Why Brand? There’s a lot of confusion about what brand can do for a business. It’s key to recognize that brand is a a reservoir of cash that’s not yet on the income statement and a promise that represents a set of values that are capable of motivating the public, employees and customers.
These values reach far beyond the bounds of what function the product or service actually performs. Instead they are anchored in human concerns, emotions and aspirations.
Of the Fortune 250 over half of their market value is tied to intangible asset-values (like brands). Some of the most valuable companies have 3/4 of (their) value tied to intangibles with approximately 25% of that value is brand.”
A McKinsey report found that: “Marketers can no longer simply depend on a product’s functional attributes to shape its identity. . . Marketers now carry a greater burden to present a consistent and strong image – an impression that must be carried from print to t.v. to Internet to social to retail,” What are the benefits? Why brand?
Here are 15 commercial reasons why:
A brand creates a preference. Think Warby Parker
A brand is an emotional bond that builds loyalty. Think Disney
A brand is a shortcut for decision-making. Think Caterpillar
A brand is a unifier of an organization. Think GE
A brand is an assets which adds financial value. Think Apple
A brand helps support higher margins. Think Vitamin Water
A brand helps insulate against competitive pressure. Think Burberry
A brand helps attract and retain the best talent. Think Google
A brand delivers efficiency to marketing/ sales efforts pre/post launch. Think Microsoft
A brand delivers efficiency. Think McDonald’s
A brand communicates a unique position in the market. Think FaceBook
A brand builds powerful global presence. Think Android
A brand represents global strength. Think NYSE
A brand facilitates alliances and partnerships. Think Olympics
A brand generates revenue. Think Tiffany