Be it a small or a big business, good brand perception is the common business goal . The ultimate verdict on any brand is given by its customers.
Brand perception is a crucial indicator of how well your customers are able to connect with your brand: What are their feelings and emotions when they think of you? How familiar are they with your products or services?
Image Source: Brand Master Academy
“Your brand is what other people say about you when you are not in the room.”
– Jeff Bezos, founder of Amazon
Consider these crucial statistics:
- Accenture survey shows that 66% of customers value transparency as one of the most attractive qualities in a brand.
- Stackla research brings forth the fact that 86% of customers look out for brand authenticity before they support a brand.
- According to a PWC survey, 63% of customers look forward to a good customer experience before making a purchasing decision.
Wondering how to live up to the expectations of your customers as shown in the statistics above? This blog covers every single detail about brand perception.
What is Brand Perception?
Brand perception is all about how your customers regard your brand. What are their feelings when they think about your products and services? Will they talk good about your brand to their friends and family? Do they look up to you as an industry leader? And more.
Building brand perception takes years of hard work. You need to get into the shoes of your customers, understand their real pain-points and offer them the best solution. It can be best illustrated with the help of McDonald’s growth story.
McDonalds saw an increase in sales of 5.5% in the Q4 of 2018. Former CEO of McDonalds, Steve Easterbook confirms that brand perception is one factor that helped the company grow in the last quarter of 2018.
“What we’re seeing is that a broad base investment in our people, restaurants and menu improvements all communicate a business on the move and heading in a direction our customers want us to.”
There are different ways to create a brand perception that can boost image and enhance your organizational growth. Let’s understand the different types of brand perception in the next section.
Different Types of Brand Perception
How to improve brand perception? For understanding this, you need to know the different channels of brand perception. Consumers consider different aspects of your brand like quality, value, website responsiveness, values, and so on to form an opinion about your brand.
(a) Quality: Good quality is the number one reason for your customers to have a good perception about your brand. If they are able to understand or use your products/services in a hassle-free manner, they will not consider shifting to your competitor. In fact, they will recommend your product to their friends or family.
Let’s consider the famous coffee brand Starbucks. It remains one of the most sought after brands for the authentic and superior quality of its coffee. Because of this Fortune Magazine has rated Starbucks as the 6th most desired company. (Source: Investopedia)
Image Source: Starbucks Media
(b) Visual Imagery: There are certain brands who believe in creating a good brand image by evoking all your five senses. This could be in the form of ads, catchy music, attractive visual images, and so on.
For example, the well renowned brand Nike uses the power of Instagram marketing to create inspirational posts. These posts consist of powerful images and hashtags.
Image Source: Post Planner
(c) Content Creation: Good content creation is a smart way to create a positive brand perception. Quality content in the form of in-depth blogs and comprehensive e-book sets you apart in the industry as thought leaders. People look up to your brand for advice on crucial product related topics.
For example, consider TED talks which consist of motivational talks by scientists, business leaders, authors, and so on from across the globe. Their content strategy focuses on highlighting major issues faced across the globe. In doing so, their content appeals to people from all walks of the society.
Image Source: Single Grain
Now that you have understood the types of brand perception, let’s understand the answer to the question ‘Why is brand perception important?’.
Read more: How to Use Surveys for Content Marketing?
Benefits of a Good Brand Perception
Research shows that on an average 59% of people only buy new products from brands they trust. Hence, creating a good brand perception comes with a lot of benefits like increased customer loyalty, ability to face greater competition, and more.
(a) Easy Introduction of New Products and Services: When you want to launch a new product/ service, it becomes very important to have a solid foundation base in the market. If your customers are not familiar with your brand values or your offerings, they will be hesitant to purchase your products. Hence, having a positive brand image makes it easy to sell your new products.
(b) Competitive Edge in the Market: When your customers are satisfied with the exceptional quality of your services, they will stick to your brand. Interestingly, research shows that an existing customer spends 67% more in the first 31st -36th month of their association with a brand as compared to their meagre purchase in the first 6 months.
(c) Increased Customer Trust: Maintaining your customer’s trust is crucial in the crowded marketplace. Customers have many options in front of them. You need to provide unique services and be in the forefront of solving their problems. That becomes the differentiating factor in trusting you over your competitors.
Consider the following research study by Edelman which shows the top reasons why consumers trust a brand.
Image Source: Marketing Charts
(d) Enhanced Brand Equity: Brand equity denotes the social worth of your brand. If you are able to market and sell your products with just the help of your brand name, your brand equity stands at a favorable level. Brand perception, as an important component of brand equity makes sure that your customers trust your products and view them as authentic.
Image Source: MBASkool.com
In the next section, let’s delve into some brand perception examples by making use of case studies of well renowned brands.
Related Read: Top 10 Strategies for Building Brand Loyalty
Brand Perception Case Studies
Different industries employ varying strategies to create a positive brand perception. Some of them rely on powerful social media marketing while others opt for creating powerful content centered around industry specific topics. Let’s understand by taking the examples of 3 major industries: automobile, e-commerce, and software.
