How to Drive Business Growth through Branding

As a business owner, you may often find yourself asking:

• How can I accelerate profitability?
• What’s the best way to reach more people?
• How do I elevate my products and services?

While these are essential questions for growth, it can become easy to dive into action without a solid brand strategy in place.

The connection between your business goals and brand strategy is often overlooked, but it's key to long-term success. Without alignment between the two, you're missing the essential foundation that drives sustainable growth.

Brand strategy is not just a marketing tool, or simply having a logo. It’s the essence of how your business engages with the people who can determine its success or failure.

Fortunately, there is ample research demonstrating how branding can help drive better business outcomes. If you're hoping to position your organization for success in a competitive market, here are 6 key benefits of implementing a strong brand strategy.

1. Brand strategy lays the foundation for business growth

Imagine you’re constructing a building. Where would you start? Most would begin with the foundation. However, what if I asked you to lay the foundation of this building without any kind of blueprint? Hmm… now that would be difficult.?

You’d wonder what the square footage should be, how many rooms are needed and most importantly the intended purpose for the building.?

A structure designed for longevity must not only have a solid foundation, but it also requires a comprehensive blueprint to serve as a guide for the builders. Without intention behind a plan, you can guarantee the structure won’t turn out how you expected.?

This principle is the same when it comes to your brand. When research is thorough and key components are defined in a brand strategy, it creates a clear framework for your organization to scale as intended.

Look at Nike and Apple—they’ve both seen incredible growth by transforming their brands.

• Nike’s “Just Do It” campaign transformed the perception of athletic wear, elevating it to a lifestyle brand and cultivating a devoted following.
• Apple, with its sleek designs and cutting-edge products, evolved from a typical tech company to a high-end brand.

Both companies thrived by developing unique brand identities that connected deeply with their target audiences, fueling significant growth.

Nike’s revenue, for example, soared from $877 million to $9.2 billion between 1988 and 1998, according to the Millennium Agency. The rebrand certainly played a key role in boosting brand recognition and consumer loyalty, which contributed to Nike's significant growth during that time.

Not too shabby!

2. Brand strategy equips your team

You’ve likely heard the saying, “too many cooks in the kitchen.” When it comes to growing your brand, differing opinions and unclear direction can create chaos. To scale successfully, business owners know they can’t do it all alone.

As a company grows, new employees are often quickly brought in to execute tasks (such as designing marketing materials or running campaigns) without a clear roadmap.

This can often lead to:

• Brand / Team Confusion
• Misalignment
• Unnecessary repetition of work
• Incorrect representations of the brand
• Decreased conversion rates over time

Without a brand strategy in place, you’re essentially opening the door for too many "cooks" to use their discretion and add their own ingredients without any guidelines on how to make the dish.

On the flip side, a solid brand strategy is like handing your team a detailed recipe. It clearly outlines what the brand stands for, and just as importantly, what it doesn’t. With a well-defined brand strategy, each “cook” (or department) knows their role, working in sync to bring the brand to life with clarity and focus.

Research shows that companies with aligned teams are 15% more profitable than those without alignment.?

At the end of the day, team alignment–thanks to a solid brand strategy–really does impact the bottom line, huh??

3. Brand strategy helps attract and retain talent?

Attracting talent to your company can be paralleled to an analogy of gift giving.

Imagine I handed you a gift in a battered, worn-out box. Your reaction would likely be one of disappointment or even disgust, regardless of how valuable the contents inside might be. The presentation alone would make the gift less appealing.

Now, picture this same scenario with a beautifully wrapped gift. Your response would be completely different – you'd feel honored, excited, and eager to discover what’s inside.

This is exactly the experience that businesses want to create when attracting talent. They want potential employees to be drawn to the brand, eager to unwrap the unique value it holds.

Moreover, when employees understand the bigger picture and feel connected to the purpose of their work, they’re far more motivated to produce successful outcomes. This unity around a company’s mission cultivates loyalty and a deeper desire to stay and contribute.

In fact, companies with strong employer branding experience a 28% reduction in employee turnover. This demonstrates the powerful impact a well-crafted brand can have on retaining top talent, according to FUEL.

4. Brand strategy solidifies unique value to help outperform competition

Sometimes, it can be challenging to pinpoint what really sets your brand apart, especially when you're deeply immersed in the day-to-day work. This is where an outside consultant’s perspective becomes invaluable.

We don’t operate on ourselves when we need a surgery or cut our own hair when it's too long. There is a reason experts are brought to assist, right?

The same principle applies to branding. A consultant’s role isn't to become the "voice" of your company, but rather to help uncover the unique value from all stakeholders and shine a light on what matters most — how your business can stand out and thrive in a competitive market.

Brands with a clearly defined strategy and distinctive differentiators are more likely to outperform competitors in terms of revenue growth and customer acquisition costs.

