Why is branding a business important? What is Branding?

Despite common belief branding a business is much more than your business logo. A logo is one aspect of your business brand but there is much more to it than that. Your business brand is how customers perceive and think about your business. Factors varying from how you answer the phone, to how you treat your customers, to the over all look and feel of your business all contribute to your business brand.

Why develop a Business Brand?

There are several benefits for branding a business. Developing a brand for your business will help you have a clear vision of how you want your business to be perceived by clients and potential clients. Once you have a clear vision of how you want your business to be perceived you can then build a brand that achieves that vision. When developing your business brand you will determine the emotions and thoughts that stir in a client’s mind when they think about your business. Of course you want your brand to create good thoughts and emotions in the minds of clients and potential clients. For this reason creating a well thought out brand can be valuable to your business.

Business Branding Strategies

Step#1 Choose your target market

By conducting market research you can determine which type of buyer will be buying from your business the most; this will be your target market. Focusing on a specific type of customer will help you develop a more effective branding strategy where you can focus on building a brand that appeals to your targeted customer. Many business owners may say “I want to appeal to everyone not just a target market“. You will save much more time, money and energy if you focus on building a brand that appeals to your targeted customer rather than everyone. Just because you are focusing on a target market does not mean your business won’t attract other types of customers as well.

Step#2 Find out the needs and wants of your target market

Use market research to determine the following: What are the needs and wants of your target market for your type of business? Do they have certain expectations or wishes for your type of business? What do they seek to find in your type of business? What appeals to them? It could be cheap prices, quality products or exceptional service. Find out what are their complaints of current businesses like yours (competitors) in your area. You can potentially build your brand around a strength of your business that is a weakness of your competitors.

Step#3 Determine the unique spin of your business

Determine any unique distinguishing characteristics about your business. What sets your business apart from it’s competitors? What memorable attribute does your business have? Keep in mind the unique spin of your business should be an attribute desired or liked by your target market. Your unique business spin should coincide with thier needs and wants. For example “A hot dog stand for iguanas” is definitely a unique spin for a business, but your unique spin should be something your customers want. How many iguanas do you know like hot dogs? In step #2 you discovered the needs and wants of your target market through market research. Use that information when determining a unique spin for your business that will attract your target market. This unique spin can be used to form your slogan.

Step #4 Define your Brand

Get down on paper a clear idea of your brand and what it stands for. How do you want customers to view your business? What targeted customer is your brand trying to attract? How is it fulfilling their needs or wants? How is your offering different or better than other competitors?

Step #5 Put your Brand to Work

Communicate your brand to everyone in your business. Make sure everyone is in the same page. Teach employees how you want customers to view your business. Ensure all employees are in compliance with your brand. For example if you want your business to be perceived as a customer friendly business ensure employees maintain a friendly attitude. The experience of buying from your business is much more important than the visual aspect of your brand such as the logo.

Step #6 Develop the Visual Aspect of your Brand

Now for the fun part of branding a business. The visual aspect of your business brand is what your customers see every time they come in contact with your business. Everything from your business logo to the packaging to the employee uniforms all play a role in the visual aspect of your brand. Be sure all the aspects of your business brand are consistent. Everything thing from your name, to your website, to your business card should be part of a consistent theme.

• Naming a new business- Your business name is a contributing aspect of your business brand since it will be largely associated with your business.
• Business Color Scheme- Coca Cola is associated with their famous red and white bottle can. Facebook is associated with their blue logo. Your color scheme is a contributing factor to your business brand. Choose a color scheme that will appeal to your target market.
• Business logos- You can decide to create or hire a professional to create a logo that will be associated with your business. A logo is a large factor to the visual aspect of your brand.
• Business slogan- Your business slogan should express to the viewer in a few simple words what your business is about and the unique spin of your business.
• Other visual factors of your brand- Packaging, business cards, letterheads, employee uniforms, business website, advertisements, free give always, and store banner.

Naming a new business is a big decision. When naming your business keep in mind that you want your business name to be a positive reflection of your business. Once you have chosen a business name you will have to register the business name with the state to make sure it is not already taken.

Tips for Naming a Small Business

• Keep it short and simple-When naming your business try to keep the name simple and memorable such as Nike, Starbucks, Wal-Mart (All short and simple). Your business name should be short enough to fit on marketing materials.
• Easy to pronounce- When naming your business be sure you choose a name that is easy to pronounce and easily understood over the phone. Not so long ago there was a store in which I was never able to pronounce their name. All I remember is that it started with an E and had some Xs in the name. It was a new store which had taken the place of a Gordon’s Store that went out of business. My friends and I would always refer to that store as “The store where Gordon’s use to be” since we could not pronounce the name! This can be very destructive to your small business since word-of-mouth is the most effective form of advertising. Well that store didn’t last long since it went out of business a few months afterwards.
• Memorable- Having a business name that is easy to remember can come in handy. Just imagine how much word-of-mouth publicity you can loose out on if people don’t remember your business name! When naming your business try to avoid those boring, generic names that are not at all memorable.
• Reflects your brand- Your business name should match your business brand. It should be consistent with the overall look and feel of your business.
• Appeals to your target Market-When naming a new business make sure your business name is appealing to your target market. For example if you own a store that sells gardening tools and your target market is retired women in their 50s, you wouldn’t want to name your store “Dark side Gardening Weapons”. This will probably scare your target market instead of attracting them.
• Growing Potential- Think ahead when naming your business. Your business name should be able to grow with your business. For example naming a business “Tasty Soups” can prevent your business from selling other types of foods.

There are two methods of naming a new business you can choose from:

• Non-conventional: Many of the big businesses such as Starbucks and Nike use non-conventional names. If you just landed on Earth from another planet and never heard of these businesses before, you wouldn’t guess that Starbucks sold coffee or Nike sold sneakers by looking at their names. Their names give no indications of their business, however their business has grown so much in popularity we now associate those names with their product. When you think of Starbucks you think of coffee. When you think of Nike you think of sneakers. The advantage of non-conventional business names is that since the name is so rare the domain name and trademark is easily assessable. The disadvantage of these business names is that you will have to invest heavily in marketing so consumers know what your business is about.
• Conventional:Conventional names are straight to the point; they provide a hint of what their business is about such as Dunkin Donuts and Toys R Us. There are many conventional small business names such as Silvana’s Cleaning Service or Henry’s Auto Shop. This can be helpful strategy for naming your business if you’re just starting your small business, it is not well known and you have limited marketing funds. Below is an overview of different types of conventional names you can consider when naming a business.
  1. Owner’s Name- This is an easy approach to naming a new business; in fact many small businesses are named after the owner’s name. However if you plan on growing your business nationwide you should consider a different approach since these businesses hardly develop widespread awareness.
  2. Geographic Name- NewYork’s Maids, Jacksonville’s Grocery Store, and Central Park Coffee Shop are all named after their geographic location. The disadvantage of this is that you limit your business’ growing potential to that specific location. What if you decide to grow your business and open up new stores in other locations? Then you would have to change your business name. Only choose this method of naming if you are sure you will always do business in that location.
  3. Descriptive Names- Descriptive names describe what your business is about. Names such as DieHard Batteries and Toys r Us gives consumers an idea of what to expect from your business. However be careful when using descriptive names. For example if you decide to open a soup business called “Tasty Soups”, what will happen when you decide to add other foods to the menu? Don’t let your business name inhibit your growth potential.

When naming a new business be sure to ask friends and family what they think of your business name ideas. You can even decide to consult with an expert to help you in the process of naming your business. Which ever method you choose just keep in mind that your business name is a vital part of your small business brand, so it takes careful thought and consideration.