The Relation Between Brand Awareness and Repeat Purchases
Introduction
Before discussing how branding might increase sales, it's important to realize that brand recognition takes time to develop. People need time to understand what your company is all about.
Brand recognition creates equity for your product and fosters trust. A customer won't second guess where they spend their money if they are familiar with your brand or product and recognize its value.
How to establish a powerful brand identity
When you consider what makes some people more appealing to you than others, it's usually their personality or something about them that sets them apart. The individual may be endearing, an excellent storyteller, or simply enjoyable to be around. Before developing a brand identity for your company, think about how you want to be viewed.
Consider how you want your target audience to feel when they work with you. Create a mission statement and corporate principles that are clearly aligned with your desired brand image and what you stand for.
Select your intended audience
Even if you try, you'll soon come to the conclusion that most of the time you can't win everyone over. You must make a decision about who you want to communicate with because not everyone will agree with your message. Find ways to connect with your potential clientele by identifying who they are.
Focus on who they are, where they like to shop, what they believe in, and the kinds of material they want to consume by using your analytics. You'll be able to better assist them and contribute to their problem-solving after you have a deeper knowledge of your ideal client.
Figure out why.
Your customers might not understand why you're in business, but you do. Make a compelling mission statement that outlines your principles and the goal of your job. It doesn't need to be a protracted, tedious statement. Describe your business's mission, target audience, and unique differentiators.
Major Benefits of a Strong Brand
Being able to offer more than just goods and services but also meaning is what building a powerful brand is all about. In many respects, the foundation of a company's success is its strong brand, which is the outcome of a successful brand strategy.
Building a strong brand takes time and ongoing work, yet a strong brand greatly boosts a company's worth. It gives workers a sense of direction, inspiration, and community. It enables you to increase pricing and attract more clients without exerting any effort on your part.
1. Promotes greater brand awareness
I recognize that brand, oh!
How well your target market and potential clients can recall and recognize your brand and products is known as brand recognition. It serves as a gauge of how successfully your target market distinguishes your offering from that of rivals. Consider Starbucks as an example. You probably recognize their brand even if you don't drink their coffee.
Their café features an open bottom for pricey bottled water and kid-friendly apple juice boxes, along with a glass display for sandwiches and cake pops. The décor of the café is a little dramatic and dark. On their coffee cup, a circled white and green woman serves as the company's logo. To sum up, you wouldn't enter a Starbucks and think it was any other establishment.
You may have also noticed that we didn't name a specific Starbucks. That applies to every single Starbucks location. Consistency in logos, colors, fonts, brand messaging, and other stylizations is necessary since brand recognition develops gradually and maintains consistency across all platforms. Building recognition through consistency is beneficial. According to a third of respondents in a Statista poll, consistency made a significant contribution to their company's revenue (20% or more).
Customers are "conscious that your brand exists, and while they still might not be ready to buy from you, they identify who you are based on some of your branding components" while they are in the brand recognition stage, which follows after the brand awareness stage, according to Forbes.
2. Increases Brand Loyalty among Customers
Everything they do is good.
Typically, loyal clients will pay more for your goods. According to research, 57% of consumers spend more money with brands they trust. Repeat business is more common with loyal customers. They follow you for updates on your company and products and eagerly await the introduction of your next offering.
Customer loyalty is a result of consistently having a good emotional experience, being happy with your products, and having a strong brand that people value. It is based on a person's own experience with a business. In general, loyal customers believe that your product is superior to that of other brands. Both Apple and Microsoft have a sizable fan base, and their customers regard their respective brands as their favorites.
Good customer service and products that satisfy consumers' needs are two of the main aspects that encourage customers to stick with a business. A powerful brand constantly seeks to enhance the consumer experience and develops goods that are responsive to client wants.
3. Effective word-of-mouth promotion
Have you heard about this? It's incredible.
People will spread the word about your brand to friends, family, and random onlookers at the bus stop when it tells a story they want to hear. They represent your company's brand. Word-of-mouth marketing is a form of social proof for the reliability of your company. Word-of-mouth promotion "may boost the overall impact of your marketing activities by up to 54%," claims Sprout Social.
