Why Is Branding Important for Your Business? 6 Benefits of Branding


Although branding is incredibly important in the saturated market we live in today, many people still don’t fully understand what branding is. They mistakenly think branding is just about having a beautifully designed logo when, in reality, it’s so much more than that. 

Big brands understand that branding can shape how people perceive them and add value to their products or services. That’s why they invest thousands of dollars into creating a strong brand strategy and identity. 

But branding isn’t only for big brands. No matter how small, every business should invest in branding right from the start. In this article, we’ll discuss why branding is important for your business and highlight six main benefits of branding.  

What Is Branding?

The Cambridge Dictionary defines branding as “the act of making a product, organization, person, or place easy to recognize as different from others by connecting it with a particular name, design, symbol, set of qualities, etc.” 

This would be a great definition if the concept of branding were as simple as creating a distinct visual identity for a business or a product. It’s not. 

Sure, a brand’s visual identity is the first thing we see about it. 75% of consumers identify a brand by its logo, 60% by its visual style, and 45% by its brand colors. But branding is so much more than the look of a brand.

The more accurate definition of branding is that it’s everything about a business or product that consumers can experience. This includes anything from the visual identity (logo, colors, symbols) to the brand voice, marketing campaigns, customer service, social media presence, company culture, and the company’s mission and vision. 

Why Is Branding Important?

When you meet a new person, you usually decide whether you like them or not within the first couple of minutes of knowing them. You can get a sense of their personality not only by what they say but also by the way they speak, the way they carry themselves, their body language, and their clothing.

The same happens with businesses and products. When consumers come into contact with your company for the first time, they’ll form an opinion about it in the first 7 seconds. Branding gives you control over how people perceive you. 

That’s why good branding is important: it allows businesses to curate an image of themselves that produces the desired reaction among their target audience. Branding influences how people feel about a company and whether they like it, trust it, and are willing to buy from it.

Unless you intentionally curate your brand, you’ll end up with a “default brand” – something others have created for you and have no control over. Jeff Bezos once said, “Your brand is what other people say about you when you’re not in the room.” This couldn’t be more accurate. 

6 Benefits of Branding You Must Know

Branding is a strategic investment that goes beyond creating a recognizable logo or a catchy tagline. It encompasses the entire perception and experience that customers have with your business. 

Here are 6 benefits of branding you must be aware of. 

It Gives Your Business an Identity

Branding is your business’s personality. It’s what makes you, you. Think of all the big brands like IKEA, Starbucks, or Ben & Jerry’s. We know and love them and can recognize them anywhere because of how strong their branding is. 

For example, when you think of IKEA, you picture sitting in your living room trying to assemble a table on your own, which is both a rewarding and fun experience. That’s the identity of IKEA – a fun brand that connects with its audience’s desire to design their homes themselves in an affordable manner. 

IKEA isn’t just a name. It’s a whole experience. That’s what effective branding does – it transforms your business from being just a name into a complete experience. It’s not merely about the products or services you offer. It’s about the emotions, values, and perceptions associated with your brand.

It Creates a Consistent Brand Image Across All Touchpoints

Branding makes you more recognizable and memorable. Having a brand helps you present a consistent image of your business across all touchpoints, whether it’s on your website, social media, or TV.  

Presenting a unified front will help you avoid confusing your audience. If they see your logo, colors, and symbols a few times, the next time they come across your Facebook ad, they’ll know it’s yours. 

Similarly, if you keep your brand voice consistent across all your marketing channels (including customer service), your audience will remember it and start to identify you by the way you express yourself. 

 It Helps Your Business Stand Out

You can’t stand out in a saturated market if your business lacks an identity. Branding helps you highlight your uniqueness and show the world how you’re different from your competitors. 

For instance, Ryanair does this extremely well with its social media campaigns. They know that people perceive them as a low-cost airline that doesn’t offer great service, and they own it by making it part of their brand. Their self-deprecating and sarcastic tone of voice makes them stand out on social media and gain people’s attention.

That’s exactly what great branding does – it helps you tell your customers what makes you special in a way that sticks with them. It gives your business its own style and voice that people can easily recognize and connect with. 

 It Makes Your Business More Trustworthy

Inconsistent branding, or lack thereof, can hurt your business. On the other hand, strong and consistent branding makes your business appear more credible, professional, and trustworthy. 

Strong branding is like a signal to your customers that you’re serious about what you do. When your branding is inconsistent or nonexistent, it can leave potential customers confused and questioning your legitimacy. 

In today’s competitive market, trust is everything, and a strong, consistent brand is one of the most effective ways to build that trust. 

Think about it this way: Would you feel comfortable hiring a financial advisor who hands you a business card with no logo, a generic email address, and a poorly designed website? Probably not. People want to feel confident that they’re dealing with professionals who take their work seriously.

It Adds Value to Your Business

A strong brand often results in a strong reputation in the marketplace. Companies with established and widely recognized brands are often perceived as high-value businesses. 

Think about luxury brands such as Chanel or Louis Vuitton. Part of what makes them luxury is their brand name. People are willing to pay thousands of dollars for a Chanel purse or a Lous Vuitton accessory because these items give whoever owns them higher prestige and social status. 

The power of these brands lies in the perception they’ve created. The stronger the perception, the more they can charge for their products and the more valuable they become in the eyes of the consumers. 

It Fosters Connection & a Sense of Meaning

People want to feel connected to the brands they buy from. In fact, 76% of consumers say they’d choose a brand they feel connected to over a competitor. 57% say they’re more likely to spend more money with a brand they resonate with.

Branding is more than the visual and verbal perception of the brand. It also includes the brand’s mission, vision, and purpose, which can foster strong connections with their audience. 

When a brand’s mission or tagline has a special meaning that resonates with consumers, they’re more likely to stay loyal to that brand. Why? Because we tend to like people and brands that care about the same things we do. 

That’s why effective branding is one that goes beyond a merely business-like front and touches upon people’s emotions. Branding allows your business to appear more human, establish connections by aligning with its customers’ values and aspirations, and create a sense of shared purpose.  

Create a Brand with Dorothy House

Although your visual identity is important, branding goes far below the surface of a beautiful logo and a stunning website aesthetic. Your brand should highlight your business’s uniqueness and resonate with your audience through shared qualities and values. 

If you’re looking to craft a brand that tells your story through visuals, words, and emotions, our team of creatives at Dorothy House Media can help. Get in touch with us to learn how we can help you create, promote, and grow your brand. 


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