5 Reasons Why Your Small Business Needs Branding
Where does branding fall on the priority list for your small business? If you are like many small businesses, branding is probably fairly low on your to-do list. For some, branding may not even be on the list at all. Many people think branding is for large corporations, not small businesses. But, I’d like to share a story with you about the moment when I realized just how important small business branding is.
Before I started my own design business, I worked for a well-known global publishing company. When people asked me where I work, I told them the name of my company, which happened to be a recognizable high-end brand, so people trusted me. When I eventually left the company, I became just one of many designers. I had to figure out how to stand out from other designers and gain the trust of potential clients. I was creating a business from scratch and had to build that trust. That’s when I realized just how important branding is for a small business.
Take a moment to think of a few popular brands. What comes to mind? For most of us, brands such as Google and Apple quickly come to mind. We think of big brands first because we’ve been exposed to them the most. It’s highly unlikely that you thought of a small business brand, such as your local cleaner or ice cream shop. But branding isn’t just for large corporations. Branding may be even more important for small business owners to set themselves apart from competitors and give customers a compelling reason to choose their store instead of the store down the street.
What’s a brand?
If you were to search for the definition of a brand, you would find a wide range of results. Some definitions consist of one simple sentence, such as David Ogilvy’s definition, “A brand is the intangible sum of a product's attributes.” Other definitions are more complicated and go on for an entire paragraph.
“Brand is what other people say about you when you are not in the room”
- Jeff Bezos, Founder and CEO of Amazon
Why is there so much confusion about brands?
Brands are about feelings, emotions, and perceptions that are based on your total experience with a brand. These are abstract concepts that are unique to each person and change over time. You and I could both walk into the same store and have two entirely different experiences with the brand.
For example, picture yourself walking into a Starbucks. Maybe some thoughts quickly come to mind: maybe you thought of the friendly barista from your last visit, the aroma of the store, or even a time when you had a great conversation with a friend at Starbucks. If these were your past experiences, then you probably have positive associations with the brand.
On the other hand, some people may think Starbucks is too expensive, or they remember a time when their order took too long, or maybe they feel the coffee isn’t as good as it used to be. You can see how two people could walk into the same store and perceive the brand in an entirely different way based on their own past experiences and perceptions.
Whether the associations are positive or negative, people already have an idea in mind of what the Starbucks brand stands for.
What is branding?
Branding is the process of actively shaping your brand. As we saw from the Starbucks example, you may not be able to control all perceptions of your brand, but you can actively shape it by communicating who you are and what you stand for, to help you connect with people who share similar interests and values. Branding is an intentional effort to build an emotional connection with people and influence the way they perceive your business. It will express to your audience how you are different from your competitors.
5 reasons why small business branding is important
We know now that branding isn’t just for large corporations. As a small business, you may not have an entire department devoted to branding like some of the large companies do, but that doesn’t mean it’s any less important for your small business.
Here are five reasons why small business branding should be a high priority for you
1. Branding tells your story
Branding allows you to communicate your story to your audience more clearly. Your story comes through in your logo design, the way you interact and speak with your audience (brand voice), and your personality (for example, friendly, honest, welcoming, etc.). All of this together shapes how your audience views you. If your ideal client is calm and elegant, your business needs to project calm and elegant in its logo, store experience, online presence, packaging, etc. — all elements should express the same calm and elegant feel. Clients like to work with companies that are “just like them” because it makes them feel understood.
2. Branding makes your business easier to recognize
Brand recognition is what makes your company memorable. This includes elements of your brand identity design, such as your logo, color scheme, and visual elements. Small business branding keeps your company in front of your audience and helps make your company memorable. The more familiar your brand becomes to your audience, the greater the likelihood that they would be willing to try your digital product or services.
3. Branding gives you confidence
Building a strong brand not only requires strategic thinking, it also involves some risk-taking. Defining your brand is an opportunity to set yourself apart from the crowd — it is what makes you different from everyone else.
Anytime you are doing something different from the others, you are taking a risk. Imagine for a moment that you’re standing in a crowded room and you’ve been asked to stand up and tell everyone why you’re different. It takes courage to do this because you don’t know how people are going to perceive what you say. Will they like it? Or will they think it’s just weird? Think about the reactions Steve Jobs may have gotten when he told the world about his vision of creating mini-computers (iPhones) to carry around with us. At the time, it was far-fetched; now it seems brilliant.
A strong brand will also give your staff the confidence they need to make decisions that align with the company’s values and mission. Since the strategic elements of the brand have already been established and communicated with the staff, they will have a deep understanding of what the company stands for.
If your staff seems unclear about the values and mission of your business, it may be a good time to strengthen your brand by revisiting the core values of your company. I created a downloadable Brand Clarity Workbook to help you get to the heart of your brand. This workbook will guide all future brand decisions, so your decisions are strategic instead of random.
4. Branding increases awareness of your business
When people are aware of your brand, they not only recognize your company from your logo, but they know who you are and how your service solves their problems. Increasing brand awareness is about building trust and strong relationships with your clients.
5. Branding creates an emotional connection with your ideal clients
A strong brand tells its audience we understand you, we feel your pain, and we have a solution for you. Trust forms when a company solves its client’s problems. When your business consistently provides clients with solutions, a strong bond develops between your client and your brand.
If you continue to nurture that bond over time, your clients may become your brand ambassadors. If they have a friend with a similar problem, they’re going to recommend your company. A clear indicator of a strong brand is when a business gets new clients from referrals.
Conclusion
I hope I’ve clarified branding and why small business branding is essential. It’s important to remember that branding is an ongoing process; as your business grows, your brand evolves. If you’ve written down your brand mission, core values, etc. years ago and haven’t looked at it since, it’s a good idea to revisit it. You may find that it’s time to rebrand to keep up with the times. If it’s time to refresh your brand, make sure to check out my Brand Clarity Workbook.
I believe that branding is important for every small business. Do you have an idea that you want to communicate with your audience, but don’t know how to express it visually? I would be happy to help. I offer packages for every budget with a Mini Brand Design and a Custom Brand Design. Let’s work together to strengthen your brand identity design and attract more of the clients you love to work with. Please contact me to schedule a discovery call or for more information.