Companies and marketers are well aware of the power of branding, which is why they always end up in brand awareness. They know that in order to capture the mind of their target customers all they need to do is just advertise their brands instead of their products. But not every company focuses on their branding awareness some newly developed company can not depend upon their brand name just to increase their sales. But yes such small companies can simultaneously aware about their product and their new brand which can be useful for the companies to slowly improve their brand image.
More or less we somehow know why branding is important, because most of us while buying our daily essentials, we prefer to choose the brand, which we are well aware of . We might not be aware of the ingredients of a particular brand but if we know the brand then we do not think of anything else , and that’s the power of branding. hence, a powerful brand creates trust in the mind of it’s customers and within the market place.
So basically branding is a strategy which generates new customers and increases the value of the product. Let’s understand this in a very easy manner. Tell me what comes to your mind when you think of noodles ? ………Is it maggie ? , now think of a toothpaste ?…. Is it colgate ? okay last one , if you are asked to buy a branded notebook which notebook will you buy ? ….. wait, is it classmate ? I am sure most your answers were same as mine, probably we would have given the same answers in our subconscious state too, and that’s the power of these brands.
So far we came to know about the power of branding, but as there are two side of a coin, this strategy too has some disadvantages. A brand can also be the reason for the decline in the growth of a product. Let’s understand this with an example. Suppose their is company called ‘XYZ’ , this company’s name itself is a brand and it has got different product lines like XYZ-soaps , XYZ-drinks , XYZ- cosmetics. Some researchers found that this company is using harsh chemicals in it’s cosmetics but their other two product line has no flaws. But since their is a flaw in one of it’s product line people will start assuming that this brand uses harsh chemicals in all of it’s products and hence will stop buying the product which will eventually affect the company’s financial position.