free:

Build your own Brand Kit on Simplified now!

So, if you’re a small business owner, start-up founder, or someone thinking of starting their own business, don’t overlook the importance of building a strong brand. In fact, an equal amount of effort should be put into learning and building a solid brand as you are into building your product or service.

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