Is having a brand important?
By John Welch on October 14, 2020
Why Do I Need An Intentional Brand?
Most companies spend all of their marketing efforts trying to figure out “what works.” Ironically, this never “works” because they’re missing the one thing needed before any marketing can take place: their identity.
In this short video, Seth Godin unpacks the difference between direct marketing and brand marketing. Basically, too many businesses are focusing only on direct marketing because they can measure it and leaving brand marketing off the table because it’s harder to know if it’s working.
Without a brand, your marketing will always fail. You may find success here and there, but you will never see the long-term business growth you’re looking for.
Clicks and visits are great. You know what’s better? Customers. So many businesses are drowning in “leads” with no cash to stay afloat. Their marketing is really good at getting eyeballs, but not so good at making money.
And if we’re not making money, what’s the point, right?
- Why Do I Need An Intentional Brand?
- How Does Branding Help My Business?
- How Does Branding Impact Revenue?
- How To Crack The Conversion Code
How Does Branding Help My Business?
Imagine if you went to a fancy party dressed in jeans and a t-shirt. Would people look at you? Yes. Would anyone talk to you? Probably not.
Your brand is like your clothes. It says something about you. If you can’t even put on the right clothes, what else are you going to do poorly?
It doesn’t matter if this is fair or not, it’s true. Brand perception is foundational to the purchasing decision.
Let’s look at the data for a second:
- 81% of consumers said that they need to be able to trust the brand to buy from them.
- 59% of shoppers prefer to buy new products from brands they trust.
- It takes 10 seconds for someone to form a first impression from a brand logo.
These are just a few points telling the brand story. People who are looking to buy care about brands. Your business is just one choice among literally millions of options a customer can buy from.
Let’s simply assume for the moment that your customers need your product. That’s all well and good, but they have a bunch of other needs as well.
They need to feel safe. They need to feel confident in their purchase. They need to trust you. They need to believe your product or service will solve their problem.
These are not “wish-list” items. If these needs are not met, it will cause friction in the buying process and likely kill the sale entirely.
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How Does Branding Impact Revenue?
Businesses usually want to talk about revenue. This is an ongoing struggle between marketers and business leaders because marketers want to do sexy, exciting marketing stuff and see if it works. Business leaders don’t like that. They want cold hard cash in their hand yesterday.
Branding does impact revenue, but it’s hard to measure, so most marketers don’t understand it. I’m going to illustrate the power of branding on your bottom line using Beats headphones. My passion is music production. I have a home studio, and I spend a decent amount of time working with professional audio gear.
Anyone who knows anything about headphones will tell you that Beats headphones are terrible. They have ridiculously hyped bass, they’re not comfortable, and they’re so overpriced Coach is jealous of their margins. Beats retail for $300 on average.
Now, Audio-Technica makes a pair of studio headphones for $50 that I would rather use any day of the week than Beats. They have a much more even sound, they fit comfortably over your ear, and they have better environmental noise rejection.
So why on earth do people pay 600% more for Beats?
This is the power of branding.
Lebron James doesn’t wear Audio-Technica’s while he shoots hoops in his penthouse and answers phone calls from Dr. Dre.
This is the power of branding. Business leaders who want to increase profit need to understand what branding does for their revenue.
How To Crack The Conversion Code
The secret to conversion is brand. You can have the best copywriter in the world or the most clever video ad, it won’t matter if the brand isn’t there. The brand is the conversion code.
Eyeballs are great, but you want money. Nobody reaches for their credit card because they see an ad.
If you want to start driving real revenue and real marketing results, you can’t afford to ignore your brand.Back to the blog