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Branding is the process of making your business recognisable. A brand name is technically the legally registered name of a company or a product, but company branding is much more than just choosing a name and making it legally yours. Branding allows others to recognise your company and products at a glance, and serves to do several very important things to help people recognise and want to do business with your company.
To understand what branding achieves, think of some of the most well-known and instantly recognisable companies in the world. Nike, Microsoft and McDonalds. No one who’s been exposed to McDonalds more than once or twice can see the golden arches and not instantly recognise what they mean. The Nike "swoosh" logo stands alone without the name Nike, and is easily recognisable. You can glance at a pair of shoes and see the swoosh, and know they’re Nike shoes. Microsoft’s branding takes many different formats, but the most easily recognisable is the 4-coloured Windows logo. These are all excellent examples of strong branding.
Why does branding matter
Why is it important and noteworthy that these companies and other companies like them have those instantly recognisable symbols and names? That’s branding at work, helping consumers recognise the name, remember it and purchase those products. Imagine that you’re faced with two product choices. You can purchase a pair of shoes, a piece of software or a burger from companies with names that you’re not familiar with. Or you can purchase Nike shoes, Microsoft software or a McDonald’s burger.
Most people will automatically lean toward purchasing from the companies they recognise. Not only does the recognition influence the decision to purchase simply because they’re familiar with the name, there are other things at work. A strong, recognisable brand gives the impression of quality products and a company that’s been around for a long time, which makes it more trustworthy. If you trust the Microsoft brand, then a no-name piece of software could have testimonials from users printed all over the package. But you’re still more likely to buy the Microsoft software based on branding alone, because you’ll automatically trust it more.
How to achieve good branding
Achieving this type of branding isn’t always easy. The good news is that while companies like Nike and McDonalds had to advertise far and wide to make their brands known, smaller businesses only really have to become known to their potential customers, which probably make up a much smaller group than everyone who wears shoes or eats fast food.
For smaller, niche companies to achieve corporate branding, the first step in brand development is usually a simple logo that’s memorable and attractive. Then choose a short, memorable name. If the company name has 5 or 6 words, the brand name can be shortened to one or two, or initials like JVC or RCA to make it more memorable. Then to achieve branding in the shortest time possible, be sure to use that brand name and logo on everything from a website to paper stationery, and it will become more recognisable very quickly.
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