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The power of branding

To explain the power of branding I would like to start with an everyday situation. You are in the grocery store looking for, let's say, cereals. Once you have reached the aisle you notice that your preferred item is out of stock, however, you can choose from many similar products at the same price point. What do you do?

In my case, I would either decide not to buy, visit another store or come back later. And research shows I am not the only one in the world who behaves like this. In fact, 61% of loyal customers would rather stick with a brand they trust than look for alternatives. Have I tried the other brands on the shelf? No, I don't need to because I am perfectly happy with my initial choice. So, what explains my behaviour? What makes me a loyal customer?

Maybe I grew up with the product, maybe I like the look & feel, maybe I love its communication, but either way, I am connected to it; there is something subconscious that drives my purchase decision. A motivation that makes me choose this brand over identical and oftentimes cheaper generic products that are available on the same shelf.

Dear entrepreneur, here is the good news: branding has the power to influence the subconsciousness of your potential customers.

In today's increasingly transparent world it has become more and more important to compete on something emotional, something with a purpose because you can't always compete on tangible assets such as price anymore. Whether you offer business-to-business or consumer products, your customers are increasingly looking for brands that share their values and that demonstrate authenticity. Branding is not just about creating a logo or printing your name on the packaging, it is about moving from being a commodity to becoming a unique character that stands for something. It is about building a personality that can connect with its audience on an emotional level. Research has shown that customers who connected a certain coffee brand with warm family feelings & values spent almost three times more than regular consumers who only bought the product for the taste of it.

To conclude

If you are developing, manufacturing or distributing a product, think about what will happen to you if a competitor rises with the same features at a lower price. Your brand will be your one true differentiator. So, please take the time to consider 'why are you in the market?', 'what is your promise?', 'what do you stand for?', and 'what makes you desirable?'. I am more than happy to guide you in this process through co-creation or by developing your entire brand strategy.

And remember: a product is just a product until people start asking for it by name. Then it has become a brand.

“If Coca-Cola were to lose all of its production-related assets in a disaster, the company would survive. By contrast, if all consumers were to have a sudden lapse of memory and forget everything related to Coca-Cola, the company would go out of business.”

- Coca-Cola Executive


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