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Why Branding is So Important For Your Company?

Do you think just a memorable logo or a punch line is more than enough for a brand building?

If yes, you are mistaken. It is not even branding.

Branding is an all-encompassing term.

Having a logo, theme, scheme or punch line is just part of branding.

It is important for every company, whether it is just a start-up or a corporation, because it is a link which connects companies to customers.

A good brand helps create revenue, growth and sales.

It protects you from copycats and much more.

Let us have an elaborate view of what branding is, what its goal are, and why it is utterly important for any company.

Before we delve elaborately into the importance of branding, let us first know what branding actually is.

What is Branding and why is it done?

When you set up a company, your potential customers want to know who you are, what you can do for them, why they should choose you, and a lot of other things.

This is what branding is.

It is not slogans, logos, or any other similar type of recognizable mark.

It is a business concept that assists people to locate and identify companies, products, or individuals.

With good branding efforts, you can give a human side to your brand. You can appeal to the emotions of the masses and can also keep them hooked. You can help them realize that you are more than just a brand and this is the reason why brand building is done.

Let us have a quick look at the difference between branding, marketing, and advertising as many people get confused and use them interchangeably.

Here is a more elaborative and precise view of what branding is for a better understanding.

How Branding Differs From Advertising and Marketing?

Branding, advertising and marketing all are the tools that you use for your brand promotion.

All these efforts help you acquire and retain customers, and drive sales, revenues and profits. These terms are often thought to be similar and most people do not the know differences between them.

Here’s how branding differs from advertising and marketing.

Branding is the purpose and beliefs of your company. It means what goals a company has, what exactly it does for its consumers, and why its products are important to them. It is a way to connect with your customers for a long-term commitment.

Visual components of your brand are taglines, fonts, color schemes, logos, and other similar things.

With the help of these elements, customers can identify the brand and connect. All printed materials, all social media interactions, collaterals etc. are the part of marketing efforts by any company. 

Marketing means building awareness about your brand. Marketing a product is not possible without branding.


Advertising can be termed as a subset of marketing. Unlike marketing, which is about promoting awareness about a brand, it is about acquiring customers, growing sales, and revenue. Advertising refers to the paid campaigns which are carefully written to reach out to the target audiences through printed materials, posters, and radio or television commercials.


Advertising and marketing are used for the brand promotion and branding is all about making goals and commitments known to the customers.

Branding is a great way to connect with your customers and advertising is a way to convince them to take action.

Experts have made the differences clearer here.

Why Branding is Important for Your Company?

One of the most important reasons why people go in for branding is that it connects companies with their consumers.

A good brand will tell its customers what they can expect from them and hold on to its promise.

You Make Your Purpose Clear to The Audiences

Branding is not just about telling customers who you are. It is about telling your customers who you are not also.

So, you have your purpose clear in mind. You have your goals clear in mind and audiences know what you do and deliver.

Branding becomes your purpose statement and you know what you are working for and can safely eliminate all that you do not have in mind. 

With branding, your position is strengthened and you begin to work towards your target. Hence it helps you stay focused and win eventually. 

Brand Helps People Identify and Recognize Your Products and Organization

As already mentioned, brand is more than just a name or a logo.

It sets businesses apart from others and works as the visual identity of your brand.

It can comprise of websites, logo, colors and more. It can contain several things like pricing, partnerships, sponsorships, your packaging design and a lot more.

It gives a distinguished identity to the company and makes it stand out of the crowd.

Brand Building Means Building Trust

The foremost importance of branding is that it builds trust.

Your business needs branding to connect with the customers.

Trust from the audience is the most important things. Customers come first for any business.

Building a brand means connecting with them and setting a link with them.

When you look at the prime businesses in your industry, you will get to know the efforts they have made to build their brand. 

You can establish your business as a credible business and can show your potential customers what all they can expect from your business.

This way, your business can improve itself consistently and the potential customers will acknowledge your efforts of building a brand. 

Branding and Advertising Go Hand in Hand

No business can expect to sustain without advertising. Branding and advertising work in tandem.

If you want to get the best results from advertising, you have to first work towards building your brand first. When you plan for advertising your business, you want everything to be cohesive and for this you have to form your brand first. 

You can choose to incorporate branding into your advertising campaign to bring great opportunities to your business. It helps you to be distinguished from your competitors. 

Branding Makes Loyal Customers

People do not form relationships with the products. They are loyal and committed towards brand. 

