Essay by Tereze Teibe and Aarno Lind. 

1. Introduction  

How to start writing an introduction for a branding essay? – “Just Do It!” (Nike)   

Brands are ubiquitous in our everyday lives. They can become part of our vocabularies (like “Google”, “Post-It” and “Band-Aid”), influence our subconscious mind, thoughts, or feelings, alter our mindset, differentiate us, inspire, and more. People are naturally drawn to brands (either consciously or unconsciously) that resonate with their values and lifestyle, mirror their ideals, or promise to meet their desires. Important to comment that this work will focus on branding, not on marketing, as often branding is mistaken with marketing or as only a small part of it. However, whilst both are connected, they serve different purposes and are responsible for different results.   

This essay is the first part of our work together. The purpose of this essay is to understand what branding is, the impact it holds, and why it is important. The second part of our work is “Building a brand identity”, which is a practical guide for creating a brand identity. 

2. What is branding?  

Branding is a disciplined process that helps to build awareness, attract new customers, and extend customer loyalty (Wheeler 2017, 6.). To put it differently, it is work with the identity of the subject in question (meaning, there are many different types of branding –  personal branding, corporate branding, product branding, service branding, conscious branding, geographical branding, online and offline branding (each as a separate category), co-branding, rebranding, and more). That is to say, branding encompasses a wide range of explorations on brand innovation, however, at its core – branding is about building an image that sets you apart and attracts to the right audiences.   

When positioning a brand to be irreplicable it requires authenticity, consistency, and a desire to be the best. (Wheeler 2017, 6.) In an interview for the “The Futur”, Marty Neumeier, who throughout his career has worked with various brands including Apple, Adobe, and Microsoft, stresses that brand is not what a company says it is but rather what the customers say it is. He compares it to a gut feeling. Essentially, a brand is also the reputation that people form based on their experiences and interactions with the subject in question. (Neumeier, 2019.) 

Hence, effective brand management for corporates requires a good strategy, planning, and orchestration that starts with considerate leadership, well-communicated and shared understanding of the core purpose and the importance of building brand equity. It also means constantly looking for new ways to delight customers, engage employees, and demonstrate your competitive advantage. (Wheeler 2017, 8.) Therefore, although branding involves the creation of a logo, tagline, colour palette, font, visuals, and campaigns, it is more than that.  

3. Impact of Branding  

“Brands are powerful assets for creating desire, shaping experience, and shifting demand.” (Wise, n.d., as cited in Wheeler 2017, 12). Even more, brands have the ability to gain influence over human behaviour beyond the point of sale and even burrow themselves deep into our subconsciousness. A study conducted at Duke University sorted 341 university students into what they believed was a “visual acuity test”. What set them apart was that one group had the Apple logo exposed on the screen and the other IBM. Moreover, both logos were displayed so quickly that the participants were unaware of their presence. The result revealed that the individuals who saw the Apple logo overall performed better on the creative tasks when compared to the other group. (Duke Today staff, 2008; Johnson, 2021; Big Think, 2021.) 

 The argument behind this study can be explained that Apple brand has been promoting the narrative of being a brand for stylish, innovative, and creative people (Big Think, 2021). Gráinne Fitzsimons commented that they offered people 100$ to tell what logo was shown on the screen, and none of them could do it. However, this imperceptible exposure was enough to spark changes in their behaviour. Later, they performed tests with other brands as well, such as displaying the Disney Channel and E! Channel logos and found that participants who saw the Disney Channel logo performed more honestly than the other group. (Duke Today staff, 2008.) 

The impact of brands cannot be stressed enough. Brands intertwine with human identities and can even form “tribes” within society. People connect with brands in very profound ways which is why brands must maintain consistency with the message they convey through their works. Consumers often choose between brands that align with their values and identities, and once they make their choice, their relationship with a brand can deepen to a point where they feel a sense of kinship. As a result, identifying with a brand can influence their behaviour. For example, when someone talks badly about a brand that an individual associates themselves with, they can become defensive because an attack on the brand feels like an attack on themselves. (Big Think, 2021.) 

Another study examined the brains of Apple and Samsung users who did not own any products of the other brand with functional magnetic resonance imaging (fMRI) to see how their brains reacted to positive, negative, and neutral messages on both brands. The results demonstrated that while Apple users exhibited strong empathy for the news associated with their brand, Samsung users did not show any similar behaviour towards positive or neutral news related to their brand. In fact, Samsung users only showed signs of joy when presented with negative news and pains with positive news associated with the rival brand. This suggests that while Apple users appear emotionally very connected with the Apple brand, Samsung users seem to be more connected with the rejection of the other brand. (Platt, 2020; Big Think, 2021.) 

