BY SERKAN SÖĞÜT
POSTED ON
August 31, 2024
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What is Branding?

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..and what not

In the complex landscape of contemporary business, branding is often misunderstood. Some view it as merely a logo or a catchy slogan, while others mistake it for just advertising or marketing tactics. However, true branding is much more profound—it forms the essence of a company, the core of its identity, and the foundation of its relationship with consumers. For those in leadership positions and academic circles, grasping the full scope of branding is essential. It involves far more than what meets the eye, touching on psychology, emotional connections, and cultural significance that ultimately drive business success.

What is branding - The complete guide in 2024

What Branding Truly Is

At its core, a brand is about how it makes people feel. This emotional connection often transcends logic, influencing decisions at a deeper, subconscious level. Every interaction a customer has with a brand—from marketing materials to customer service—contributes to the overall brand experience. A great brand offers experiences that are not only functional but memorable, leaving a lasting impression that drives loyalty and advocacy.

Moreover, a brand is defined by its reputation—what people say about you when you’re not in the room. Building this reputation takes time and requires consistently delivering on promises, which fosters trust. Trust is a cornerstone of any successful brand, cultivated by living up to the commitments a brand makes—whether those commitments are about quality, innovation, or customer service.

A brand also tells a story. This narrative encompasses who the brand is, what it stands for, and where it’s going. An effective brand narrative not only differentiates the brand from its competitors but also resonates deeply with its audience, creating a connection based on shared values and beliefs.

Finally, a brand defines itself through its culture and the way it connects with people, both internally within the organization and externally with its audience. A strong brand culture is evident in the way employees live out the brand’s values and customers perceive them.

What Branding Is Not

To fully appreciate the depth of what a brand is, it’s also important to dispel some common misconceptions.

A brand is not just a logo or a visual mark. While logos are an essential element of branding, they are only a small part of the overall brand identity. Similarly, a brand is not merely a catchy slogan or marketing message. These elements may capture the essence of a brand, but they do not encompass the entirety of what a brand represents.

Branding is not just about marketing or advertising. These are tools used to communicate the brand, but the brand itself is much more than the messages it conveys. It is also not solely about the products or services a company offers. A brand transcends the physical goods or services it provides, encompassing the relationship and trust it builds with its audience.

A brand does not focus on immediate sales or short-term profits. Instead, its value lies in the long-term relationship it fosters with customers, built on trust, consistency, and shared values. Nor is branding a one-time project or a single campaign. It’s an ongoing process that develops, requiring sustained effort and strategic thinking.

Finally, branding is not a quick fix for immediate problems. It’s a long-term strategy that requires commitment and dedication. It is also not something that can be added on as an afterthought; it must be integral to the company’s overall strategy from the very beginning.

The Emotional Connection: How Brands Make Us Feel

Building an emotional connection is central to effective branding. This connection influences consumer behavior on a subconscious level, often driving decisions that are more emotionally than logically based. Cognitive neuroscience shows that the brain’s limbic system processes emotions and is responsible for memories and decision-making. This connection explains why brands that evoke strong emotions tend to be more memorable and influential. When a consumer feels inspired by a brand’s innovation or reassured by its reliability, those feelings become associated with the brand, leading to stronger loyalty and advocacy.

Case Study: The Brand Archetypes of Three Leading Smartphone Brands

Branding is a strategic tool that can be used to position similar products in vastly different ways, appealing to diverse audiences through distinct emotional connections and experiences. To illustrate this, let’s examine three smartphone brands—Apple, Samsung, and Nothing Phone—that, despite offering similar products, have cultivated unique identities through their brand archetypes.

1. Apple

  • Archetype: Creator
  • Brand Focus: Apple is renowned for its dedication to design innovation and creativity.
  • Customer Appeal: Apple attracts customers who value innovation, creativity, and a premium user experience.

2. Samsung

  • Archetype: Ruler
  • Brand Focus: Samsung positions itself as a market leader, emphasizing reliability and the latest technology.
  • Customer Appeal: Samsung appeals to customers who seek reliability, cutting-edge features, and the assurance of a leading brand.

3. Nothing Phone

  • Archetype: Rebel
  • Brand Focus: Nothing Phone, a newcomer in the smartphone market, embodies the Rebel archetype by challenging the norms of smartphone design and experience.
  • Customer Appeal: Nothing Phone appeals to customers who are tech enthusiasts and early adopters, looking for something distinct and unconventional.

