The marketing buzz word 'branding' isn't new. For years, companies have been orchestrating activities that brand their products, their services, and their organization. Outside of retail product promotions, however, most businesses didn't understand, implement, or benefit from branding until the early 1990s.
Proctor & Gamble is another story. In the 1950s, as the popularity of television increased, P&G took the importance and long-term value of the brand seriously. So did their customers, who bought into what is now a trillion-dollar industry. P&G has promoted everything from Pampers to Pringles, Crest to Clearasil. By making household names out of Mr. Clean, Mr. Whipple, and Vidal Sassoon, P&G now stands head and shoulders above its competitors.
Name recognition or corporate identification isn't the same as branding. Corporate identification is more about visual appeal: look, name, logo, and tag line. Some consider branding to be corporate image, but the latter is really about the perception of the company in the minds of its intended and unintended audiences. The image could be good or bad, but it's not the result of branding. And branding isn't accomplished by simply increasing advertising budgets or attempting new marketing activities.
Branding can't begin until a firm's core values, multiple audiences, and goals have been clearly defined. Branding needs to be thought of as a business process - one that's planned with a focus on competitive advantages, differentiation, and a clarity of purpose. It must reach every department and every employee within the organization. Then, and only then, can it be carefully implemented, executed, and directed to reach customers and prospects. That's branding.
Today the business world and organizations of all types use branding in various ways beyond advertising or traditional marketing vehicles.
Disneyland refines and builds on its brand 365 days a year. It has three areas of focus: its 55,000 employees ('cast members'), its billions of customers walking through the gate, and its financial goals. Every minor detail is significant and of equal importance in the start of a Disneyland day.
For example, the Magic Kingdom uses architectural design perspective and psychology to enhance the visitor's experience. At the halfway point on Disneyland's Main Street is a hill. When people enter the park, the optical illusion of the buildings leading to Cinderella's Castle gives them the impression that what's ahead is bigger. As they climb the hill, their anticipation builds. Conversely, the optical illusion makes the park's exit feel closer to departing guests. The walk downhill doesn't feel as tiring. At the close of a long day, those little details make a big difference to tired parents and children - and they support the branding message.
Each business should have it own unique type of branding, depending on its internal goals and organizational makeup. Skipping any of the necessary steps along the way -self-evaluation, buy-in from all levels of management, and execution across the entire organization - will result in disaster. It'll mean increased customer service complaints, frustrated management, and internal conflicts. This is bad branding, and it will linger long after the problems have been corrected.
Two insurance agencies brand differently. One promotes lowest price and speed of transaction; the other its expertise, knowledge, and follow-through. Both can be successfully branded as long as there's buy-in across the board within each respective agency.
A business with a strong focus on customer service excellence will require that the person answering the phone pick it up within two rings and provide friendly, patient, helpful, and focused responses to support the company's goal of giving each caller a positive experience.
That's branding.