“A strong brand binds us internally, and it differentiates us externally.” (Brian Resnick). R. Sutherland (an advertising expert) on “The Diary Of A CEO” emphasizes that regardless of whether we consciously try to build a brand identity, we are creating one, as consumers naturally will use all inferences and heuristics to evaluate the worth of a brand. “You will have a personal brand, like it or not, so you might as well have a good one.” (Sutherland, 2022.)  

4. Building the brand from inside 

“Great brands start inside. Great brands start brand building by cultivating strong brand led culture inside their organizations. Do you have a strong purpose and values? Are they clear, focused and differentiated? Are you engaging your people with that purpose and values? Are you empowering them and equipping them to use those?” (Yohn, 2018.)  

4.1 Key benefits of strong brand culture (6) (MOO, n.d. as cited in Wheeler 2017,17)  

Having a distinct corporate culture (that is not a copy of another company’s culture) is what allows great organizations to achieve phenomenal results. They successfully align and integrate their organizational culture with the identity they create outside their walls and so, they are able to build a powerful engine of competitive advantage and growth. In other words, when you think and operate in unique ways internally, you can produce the unique identity and image you desire externally. (Yohn, 2017.) 

1. Increased brand awareness

A brand that has effectively communicated its purpose, values, and what kind of people it stands for (customers, social groups, and also its employees) can spread awareness about the brand like no other advertising campaign ever will. The most successful brands have highly engaged, passionate employees who understand their company’s target customers as well as their primary wants and needs, and they work to reach them by incorporating these into their decision-making process. They empathize and connect with the brand, enhance the message of the brand through their own words and works, and also become powerful ambassadors for the brand when they are out in the world. (MOO, n.d. as cited in Wheeler 2017,17; Yohn, 2017.) “If your culture and brand are mismatched, you can end up with happy, productive employees who produce the wrong results.” (Yohn, 2017.) 

2. Attracting (and keeping) the right people

As a continuation of the previous paragraph, brands with a clear vision and well-articulated values are able to attract like-minded people and build a cohesive community around the brand naturally. This goes again for both their employees as well as their customers. When a brand’s culture aligns with what its employees are looking for and fulfils their expectations of the workplace and themselves, they are more likely to stay committed and establish lasting loyalty for the company. Likewise, when a brand’s culture meets and surpasses the expectations of its customers, they are more likely to continue buying products/services from the brand, remain loyal, and form a mutual connection with it. (MOO, n.d. as cited in Wheeler 2017, 17; Yohn, 2017.) 

3. Happier customers

Companies with a strong brand culture prioritize understanding and meeting the needs and preferences of the customers, which in turn leads to higher levels of customer satisfaction and encourages repeat purchases (and positive word-of-mouth). If marketing, for example, is often the reason why someone buys first, then branding is in charge of why someone chooses to buy again (Matchstic, n.d. as cited in Wheeler 2017, 9). 

4. Better relationships

Collaboration and working on cross-functional teams becomes much easier when individuals have a sense of shared values, commonalities, and belonging to a larger group (MOO, n.d. as cited in Wheeler 2017, 17). Consequently, when people feel more aligned towards a greater purpose, they are more likely to establish trust, mutual respect, and a spirit of cooperation, which are all necessary to be able to accomplish the aims, objectives and goals of the organization together. 

5. Competitive edge

Brand culture is the fundamental engine that powers the brand and helps a business gain a competitive advantage over its competitors. Regardless of whether the corporate culture is friendly, competitive, encouraging, or analytical when the company’s purpose and values align with the culture and identity, it can excel in the competition by attracting and retaining the right people around it – both customers and employees. It can then also lead to significant success in organizational growth, allowing it to become more resilient, adaptable, innovative, and authentic. Then again, consistency is the key therefore it is important to remain consistent – to nurture and cultivate a strong brand culture even at its prime to ensure that your brand not only survives but thrives in today’s competitive marketplace. Consequently, you build a distinct identity that sets you apart. (MOO, n.d. as cited in Wheeler 2017, 17; Yohn, 2017; Yohn, 2018.) 

6. Increased productivity

Achieving company goals holds intrinsic value. For that, the brand needs to make sure it has employees who possess a deep understanding and embrace of the distinct ways the brand is creating value for its customers, the points that differentiate the brand from its competitors, and the unique personality that the company uses to express itself. Moreover, its employees should feel empowered to interpret and reinforce these aspects themselves and have a place to create within. To achieve this the brand needs to cultivate a clear, strong, and distinctive brand-led culture. (Wheeler 2017, 17; Yohn, 2017.) 

