Why Your Brand Matters
Your brand is more valuable than you might think. Learn how to leverage your brand’s value.
By Adam Charlton · Last updated 21/12/2024
Posted in Resources, Branding 101
As of 2024, Amazon’s brand value is estimated at $576.6 billion. With its market cap of $239 trillion, 24% of it’s value is in it’s brand. Brands can become so valuable because of brand equity, which is the total value of the brand’s perception in the minds of consumers.
Benefits of a strong brand
There are three core benefits of building a strong brand that have a direct impact on your business’s growth and profitability.
1. Differentiation
First impressions are important. The human brain processes images in as little as 13 milliseconds.¹ Along with continuously growing choices, both B2C and B2C markets are more competitive than ever before. Business owners can use branding to capitalise on the initial experience.
In the buying cycle, the initial benefit of a strong brand is to differentiate your offer against similar, competing offers. The initial impression is key to being seen as credible and desired. Customers will begin to recognise and recall your brand.
2. Trust
Through repeated positive interactions with your company, the benefit of a strong brand is that it captures brand equity in the minds of your consumers. Positive experiences reinforce your brand as good, valuable, reliable and trustworthy. Authenticity is spoken a lot within branding, but I the idea of honesty is much clearer. Your brand will be trusted only if it is honest. Is your brand a truthful representation of your goods and services? For example, if your core values are luxury, performance and quality, your products must embody these.
3. Employee engagement
Brands with purpose are proven to inspire and motivate employees. Individuals are increasingly looking for companies that share their values and are committed to making a real difference. A purpose-led company can offer employees a sense of meaning in their work, which leads to increased job satisfaction and productivity.
If you plot that a satisfied employee’s productivity level is 100%, an engaged employee’s level is 144%, and the productivity level of an employee who is inspired by and aligned to the purpose of their employer is 225%.²
Purpose-led companies enjoy 40% higher levels of employee retention than their competitors.³
Sources:
1: Potter, M. C., Wyble, B., Hagmann, C. E., & McCourt, E. S. (2014).
2: Bain & Company 2015
3: Deloitte Insights 2020 Global Marketing Trends Report
About the author —
Adam is the co-founder of Attend The Way, a Brighton-based branding agency. Adam helps build brands for companies at every growth stage, from startups to industry leaders. Adam has consulted and built brands for some of the world’s most recognised companies.
