10 Things I Learned about Branding this week
Branding & Your Company
- If a new business survives past two years in today’s economy it is successful. Most start-ups will fail after twelve years and “successful” companies usually peak around the forty-year mark.
- Successful companies encompass traditional values and focus on the relationships they build with their customers. Companies that focus on numbers and dollar values lose sight of this and as a result their revenue and profit charts plateau.
- There are some companies that exist in the business world today that are passing their 100th Birthday and these companies are successful because: 1. they are sensitive to their environment 2. Have a strong corporate culture 3. Think outside the box and 4. Took calculated risks.
- Effective advertising plays into the idea of a “successful” company but first we must understand the difference between paid, owned and earned media. Paid, owned and earned media are all interlinked and companies need to focus on all three areas.
- Defining the three forms of media:
- Paid media is: what you as a company pays for (i.e.: print ads, radio ads).
- Owned media is: what you as a company own (i.e.: your website).
- Earned media is: the publicity gained via efforts that is not paid advertising.
- By using paid, owned and earned media together, potential and existing customers are exposed to the brand repetitively and this creates familiarization as well as loyalty to the brand. Short term retention numbers may not be significant however; long-term forecasts prove that this form of advertising provides long-term spikes in profits.
- At the same time, unless you a company believes in yourself, you can’t convince others to believe in you. Ultimately, you want to have people believe in you to create trust in you and your company.
- People in general like to feel a part of something bigger, such as a community. A community made of people who believe what you believe. Therefore, ultimately as a company your goal is to build your own community which will result in loyal customers. A great example of this would be Apple.
- One of the great features of Apple as a community is that it provides human contact. Human contact in today’s society is a luxury. This contact also enhances the consumers’ experience. By enhancing the consumer’s experience you are building trust and this trust will build a community. This community believes what you believe. This belief turns into loyalty to the company, therefore resulting in repeat customers.
- In order to be a successful company you must investe and continue to believe in what you do. The moment you stop believing or caring, so will your community. The key here is to make sure everyone that is a part of your company invests in your community; and this will make help the longevity of your business.
Simon Sinek- First Why then Trust. Podcast: The Converged Media Imperative with Rebecca Lieb. The Living Company Habits for Survival in a Turbulent Business Environment – Article from BusinessWeek.