What is Brand Recognition and Why Does It Matter?
As business owners, we all have the idea in our head of what “making it” looks like. Or at least, we should. Making it for you could mean reaching a financial goal or a place where your business is allowing you to live the lifestyle that you’ve always dreamed of. It could also mean serving a certain number of clients, reaching a level of “fame” or being a sustainable business for a certain amount of time. But there’s a very real and very important version of “making it” that many people don’t emphasize enough; and that’s the kind that comes when you achieve brand recognition.
Here’s the deal: the most successful businesses in the world are those with powerhouse brands; the kind that you can pick out of a crowd without so much as hearing the business’ name. All it takes is the sight of their specific colors, or their combination of fonts or even a small (but mighty) logo that catches your eye. By creating an incredible and successful brand for their business, they were able to stand out and make a lasting impression that truly stuck with their audience. They mastered the art of brand recognition and it paid off. So, what is brand recognition? Keep reading to find out.
What is brand recognition?
When you start a business, one of the first things you should do (whether you do it yourself or hire out), is branding your business. You create a logo to represent your business, choose your brand’s color palette, fonts, signature – the list goes on. You want your brand to be unique, true to you and your mission, impactful and memorable. But what comes after the brand? Once you establish your brand, the hope is that it does its job and attracts your ideal clients, and even further, helps you to book them. But what a truly good brand will do, goes far beyond just bringing in your clientele.
Brand recognition relates to how familiar your brand is to your audience. It is the level in which your brand is noticed, remembered and recognized by those who have come in contact with it. A brand with successful brand recognition has left an impact on their audience that allows them to think of and remember their business without even having to mention their name. It could be the signature color palette, the specific font package or the logo (this is the case for many) that catches their eye in brand recognition, but the important thing is that a potential client is aware and familiar of this business because of their brand.
For example, when you see the ever-famous “golden arches”, you think of one thing: McDonald’s. Whether you eat burgers and fries or not, it is highly likely that you associate that symbol and those colors with America’s most loved fast food joint. Why is that? Brand recognition. That timeless logo has been pasted all over our world for decades – you see it on tv, driving on the highway…EVERYWHERE. So now, you don’t need to even see the building itself or see the commercial to associate the brand to its business. And that is the case for so many successful businesses.
What are the benefits of brand recognition?
There are significant perks to having brand recognition, beyond consumers being familiar with your brand. Of course, we all want our brand to be “known” and recognized by those who come in contact with it, but it can be so much more than that.
Here are some of the most significant benefits of brand recognition in your business:
1. It builds brand trust.
The reality is, consumers are more likely to choose a brand that they are familiar with. Why is that? Because the brands that they’re familiar with are the brands they trust. And just the way it does in all human relationships, trust matters. It is the building blocks to every successful connection, both business and otherwise. When people know, see, recognize and are acquainted with your business through your brand, they are more likely to turn to you in a time of need. If your ideal client is faced with the choice of all the fish in the sea, they’re going to choose the option that they know and love. If you have high brand recognition, you have the “know” box checked out.
When your target audience sees that your brand is impactful, consistent and well known – they will grow to trust you and therefore, choose you, over any other options. And one step beyond that, once you are trusted by your audience, and they choose to consume your products or services, they are more likely to return to you for business AND refer their community to you as well. Thus, creating more brand awareness, recognition, business and trust. Brand trust and brand recognition share an intrinsic relationship and fuel one another to grow.
2. Enhances customer experience.
It may seem crazy, but the level of familiarity and trust that your customer has with your brand can actually enhance their experience with your product. Even if there are superior products out there to be had. Here’s the thing, if people are going to purchase a product, they are going to cling to the brand that is…
most popular
most trusted
most familiar
…and it simply doesn’t matter what other factors are at play.
A perfect example is Pepsi vs. Coca-Cola. Coke products consistently beat-out Pepsi in sales and market shares, but when it comes to actual customer preference, the masses tend to prefer Pepsi. This fact goes to show exactly how powerful brand recognition and trust really is. When it comes down to it, customers put a significant amount of weight into the brand of what they’re choosing to consume.
3. Establishes brand loyalty.
Brand loyalty happens when a consumer is devoted to a certain service or product and demonstrate their commitment through reoccurring support and repeated investment. By having a powerhouse brand strategy and providing an exceptional customer experience, you assure that your clients will be “lifetime subscribers.” So where does brand loyalty fit into this? Well, much like brand trust and brand recognition – the two go hand-in-hand. If you have high brand recognition, you will be able to achieve brand loyalty.
Brand recognition leads your ideal clients right to you. It builds their awareness of you, their trust in you and therefore, results in their loyalty to you. Like we’ve said so many times before, having an impactful brand strategy is important for many reasons; it builds confidence in your business, shows your audience who you are and what you stand for, and it makes a lasting impression on your potential clients. When it’s done right, that impression will surpass far beyond just an initial one and land you into the minds and hearts of many. Then it is on you to ensure that those clients are satisfied and loyal. But, having brand recognition can make a big difference in ensuring that.
The Takeaway
After reading about brand recognition, we urge you to ask yourself some questions:
Do you have a powerhouse brand that is designed to help you grow your business?
Is your brand impactful, intentional and true-to-you?
Are you on the right track to accomplishing your goals with your current brand?
Do you have a brand?
If you hesitated, or even answered a hard NO to any of those questions, it might be time to reassess your brand strategy. And there’s no better time to do that than right now. If you’re ready to brand (or rebrand) your business or just feel ready to learn more, book a free discovery call with our designers today to strategize what we can do for your business. We are ready to help you level-up your business and get you the recognition you deserve.