I think there are few people who clearly understand branding when they hear it. We will introduce the effects, methods, and success stories of branding strategies, which are now considered indispensable for marketing. We will also touch on the difference between branding and marketing, so let’s take this opportunity to deepen your understanding of branding.
What is branding?
Branding
refers to a strategy or construction plan for making consumers recognize a common brand image regarding the value of a company or product and differentiating it from competitors.
The main purpose is to gain
customer loyalty
by giving consumers a certain image of the product or company through the logo, tagline, website design, packaging, color variations used, product quality, price, etc. .
Difference from marketing
While
marketing
is a “total strategy for selling a product,” branding is a “strategy to enhance consumers’ image of a product or company and differentiate it.”
In marketing, we dig deeply into
needs
and strategically create products that sell by capturing market and social trends, such as goods and services that have not yet been commercialized. A distinctive feature of our work is that we focus on formulating plans to expand sales, including new product planning, concepts, pricing, and manufacturing process improvements.
On the other hand, branding is important for differentiating the value of products and companies so that customers recognize them. The main focus is on building a long-term framework to contribute to business, such as by providing visual images, sensory impressions, and reliability.
Branding is characterized by focusing on the value of the product or company itself, as well as creating a presentation and atmosphere that brings out the best, and establishing shared values. We aim to input a good image to the target group, raise awareness of the business, and expand overall.
Difference from rebranding
Rebranding refers to a strategy to rebuild the brand that has been cultivated. Brands gradually become categorized as “old” due to the growth of competitors, changing times, and consumer boredom. In turn, this will lead to a decline in brand value.
Rebranding involves reviewing markets and targets, updating logos, promotional materials, etc., and rebuilding the brand. While branding is a strategy that starts from scratch, rebranding is characterized by reconsidering the existing brand image and making adjustments in response to changes in the times and values.
Difference from PR
PR
refers to all actions taken to disseminate information about your company to society. Rather than disseminating information unilaterally, our premise is to build good long-term relationships with our company’s related parties and stakeholders. Let’s take a look at the main PR methods.
- Distribution of press releases
-
Owned media
management - Interview available
- Creating company newsletters, etc.
The major difference from branding lies in the purpose of implementing the measures. Branding seeks to increase your company’s value, elicit empathy, and approach potential customers. On the other hand, PR is a method that aims to build relationships with people involved in companies and services.
In the first place, PR is carried out based on the image formed through branding. Although the two have different characteristics, PR measures are an extension of branding, and by combining the two, a synergistic effect can be created.
How to use branding
Here, we will explain how to use branding as a word. Branding is mainly used in business settings because it means “establishing a company’s brand image” and “differentiating itself from competitors.” Let’s check the specific usage with example sentences.
- In order to survive in the coming era, it is necessary to actively brand your company.
- We will form a product branding project team to improve performance.
Meaning and effects of branding
The above are the benefits you can enjoy through branding. By differentiating from competitors and products, companies can set prices that match their brand value, increase awareness through advertising, and comply with legal requirements to protect their products and services. There are benefits such as being protected.
Additionally, for consumers, companies provide information about their products and companies, which has the benefit of reducing the time spent on research and making purchasing decisions easier. Other benefits include being able to express yourself using the brand image and enjoying the sense of security (risk avoidance) that only a brand can provide.
Why branding is important even in BtoB
Branding in
BtoB
is effective in appealing to potential customers. You can gain trust as a company that responds to the expectations of your business partners, and you can create expectations as a company that is differentiated from other companies.
In BtoB branding, it is important to clarify core values (brand value), customer benefits, evidence (grounds and facts that provide benefits), and resources (assets and systems that produce facts).
How to brand
Branding is a part of marketing that is built step by step and turned into a realistic strategy. The specific method will be explained below.
Analyze and select targets
We collect data represented by environmental analysis, analyze trends in needs, and select targets. Branding that does not match consumer needs will not be fully effective, so collect and analyze data as much as possible.
Examples of methods: environmental analysis (
3C analysis
,
SWOT analysis
,
PEST analysis
,
five force analysis
)
Consider your brand identity
Based on the analyzed data, we specify what kind of value the target is looking for and solidify the core identity of the brand. This is the process of clarifying the characteristics, functions, and individuality of products and services that can be sold.
