Launching a new product under the umbrella of a brand lets you take “cuts in the line.” Branding is a cost-cutting tool, not a revenue-enhancing tool. (Okay, much later it is a revenue-enhancing tool too! But not at first.)
I think branding is about cutting your costs of a new product introduction. Branding is a long term investment, not short term cost to juice product sales.
No, the objective of branding programs isn’t to sell a product. The goal of a brand program is to build brand name equity, so you can introduce new products less expensively. When starting a business, you want your brand to reach as many people as possible. Even if it does take time, then hopefully you find that it is worth it in the end. So whether you use the services of a door hanger company to produce memorable promotional material to be sent out, use social media to build a brand identity or think word of mouth is a good tool, as long as you are doing it for the right reasons, that’s all that matters.
Your target market has already heard of you, so you’ve got “trust” and “innovation” and “high quality” already mapped out. (Assuming that’s what your brand stands for.)
In essence, you jump ahead in the mind of your target market. The better the brand, the farther you jump.
By launching your new product under the umbrella of a brand, you don’t have the enormous start-up costs of all the new product marketing. You could be more efficient with your money if you followed steps to hootsuite login to ensure all of your business’s social media is consistent. and you can add the new product to your line. What a difference. You start out familiar.
On the other hand, if you continue to introduce one new product after another, without the advantage of building a brand name first, you have to break through all the clutter that bombards your target market and then get their attention. Wow. That is $$$$$ expensive.
Another way to do to jump the line, is to “borrow” the equity of another brand. You know, license someone else’s brand name. It’s faster, but doesn’t help you long term.
The advantage of a brand is the target market will have some familiarity so you can start up higher in the stair steps of the purchase cycle. Do you know how people have to hear about something many times before they take action? Well launching a new product under a brand umbrella gets you started on the 3rd floor or even 4th floor instead of the basement. It may take a lot of little steps before they’re ready to buy.
Can you think of a product that wouldn’t have “made it” on its own? Or at least wouldn’t’ have made it quickly, without its brand? Please leave me a comment with an example. We’ll see if you and I are thinking of the same product!!
By investing in your brand as opposed to spending on the individual products, you build value long term. Equity. It’s like buying instead of renting.