A brand is a perception that represents a company or product in the minds of consumers. The brand represents the image of what a company is and the purpose of its existence. Usually, a brand is identified by the company’s logo, a tagline, or a jingle associated with its products in all its advertising. It provides a reason with which the consumers associate themselves. It is what a firm promises to its customers.
Advantages of Creating a Brand
There are several advantages for companies to invest in and create a good brand. Some key advantages are:
- It helps people remember the product, service, or company despite competition. Since so many products offer the same benefits, a different name or logo helps customers remember the products.
- It helps build loyalty toward the product or service. If a customer likes a product used, they can buy it again if they remember its name.
- A good presence builds trust with the customer. A company that invests in promotion, creating a unique name or logo, attracts customers as it sends signals of trust.
- A good brand ensures that customers have a high recall and can lead to repeat purchases. If customers remember the name or logo or product, they can spread a positive word of mouth.
Importance of Brand
A brand is a trademark and cannot be used by other companies. It is developed over time and is like an umbrella under which the company offers several products and services. The user can identify the source of these offerings by the brand they carry. Every product created by a company is made to offer a unique benefit. This product is identified and differentiated as compared to competitor products by giving it a name, logo, tagline, etc. Each product hence gives a specific message to the consumer and this message can be different for different consumers.