In fact, a study from Harvard Business Review shows that "Choosing one product over another is ultimately powered by the consumer’s emotional connection with the brand. Companies with strong brands outperform weaker ones by a 3:1 ratio when it comes to customer acquisition costs (CAC). Yet, many businesses miss the vital link between brand strength and performance.”

5. Brand strategy helps increase business value

Brands have a direct impact on revenue and business value by influencing something called "perceived value."

But what exactly does that mean?

Great question! Perceived value is how customers subjectively evaluate the worth of a product or service. It’s shaped by their perception of its benefits, quality, and usefulness—especially when compared to the price and competitors.

It’s important to note that perceived value isn’t just about price—it’s about how a brand connects with its audience on a deeper level.

Scott Galloway’s 3-line framework outlines three key factors that can drive revenue growth without the need to introduce new products or services:

?1. Cost of goods

2. Price

3. Perceived value

Among these, perceived value is arguably the most powerful. It’s what makes a brand stand out, ensuring that consumers not only find it relevant but also desirable. Ultimately, it’s not just about what you sell, but how your brand makes people feel.

Let’s look at a couple of brands that shifted their strategies to build emotional connections and drive business growth:

• Dove: In 2004, Dove moved away from traditional beauty standards and embraced a message of real, diverse beauty. By showcasing women of all shapes, sizes, skin tones, and ages, Dove celebrated inclusivity.
• The Result: This shift resonated deeply with a broad audience, forging a powerful emotional connection and making Dove one of the most loved and recognizable beauty brands worldwide. Over the years, Dove’s sales and market share grew significantly. By 2013, the brand’s sales had increased by more than $1 billion annually.
• Starbucks: In the early 2000s, Starbucks redefined its brand from just a premium coffee shop to a "third place"—a space between home and work. The focus shifted to community, relaxation, and personalization, creating an environment where people could socialize, work, or unwind.
• The Result: This strategic shift turned Starbucks into a lifestyle brand, fueling its global expansion and strengthening consumer loyalty. By 2008, Starbucks' revenue had doubled from $6 billion in 2003 to $10.4 billion. The “third place” concept boosted foot traffic and customer loyalty, helping Starbucks continue its global expansion. By 2018, its annual revenue surpassed $24 billion.

These examples show how enhancing perceived value through thoughtful brand shifts can strengthen customer connections and lead to significant business growth.

6. Brand strategy positions brands to demand premium pricing or mass consumption

There are a variety of strategic approaches businesses can adopt when it comes to pricing their products and services.

Take Walmart, for example. Positioned as an “everyman” brand, Walmart leverages affordability to attract a wide customer base. Its low price point appeals to budget-conscious shoppers looking for value.

On the other hand, Mercedes positions itself as a premium, high-quality brand, catering to a niche audience who seeks exclusivity and has the financial means to purchase a luxury vehicle. The higher price point helps maintain the brand's elite status, ensuring it resonates deeply with customers who value prestige and can afford it.

As Forbes points out, “Brands perceived as high-quality or innovative can justify higher pricing. Establish a perception of quality and value around your brand through high-quality imagery, professional branding, and showcasing customer success stories."

Whether your goal is to build a luxury brand or to serve the masses with more affordable options, a well-crafted brand strategy will allow you to align desired pricing with your business model and effectively reach your target audience.

The Impact on Business Success

In summary, a clear and purposeful brand strategy is crucial for driving business success and ensuring alignment across all stakeholders. It acts as the foundation for growth, helping you guide your team and attract the right talent while strengthening connections with customers.

A well-defined brand positions your business to stand out from competitors, command higher pricing, and increase overall business value. The clarity in how you want your brand to be perceived by employees, investors, and customers directly impacts your long-term success.

Don’t miss the opportunity to shape and influence the perceptions of your audience in a way that aligns with your business goals.

Sources:

1. Mill Agency. (n.d.). Why branding is critical to scaling your business. Mill Agency. https://mill.agency/creative/why-branding-critical-scaling-business/
2. Invoca. (2023, February 13). 10 stats that will drive your sales & marketing alignment. Invoca. https://www.invoca.com/blog/10-stats-that-will-drive-your-sales-marketing-alignment?utm_source=chatgpt.com
3. Fuel for Brands. (n.d.). How strong brands enhance employee retention: Why your employer branding matters more than ever. Fuel for Brands. https://www.fuelforbrands.com/article/how-strong-brands-enhance-employee-retention-why-your-employer-branding-matters-more-than-ever/
4. Harvard Business Review. (2020, July 20). 4 factors separating the top marketers from the rest of the pack. Harvard Business Review. https://hbr.org/sponsored/2020/07/4-factors-separating-the-top-marketers-from-the-rest-of-the-pack
5. Forbes Business Council. (2024, May 9). Competing on more than price: How branding can build revenue. Forbes. https://www.forbes.com/councils/forbesbusinesscouncil/2024/05/09/competing-on-more-than-price-how-branding-can-build-revenue/