5. What to consider when before building a brand identity 

“We value things for not who they are but for what they mean.” (Sutherland, 2022)

There are two parts to consider before building a brand identity – initial investment and what kind of narrative you can create to establish your brand identity. “We value things for not who they are but for what they mean.” (Sutherland, 2022). As R. Sutherland underlines, nowadays, it is not that easy to develop a product/service that is very different and significantly better than your competitors. In his words, to offer a “ten times faster train”. Instead, it is about finding a unique edge (“offering a train that is ten times more enjoyable”) that can connect with customer needs and desires that your competitors have not yet thought of.   

Value is abstract in the way that, it can all be based on perception, not on actual qualities of the product. In some markets, by just asking for more money for a product it can seem more valuable or luxurious leading to more sales. A good example of this is the Chinese electric car market. In the past, electric cars were inexpensive in China which lead to them being viewed as “cheap” cars. Once Tesla entered China, they brought with them a certain type of prestige and luxury that a more expensive vehicle has. Chinese car manufacturers caught on to this and started to produce more expensive electric vehicles. As a result, the eclectic car market exploded in China.  

However, to be able to figure that out one needs to do customer and potential competitor analysis, and it is not just “market research”. It is about going beyond and developing a deep understanding of what customers say and what they do. Then it is important to do self-analysis to determine whether the brand has the resources, the capability, and the will to deliver. “The analysis needs to uncover not only the brand’s heritage and current image but also the strengths, limitations, strategies, and values of the organization that is creating the brand. Ultimately, successful brand strategy needs to capture the soul of the brand, and this soul resides in the organization.” (Aaker & Joachimsthaler 2009, 41.) 

 7. Discussion  

The impact of branding cannot be stressed enough. By establishing a strong brand identity, the brand is able to influence what kind of reputation it leaves in the public space, how it is going to be perceived within the marketplace, differentiate itself from the competitors, and showcase its competitive edge. It is important to understand that it is not a process that could be (and should be) rushed because, in comparison to marketing campaigns that are comparatively developed for short-term results, branding is an investment in the long term. For this reason, many companies, especially smaller ones, struggle to establish a strong brand. Building a brand requires one to invest into campaigns without expecting a positive ROAS (return on ad spend). Traditional digital marketing, especially PPC marketing is very result oriented and in nature goes against what branding needs. Getting more sales and building brand equity are two different things.  

References 

Aaker, D & Joachimsthaler, E. 2009. Brand Leadership. New York: THE FREE PRESS A Division of Simon & Schuster, Inc.  

Big Think. How Apple and Nike have branded your brain | Your Brain on Money | Big Think. Big Think. 27.07.2021.  https://youtu.be/4eIDBV4Mpek?si=pqvR7o9la3vuFEKE [5.02.2024.] 

Duke Today Staff. 2008. LOGO CAN MAKE YOU ‘THINK DIFFERENT’. Duke Today. 18.03.2008. Research. https://today.duke.edu/2008/03/apple_ibm.html  

Johnson, S. 2021. The neuroscience of branding. Big Think. 27.07.2021. https://bigthink.com/neuropsych/how-apple-and-nike-have-branded-your-brain/ [5.02.2024. 

Matchstic. n.d. (example source: Matchstic. 2019. Branding vs. Marketing. Matchstic. 26.06.2019. https://learn.matchstic.com/branding-vs.-marketing [11.02.2024.])  

MOO. n.d. Live Your Brand from the Inside Out. E-book. (could not trace and access the file [11.02.2024])  

Neumeier, M. 2019. What is Branding? A deep dive with Marty Neumeier. The Futur. 17.12.2019. https://www.youtube.com/live/dpZfNNYUZEc?si=Iih6Bs6xBEqRMrRE [5.02.2024] 

Platt, M. 2020. The Leader’s Brain. Pennsylvania: Wharton School Press. 

Sutherland, R. 2022. The Marketing Secrets Apple & Tesla Always Use: Rory Sutherland | E165. The Diary Of A CEO. 1.08.2022. https://youtu.be/Hz3RWxJck68?si=k8AC-UOUCmuj7uTJ [5.02.2024.] 

Wheeler, A. 2017. Designing Brand Identity. An Essential Guide for the Entire Branding Team. 5th edition. Hoboken, New Jersey: John Wiley & Sons, Inc. 

Yohn, D. L. 2017. Why Your Company Culture Should Match Your Brand. Harvard Business Review. 26.06.2017. https://hbr.org/2017/06/why-your-company-culture-should-match-your-brand [10.02.2024] 

Yohn, L. D. 2018. How to Build Your Brand from the Inside Out by Denise Lee Yohn. Denise Lee Yohn. 23.01.2018. https://youtu.be/SCHMoDH9qv4?si=ksZJ-Z7qWUH-1EO4 [10.02.2024]