Strong brands that successfully leverage word-of-mouth marketing deliver high-quality goods that live up to their claims. For instance, LL Bean guarantees tough outdoor clothes. However, it doesn't only claim to have durable apparel; the company's products support those promises, as can be seen in customer evaluations posted on the website and on social media.
4. Greater Impact of Advertising on Consumers
They are displaying a novel concept.
How likely it is for a buyer to buy your product after seeing your advertisement is referred to as advertising effectiveness. Your customer is more likely to buy your product if your advertising is more effective.
Any marketing messages coming from you, the "strong brand," will be seen with interest and reliance. Consider the most powerful brands you are familiar with and how you react to the launch of a new product. Are you interested in the new features when Apple unveils its newest iPhone? We're most of us!
Customers will respond favorably to new product releases and promotions when your brand is well-known and your items are trustworthy.
5. Less Sensitivity to Price
No matter what, I need this.
Price sensitivity refers to how much your product's price affects your target market's propensity to purchase it. The less it influences their choice, the better; it shows that they trust your brand enough to give price less importance. Customers who are less price sensitive have probably been pleased with a product they have purchased from you or feel positively about your brand.
You have the authority to increase pricing because of the strength of your brand. Why? since you've gotten really good at what you do.
6. More Job Seekers Interested in Working for Your Brand
Being employed by this company must be really wonderful.
An applicant is more likely to be intrigued when they observe a business that seems to be focused on the task at hand. Everyone wants their curriculum vitae to stand out and be compelling. Additionally, a wider applicant pool typically results in a larger pool of individuals who are a good fit for your business.
Candidates are more likely to pursue a position with your organization over competitors when your brand is strong. Your company can only provide its employees with the employee value proposition that your brand offers. More customers will likely prefer your brand if it offers incentives and benefits that other brands don't.
7. Dedicated Workers Who Love Working for Your Business
We're doing a great job
You want the work your firm does and their environment to make them happy. Happy workers are more likely to be engaged, and engaged workers are 21% more profitable, stay with organizations longer, and are more productive. Employees who are engaged are incredibly important to your business.
When your brand is strong, your employees are proud of what they have contributed to the success of your business. They experience joy in both their personal and professional lives as a result, which increases their affinity for your business.
Because a successful brand supports its employees' success and careers, it helps to maintain employee engagement. Some of the most powerful brands are raising employee motivation by emphasizing culture and a supportive workplace. Happy employees that are invested in your brand can be attributed to a positive company culture and environment.
Why is brand awareness crucial to your company?
Trust: A customer's decision to make a purchase is greatly influenced by their level of trust in a brand. Customers are more inclined to make further purchases after they start to trust your brand and develop a relationship with you.
Brand awareness bridges the chasm between consumer loyalty and brand trust. It provides your brand a personality that makes clients feel comfortable using it.
Association: If you wanted a soft drink, you must have Googled your question or chosen Coke.
Brand awareness links behaviors to the brand's merchandise. There are other search engines in the same category as Google. However, when you instruct others to perform a search, you instruct them to "Google" the query.
Because of brand awareness, ordinary words are now being replaced by the brand name. Before you even realize it, you have been making "Xeroxes" rather than "copies."
Brand equity: Your brand's worth is based on the perceptions of your customers. Positive perception is a byproduct of favorable experience, and positive perception raises brand value.
Having a strong brand identity can contribute to happy customers. Customers begin to favor a brand above the competing options as they begin to recognize it and buy from it. It creates a strong foundation of trust.
Conclusion
Brand awareness measures how well-known your brand, its goods, and services are within your target market. People usually refer to a brand that has a high level of brand recognition as popular or trending.
Recognizing a brand is important for a customer when making a purchase. When a buyer is acquainted with the product category and a brand linked with the category, they make a purchase.
Brand awareness does not require consumers to retain the name of the brand. A feature that distinguishes the product from others in the same category must be visible to the client. Color has been shown to increase brand recognition by 80%.
We recognize the brand "Nike" when we hear the phrase "Just do it." or, when we consider