What Does Branding Mean and Why Is It Important?
You may have stumbled upon here wondering, “is branding really that important for my business?”
And I will be the umpteenth person to tell you “yes, yes it is.”
But what does branding even mean? And what makes it a non-negotiable when it comes to business? Let’s find out.
I’ll start with something we’re all familiar with—coffee.
Now, when you go to the grocery aisle in the store to pick your coffee, do you have a tried-and-true bag that you grab?
I don’t mean to make assumptions, but you probably have a preference. But let’s also bring in the stats— according to Statista, people definitely have a preference. Hint: it’s Starbucks.
Yes, Starbucks has been around for a little while (since 1971), but so has Folgers (which is #3 on that list, by the way)—who has actually been in existence much longer since 1850!
One cannot attribute this to simply “being around longer.”
There’s something else at play: branding.
Free Cheat Sheet: Is Your Brand Working? [Download Now]
So, let’s see how branding affects not only the coffee we choose, but many other decisions we make everyday.
What is branding? Branding is the feeling a company evokes upon its consumer. It’s the customer experience. It’s the colors. It’s the voice. It’s the people you hire. And yes, this also includes the logo. Essentially, every little element that comprises your business is branding.
In my experience, many people seem to think branding is just about the visuals. And they’re not entirely wrong—brand identity plays a crucial role your brand.
But we have to think beyond the visuals. It’s not about how pretty your logo looks.
Let’s go back to our coffee examples…
Starbucks did what no coffee company did before them in America—they served high-quality espresso in a relaxed environment, thus creating the “third place of dwelling” between home and work.
While this wasn’t unusual in Europe, it was unheard of in America, where we typically saw coffee as a mere commodity—not an experience.
Howard Schultz, the CEO at the time, also strived for an environment where employees are fairly treated and compensated.
These fundamental concepts shaped their voice and identity, which had great impact on their decisions down the road when it came to expansion.
Today, Starbucks is the eco-conscious, friendly brand. They hire kind, passionate people (I honestly don’t recall the last time I ran into a rude person at Starbucks), and put focus on the consumer experience.
Yes, it’s not the cheapest option for coffee—but we don’t care. We delight in the experience the Starbucks brand has created for us.
Folgers, on the other hand, prides itself on its long-standing history, quality, and affordability.
Featured Resource: Branding Check List
Let’s talk about how these business’ stories reveal themselves in their branding now.
As I write this today, Folger’s headline on their Canadian website hero reads, “Damn right it’s Folgers. Your irresistible morning wakeup call that’s loved by millions.”
It’s a very bold, straight-forward statement that their ideal audience would likely appreciate: a morning cup with no fuss or bells-and-whistles.
The photography on their site, overall, is darker, moodier: a perfect way to express to someone that they’re serious about providing you a great cup each morning—because that’s all you need.
Note: they also have a separate site for USA consumers with a slightly softer approach, further suggesting that branding is directly influenced by audience.
When I go to Starbucks’ website, it is full of bright colors. It’s minimal, clean, and extremely appetizing with their crisp photography.
Heck, when I land on their site, the cookie warning even has personality.
The tone of the writing, or brand voice, is laid-back—as if talking with a friend.
It’s clear that Folger’s and Starbucks attract different audiences through the deliberate choices of expressing their brand. And there’s multiple factors at play here guiding those decisions: brand voice, photography style, color palettes, typography choices, packaging… the list goes on.
This is what branding does for your business and why it’s important:
It differentiates you from your competition
It attracts the audience you want
It builds trust and familiarity
It creates a cohesive experience
It establishes credibility
It allows your business to grow
Now you get an idea of what branding is and why it’s important… but I’m all about taking action.
Do you know what your brand says?
How do people perceive your brand?
Are you attracting the right audience through your branding decisions?
Luckily, I’ve created a cheat sheet to help you with these questions. Use this checklist against your brand and see if you can answer the questions.
If you can’t, then that means there’s room for improvement.
Wrapping Up
Branding isn’t just the visual aspects of a business.
While a logo is an important element of branding, it’s the feeling your business creates for a consumer that truly embodies the term “branding.”
Like humans, each business has its own personality. This personality is shaped through the specific consideration of colors, typography, design, customer service, tone, photography style, mission, and values.
And these elements are influenced by the audience that the brand needs to attract.
For branding to be successful, all of these elements must work in harmony with the audience—not just on the “pretty factor” of your logo.