(a) Automobile industry – SKODA
Of late, marketers are relying on digital storytelling strategies to project an automobile brand. By sharing your brand stories on the social media platform, you can form an instant connection with your target audience. This is because stories are relatable and target the emotions of your customers.
For example, take the case of SKODA, a Czech automobile brand founded in 1895 that uses interactive catalogues of car models. It ensures that the customers get a personalized touch and feel of their car. Interestingly, there is a 360 degree view of both the interior and exterior of the car models. Further, you can share the catalogues with your friends and family to understand their feedback.
Image Source: Purple DS
(b) E-Commerce Industry – AMAZON
Amazon is one of the first names that comes to our mind when we think of ecommerce and retail selling. When it was founded in 1994, Jeff Bezos, the founder focused on just 20 niches to service the target market. Back then, Amazon made use of the brand positioning strategies to outwit the competitors.
At present, Amazon offers an interesting set of more than 12 million items across all its categories(source). Also, its customer centric strategies include prime membership, that offers special privileges for loyal customers like quick delivery, low pricing, and so on.
Image Source: Amazon
(c) Software Industry – MICROSOFT
Innovation makes you stand out from the crowd and creates an unique form of brand perception. That’s exactly what Microsoft is doing these days. A leading software company, Microsoft is relying on its empowerment strategy to create a new brand perception.
Microsoft CEO Satya Nadella believes that technology should be accessible to all and it must be integrated across different platforms. Integration of Windows with Android and iOS, boosting virtual reality and creating Azure, a cloud computing platform is a case in point.
“We are in a time, in 2018, when technology’s so pervasive in our lives, in our economies, in our societies …time has come, quite frankly, for us to really have the dialogue … as to what are the real benefits of technology, equitably spread? Not only in our country, in our society, but all over the world.”
– Satya Nadella
Image Source: Microsoft
Now, coming to an important question: how do you calculate brand perception? In the next section, let us understand the techniques of measuring brand perception across different industries.
How to Measure Your Brand Perception?
Brand perception requires years of focussed efforts: understanding your customer base, reaching out to them through surveys, keeping a close eye on their online reviews, interacting with them on social media, and so on. Let’s understand each of these aspects in detail.
1. Monitor Your Website Traffic
How many people visit your website daily? Which are the frequently visited pages? What is the average time spent by your audience on each page? Is the bounce rate higher or lower? Asking these questions is the first step towards understanding how the audience perceives your brand.
Having said so, you need to watch out for traffic from two sources: organic and inorganic sources.
- Organic traffic is achieved when people have a previous interaction with your brand and search for your products or services.
- Or, they would have got a good recommendation about your brand from their family or friends. Either way, this natural mode of brand interaction is built on trust and authenticity.
- Inorganic traffic relies on ad marketing techniques to reach out to your target audience. As compared to organic traffic generation, this is expensive.
There are many tools like Google Analytics and Visitor Analytics that give you a comprehensive analysis of your website traffic. By analyzing the report, you can check the trends of how your brand has performed over a period of time. Also, you can compare your results with your competitors and see where you stand in your industry.
Image Source: Our Social Times
Image Source: Visitor Analytics
2. Subscribe to Google Alerts
Google Alerts is one of the easiest ways to know the mentions of your brand online. You need to be alert about the latest trends in your industry to effectively chart out your brand strategy. Also, you need to keep a track of what your competitors are doing to stay ahead in the market: Marketing strategies, customer outreach programs, keyword targeting, and so on. Google Alerts help you track all these with ease.
Steps to subscribe and gain the benefit of Google Alerts:
- Go to the Url http://www.google.com/alerts/ : Either sign in to your gmail account or directly go the url.
- Enter the keywords and terms associated with your brand, your blog page, product page, etc.
- Enter terms associated with your competitors. It could be their brand name and their niche product.
- Keep a track of your industry developments by entering specific terms associated with your industry.
- Choose the frequency of your alert: receive it daily, once a week or once in two weeks.
- You can choose to receive the alert on your gmail or any other mail id.
Image Source: Google Alerts
3. Conduct Brand Perception Surveys
Many brand strategy firms use brand perception surveys to collect feedback from their target audience. By knowing their opinions and sentiments, you know how well your brand is perceived by your customers and non-customers alike:
- Are they able to relate to your brand values?
- Do they remember you first when they are in need of a product or service?
- Are they happy with their experience with your brand?
While conducting a brand perception survey, make sure that you take into account all the stakeholders like: existing customers, past customers, employees, prospective customers
When you create a brand survey, ensure that it centres on questions like:
- Ask survey questions surrounding customer sentiments when they think of your brand. For example, “How did we [brand] make you feel?”
- NPS (Net Promoter Score) questions are a great way to check your customer loyalty on a scale from (0-10). It relies on a single question, “How likely will you recommend us [brand] to your friends and family?”
