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Branding for Small BusinessBranding for Small Business

Sanchai ThiewprasertkulSanchai Thiewprasertkul

September 2007September 2007

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Know What is Branding!Know What is Branding!

Branding is the process of creating a clear, distinctive and Branding is the process of creating a clear, distinctive and durable perceptions in the minds of consumers.durable perceptions in the minds of consumers. Most people associate branding with big companyMost people associate branding with big company Small company can also use branding technique with great Small company can also use branding technique with great

rewardsrewards Technique of branding include association of a company with:Technique of branding include association of a company with:

LogosLogos Distinctive colorsDistinctive colors Slogan, musical jingleSlogan, musical jingle Unusual qualities and product uniquenessUnusual qualities and product uniqueness PackagingPackaging MascotsMascots Memorable nameMemorable name Behavioral incidences and hallmarksBehavioral incidences and hallmarks

Brand strategy must be a vibrant interaction between you and Brand strategy must be a vibrant interaction between you and your target marketyour target market

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Why Branding Pays Off?Why Branding Pays Off?

Time, money and efforts spent on branding comes Time, money and efforts spent on branding comes back when the process is done intelligently because back when the process is done intelligently because of things that it create:of things that it create: Memorability:Memorability: It is easier to remember the branded company It is easier to remember the branded company

than the non branded one.than the non branded one. Loyalty:Loyalty: With positive experience with a memorable brand, With positive experience with a memorable brand,

they are more likely to repeat buying, and less likely to go they are more likely to repeat buying, and less likely to go for competing brandsfor competing brands

Familiarity:Familiarity: Familiarity create liking and this makes even Familiarity create liking and this makes even non-customers to recommend a brand they knownon-customers to recommend a brand they know

Premium Image and Premium Price:Premium Image and Premium Price: Brand can take you out Brand can take you out of becoming commodity and price competition. Customers of becoming commodity and price competition. Customers are willing to pay more for a well known brandare willing to pay more for a well known brand

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Why Branding Pays Off?Why Branding Pays Off?

Extensionability:Extensionability: Ability to expand a well-known Ability to expand a well-known brand to cover a new category, product, service, brand to cover a new category, product, service, or locationsor locations

Greater company equity:Greater company equity: A powerful brand means A powerful brand means that you can get more money from your company that you can get more money from your company when you decide to sell itwhen you decide to sell it

Lower marketing expense:Lower marketing expense: Once a brand has been Once a brand has been created, you get more payback for every Bath you created, you get more payback for every Bath you use afterwards.use afterwards.

Lower risk and greater confident for consumers:Lower risk and greater confident for consumers: People tends to buy from a well-known company People tends to buy from a well-known company over a no-name oneover a no-name one

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Building a Brand: The Decisive Edge for Building a Brand: The Decisive Edge for Your Small BusinessYour Small Business

Building a brand is one of the most important Building a brand is one of the most important things a small business will do:things a small business will do: Marketing doesn’t happen without a brand and Marketing doesn’t happen without a brand and

salessales We have already have a brand whether you know We have already have a brand whether you know

it or not!it or not! A brand started when we open doors and sold our first A brand started when we open doors and sold our first

product or serviceproduct or service People who contact your company has experienced your People who contact your company has experienced your

brand and formed an opinion about your businessbrand and formed an opinion about your business Brand reputation is being formed and your firm’s future Brand reputation is being formed and your firm’s future

is being determined!is being determined!

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Building a Brand: The Decisive Edge for Building a Brand: The Decisive Edge for Your Small BusinessYour Small Business

The important question is: The important question is: What do they What do they think of you, and how it affect your sales?think of you, and how it affect your sales? If you cannot answer this question, you have no If you cannot answer this question, you have no

control of your brand!control of your brand! Without control, your business is at the mercy of Without control, your business is at the mercy of

your competitors and other unseen forces in the your competitors and other unseen forces in the marketmarket

Your company will lose because you choose not Your company will lose because you choose not to play the branding game!to play the branding game!

Profitable companies understand how to Profitable companies understand how to build a winning brand!build a winning brand!

