It is a well-known fact that there are more goods and services in the world today than people can use in their lives.

Visit a big box store or your local grocery store and you’re likely to see different iterations of what are basically the same product. In fact, the only thing that distinguishes many products is the brand. In a world of constant competition, it is possible and necessary not only to make cool quality products but also to build a system of values, positioning, and other categories around them, which combines the concept of a brand.

As a brand manager at Zubr Capital Investment Company, I know that a well-built brand can significantly increase the value of a business. This is far from the only advantage that a strong brand gives a company. Here are some of the insights I suggest brands apply when considering their market engagement.

What is the Nature of a Brand?

Consider for a moment the question, “What is the safest car brand in the market.” Think about the features or imagery you associate with a vehicle you trust enough to put your kids in the backseat.

Most would conjure the striking branding of Volvo. The nature of this car brand is over a decade of marketing materials solidifying the idea that consumers can trust Volvo’s safety features.

The nature of a brand is directly related to its ability to convey a company’s unique quality or inspire an emotional connection with a target audience. These feelings are more than a color logo or tagline. They are the underlying features someone should think of when experiencing a company.

Brands seek to find a certain place or reputation in the minds of customers. They want to establish a strong presence, so when you think, for example, “Magic,” you feel the nostalgic embrace of well-known, international brands like Harry Potter or Walt Disney.

Why is a Brand Needed?

It can be challenging to beat other brands in an overcrowded market, industry, or niche sector. While developing a long-lasting brand is one important task, being able to stand out with your brand identity is another.

When you log into your smartphone, you are likely to see an ocean of mobile applications waiting for you to check the weather or start a musical playlist. Many smartphone users have over 200 apps on a device, but only six of those apps use 90% of the screen time. Even more striking, only the top 10 mobile apps use 99% of the same screen time.

Apps like this illustrate how a brand needs to be in the top echelons of memory recall for customers. Otherwise, you’re fighting for a small percentage that the majority of other brands are trying to scramble to occupy.

Building a brand is crucial to success. Being able to “live” in a customer’s mind, even those not part of your target audience is essential to upward growth. With a strong brand, you gain many benefits like:

•       Offering a higher cost of goods. The consumer isn’t just paying for the item, they are purchasing your brand as well.
•       More strategic control over your product makes it easy to tell an authentic branded item from a knock-off.
•       The opportunity to attract better employees and team members (and pay them less).
•       Greater relationship potential with suppliers and distributors (marketspace control).

With these benefits, you can cultivate a strong brand that resonates with a target market. Just remember that a brand is not just your logo or paid advertising, it is the DNA that makes up the company.

How Does a Brand Relate to Other Concepts?

A brand is the universal DNA of your company. You use this DNA to inform many aspects of your brand development.

Positioning (differentiation):

You must separate your brand from others in your market. Start by identifying 3-5 competitors, create a list of ideas about what differentiates you and what areas of your business are better, select 2-3 essential characteristics, and rate yourself to see what you can “lean into” for positioning your brand.

The greater your ability to separate yourself from the market without sacrificing value or perspective, the more you’ll remain present in the minds of audience members – even on a broad scale.

Brand Product:

The product in branding is what problems your products or services solve. Customers don’t need to see the “function” of your business, like making a burger or running a TV show. They want to see how you solve a problem, like they are hungry and need a bite in a hurry or are stressed and want to binge a favorite TV show that makes them feel comfortable again.

Communication Platform:

Once ironed out, your branding must turn ideas into an action plan. This plan should include the specific actions your business will take in the near future (typically over the span of a year, according to a schedule you create at a meeting) to strengthen the brand. Some of the more common actions include:

•       Hosting events
•       Attending/co-sponsoring conferences
•       Distributing publications
•       Social network strategies
•       PR elements
•       Strategic partnerships
•       Special projects

The more you can amplify your brand relevance through these affiliated concepts, the further you cement the brand recognition that helps you gain more significant market space and profit potential.

Wrapping Up

Uncovering the nature of your specific brand takes time, effort, and focus. You need to develop and apply a branding plan throughout your organization’s communication infrastructure. Everyone from the person washing the floors at night to the head sales leader needs to be “on board” with the nature of your company’s brand.

Working with companies from local startups to international name brands most homes would recognize is always an honor. Working at Zubr Capital has offered many opportunities to expand my experience of the nature of branding. I hope this article provides insights you will find useful as you further implement your own branding plan.

About the author:

Darya Ksianzova

Brand Manager and Environmental & Social Manager in Zubr Capital Investment Company. Expertise: Brand strategy creation, communications with investors, and brand strategies of the Fund’s portfolio companies. Mentor Women in Tech in Warsaw.