In fact, they know a company by its brand. For instance, think of a soap bar containing no logo, no brand name etc.

People will be least interested in buying that soap bar as they think it just an ordinary or a fake product.

Contrary to this, if the product is branded consumers will readily and happily by it as they can relate the product to their loyal brand.

You Get Connected With Your Customers Emotionally

When you build a brand, you create trust in the target market and can help you create your brand loyalty so that consumers know you and can continue coming back.

It is these values that can create an emotional and strong connection with the people.

The promises you have made to them and the secret salesman packaging have resonated with the consumers.

So, if you are wondering why branding is important, think of your loyal brand that you have been purchasing so long. You get connected to it emotionally and eventually become loyal. 

Your Consumers Know What to Expect and What to Choose

With the help of branding, people know the right products and services to choose.

A company that can make a clear brand promise will be able to make loyal customers much more easily.

Customers know what to expect from you each time they associate with you. For instance, if consumers want to buy sports shoes “Nike” comes into their mind. 

If they want to purchase pure distilled water, “Bisleri” will be the right choice, and so on.

Such is the magic of branding that over the long period of time, you get an edge over your competitors. 

You Can Retain Top Quality Talent

A lot of employers use branding in a unique way.

They attract talent to their company with the help of it.

With the help of branding, they can showcase their company a great place for the employees that can help them attract and retain talent.

Skilled people are more than happy to work with the top brands. So, branding is also a way of top talent acquisition. 

Brands Are Your Asset

Brand is your important asset. It is your identity and it is what you present to the public.

Brand assets are the recognizable elements that embody identity of a company.

Everything right from typography to taglines, logos etc. your business is identified by your brand. It helps you stand out of the crowd and associate with the customers. 

Your business gets recognized by your brand. Over the period of time, brand becomes your asset. Branding makes a difference between sales, liquidation and debt etc. it gives you chance to get linked up with the customers, connect with them and represent them.

Brands Prevent You From Copycats

Branding will protect you from your rivals in the market who want to attain your success.

If you have not branded your products and services, they will make copycats of them and can claim them as their own.

They can make products exactly like yours and can claim them as their own ones. Branding is the blueprint of your business. It is how customers perceive you and it is exclusively yours. 

So, it helps keep your uniqueness prevented and protect your products from being copied. 

You Can Build Trust With Different Stakeholders

Branding strategies are created for increasing the number of customers and for attracting top talents.

With the help of branding, companies can make their reputation and can attract a large number of stakeholders, employees, investors, business partners, opinion leaders, licensees, purchasers and a lot more. They like to work with a company that has a high level of professionalism. 

Investors love to invest in companies that have a great reputation and a good brand name. 

It Helps You Grow Your Business

Importance of branding has grown by leaps and bounds.

A valuable brand is like an asset that helps companies creating a profitable business. A strong brand can adapt ant test of time.

There are a number of brands in the market that have made tons of efforts in developing their brand image and their strategies have paid off. 

With the help of branding, you can expect your sales and revenues to go up!

You stay focused on what is necessary as you know your goals.

In fact, money spent on branding is worth it because you will be able to extract the maximum value for it. 

You Get New Customers And the Older One Becomes More Loyal

Incredible though it may sound but it is true that branding helps you get new customers.

But this happens actually! If you are wearing attire or a watch or anything that impress the onlookers, they would ask what the brand is.

There are tons of different products and if you have branded your product, originality of your brand will stay intact and more and more people will want to have it. 

Branding is much more than just designing a logo or a tagline. It is need of the hour and indispensible. It is a connection between you and your potential customers so it is more about your customers’ experiences, promises of your brand, its moral values and philosophy.

There will be no exaggeration to say that branding is the soul of your company without which it is difficult to represent and portray it.

It is one of the most important investments that you can make.

Always remember that people do not get linked with products or services.

They make relationships with brands and hence branding is important. 

Here’s what Brand Ing Mag. has to say about why branding is important for every business. 

You can better imagine the reputation of a company that is unorganized, does not have a logo, theme, etc.

Customers just get scared away from buying products and services from such companies.

The importance of branding lies in the fact that it creates an emotional connection with the customers.

They recognize you with that and your brand becomes your identity!

Shakespeare has said it beautifully: “We know what we are, but not what we may be.” 

Let a good brand-building effort opens the doorway to your future success.

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