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Why is Branding Important?

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What is Brand Identity?

The brand identity of a business is much more than just the logo, colour scheme and typography. It includes more in-depth aspects such as the mission statement, brand values, aims and the main idea of your business.

The aim of a brand is to be memorable and stand out against competitors.

This information will be passed on to the consumers through the business’ identity. Establishing a strong brand is one of the best ways of encouraging customers to interact with your business.

Brands now dominate modern marketing, with consumers having a large variety of brands to choose from.

Think when you go trainer shopping, there are the big brands like Nike and Adidas, but also smaller brands to choose from like Puma and Slazenger etc. Each brand tends to have their targeted niche, with Nike and Adidas being more expensive and Slazenger being a more affordable option.

Stand out from Competitors

Having strong branding means the business will be distinguished from others.

The aim of a brand is to be memorable to consumers and be the first business that they think of. Take the Nike swoosh as an example, the majority of people think of Nike when they see a tick.

According to Beauhurst, almost 60% of small businesses fail in the first 3 years. This can be due to many factors, perhaps an oversaturated market or not getting enough recognition.

Having a strong brand identity will allow the business to stand out from the crowd against competitors. This will put the business at an advantage.

Visual elements can have a positive impact in the audiences mind. If the brand identity is done successfully, customers will remember the business and potentially return or recommend to others. If the brand identity of a business looks cheap and unprofessional, it will deter customers and encourage them to seek out competitors.

Builds Trust and Customer Loyalty

Having a strong brand identity will encourage customer loyalty and build trust. A customer is more likely to remember a product or service that has a strong brand identity over a weak one.

Consumers are more likely to choose a brand they recognise, over one that is unfamiliar. Once a customer starts to recognise a business, they start to feel more comfortable using the brand, creating a loyal customer. A loyal customer is likely to recommend the business to their friends and family, leading to more sales, creating a growing, successful business.

Customers are more likely to shop at a business they know have similar values to themselves. This is why it is important for the brand identity to reflect the mission statement, brand values and brand aims. This is also a great way to learn who the target audience is.

Announcing the brand values for everyone to hear will naturally attract the customers who agree with the set of values, eventually creating a solid customer base.

Charge like a Professional

New businesses often have to keep their prices low to encourage customers. Having a strong brand identity will make the business look more professional, even if it is a start up business.

If you have a high quality brand identity, customers will naturally assume that your product or service is of a high standard, and be more willing to use you. Obviously, the more professional the business looks, the more you can charge.

Take these two logos as an example. Both logos are for non alcoholic cocktail companies. Which one would you be willing to buy from?

Attract Ideal Customers

When market research for your brand identity is done efficiently, your brand will naturally attract its ideal customers.

When forming the brand identity, it should include the core values, aims and objectives of the business.

Examples of brand values include whether the products are ethically sourced, how their employees are treated and how the business helps the environment or local areas.

For example, if a business were to use slave labour, then a lot of people would refuse to use that brand as it may go against their personal values and beliefs. However, if a business treats their employees fairly and helped with the environment etc people would be more willing to shop with them.

This is why it is important to explain what the company values are.

Creates Consistency

Having a brand identity allows your brand to keep consistency amongst all marketing materials and social medias. Customers will start to recognise your brand from things like colour, typography and patterns when used consistently.

Brand consistency can also help employees feel more comfortable with the brand. Having branded uniforms or stationery can help make them feel included in the brand and a valued part of the team.

Brand identity must live everywhere within a business in order for the business to be successful.


These points just highlight a few of the reasons on why having a strong brand identity is important for your business to succeed.

It is important to remember that it is the brand identity that leaves the imprint on customers minds. Without a strong brand identity, your brand will not be remembered.

Doing your research before creating your brand identity will give you a more in depth understanding on how your business can gain customers and survive against its competitors. It is ALWAYS worth investing in your brand.