What is Branding? Isn't It Just Marketing?
At various formal and informal gatherings in the United States, when meeting someone new, the common question is: "What do you do?" Whenever I respond that I am a Brand Director who specializes in planning and executing brand strategies for businesses, I often see puzzled looks. Some even try to change the topic. To alleviate their confusion, I quickly explain that it’s similar to marketing. Upon hearing a familiar term, they relax and the conversation continues. I’ve come to realize that even in the U.S., many people understand the importance of branding, especially in the entrepreneurial world, but are unclear about what it entails in practice.
Common Misconceptions About Branding
Many companies claim to do branding but focus solely on the visual aspects.
When most people think of branding, they usually think of logo design, product packaging, or crafting stories to beautify products. While these are not incorrect, they are not entirely accurate either. These elements fall under the execution side of branding and are the consumer touchpoints. True branding is a comprehensive process that involves brand research, strategic planning, brand identity development, and implementation across various communication platforms.
In Chinese, there is almost no precise term for branding. It is often translated as "brand marketing" in Taiwan, leading many to mistakenly think it is just another form of marketing, on par with social media marketing, content marketing, influencer marketing, etc. This misconception causes many small and medium enterprises (SMEs) to focus on other familiar marketing methods while neglecting the importance of brand strategy.
So, What is Branding?
Simply put, branding is the process of a business understanding who they are, who they are speaking to, and what they are saying, and controlling how this is presented. Good branding helps businesses and entrepreneurs clarify their unique value proposition (mission, vision, values), core message, and brand identity (visual, verbal, and experiential).
The goals of branding are to strategically establish:
Unique value, aesthetics, and message.
A promise or trust in consistent product or service quality.
An emotional connection with consumers.
By establishing these elements, we can positively influence consumer behavior, going beyond mere price and quality competition to build long-term customer loyalty and attachment. Therefore, the ultimate goal of a Brand Director is not just to help the brand gain market share, but to gain mind share—making the brand the first thing that comes to mind when consumers want to buy something or do something, along with a specific feeling and impression.
“If people believe they share values with a company, they will stay loyal to the brand.” — Howard Schultz, Starbucks CEO
Practical Example: Nike is Not Just "Shoes"
After this textbook explanation of branding, let's use a familiar example: Nike shoes. Recently, more and more of my friends have become enthusiastic about marathons. Unlike many team sports, marathons (whether half or full) are not "fun" group activities. Completing long distances requires long-term training of the cardiovascular system, breathing techniques, running posture, and muscle strength, which demands willpower and passion.
I have a friend who is usually very thrifty, opting for second-hand items whenever possible. However, when he decided to get serious about running marathons and aimed to achieve a certain result next year, he invested in a good pair of Nike running shoes instead of opting for a similar but much cheaper no-name brand.
Consumers are willing to spend three times more money to buy new Nike shoes of higher quality and style instead of other brand-name shoes.
Why Consumers Choose Nike Over Cheaper Alternatives
This thrifty friend chose Nike over a cheaper brand not just for the shoes themselves but for the emotional connection that the Nike brand brings. Wearing expensive, high-end Nike running shoes symbolizes his serious attitude and determination, self-motivation, and a sense of belonging to the "serious marathon runners" community. These emotional connections are what Nike strategically builds in consumers' minds through its branding (you can almost hear: Just do it!).
This is just a simple example to quickly illustrate the application and impact of branding. We know that to establish the brand values mentioned above, branding is not achieved through a single ad, a new logo design, packaging, or decoration. It requires top-down, inside-out strategy to execution, and consistent communication over the long term. Once a strong brand is established, it is incredibly impactful and this impact is sustainable!
In the next article, I will share more about how startups, companies, or individuals can practically (without the multi-million-dollar budgets of big companies) apply branding to build impactful brands, and why I believe branding is absolutely essential for startups and SMEs.
FAQs
Why is branding important for small businesses?
Branding helps small businesses differentiate themselves, build customer loyalty, and create a strong emotional connection with their audience.
How does branding differ from marketing?
Branding is about defining who you are, what you stand for, and creating an emotional connection with your audience. Marketing is the tactics and strategies used to promote your brand and reach your target audience.
Can small businesses afford branding?
Yes, branding does not require a huge budget. It requires strategic thinking, consistency, and understanding your audience to create a strong brand identity.
What are the key elements of successful branding?
Key elements include a unique value proposition, consistent brand messaging, a strong visual identity, and building trust and emotional connections with customers.
How can a strong brand impact customer behavior?
A strong brand can influence customer behavior by building trust, creating emotional connections, and making your brand the preferred choice over competitors.