Method example Clarify mission and vision
Deciding on the brand concept
We look for ways to differentiate ourselves from other companies and decide on a brand concept. To avoid falling in line with your competitors, it’s a good idea to check out their websites and social media atmosphere. It can be used to develop concepts such as ideas for differentiation, brand awareness and objectives that should be appealed to customers.
Example of method: Investigate competing web pages and SNS
Output the brand concept
Consumers receive brand images through their five senses, so they need to visualize logos, color variations, patterns, design systems, etc. It is also effective to request consulting from an advertising agency so that advertising, commercials, and social media strategies can be put into practice in line with the brand concept.
Method examples Logo creation, color, pattern creation, advertising
Specific image of brand output
Specifically, the output image for brand formation is as follows.
Effect verification/examination
We recommend collecting customer feedback through research in order to improve and establish the products and services you sell. Use specialized research companies and internet services to narrow down the key points you want to know and collect data for future review of operations. Based on the data, we consider issues and improvement measures.
Customer Feedback by Example Methodology Research Company
A framework for a successful branding strategy
The key to a successful branding strategy is the effective use of various
frameworks
. Here are four frameworks that can help you with your branding strategy.
3C analysis
3C analysis is a type of framework for planning business strategies. Analyze your company’s market environment from the following three perspectives and logically derive your company’s challenges and success factors.
1.Customer: Customer
2. Competitor: Competitor
3. Company: Own company
3C analysis can reveal the differences between your company and the competition, so it can also be used for branding strategies. For example, if you can understand the strengths and weaknesses of your company and your competitors through analysis, you will be able to create value that is unique to your company.
PEST analysis
PEST analysis refers to a method that analyzes external factors surrounding a company and connects it to strategic planning. PEST is an acronym for four English words, and the analysis will be based on each perspective.
1. Politics: Political factors
2. Economy: Economic factors
3. Society: Social factors
4. Technology: Technical factors
The main purpose of PEST analysis is to collect information on the external environment, understand changes in needs, and discover opportunities and threats for your company. A PEST analysis will help you understand how external factors affect your branding and will help you plan your future strategy.
SWOT analysis
SWOT analysis is a method of analyzing the current situation of a company and identifying success factors and potential threats. The items used in the analysis are as follows.
1. Strength: Strength
2. Weakness: Weakness
3. Opportunity: Opportunity
4. Threat: Threat
If you can objectively understand your company’s current situation through SWOT analysis, it will be easier to think about the measures your company needs, and you will be able to create better branding measures.
positioning map
In order to promote branding, it is essential to understand the position of your brand or product in the market. Creating a positioning map is effective for brand positioning.
A positioning map
is a two-dimensional map consisting of a vertical axis and a horizontal axis. By making selections based on brand characteristics, product prices, etc., and plotting your company and competitors, it becomes a framework that allows you to visualize the positioning of each company. If you create a positioning map based on areas where there are no competitors, you will be able to discover unique positions with a high degree of advantage.
Types of branding
Branding can be divided into various types depending on things such as “what is being branded” and “who is the target audience”. Let’s organize the main types so that you can devise an appropriate strategy depending on the situation.
BtoC branding
BtoC branding refers to branding performed by companies targeting general consumers. The main purpose of branding for BtoC companies is to arouse purchase intent among general consumers. The brand power of the products and services you provide is directly linked to purchase intent, so it is necessary to use branding to differentiate yourself from your competitors and improve the image of your products and services.
BtoB branding
BtoB branding is branding performed by companies that are developing business targeting corporations. BtoB business models tend to have high product prices and take a long time to consider prospective customers, so they can easily get caught up in price competition with competitors.
In order to acquire new customers, it is essential to carry out BtoB branding targeting the companies you do business with in order to differentiate yourself from your competitors and improve your market competitiveness.
inner branding
Inner branding is branding that is used to instill the company’s philosophy and brand value among employees, including executives and managers. If you can gain understanding and empathy from employees, you can expect to improve performance and increase retention rates.
