Business Energetix

Branding for Dummies

by Bill Chiaravelle and Barbara Findlay Schenck, 2007

Reviewed by Marti Benjamin, MBA, CPC

The authors make it clear from the first pages of this book that we are not embarking on a journey to come up with just a new logo or slogan when we undertake the task of branding a company. While these outward, visible signs are part of the branding process outcome, they are the result of much work behind the scenes to define the company or product in a comprehensive way.

The definition of branding used in this book is, "...a set of characteristics that arise in a customer's mind when that person hears your name or sees your logo..." (Page 2) The brand exists, not on the letterhead and packaging, but in the mind of the beholder. The market competition is for share of mind; for the place of preference in the thoughts of the targeted customer. Simply, "brands are promises". (Page 9)

A strong brand differentiates a product or service from its competitors. Rather than fighting for market share strictly on the basis of price, a brand allows the product to stand out and be remembered for its qualities and characteristics as a close match for the needs and desires of a segment of the market. Begin by identifying the needs of that specific market segment and determining where there is a gap between what they want and need and what is currently available.

"Branding is a circular process that involves these actions:

Product definition: ...you can't start the branding process without first knowing what it is you're trying to brand and whether your brand will be a one-and-only or one of several in your organization.
Positioning: Each brand needs to fill a unique, meaningful and available spot in the marketplace and in the consumer's mind.
Promise: The promise you make and keep is the backbone of your brand and the basis of your reputation.
Presentation: ...can make or break your ability to develop consumer interest and credibility in your offering.
Persistence: ...just when consistency is most necessary in order to gain clarity and confidence in the marketplace, brands that lack persistence go off track.
Perception analysis: In a consumer's mind—which is where brands live and thrive—a brand is a set of beliefs about what a company offers, promises, and stands for..." (Page 15-16)

When is it the right time to brand? "Brand when you're ready to make a promise to customers, and brand by making a promise that you're absolutely, positively certain you can keep." (Page 21) Understand, though, that you have a brand whether you developed it deliberately or not; it lives in the mind of your customer so as soon as you have a customer, you have a brand perception to manage. This applies to companies, products, services, non-profit organizations, and even individuals. That collection of characteristics that comes to mind at the mention of your name or the sight of your visual representation is your brand—for better or worse.

The essential elements of branding are product differentiation, relevance, esteem and knowledge. These elements create an impression when applied with consistency. The brand must honestly represent the experience a consumer has when interacting with your entity—the staff, offices, advertising, customer support, web site, and news stories, just to name a few.

A strong brand is capable of creating awareness, developing emotional connectedness, establishing distinction, creating credibility and trust and providing purchase motivation. (Page 47) Each your brand for each of these capabilities for its current strength (poor, fair, good, excellent) and its importance (low, medium, high). "Faced with a selection, you and nearly everyone else opt for the safe choice...the one you've heard of (awareness), the one that makes you feel good (emotional connections), the one with uniquely positive attributes (distinction), and the one you can rely on (credibility and trust)." (Page 52-53)

Each of us experiences probably more than 3,000 advertising and promotional messages each day, and that includes your target consumer. How will they see you in that sea of images and messages, all competing for share of mind? That's where the strategy of identifying and filling a niche comes in to play. This is the positioning phase of the branding cycle.

Begin researching your niche by learning more about the customers that have and currently do purchase from you: map them geographically (region), demographically (gender, age, household composition, income, ethnicity) and by their behavior patterns (interests and beliefs).

Then, segment that portion of the total customer population that are your ideal customers—those that buy the most, cause the fewest problems, say the nicest things and recommend you the most often. Develop a deep understanding of the buying habits and motivations of your ideal customers: when, where, how and, especially, why do they choose your product or company. Over time, your objective is to have more of the ideal type of customer purchasing your product or service; they are both the most profitable and the most satisfying. The authors describe the processes you can use to observe your ideal customers through data, ask them through survey and interviews and listen through focus groups.

"Find something true about yourself, your business, or your product that can define and differentiate you while also addressing a genuine market interest or need." (Page 81)

Recall that brands live in the minds of the consumer, not on paper or websites. Words however are one of the powerful tools used to establish that brand and it is important that they be put on paper. Positioning requires three clear and concise statements about the business or entity being branded:

Vision Statement: the ultimate good you want to achieve through your success
Mission Statement: the purpose of your company and the effect you intend to have on the world around you
Business Promise: the positive difference you deliver to all who deal with your company/entity; this statement guides your internal groups in the development of every element of your brand. (Page 92)

Your brand definition takes the following form:

[Your name]

[your target market]

[your unique attribute or benefit]

[information about the character, tone and mood you convey]

Only after developing the brand definition statement should a name for the company be considered. In choosing a name, remember that if it does not reflect your brand definition, it will take a large marketing budget to educate your market.

