When Volkswagen encountered a PR disaster back in 2015, the effect was disastrous. The German car manufacturer was caught sharing incorrect emissions to authorities, which led to an extensive inquiry. Even though they recalled 500,000 vehicles, Volkswagen had a hard time regaining the trust of the people.
But Volkswagen wasn’t the only car manufacturer involved in a PR disaster in the past few years. Toyota, GM, and Ford also recalled their products when someone caught wind on the problems with their vehicles. Compared to Volkswagen, however, the public was more forgiving towards the three other car companies.
So, why were people more lenient towards them? It’s because the German car manufacturer was able to build a brand identity that associated them with unerring precision and public trust. So when they were caught manipulating their smoke emissions results, they destroyed their own brand identity and core values.
This is an example of how powerful brand identity is and why you need it for your business. It won’t be a problem if you’re getting a franchise because you already have a brand identity to work with. All you have to do is remind people of your franchise’s identity by using social media marketing for business franchises.
But if you have a startup company, you’ll have to figure out your brand’s identity on your own. Here are more reasons that make brand identity essential.
You get to dictate your price
Think about it: a lot of famous brands (Nike, Apple, Lexus, etc.) have hefty price tags and yet, when you look for other brands they’re competing with, there aren’t that many differences in quality. So, why do these other brands get to charge higher than others?
It’s because they have already solidified their brand’s reputation and people who look to their brands only see top-quality products. So, even if some of their products are not that different from their competing brands, they can still place a hefty price tag on them.
You make it easier to be recognized
Once you’ve established your brand’s identity, it’s easier to be recognized by your customers. Even if it’s just your logo that your customers see, they will already recognize your products and be motivated to buy. That’s not all. If you’re able to build your brand identity, people will recognize it anywhere even if they don’t see your logo.
The thing with brand identity is that the aim is not just to display a logo that’s associated with your brand; it also aims to associate your brand with good values. It’s like when people think of Mercedes Benz, they automatically think of the words “elegance,” “sophistication,” and “luxury.”
You stand out
Another reason brand identity is important is because you need to stand out among your competitors. It’s safe to assume that no product these days is totally unique. If you’re launching a product on the market, you should know that a dozen other companies are selling a similar product.
You need to be different from your competitors. Otherwise, you won’t be able to garner enough attention from potential customers. Your brand identity is important because even if you have similar products with your competitors, you can differentiate yourself from them by making your brand unique.
These are just some of the reasons brand identity is important to your business. It makes your company unique, more recognizable, and more respectable. So, work on building your brand identity and your business will soon expand.