What is branding?
Branding is a step by step process which synchronously aligns your company to create a powerful aura around it.
In simple terms, it is a process which needs to be in place to set you apart from your competitors.
It is a never stopping Wheel. Why? Because your consumers are changing and adapting to new trends and technology.
It is an important methodology which helps a small, mid-size and large business to outsmart their competitors strategically.
Hence the business owners must understand the importance of branding.
In terms of marketing, branding is a marketing practice in which a company creates a name, symbol or design that is used to identify the company. This helps to differentiate a product and distinguish it from other products and services. Branding is important because not only is it what makes a memorable impression on consumers but it allows your customers and clients to know what to expect from your company. It is a way of distinguishing yourself from the competitors and clarifying what it is you offer that makes you the better choice. Your brand is built to be a true representation of who you are as a business, and how you wish to be perceived.
What are the different types of branding?
Before we know what are different types of branding. Do note branding is not just done for a product, service or company. It can be done for individuals, nations or lifestyle of a particular kind.
This is basically for a company who is focused on products or services. This type of B2C branding is mostly for the FMCG industry or application-based company. The main intent is based on common consumer needs.
This type of branding is used by organizations who are providing a solution to a problem to a particular set of consumers or niche. A corporate brand that has a rich heritage, an asset to showcase, have solid core values.
We all have a unique style. And when this style is being promoted to a larger audience it becomes personal branding.
personal branding is developing an individual aura as in how other people will perceive you.
celebrity branding is a good example of personal branding
Employees are the company's face. For example, the receptionist is the first face with which your stakeholders interact with. He/she has to know about the brand in and out. So that he/she oozes out the company culture confidently.
Or your customer service. The kind of service provided by them determines the company brand credibility. Hence employer branding is important.
Digital Branding: Branding of individual, corporate or employees are no more in the phase where only traditional marketing or branding works at its full potential. Digital presence has evolved and has become more and more relevant. Hence digital branding with time has become important.
It is getting your company brand online.
Co-Branding: When two company brand exists together it is called co-branding. For example Nike + Apple = Nike+
This type of branding extends the reach instantly, establish credibility and double your marketing budget. Hence important to choose your co-brand wisely otherwise it will backfire and plummet your brand value.
Shadow Branding: In this usually a brand endorses another brand. But not connected visually.
For example, BMW is a shadow endorser of MINI Cooper.
How to choose a branding strategy?
Now that we know some of the types of branding. Now the question is how to determine which type of branding suits the company. The brand architecture helps in determining the best possible way. Broadly it is divided into three categories monolithic, house of brands and branded house.
Choosing which brand architecture to adopt, you have to identify whether you have a diversified portfolio or a single portfolio. If you have a single focused product or service with a single brand name, then go for monolithic brand architecture. Or if you have diversified services to offer with different brand names then you follow house of brands architecture.
And finally, if you have different products with the same brand name then you have branded house.