Everything we know about a product or service is because of branding. It is the link between the customer and company and vice versa. And while there are many huge brands that we all know about, branding is equally important for startup success. In case you’re about to launch a startup and you think this doesn’t apply to you, you might want to take a look at our six reasons why branding is crucial for startup success.
It allows your company to grow
When running a startup, there’s one thing you need to aim at – establishing your business. You want customers and other businesses to know and talk about you. This helps your startup grow and become relevant in your industry. And to get there, you need a powerful brand. Just by having a logo and colour scheme you can make it easier for customers to remember you and recommend your product or service to their friends and family. This results in increased awareness and helps your startup accomplish everything you set out for.
It sends a message that you’re here to stay
Studies have shown that customers show more trust to the companies with a powerful brand. The reason behind this is that a good branding strategy helps you send your customers a message that you plan to stay here long-term. This makes them more likely to create an emotional connection with your startup and keep coming back. And with about 80% of startups failing within the first few years, customers don’t even bother doing this. So, come with a good branding strategy and your customers will know for sure you’ll keep growing your business and improving your product or service.
It generates more customers
The more people hear about your business, the more customers you’ll have. And you can’t expect them to hear about you if there’s no brand they can connect to your business. Just put a logo on your company’s website and you’ll see more people buying your product or service. You can also get promotional items such as t-shirts and mugs and you’ll encourage them to remember your business and come back. Just bear in mind that you first need a good logo or a colour scheme to put on your promotional items.
It helps you be consistent
With the way marketing works right now, there are just so many channels you can use to attract customers to your startup. And the only way to appeal to the masses is to stick to the same marketing efforts across all channels. This includes coming up with a name, logo and online presence your customers will associate with your startup, and sticking to them. The best thing about it is that consistency helps you set apart from your competitors and land more customers. Not to mention that this also sends a clear message to your competitors and potential business partners.
It inspires employees
Most people need more than just work – they also need a sense of purpose in the workplace. That’s something they can create only by working for a company that has a personality and mission. Being an employee at a business that does this means they can come up with their goals as well. And the best way to inspire them is to create a brand for your startup. Something as simple as a well-designed logo can be enough to show your employees that they’re a part of something big. Moreover, working at a company with a powerful brand makes them more likely to stick around long-term.
It builds financial value
Ask anyone who trades with stocks and they’ll tell you that companies with a strong brand are valued many times as the real hard assets the business has. This is the case because a renowned brand often guarantees future business and great revenue. And there’s no need to say that this is huge for the business owner, no matter what their plans for the future are. Even if you don’t plan to sell your company, just the fact that your business is building value means you’ll do even better in the future.
Building a successful brand isn’t easy, especially when you’re building from scratch. But with the six reasons we’ve covered earlier in this post, it’s obvious that you need to do it. Start by coming up with your branding strategy and success will follow.