Why branding is important?


When the market is strewn with assorted products in the same category, today it is very essential for all the companies to augment their branding techniques. Be it small or a big enterprise, most of the customers choose their product based on the perception that they have about the product. Hence it is vital for all the companies to pay attention to branding as its is a must for any organisation be it small, startup, partnership or corporation.
Branding is what the customer thinks about your company or your product. Nowadays it is very common that most of the small organisations, mainly start-ups are too reluctant to spend on branding as they feel that budget is a constraint. However, it is quite important for them to realise the fact that branding helps the organisation in many ways in this competitive market.
Some of the key reasons why we treat branding is important are the following:


·    Provides an Identity to the product- Branding helps in transforming a generic product into something that is recognisable and catches the eye of the customer. With the help of robust branding techniques, a company can develop a unique identity.
·        Increases the Brand Recall- It has been found that through advertising and branding techniques the brand recall of the company is improved. The customers position you and your company well over the others if there is a good brand recall. Proper branding techniques help in giving an impetus to the brand recall.
·        Helps in Differentiating from the customers- Branding helps your product to be unique and distinct from the competitors. Since the customers register your product with the distinct logo, tag line, colours etc it becomes very easy for them to easily distinguish from other products in the market

·    Leads to Trust – Most of the customers would like to opt for your product as they have loyalty towards a brand. In India, this is the case most of the households opt for Colgate as a brand as there is a lot of trust that is in the minds of the customers. Hence the customers would not switch their preference.
·    Create Loyal customers- Branding helps in creating loyal customers for lifetime. They don’t switch to other companies if the customer is loyal. It originates with time though! Branding leads to creation of loyal and faithful customers.
·     Helps the business to defy its competitors- We all are aware of the fact that in the world of today there is immense competition. In this extremely competitive market, it is imperative that branding helps to create a distinct identity of the company which helps in confronting the competitors.
·      Creates new business opportunities – By virtue of branding techniques, any business can increase the customers. Branding helps in creating new avenues for more business opportunities, thereby increases the financial value of the company.
·    Helps in generating referrals- Branding not only creates loyal customers but also helps in generating referrals. It’s a part of the human behaviour that they like to talk about their clothes, dress, their tastes etc. So word of mouth plays a very vital role in the creation of referrals


Hence, we realise how vital is branding for any organisation in todays’ world, where the companies are competition in the global market. Through branding the company can connect to the customer and vice versa. Thus, we see that branding is one of the most secret weapons to fight competition.

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