If employees become attached to their company and actively disseminate information about their company, this will lead to outer branding, which will be discussed later.
outer branding
Outer branding refers to branding done outside the company. It is characterized by targeting a wide range of people, including general consumers, stakeholders, and applicants for recruitment activities. By actively promoting your company’s products and services through outer branding, you can expect to increase profits and improve your corporate image.
corporate branding
Corporate branding refers to clarifying the image of a company that you want stakeholders to recognize, and promoting your corporate philosophy both inside and outside the company. The main purpose is to gain loyalty and sympathy for your company. By promoting your company’s unique value, you will be able to differentiate yourself from your competitors and establish a position that will prevent you from getting caught up in price and quality competition.
self branding
Self-branding refers to the activity of branding yourself and increasing your value. Generally speaking, it refers to individuals who do not belong to a company or organization using SNS to promote themselves.
The main purpose is not just to make yourself look good, but to highlight your strengths, expertise, and experience. By highlighting your unique value, you can increase your credibility and interest from others, and you can expect to improve your ability to attract customers and sell.
Branding success stories
Here are some examples of successful branding. This is a practical example that helps you understand that branding results are one of the factors deeply related to a company’s growth.
Example of differentiation from competing products: Meiji
Due to rebranding, Meiji’s “Meiji The Chocolate” has been changed to a “vertical” package with a classic box embossed with a colorful cacao bean motif. This innovative design focuses not only on the taste, but also on transforming it into a “presence” that you’ll want to introduce to someone.
This is a novel idea for the bar chocolate industry, where until now the standard chocolate bars have been chocolate designs and colors, as well as “horizontal” packaging. It was spread on social networking sites such as Instagram, and became an unprecedented hit.
Example of leveraging the brand power of existing products: Nissin
Nissin continues to create new value by leveraging the brand power of its own product, Cup Noodles.
For example, “Cup noodle rice” is mentioned. Rather than selling a new cup rice, Nissin launched “Cup Noodle Gohan,” which is a combination of “Cup Rice” and “Cup Noodle.” The brand power of Cup Noodles has led to new products becoming hit products.
In addition, leveraging the power of the Cup Noodle brand, we have also launched Cup Noodle Light and Cup Noodle Light Plus “Ratatouille,” “Bagna Cauda,” and “Shrimp Bisque.”
Example of adding value required by the BtoB market: IBM
Watson, developed by IBM, is an IT system that has been adopted by many companies due to its branding of AI (Augmented Intelligence) called cognitive computing.
Unlike regular AI (Artificial Intelligence), “Watson” not only improves data processing efficiency, but also has DL (deep learning) functionality that allows customization to suit business types, environments, and usage methods. . You can also handle tasks that used to be done manually, such as call center work and email handling. This is one example of success achieved by differentiating the system from existing IT systems.
Case study where technology collateral resulted in promotion: Dolby Laboratories
Dolby is a company that develops technology for media equipment such as movies and music. They earn money by licensing their technology. By including Dolby’s company trademark in the contract when providing licenses, its logo became recognizable to people without any promotion.
In addition to licensing its own technology, the company has also added its logo to products for which it has registered a trademark. As we continue to produce high-quality products, we have increased the visibility of our logo and succeeded in establishing the brand image of “Dolby = high quality.”
Key points for promoting branding with web marketing
Web marketing can play a major role in promoting branding.
You can create touch points with various users and targets through content marketing, SNS, web advertising measures, media posting, etc. What is important is how to generate content that contributes to branding among various web marketing measures and how to communicate it to users.
Depending on the content, brand power may be damaged, so it is important to set a policy and constantly generate content that meets the policy.
When disseminating content to users, it is important to clearly understand the characteristics of each SNS, advertising strategy, medium, etc., and distribute it appropriately.Distributing content indiscriminately will have the opposite effect. .
By implementing web marketing measures with branding in mind, you can increase the effectiveness of your marketing while also increasing your branding.
summary
Branding is considered an integral part of marketing and business strategy. Guide your product or business to success with a step-by-step concept and consistent measures. If you want to get reliable results with your branding, we recommend hiring a professional. If you are interested, please contact us first.