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Building a Brand That Wins Sales!Building a Brand That Wins Sales!

It takes hard work, planning, execution and It takes hard work, planning, execution and control to build a brandcontrol to build a brand

Branding does have direct influence on Branding does have direct influence on building sales!building sales! Branding is not merely creating imageBranding is not merely creating image Branding create reputationBranding create reputation Reputation is often the first interaction of buyers Reputation is often the first interaction of buyers

and our companyand our company Branding create Branding create TRUSTTRUST, and trust create sales!, and trust create sales!

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Building a Brand That Wins Sales!Building a Brand That Wins Sales!

To build brand, we must rely on these five reputation To build brand, we must rely on these five reputation building benefits:building benefits: A quality of product or servicesA quality of product or services Product and services that are available when customers Product and services that are available when customers

need themneed them Honesty and make it easy for customers to do business Honesty and make it easy for customers to do business

with our companywith our company Friendly and helpful people in our businessFriendly and helpful people in our business Product or services that provides a satisfying result to Product or services that provides a satisfying result to

customers’ needscustomers’ needs These five benefits are minimum requirement to These five benefits are minimum requirement to

make sales and create a loyal, satisfies customers. make sales and create a loyal, satisfies customers. They are foundation for your Brand BuildingThey are foundation for your Brand Building

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It Takes Time to Build Brand!It Takes Time to Build Brand!

Look around you now! There must be at least a Look around you now! There must be at least a dozen of branding elements at work. Mostly it’s dozen of branding elements at work. Mostly it’s LOGO!LOGO!

The Branding Game is constantly being played The Branding Game is constantly being played around you, all the timearound you, all the time

The goal of brand is to own a share of your mine, so The goal of brand is to own a share of your mine, so when you need solution, you will buy from the brand when you need solution, you will buy from the brand you trustedyou trusted

For many, especially advertising agencies, they For many, especially advertising agencies, they think that brand building is merely advertisingthink that brand building is merely advertising That perception is partially rightThat perception is partially right The best thing for brand building is The best thing for brand building is REPUTATIONREPUTATION

Branding do not require massive budget available Branding do not require massive budget available only to large company. You can also do it! only to large company. You can also do it!

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Creating Your Branding Strategies: Creating Your Branding Strategies: What What Is Your Branding Strategy?Is Your Branding Strategy?

Branding strategy is the most overlooked Branding strategy is the most overlooked part of a small business.part of a small business. Without strategy, Without strategy, you are at the mercy of your competitors!!!you are at the mercy of your competitors!!!

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Rules to Turn Small Business To a Big Rules to Turn Small Business To a Big BrandBrand

Rule 1: Consumer Perception is the key to Rule 1: Consumer Perception is the key to successsuccess Whether true or untrue, what customers perceived Whether true or untrue, what customers perceived

about us is the truth, regardless of the factsabout us is the truth, regardless of the facts Positioning is the key to successPositioning is the key to success

Rule 2: First to the market player has more Rule 2: First to the market player has more chance to winchance to win First mover has more chance to position your First mover has more chance to position your

brand into the mind of consumers firstbrand into the mind of consumers first First mover has the best chance to select the best First mover has the best chance to select the best

positioning to winpositioning to win

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Rules to Turn Small Business To a Big Rules to Turn Small Business To a Big BrandBrand

Rule 3: If you cannot be the first mover, the try to Rule 3: If you cannot be the first mover, the try to move the battlefield!move the battlefield! Don’t just become a copycatDon’t just become a copycat Try to create a new and unique proposition that we can be Try to create a new and unique proposition that we can be

the first, so that you avoid becoming an imitatorthe first, so that you avoid becoming an imitator

Rule 4: Focus clearly on your unique selling pointRule 4: Focus clearly on your unique selling point Don’t try to be everything for everyoneDon’t try to be everything for everyone Concentrate on one thing in the mind of consumers. Try Concentrate on one thing in the mind of consumers. Try

your best to be a Functional Brand!your best to be a Functional Brand!

