Business today is not only referring to a certain product, and service that a company is offering. It’s now more of a branding or name exposure. And it’s highly unlikely that you make a business name known if there is no integrity towards services, products, sheer popularity or for leadership. In business world, first impression lasts most of the time. What is genuine will remain genuine and vice versa regardless of the apprehensions promoted by media.
But something might be wrong in this kind of thinking. Media today is one of the major vessels in regards with branding. Sometimes it can make a brand name looks cool despite of having a bad reputation in the eyes of the consumers. That’s why billions of dollars (or whatever currency used for it) are spent every year in business media promotions. In Magna Global Advertising Forecasts in 2012, USA is the leading when it comes to media advertising.
The forecast says “The global advertising market is expected to reach $480 billion this year. The US remains the largest market with $152 billion. Japan, China, Germany and the UK complete the top five.”
And almost 70% of that amount of money is designated for “Branding Promotions”. And as I’ve said, media is one of the biggest carriers in business name promotions. What’s the point in revealing this? Media can be beneficial or disastrous based on the reputation of a certain brand.
Now, What is the key when it comes to making a brand known well? It’s the integrity and credibility of a name accompanied by good services, and public relations. Now, Why branding is important? Or is it really a necessity? Nike is one good example when it comes to this. See the business case study here.
Nowadays where all are powered by advanced technology, it is important to promote the so-called “recognition of a service or product” or brand. There are lots of same services and products out there, the thing that separates them is how they are delivered by their manufacturer or service provider.
That’s when the branding takes place. You will make your consumers recognize how you were able to deliver your products and services. Eventually, if everything is done in a right manner, you will no longer promote your services at all, it’s the name of your company. And if your consumers are satisfied to what you are doing, they will not remember your products, they remember your name.
Another good example is when Tata Motors of India had bought Range Rover and Jaguar from Ford, the thing that caused them to spend $2.56 billion is not the cars, nor the factories. It’s the brand name itself. And just like the other companies who sold their brands to other big businessmen. Bill Gates and Prince Al-Waleed bin Talal did not pay $3.8 billion for the materials used when they bought Four Seasons Hotels, Inc. It’s the name.
Why they paid billions of dollars for such names? Because in true essence, brands are worth more than billions or trillions of dollars. Consumer trust, word of mouth, recognition, and good reputation – these things lies behind a good brand name and you can’t pay the public for these kinds of benefits that a good brand name can get.
There are lots of good examples why you should work out a good branding for your company. You will be able to reach the pinnacle of success if you manage to make a good brand promotions for your business. In today’s business race, there are lots of options that you can choose. As I’ve said above, media is one of the good things. But the risk is that you might still end up whining because of bad reputation.
Should we save our money for other profit rather than for branding? The answer is a big NO. I remember when me and my co-worker ate at a small eatery near our office. We were very satisfied because all the foods are clean and delicious. We mentioned it to our other co-workers and after trying it, they were very satisfied and actually returning every lunch to eat. The thing that amazes me is that it has no name. And they are so popular. How much more if you spend money for brand promotional campaigns? I remember Xerox, Hoover, and Polaroid. They really lost their gleam because their brand managers failed to deliver good brand promotions campaign even though they launched new innovations and product improvements.
It’s not really important what kind of brand you are going to promote whether it is logo, name, or a tiny shape, what important is that how you will make these things known to people and recognize it’s value when it comes to customer satisfaction.