A Brand’s Values Are Tied Up With Perceived Value

Written by Business magazine. Posted in Branding, Service, Strategy

Strategy

There is an important factor in marketing that makes the difference between success and failure: how does the customer experience your branding? You know that customer satisfaction means that they are more likely to make repeat purchases, and to even recommend your product or service on offer to their friends and family. But have you considered in depth what your actual branding strategy is, and how you can use it to your advantage?

It a truth few feel comfortable admitting, but it is true nonetheless. Perceived value outsells actual value. What that means is that how a customer views your product has a bigger impact on purchases than the actual product. It is the mystique, the cool factor, the branding. As many as nine out of 10 consumers are willing to spend up to 91% more on a product that they believe is superior, especially in terms of customer service.

Have you ever listened in on a friendly debate of one sports team compared to another? “Friendly” may be a bit indulgent, but the comparison is the same as comparing brands. Just ask a Samsung cell phone user to discuss its merits with an iPhone user. It will quickly turn into a debate. Why? Because people identify with the things they spend money on.
People fall into different categories that describe how they make purchasing decisions. Consider who your target audience is, and ask yourself this: how will your product or service add value to their life. Now make sure your marketing makes that point crystal clear. Now is not the time for vagueness.

People chose to spend their money on items that they believe will add value to their life, by making their life easier or more enjoyable. It doesn’t matter how large or small the merchandise may be. People are either Swiffer users or mop users, automatic coffee maker drinkers or staunch supporters of the French press.

As the popularity of the KonMari magic tidying method proved a few years back, consumers want to feel as though each item in their home is special in some way. Rash consumerism will always have it’s moments. But for a company to have lasting power, it is essential that it’s target audience closely identifies with the brand’s values, as 64% of consumers insist.

Successful branding is about more than simply having the company’s logo be easily identifiable. In fact, almost 80% of consumers can recognize the specific color of a company logo. Details matter, it is true, however; never forget that the way a customer perceives a brand is just as important as the actual product or service offered. Look over the way your company does marketing. Can you pick out the message? Does it fit with the target audience? If not, you have some changes to make.

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