Rule 5: Differentiate or Sell CheapRule 5: Differentiate or Sell Cheap If you fail to be different, customers will focus on price!If you fail to be different, customers will focus on price!

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Rules to Turn Small Business To a Big Rules to Turn Small Business To a Big BrandBrand

Rule 6: Use Strategic Public Relations for Rule 6: Use Strategic Public Relations for brand building, and advertising just for brand building, and advertising just for maintenancemaintenance Advertising is less effective to introduce a brandAdvertising is less effective to introduce a brand

It has near zero credibilityIt has near zero credibility It is too expensive for small companiesIt is too expensive for small companies There is full of clutter that make advertising ineffectiveThere is full of clutter that make advertising ineffective It is a big boy game!It is a big boy game!

Strategic public relations is the key for success Strategic public relations is the key for success for small companiesfor small companies

It is credibleIt is credible It is affordableIt is affordable

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Rules to Turn Small Business To a Big Rules to Turn Small Business To a Big BrandBrand

Rule 7: Find a great name for your brand!Rule 7: Find a great name for your brand! The name of your product is what separate you from your The name of your product is what separate you from your

competitorscompetitors Find a unique and hard hitting name for your brand. Make it:Find a unique and hard hitting name for your brand. Make it:

ShortShort UniqueUnique MemorableMemorable

Rule 8: Make sure that you are absolutely consistentRule 8: Make sure that you are absolutely consistent It takes time to be clear in consumers’ mindIt takes time to be clear in consumers’ mind To often change of direction confuse your customers and To often change of direction confuse your customers and

dilute the power of your branddilute the power of your brand

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Rules to Turn Small Business To a Big Rules to Turn Small Business To a Big BrandBrand

Rule 9: Know who are your enemiesRule 9: Know who are your enemies No Tom without Jerry! Competition between No Tom without Jerry! Competition between

brands create excitement among customers and brands create excitement among customers and media. It help the industry to growmedia. It help the industry to grow

You have to know who are your primary You have to know who are your primary competitors and fight with themcompetitors and fight with them

Rule 10: Be ready to introduce your second Rule 10: Be ready to introduce your second brand if neededbrand if needed

A second brand may be required to enter a new A second brand may be required to enter a new category or segments.category or segments.

Use the second brand only when you are a dominant Use the second brand only when you are a dominant player in the existing segment or category player in the existing segment or category

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The Three Energizers of BrandingThe Three Energizers of Branding

To develop a brand strategy, these three To develop a brand strategy, these three energizers must be in place:energizers must be in place: Relevance of the offer:Relevance of the offer: our product must contain our product must contain

an intrinsic value that appeals to the needs of the an intrinsic value that appeals to the needs of the target markettarget market

Clarity of Brand Message to communicate to the Clarity of Brand Message to communicate to the target market:target market:

Clear and focused message is required to influence the Clear and focused message is required to influence the perception of our marketperception of our market

Be clear and concise with the benefits of our products Be clear and concise with the benefits of our products and servicesand services

Be consistent to create familiarity, knowledge, Be consistent to create familiarity, knowledge, preference, and finally trust!preference, and finally trust!

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The Three Energizers of BrandingThe Three Energizers of Branding

The Quality of Your Branding Encounters: The Quality of Your Branding Encounters: Make Make sure thatsure that positive impression is left every time positive impression is left every time customers have brand encounter. This will customers have brand encounter. This will resulted in:resulted in:

SatisfactionSatisfaction Better word-of-mouth reputationBetter word-of-mouth reputation LoyaltyLoyalty Higher price and higher salesHigher price and higher sales

In branding, perception is reality!In branding, perception is reality!

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Branding for Small Business is a ProcessBranding for Small Business is a Process

Branding is a sequential process, and not a one-time Branding is a sequential process, and not a one-time eventevent For small business, the brand manager is the owner or key For small business, the brand manager is the owner or key

employeeemployee Easiest and most convenient method for branding is WOM Easiest and most convenient method for branding is WOM

and Referralsand Referrals Branding is Required to Compete!Branding is Required to Compete!

