The short answer is yes if you are running a product or service-based business. Branding these days have been loosely used a lot primarily to describe logos and colors. These are simply pieces of a brand's visual identity. A company's brand also includes its values, positioning, promise and tone of voice, and more. Great brands are carefully crafted and evolve over time as a business evolves. Successful brands are never a fluke or accidental nor are they simply just visually appealing.

A strong brand can increase sales and revenues by 30%. Let's talk a little more about why your business should consider investing in branding even if you're a small business.

If you want to attract and retain customers, you need a brand

Attracting and retaining customers means purposeful designing and crafting for the right targeted audience your business is trying to capture. Capturing the essence (values, mission, and positioning) of your brand can then be translated into your visual brand identity more easily. (Logo, colors, patterns, icons, photography, tone, and more).

When this is done right, you're attracting and speaking to your targeted audience with consistency across your marketing channels and sales platforms. Not only that, the intentional design of your brand will resonate with your targeted audience.

Your brand is what sets you apart from the competition

Your brand is what sets you apart from the competition in a crowded market. It's what makes people remember your business, even when there are a thousand other options out there. Customers place a high value on brand experience, especially how a brand makes them feel.

Below are instances of when differentiation is needed to give your business advantage:

Your product is highly commoditized and consumers have many options
The product/service experience being offered isn't significantly differentiated
- For example, two companies that are offering the exact same services. How will customers choose? (e.g. Lyft and Uber)
A premium price point is desired
- Strong investment in brand and brand marketing can significantly command higher price points. We can see this in consumer premium brands. (e.g. Apple, LuluLemon, Starbucks, etc.)

Your branding is what makes a lasting impression on potential customers

First impressions count and many times consumers do not give brands a second look or a second chance. Website visitors make decisions about a business within seconds when they land on a website. Within a few scrolls they are already forming an impression and that is whether a business appears professional before they find what they were originally on the website to seek.

Branding is about how people feel about your business when they interact with it.

The best brands are the ones people want to be around, and those companies that have a strong brand are able to attract, drive interest and continue to nurture their prospects along their buying journey.

A good brand can command premium prices for your products or services

A great brand can command premium prices for your products or services. It can also help establish your business as an authority in your industry. When you want to position your business in the premium category, your brand identity can reflect the category you want to be in.

Premium does not always mean luxury. If your product category falls in the economy or budget-friendly category, an intentionally designed brand in this category can still garner higher price points and consumer loyalty. (Think big box store in-house brands.)

When Should I consider branding or rebranding?

A new business is the best time to work on a branding initiative. You're at the beginning stages of building out your product offerings and business goals.

On the other hand, if you have an existing brand below are a few considerations before you rebrand:

You're considering pivoting your business. You have a shift in values, target audience, and messaging.
You're noticing a decrease in conversions across your website and sales channels.
Your brand is lacking clarity, cohesion, and consistency. It's a nightmare every time you're trying to create new marketing material.

So how do we get started in creating a brand? If you're thinking about branding, here are some questions to ask yourself:

How do people perceive my brand? (or how do I want to be perceived?)
What am I trying to communicate through my brand? (i.e., who are we?)
Is it clear what our value proposition is, and why customers should buy from us instead of a competitor?

Do I need branding for my business?