The Impact of Brand Strategy on the Manufacturing Industry

In the fast-paced manufacturing world, the importance of a well-defined brand strategy cannot be overstated. Every industry is diverse and competitive. Each company has unique sales types, including supply, distribution, and service sales, that span both B2B and B2C markets. This diversity makes brand strategy a pivotal factor in determining a manufacturer's success tomorrow.

A brand strategy goes beyond logos and slogans; it shapes how a company is perceived, influences customer trust, and drives decision-making. A large part of brand strategy is brand identity. A brand identity comprises your company’s values, personality, messaging, and visual identity. All working together to ensure a brand is well-known and trusted. A Company's brand strategy can be utilized to spread awareness and further reinforce its established identity.?

Brand Strategy in Manufacturing

Here are some of the key ways in which brand strategy impacts the manufacturing industry:

Differentiation: a competitive marketplace can make or break a business. A well-crafted brand strategy helps a company stand out, making it easier for customers to identify and remember their products. For example, when manufacturing industrial ships for the Russian navy in the 1900s, rivets were shipped from around the country, mixed, and used as needed. This was a non-issue until the ships started sinking. Pre-brand identity: there was no way of knowing which supplier had supplied poor-quality products.?

Trust and Reputation: Trust is paramount in the manufacturing industry. A strong brand with a solid reputation can command higher product prices and is more likely to attract long-term partnerships and collaborations.

Market Expansion: A carefully designed brand strategy can help manufacturers extend their reach to new markets. Whether they want to diversify into B2C sales or enter new industries, a strong brand can facilitate the transition.

Product Innovation: Manufacturing companies that invest in their brand are often more inclined to innovate. A positive brand image encourages a culture of improvement and ensures that products remain competitive.

Brand Identity in Manufacturing

Customers and employees will identify with a brand based on their values and the values of a company and how it makes them feel. If a consumer values something like fast and reliable shipping, they may feel safe or trust a company that goes the extra mile to provide such services. A company may hold value in having its products made in the US. If a customer holds much value in buying products made in the US, it can be expected that they will identify with the brand.

However, forming a brand identity takes more than hoping your customer identifies with your business practices. All companies with the strongest brand identities, Nike, Adidas, and Apple, didn’t form one without a strategy. By communicating to the consumer how they want to be perceived, they form a relationship. Instead of just buying an Apple product, people are subscribing to a lifestyle of creativity, innovation, and productivity because Apple has made its values evident.

Let's look at brands that have changed their brand strategy to better align with consumer values. This is done through either restructuring the organization of their business, changing the look or name, creating a new logo, or communicating new company values.?

Pfizer:

Pfizer has now become ‘more than just a pharmaceutical company’ with their recent rebrand. Following the pandemic, they are now a household name. As the company grows and expands, so does its identity. As Pfizer CEO Albert Bourla said, “Pfizer is no longer in the business of just treating diseases – we’re curing and preventing them.” With their new focus on science and research came a new logo and boldness throughout the company. Their new double helix DNA logo attempts to illustrate this shift from pharmaceuticals to world-shaping science.?

Johnson & Johnson:

Johnson & Johnson is revamping its brand identity following the pandemic alongside its already established consumer product lines. They are rebranding their pharmaceutical division, formerly known as Jansenn, to Johnson & Johnson Innovative Medicine. Their medical technology sector will become Johnson & Johnson Medtech, while the consumer brand will be known as Kenvue. This overhaul primarily aims to spin off the new Kenvue brand into a separate company, which is already trading independently from Johnson & Johnson. It may also be motivated by a desire for a more digital-friendly logo, removing the cursive typeface.?

KIA:

KIA has undergone a significant rebrand called "Plan S," introduced in 2021 with a new logo and slogan. Their new slogan, "Movement that inspires," is meant to reflect their goal of creating a better future and becoming a company that inspires and attracts people. They've also removed the word "motors" from their brand to emphasize their commitment to sustainable mobility solutions beyond just automobiles. However, KIA has faced challenges with its new logo design, as many find it difficult to read, leading to potential brand recognition issues.

Volkswagen:

Volkswagen’s rebrand focused on sustainability and electric vehicles with a new modernized logo. This shift towards eco-friendliness aligns with the global trend among car manufacturers moving towards electric vehicles. This shift came from a 2015 emissions testing controversy when the EPA revealed that Volkswagen had violated the Clean Air Act by using illegal software to manipulate emissions data. Volkswagen has sought to rectify its past actions, and the 2019 rebrand could likely have been influenced by the 2015 scandal.

Harley Davidson:

Harley Davidson's rebrand aims to address the challenge of an aging consumer base and ensure the company's sustainability. They introduced a simplified logo that retained the original logo's shape to maintain brand recognition and an alternative simplified H and D logo. Although Harley-Davidson is transitioning, it continues to use the old logo in various contexts, adopting a blend of retro and modern elements.

IBM:

While IBM has never gone through a complete rebrand, they have made slight changes to their logo over the years, as well as experimenting with alternative visual identities. In 1981, Paul Rand created the iconic eye-bee-m logo, aligning with IBM’s THINK motto. This rebus-style design cleverly conveys ideas without words and has become an enduring part of IBM's identity. It is a prime example of how an identity can evolve, accumulating history, brand recognition, and value.

All of the companies above have one thing in common: Brand strategy. A rebrand might be most prevalent visually but typically signifies something greater within the company. A change in brand strategy can be a delicate process. Without a properly defined strategy and thought, it could send a company backward. For companies with years of history, brand recognition, and built-up trust, it can be difficult to keep consumers trust amidst innovation. Sometimes, this can be defined merely as growing pains, but when customers have such a strong connection to a brand, changes can be difficult. It is possible to damage a long-term customer's trust through changes to brand identity. However, with a strong brand strategy, you can keep the original customers happy, provide new opportunities for the consumer base, and expand the business.

Positioning for Success

Positioning a manufacturing company for success requires a tailored approach to brand strategy. Since manufacturing companies often deal with multiple sales types, brand strategies must be versatile. Here are some key components to consider:

Segmentation: Recognize the differences between B2B and B2C customers. Tailor your brand strategy to address the unique needs and expectations of each segment. B2B clients may prioritize reliability and cost-efficiency, while B2C customers may be more concerned with convenience.

Consistency: Maintain consistency in your brand messaging and identity across all sales channels. This consistency builds trust and recognition, whether you're selling to businesses or individual consumers.

Customization: Offer customized solutions for B2B clients. This can include tailored packaging, bulk discounts, and after-sales support. For B2C customers, focus on personalized marketing and experiences.

Innovation: Embrace innovation as part of your brand strategy. Showcase your commitment to product excellence and sustainability. Highlight the latest technologies and environmentally friendly practices to appeal to B2B and B2C customers.

Transparency: In today's world, transparency is a key element of brand strategy. Communicate your manufacturing processes, safety measures, and quality standards openly. This can be especially crucial when dealing with health or safety-sensitive industries.

Work With Us

Concept Co. is a brand agency, working with leading manufacturers and brands across the country. We solve business problems through creative brand solutions. For more information, visit our website at https://www.conceptcompany.com/