The major aim of branding is to make a difference and at the same time shape the behavior of the consumers. The researcher further stated that this ensures a steady sale and continuous profit for the brand along with low retention and acquisition costs. Along, with that, this also ensures the premium price for the brand over the other weak brands present in the market, and it also creates strong barriers to entry for the new brands in the market.
In the past few years, companies have invested a huge amount of time and effort in penetrating its brand in order to enrich the existence of the products and services of its brand in different markets. This strategy has been adopted by the companies in order to ensure that people become aware of the existence of their brand.
Hence, the adoption and implementation of a successful market penetration strategy have become highly crucial for companies in order to succeed in this rapidly evolving market. The major aim of branding is to make a difference and at the same time shape the behavior of the consumers.
The researcher further stated that this ensures a steady sale and continuous profit for the brand along with low retention and acquisition costs. Along, with that, this also ensures the premium price for the brand over the other weak brands present in the market, and it also creates strong barriers to entry for the new brands in the market.
Branding In Different Markets
With brands looking to establish their operation in new markets and becoming aware of the new market, the brands strive for the correct formula which will enable them to enrich their brands’ existence and grow in the new market. This is the reason why branding has been strongly recognized as one of the essential elements as the companies aim to enrich their brands through an effective market penetration strategy in the new market.
One of the essential facets of the branding strategy is consistency; it is significant for the success of a brand that is aligned in the proper manner with the core values of the organization. Furthermore, the design also strengthens the emotional bond of the brand with the consumers and finally the creation of newer market segments for the brand.
The next crucial factor is management as it is the other side of branding, and more importantly the market penetration strategy. For the effective enrichment of the brand’s existence it is essential that the management of the company is convinced and at the same time is well prepared for the efficient and appropriate management of the brand strategy and the management should be able to optimize the resulting returns and the benefits.
For various companies, the design is being perceived as an additional cost rather than an investment, specifically because of the fact that the returns are not immediately visible, and in some cases, the benefits are extremely complex to measure.
Hence, the engagement of the brand managers in an appropriate and effective manner could prove to be helpful for the companies to efficiently set up collaboration and negotiations with the local organization in different markets. Furthermore, it will also aid the process of franchising and license for future growth and expansion opportunities for the brand.
Therefore, it is essential that the branding strategy is extremely flexible in order to ensure that it is flexible and can be adjusted as per the changing market needs in order to satisfy the global trends and changing cultural demands.