Most companies are not able to see the impact of branding on sales, and often view them as different aspects of business. But, ironically this is not the case and branding is the right impetus that can be given to a business to keep the customer loyal and increase sales. In 2005, an e-commerce company replaced the Register button with Continue button and registered an increase of $300 million in revenue; this shows the impact of branding on sales.
Companies benefit a lot when they have a nice image with a powerful and consistent brand. Customer engagement is the in thing these days and it can be achieved only when you have strong brand image in the market. We will be talking about the advantages of branding in increasing your sales and revenue by using the various tactics.
Differentiate your company from rest
Branding is necessary for right positioning in the market and creates visibility and awareness for the company. It makes your business unique and memorable for the end users. This directly influences the sales. It is about capturing the imagination of buyers and making your brand and products stand out. Many renowned brands in the world have achieved this by signing exclusive deals with celebrities which identify with that brand.
Building trust through consistent performance
You have to build trust in the mind of customer by maintaining consistent quality and service. Branding is all about the experience that you are providing to your customer. There should be proper guidelines which lend consistency and credibility to your image and helps forge a strong bond with the customers. Customer recommendations and positive reviews are achieved by this bond of trust. The emphasis should always be on the quality of the product even though you might be having a competitive pricing model because trust is always based on the quality.
It is well known saying that it is always easy to get the existing customers to purchase again then to find the new customers. This can be achieved by building brand loyalty. Brand Loyalty can be achieved by providing the customers an amazing experience. What you get in return is the word of mouth publicity for your products and services which is absolutely priceless. This also helps in existing customers referring the product and services in their own networks and adding on to the brand value and customer base without incurring any extra cost.
Keeping the pricing simple
Pricing strategy is the foundation and core of any business and if you commit any mistakes in formalizing it then it may result in losses and even failure of the business. The pricing model should be simple to understand for the customers and should not confuse the first time buyers. The pricing structure should be straight forward and should not involve any calculations to be performed by buyers. There should be transparency in pricing structure as it helps in building the trust of buyers.
The website or the content should not be confusing and everything needs to be self explanatory and descriptive. An ecommerce company used to have drop down menu for customers to narrow down their search but the response was not good; when they replaced it with product page which also contained images and description then this led to a 57% increase in sales. When the website is text heavy it leads to weak branding and the conversion rate is not good. But when you use pictures brand identification becomes easy for the consumer and it boost the conversion rate.
Minimalistic and Responsive approach
When a web based hearing aid company switched to a minimalist web design it led to an increase in sales by 300 percent. They changed the landing page from sign-up form to the product page they are interested in. The product images were replaced with photos which were more appealing to the visitors. There should be constant changes and updates made in the website to accommodate the convenience of visitors and keep the website interactive. Many companies are customizing their websites to make it easier to browse on mobile phones and this is leading to an increase in revenue for them as brand recognition and easy accessibility is working in tandem for them.
Leverage SEO and Internet marketing
Search Engine Optimization is another tactic which you can use to position your brand on the internet and make its presence felt. You can use keywords and image based search which can help the existing customers for brand identification and get new customers. You can also send trigger emails to the customers who have any doubts while purchasing online and clarify those. In this way you are building trust and increasing sales simultaneously by converting these potential buyers. You can also introduce brand loyalty programs offering customers incentives on first time and repeat purchases. These practices can lead to manifold increase in conversions rates and thereby increasing the sales and revenue.
A proper mix of all the above practices will lead to a better brand value and brand loyalty among the customers. A thorough research needs to be done about the customer behavior and their choices so as to target them with the right product. You have to be consistent with your tactics and build them on accurate customer data and then validate it with the market response that you are getting. These branding strategies help your company in reducing the cost and increase the sales revenue.