11 Jul 2022

Understanding Benefits and Strategies of Branding


Articles - FOB,

In today’s era, a company certainly needs marketing department to market the products it sells. Branding is a way to attract the attention of potential buyers or consumers. Many judge that this method is the same as marketing, although in reality it is very different. Branding is something different.

Companies or businesses originating from abroad can be established and easily recognized in Indonesia, not just one or two but more than that. As a business actor, the owner of the company must also build a brand from the business being undertaken. That is the importance of a brand, to make it easier for consumers to recognize the product to be purchased.

The term brand was first used by the British in the 19th century, to mark livestock and slaves with hot iron stamps on the body. At that time they called it burn, the brand became popular after being used by Germans when stamping hot iron, brennen.

Brand is currently defined as a self-identity that distinguishes between people, both humans, products and places. While branding is a communication activity, strengthening, maintaining a brand that aims to give perspective to other people who see the product.

The main purpose of branding is to introduce a company’s brand, besides that branding also aims to build a positive image and reputation. So that the product and company are always good in the eyes of consumers, the company’s image is considered capable of building consumer confidence in the company.

An easy understanding of branding can be seen from the name, logo to the slogan echoed by a company so that it sticks in the minds of consumers. It can be said that branding can always attract consumers to return to a product marketed by the company. Usually this step is taken by companies that are not known to many people.

Not only on products, branding can also be done for yourself and this is often done by celebrities in the entertainment world, called personal branding. Personal branding is the most popular self-marketing strategy among public figures such as artists, musicians, politicians and so on.

Branding Benefits

  • A brand will be famous easily, of course, branding is the right thing to make the company’s brand more easily recognizable. This step enables people to differentiate one brand from another.
  • Giving a business a strong position in the industry, branding is carried out in the long term as an effort to strengthen the brand so that the business is in a strategic place in an industry.
  • Giving trust to the public in the brand being sold, a brand will be positively recognized and more trusted and it is easier to attract new customers by branding.
  • Supporting the marketing of the brand being marketed, such as doing branding image is making consumers satisfied with the product or service and can be recommended to others by doing branding.

Branding Strategy

Hands over wooden blocks with inscriptions

  • Mentioning the purpose behind the brand to be sold, this is done because giving a positive image of the brand in order to gain public trust is not enough.
  • Maintaining brand consistency, this is done so that a brand and business can last a long time consistently. This method also makes it easier for people to remember the product.
  • Having a web page or website, social media is one of the tools used to build a business easily if you know how.

Brand Advantage

Branding means promoting or marketing a brand for sale after it has been introduced to the public. From this activity, of course, a company or individual will get several benefits, both those that are felt directly and in a fairly long period of time, including these benefits.

  • To attract consumers, if they don’t buy at least they just know about the products sold from that brand.
  • Make it easier for companies to get loyalty from customers who use the products or services offered.
  • Opens up opportunities for companies to set a selling price, not a minimum but a maximum value, aka a high price.
  • For business people, branding can be useful to help them differentiate the products sold in the market.
  • As a differentiator or certain characteristics that distinguish the company’s products from those of business competitors or competitors.

Branding Weaknesses

Building an identity carelessly, this is the first weakness of branding and is often done by business people. An example of personal branding, this is usually done by public figures who are building their image. Especially in this all-digital era, public figures just want to go viral and be known by name without capital to survive in the entertainment industry.

The use of visuals that are too ordinary, this applies to companies when they are going to sell their products. The visuals of the product must be able to make potential consumers captivated, not just fixated on brands. Try not to use visuals that are too ordinary, this is a branding weakness in offering products to the public before they fail.

Thus a brief explanation of what branding is, the benefits and advantages it provides to business people. Interested in learning more about branding, business & management? Sampoerna University has developed an academic program within the Sampoerna University School of Business with the aim of meeting the need for skilled and trained individuals to fill jobs in the business management, banking and financial services sectors in Indonesia.

The School of Business has unique study abroad opportunities through our partnerships with US universities. They can choose to study abroad and get grades that can be directly included in their credits at Sampoerna University. For more information, click here.



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