In generating ideas for a business name, observe your ideal customer, his/her surroundings, the things they are reading, the labels they are wearing. Look through the dictionary and thesaurus to study the word origins that might provide basis for good brand names.

Once you have narrowed the possibilities to a few good name choices, check for availability by entering the desired name in your Web browser followed by ".com" to see if you land on the website of an existing business. Also, search your state's database of registered business names, the United States Patent and Trademark Office (www.uspto.gov), and determine whether the domain name is available (www.allwhois.com). Many strong contenders for your business name will be ruled out in this process so generate as many as 50 top name choices.

Once a name is selected, the next step in branding is to develop the logo, or visual representation, and your tagline, the concise statement of the value you provide. The rules for logo development are:

Keep it simple
Make it easy to transfer across all communication channels (print, Internet, small ads, large signs, etc.).
Have it done by a professional, unless you want it to look like it represents a hands-on business. A do-it-yourself logo speaks to lowest-cost, quickest, bare-bones solutions; if that is the way you described your business in your vision statement, a self-designed logo may work for you.

To determine whether you need a tagline, the authors offer these questions:

"Does your business offer consumers distinct advantages that aren't conveyed in your name?
Would you brand character be more closely presented with a line that travels with your brand name?
Is your company best at something that you want consumers to know about but that isn't conveyed by your name?" (Page 141)

After all the work that goes into creating or re-creating a brand, it's vital to its success that the launch be handled well. The brand, remember, encompasses every contact the customer has with the business.
The first audience for the launch of a new brand is the internal one—the one that will deliver on the promise that's communicated in the brand statement. Begin the internal brand launch by assembling short, concise statements that describe each brand element:

Market position: what you offer, who you serve, your unique benefits
Brand promise: the reason customers choose your business, the benefits customers count on your business to deliver, the experience they expect
Brand character: the personality, mood and tone that will be reflected through all brand expressions
Brand definition (brand identity statement): the single sentence that guides all internal groups in brand development. (Page 147)

Create the context for the internal audience: we are launching this brand in order to build awareness of our business/organization; to create an emotional connection; to differentiate our offering to our target market; to enhance our credibility and trust and to drive rapid sales growth.

In branding, what you say pales in comparison to what you do. The experience your customers have with your brand trumps your logo presentation, advertising, and marketing efforts in a heartbeat.

After the internal launch, the next step is to introduce the brand story to your priority audiences, treating your best customers to an insiders' preview. This step is important if your best customers are to become your best brand ambassadors. Contact your best customers personally, host brand preview events and plan for ways to allow established customers to embrace your new brand through your carefully coordinated brand introduction program.

The broader external brand launch is driven by a clear, written launch plan; one that outlines your goals (what you want your brand to achieve) and your objectives (how you will achieve the goals). The branding effort can be measured according to the impact on: sales, market share, price, awareness, emotional connections, distinction, credibility and trust, and purchase motivation. (Page 156)

Like all marketing plans, the Brand Launch plan addresses the 4 P's: product, pricing, promotion and place (distribution). The tactics supporting this strategy might include public relations, advertising, personal presentation, sales, online communications, marketing materials (brochures, packaging, displays, CD/DVD, advertising specialty products).

The following 100 pages of this book offer detailed explanations of the process of launching a brand with public relations, advertising and promotion and your online presence. These are meaty topics and if you are looking for a resource to guide you through this process, pick up the book; it's much too substantial to do it justice by summarizing it here.

As with all books in the "For Dummies" series, this one includes, "The Part of Tens" (Pages 325-344). Here's a summary of the, "Ten Truths about Branding" to pique your interest in further reading about the importance of a robust, well-developed and well-managed brand: (Pages 327-332)

"Branding Starts with Positioning": based on a unique differentiation that's believable and attractive to your customer, one you can deliver with consistency
"A Brand Is a Promise Well Kept": a promise about who you are and the unique benefits you deliver
"Branding Happens from the Inside Out": build your brand with your vision, mission and brand identity statement
"Consistency Builds Brands": look, tone, level of quality, communications, products, services, heart of the brand
"People Power Brands": it's the human encounters that either advance or erode brand promises
"Brands Live in Consumers' Minds": whether you intentionally put it there or not
"Brand names Unlock Brand Images": reflects the character of your business, describes the offering, consistent with the brand promise, be unique and memorable
"Brand Experiences Trump Brand Messages": actions speak louder than words
"Brands Need to Start and Stay Relevant": credible, competitive, current and relevant to customers wants, needs and interests.
"Brands Are Valuable Assets": translates into everyday economic benefits such as premium pricing, lower costs of sales and promotions, higher market share, reduced threat of competition, greater employee satisfaction, higher recognition by consumers and other stakeholders.