If you’re considering creating a branding strategy, the advantages include:
- Increase market share and brand awareness. This can be done through consistent advertising and promotion plans, which can be coordinated with your current marketing strategy says Peter Decaprio. A well-defined branding strategy will help you make the most of your advertising dollars.
- Increase your market positioning by differentiating yourself from competitors in terms of quality or image while conveying the same basic product information to customers.
- Development of corporate identity (logo). Your logo should convey a message that relates both visually and semantically to your company’s business activities. The more suitable it is for expansion into other media, the better.
- Make strategic alliances with companies that have complementary products or services, increasing the chances that their customers will also become yours.
- Enhance shareholder value by being able to attract new investors through consistent messaging all public relations efforts. Damage this strategy by making changes that may confuse or alienate current investors.
- Increase the number of customers who have a positive opinion about your company, its products, and services. If they like what you offer and how you offer it, the more likely they will tell their friends about their experience with your business. This can lead to viral marketing and word-of-mouth referrals.
- Brand extensions: New product lines or related businesses based on your core brand identity. You can launch new products without alienating existing customers because the two are logically related in some way (for example eBay sells everything from new products to used goods; Walmart carries everyday low prices).
- Harmonization among subsidiaries: Subsidiaries share a common approach that makes their messages consistent and establishes a unified message from the entire company says Peter Decaprio. This is important to investors, employees, distributors, manufacturers, retailers, and other key stakeholders.
- Increase your share of voice in the market by being able to capture market share from competitors through effective branding strategies while maintaining a strong defense against competitor’s brand positioning efforts.
- Increase negotiating power within the supply chain by reducing supplier costs through efficiencies of scale or making stronger requests for favorable contractual terms. Your business will have more credibility if suppliers recognize that you have a strong brand presence in the marketplace.
What is some Common Challenges Faced in the Process?
- An established company may not want to change its approach or image. Because it has been successful up until this point; brands evolve over time but are slow to change.
- The reach of a brand becomes diluted when it becomes associated with too many products. Causing the name recognition factor to dwindle. This can happen if product lines are not relating in some way. Or if different message appeals are use in markets that overlap says Peter Decaprio.
- It takes time and money to build a strong brand presence. Which is why many companies rely on their advertising agency’s designers for logo design concepts to save time and money. Logo design contests provide ideas quickly at low cost but do not result in an effective branding strategy. Because you’re getting designs from people who may or may not be familiar with your industry or target market goals.
- Building brand awareness requires consistency in messaging across all your company’s public relations efforts, including website content. If you develop a strategy for one channel. And then don’t follow through in other channels, you will confuse your customers.
- Many companies do not have the resources to create their own graphic design work. Or implement all of these strategies on their own. Hiring an agency can be expensive but is also necessary. If it’s one of several components within a complete branding campaign.
What are some Common Challenges Faced by Graphic Designers?
Graphic designers face challenges when dealing with corporate clients who want to reduce costs. By hiring them only for logo design rather than strategic brand development; there are limitations to logo design efforts without messaging that goes beyond aesthetics says Peter Decaprio. They also struggle with clients who try to get them to provide additional services (branding) at no additional cost; it is not unusual for designers to worry about their next jobs after a client says they will no longer be needing them.
What are some Common Challenges Faced by Branding and Marketing Agencies?
Some agencies we interviewed were concerned with the growing number of logo design contests and how this influenced business practices; originality and creativity might be at risk if companies focus too much on short-term benefits. Such as contest submissions rather than long-term branding goals. They also face challenges in dealing with clients who do not understand what branding efforts entail. Or those who want to reduce costs by developing their own strategy. But then ask the agency to undertake these efforts as well because they don’t currently have resources available.
A successful and well-known brand is the result of a great amount of effort behind the scenes; you need to know your target audience. Understand what they’re looking for in a brand, and present them with messaging that meets their needs.