Many small business never reach its potential because the Many small business never reach its potential because the company neglects to create a strong brand presence in the company neglects to create a strong brand presence in the marketmarket

Entrepreneurs are mostly arrogant, overconfidence, believe Entrepreneurs are mostly arrogant, overconfidence, believe that their product is so extraordinary that people will line up that their product is so extraordinary that people will line up to buy! Even to the best product, branding is required!to buy! Even to the best product, branding is required!

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Elements of A BrandElements of A Brand

Pricing: represent value we offer to our Pricing: represent value we offer to our customerscustomers

Distribution: how available our offer is?Distribution: how available our offer is? Quality: this influence satisfactionQuality: this influence satisfaction Presence: how prominent we are in the Presence: how prominent we are in the

marketplace, high or low profile?marketplace, high or low profile? Reputation: the market’s opinion to your Reputation: the market’s opinion to your

brandbrand Image: perceptions of your brand by buyersImage: perceptions of your brand by buyers

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Elements of A BrandElements of A Brand

Benefits: the effect our product has on Benefits: the effect our product has on customerscustomers

Positioning: how different we are from our Positioning: how different we are from our competitorscompetitors

Preference: the customers’ propensity to buy Preference: the customers’ propensity to buy our brandour brand

Customer Commitment: the ultimate result of Customer Commitment: the ultimate result of our branding strategy, loyalty is built through our branding strategy, loyalty is built through brand contact and relationshipsbrand contact and relationships

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Elements of A BrandElements of A Brand

Other Parts of Branding: Some vital components of Other Parts of Branding: Some vital components of branding are:branding are: Company nameCompany name LogoLogo Slogan and taglineSlogan and tagline Letterhead and formsLetterhead and forms SignageSignage Design of marketing materialsDesign of marketing materials WebsiteWebsite AdvetisingAdvetising Staff dressesStaff dresses Your facilities and maintenanceYour facilities and maintenance

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Critical Branding QuestionsCritical Branding Questions

Answer these to start building a brand that Answer these to start building a brand that wins:wins: What are the benefits of using your product and What are the benefits of using your product and

services?services? Does your product or service have an advantage Does your product or service have an advantage

over your competitors? If yes, what is it? And how over your competitors? If yes, what is it? And how does it benefit the customers?does it benefit the customers?

How do your competitors position their brands?How do your competitors position their brands? What is your main competitors’s marketing What is your main competitors’s marketing

message?message?

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Critical Branding QuestionsCritical Branding Questions

Do your competitors deliver on their marketing Do your competitors deliver on their marketing promises?promises?

Can that advantage be positioned into your brand Can that advantage be positioned into your brand identity?identity?

Is there a marketing niche that would benefit from Is there a marketing niche that would benefit from your brand?your brand?

Is your company name and logo descriptive and Is your company name and logo descriptive and distinctive? Are there ways that it can be distinctive? Are there ways that it can be improved?improved?

What is your company’s core message? And is What is your company’s core message? And is your message clear and focused? Do your your message clear and focused? Do your message connected to your target audiences?message connected to your target audiences?

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Critical Branding QuestionsCritical Branding Questions

What promises does your company make during What promises does your company make during the sales process?the sales process?

Do you deliver on those promises?Do you deliver on those promises? What process can you use to determine if your What process can you use to determine if your

customer or clients believe you are delivering oin customer or clients believe you are delivering oin your promises?your promises?

What research have you done to better What research have you done to better understand the needs of your target audiences?understand the needs of your target audiences?

Does your brand have equity, personality or Does your brand have equity, personality or reputation? If not, can we do something to make it reputation? If not, can we do something to make it happen?happen?

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Brand is The Sum of All PartsBrand is The Sum of All Parts

Branding is created from the integration of Branding is created from the integration of multiple components, and all of them are multiple components, and all of them are necessary. This includes other thing such necessary. This includes other thing such as:as: Touch point managementTouch point management Employee education and readiness to serveEmployee education and readiness to serve

SO ACT NOW!!!!!!!SO ACT NOW!!!!!!!