If you’ve landed on this page, then you’re smart enough to realise that brand strategy isn’t just a load of marketing waffle or fluff. But perhaps you’re still wondering exactly how it impacts your bottom line.
In this article, we’re highlighting some powerful ways that brand strategy helps businesses grow, so you can move its priority level from “nice to have” to “essential”.
Showcases your “why”
A solid brand strategy increases the perceived value of your products or services by connecting your business with a greater, more meaningful benefit that goes beyond the sensible stuff, like features and pricing.
Jim Stengel, in a study of 50,000 brands that led to his book, “Grow: How Ideals Power Growth and Profit at the World’s 50 Greatest Companies”, found that brands who had a strong purpose and “why” statement grew 3 times faster than the competition.
Drives customer loyalty
Following on from the point above, when people feel emotionally connected to your brand, they are more likely to choose your product over the competition. After all, 71% of consumers prefer buying from companies aligned with their values.
This not only reduces customer acquisition costs (CAC) but also makes existing customers more likely to come back for more without shopping around.
We’re all guilty of a little shiny object syndrome from time to time. It’s a particularly big struggle for passionate entrepreneurs and growth-hungry leaders who want to take advantage of every possible opportunity.
The problem is, this can easily lead to bad decisions, like jumping on the bandwagon of new marketing trends or left-of-field product ideas that aren’t grounded in consumer insight.
This is where brand strategy comes in to save the day.
Your brand strategy is your compass.
It helps you course-correct and move forward in alignment with the long-term vision (while filtering out the rubbish!).
Gives you laser focus
The old saying by Benjamin Franklin goes, “If you fail to plan, you are planning to fail”. And irritatingly, he’s right.
When you commit to a clear brand strategy, you can move forward with direction and purpose.
You can focus on needle-moving tasks rather than “busywork”. You know who you’re targeting, what matters to them and how you can solve their problems.
No more wasting money on random initiatives, vague design briefs or failed marketing campaigns. No more guessing and stabbing in the dark. Suddenly, the ROI of everything you do goes through the roof. Woohoo!
Improves employee retention and performance
You might not have considered this, but brand strategy helps you hold onto talent too. When people are brought together by a clear sense of purpose, they feel motivated and guided by meaning (not just money!).
This means you end up with a team that is happy to work hard for the cause.
Your staff also stick around longer and positive energy is infused into everything they do – from customer interactions to sales meetings.
Increases the value of your company
Are you a startup looking to raise capital from investors? Or a larger company looking for a future exit plan? Having a well-considered brand strategy shows potential buyers and investors that you know where you’re going and why. It adds to the strategic value of a company because it increases the value proposition for the consumer.
If you can articulate and demonstrate how your brand strategy has led to stronger sales and brand loyalty as well as reduced risk and higher profit margins, then you’re golden!
Your most important investment
As you can see, there are many reasons why branding is now included on the balance sheet despite being an intangible asset. Strong brands stand the test of time, so don’t wait a minute longer to invest in yours.
If you’re struggling with where to start, we’re here to help break it down – so get in touch today.