Developing a brand and its impact on the market is important for any thriving business. Intellectual property plays an integral part in business development through strategies focused on brand creation and visibility. Brands today are generally recognized as a key asset for creating value for a business. Any “enterprise”, in the wide sense of that term, be it for-profit, not-for-profit, small, medium-sized or large, even a country or geographical region, can develop a brand image.
Why Brand Name Is Important?
One of the most important function of brand is the brand’s differentiation power. The brand must have a “point of difference” as far as the target group of consumers is concerned. This point of difference must be:
- Recognizable (in terms of the good and/or services marketed);
- Desirable (in terms of the quality and value of the goods and/or services offered);
- Credible (in terms of reliability); and
- Properly communicated (in terms of how the message is formulated and to whom it is targeted).
Inversely, the stronger the differentiation power of a brand, the greater its effectiveness and therefore its value both for its owner and for consumers.
How is a Brand Image Developed?
A brand image is developed through an effective branding strategy, which, as already stated, should constitute an integral part of any business plan.
- A successful branding strategy should both anticipate and shape consumers’ needs and desires. Knowing your consumer is therefore a key to a brand’s success. Good consumer research therefore constitutes a pre-condition of a successful branding strategy.
- Statistics, polls and graphs are certainly valuable indicators, but so are the knowledge and understanding gained through personal contacts with customers and the experience accumulated in running the business.