Comparison Summary

  • Apple emphasizes creativity and innovation, attracting those who value premium design and cutting-edge technology.
  • Samsung highlights leadership and reliability, appealing to a wide audience that seeks the latest features and industry dominance.
  • Nothing Phone challenges the status quo, attracting tech-savvy customers who desire a unique and rebellious alternative to mainstream smartphones.

These brands illustrate how companies can use archetypes to differentiate themselves in a crowded marketplace, each cultivating a distinct brand identity that resonates with its target audience.

The Brand Experience You Create: Beyond Products and Services

While the emotional connection forms the foundation of a brand’s relationship with its audience, the experience defines this relationship over time. A brand experience is the cumulative result of all interactions a customer has with a brand, encompassing every touchpoint from marketing to customer service.

Research published in the Harvard Business Review underscores the importance of customer experience, with 73% of consumers stating that a positive experience is a key factor in influencing their brand loyalties. This finding highlights the critical role that brand experiences play in driving customer satisfaction and loyalty.

Reputation and Trust: The Cornerstones of a Brand

In the digital age, where information is readily accessible and consumer choices are abundant, reputation and trust have become the cornerstones of brand success. A strong reputation is built on trust, and without trust, even the most well-designed brand will struggle to succeed.

Psychological studies suggest that trust is built through consistent behavior, reliability, and transparency. When a brand consistently delivers on its promises, it builds a reservoir of trust that can carry it through challenges and crises. According to Edelman’s Trust Barometer, 81% of consumers say that trust is a deciding factor in their purchasing decisions. This statistic underscores the importance of trust in shaping consumer behavior and brand loyalty.

Brand as a Promise: The Unwritten Contract

If a brand meets or exceeds customer expectations, it strengthens the relationship, fostering loyalty and trust. Conversely, failing to live up to these promises risks eroding the trust that has been built, leading to potential reputational damage that can be difficult to repair.

Nothing Phone serves as an example of a brand that has made a clear promise to its customers: to offer a unique smartphone experience that challenges industry norms. This promise appeals to a specific segment of the market—those disillusioned with conventional smartphones and seeking something different. By consistently delivering on this promise through its innovative design and approach, Nothing Phone has begun to build a loyal following that values the brand’s distinctiveness and rebellious spirit.

The Power of Narrative and Values: Crafting an interesting Brand Story

Every brand has a story, but not all stories are created equal. The most successful brands craft narratives that are not only compelling but also aligned with their core values and mission. A brand’s narrative goes beyond being a marketing tool; it reflects the brand’s identity and forms the foundation of its connection with its audience.

Storytelling is deeply ingrained in human psychology. Cognitive science research demonstrates that our brains are wired to process and remember stories more effectively than abstract information. Stories engage multiple areas of the brain, including those responsible for emotion, memory, and empathy, making them a powerful tool for creating emotional connections and influencing behavior.

Communication and Culture: The DNA of a Brand

A brand’s communication style and internal culture are the DNA that defines its identity. Culture shapes how a brand interacts within its organization and with the outside world, while communication is the vehicle through which these interactions are expressed.

Corporate culture is not just an internal affair; it is a critical component of brand identity that influences every interaction, both internal and external. A strong, cohesive culture can drive employee engagement, foster innovation, and create a sense of community that resonates with customers. When a brand’s internal culture aligns with its external messaging, it creates a powerful, authentic brand experience that builds trust and loyalty.

Google, for example, is known for its innovative and collaborative culture, which has been instrumental in positioning the brand as a leader in technology and creativity. This culture fosters an environment where groundbreaking ideas can flourish, and this is reflected in the brand’s external communications, reinforcing its identity as a forward-thinking and dynamic organization.

Brand Differentiation and Vision: Standing Out in a Crowded Market

In an increasingly saturated market, differentiation is essential. True differentiation goes beyond being different; it requires a deep understanding of what makes a brand unique and how that uniqueness resonates with its target audience. A clear and compelling vision provides the long-term direction that guides this differentiation and drives brand growth. Research from leading institutions like Harvard Business School shows that brands perceived as unique are significantly more likely to be chosen by consumers, even in competitive markets.

Conclusion: Building Brands that Endure

Branding is an ongoing journey that involves understanding emotional connections, creating memorable experiences, building trust, and fulfilling promises consistently. It requires crafting compelling narratives, fostering a strong culture, and standing out in a crowded market. At Halobrand, we approach branding with a comprehensive and strategic mindset, helping our clients build brands that endure and thrive in the modern market. In a world where products and services are increasingly commoditized, it is the brand—its identity, promise, and values—that truly makes the difference.

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