- Competitor questions help you understand how your brand is perceived with respect to your competitors. For example, ask the question, “Which is your favorite brand?”
Read more: How to Calculate Net Promoter Score (NPS)
4. Keep a Close Watch on Brand Focus Groups and Forums
Brand focus groups and forums contain specific customers who have well tried and tested your products or services. Hence, they are in a position to give more authentic and valuable feedback about your brand. According to a research conducted by ESOMAR, $2.2 billion worldwide was spent on conducting focus groups in 2017.
For example, Disney has a focused group targeting preschoolers and young children. This innovative idea lets Disney understand:
- What characters are well loved by the young crowd?
- Disney also gathers feedback on its movies and TV series.
- Understand their brand perception by directly interacting with its target audience.
Image Source: MANSUETO VENTURES
On the other hand, discussion forums like Quora, Reddit, and ProductHunt are visited by millions of people daily. Your company can drive relevant discussions on these forums about your brand perception like the quality of your product, how it is different from your competitor, and many more.
5. Monitor Your Social Media Interaction
Did you know that social media usage continues to increase year by year. A study conducted by review42 brings forth the following statistics:
Hence, you cannot afford to miss out on the huge chunk of customer opinion on social media. How frequently do you post on social media? How is the audience engagement on your profile? Are you steadily growing your followers? The answer to these questions determines the perception of your brand on social media.
When you post regularly and engage with your followers, you are setting the tone for a positive brand image. Customers look for different things from a brand on social media: customer service, new product announcements, and so on. If you are able to provide this on a consistent basis, your brand perception is guaranteed to be high.
6. Read Online Reviews About Your Brand
Did you know that 92% of consumers trust product recommendations from people they know like friends or family (AnnexCloud Research)? On an average, 56% of consumers go through at least four reviews before purchasing a product (Bizrate Insights, 2019). Hence, checking online reviews of your brand will give you an understanding of how you fare with respect to your competitors. In fact, referral marketing is one of the cheapest forms of marketing that drives at least 2x times more sales than paid marketing (AnnexCloud).
Image Source: Premier Legal Marketing
7. Determine Your Brand’s Unique Selling Proposition (USP)
When you project the USP of your brand, you will be able to create a clear competitive advantage as compared to your competitors. You may be having one or many USPs. But, you need to first make a market research as to what appeals to your audience the most. Eventually, you can position your USP in a creative way to create an unique brand perception.
Let’s take a look at famous brands’ means of positioning their USPs:
(a) Taylor Stitch, a clothing company that relies on crowdfunding to develop new products. In order for this unconventional business model to be accepted, Taylor Stitch has made it a part of its USP and branding.
Through this clever move, Taylor Stitch has been able to convince its customers about the advantages of a crowdfunding model. Also, Taylor Stitch could outwit its competitors in the apparel industry.
Image Source: Shopify
(b) Beardbrand is a company that has brought an innovative streak in the fashion industry. While conventional fashion industry players rely on altering one’s natural skin properties, Beardbrand vouches for maintaining one’s natural skin chemistry. Beardbrand’s USP stands for saying No to artificial skin products.
Image Source: Shopify
With an in-depth brand perception study, let’s understand what brand perception means to marketers.
Marketer’s Guide to Brand Perception
Case studies on brand perception help a marketer better understand and formulate brand perception strategies. By adopting tips from your successful competitors, you can position your brand in an advantageous position in the market. Let’s understand brand perception strategies from a marketer’s perspective.
1. Determine Your Target Audience
Understanding your right brand audience is the first step in aligning your brand perception in the right direction. Who are your regular customers? What are their demographics? And what are their choices? These answers can be found by closely analyzing your website visitors or email lists that capture the demographics of your customers. Also, keep track of previous customers and see if they can be converted back to customers.
Demographics details of your audience:
- Marital status
- Household Income
Choices of your audience:
- Do they purchase retail or wholesale products?
- How frequently do they purchase?
- What are their hobbies?
- What values do they relate to?
2. Understand Audience Perception of Prices
Different audiences have different perceptions of brand pricing. Some of them believe in paying high prices in return for high quality products while others believe in cost-effective products irrespective of quality. Few others seek both quality and low price.
You need to find out in which of these categories the majority of your audiences fall and serve them better. In this way, you will be able to balance the aspirations of different audience types and enhance your brand perception.
Different pricing strategies that are followed by brands to target their audiences are:
- Price Skimming: It is adopted when a business introduces a new product or service. This involves selling the products at high prices. Eventually, the prices are lowered to match with the competitor brands.
- Bundle pricing: It is the process of offering a combination of products at lower prices. Individually, the products would have a high cost. This is a psychological way to lure your customers to buy your products.
- Economy pricing: It is generally adopted by retail or food supplier brands. Here, you offer very low prices to your most price conscious customers. This is a cost-effective way to reach out to your customers without additional marketing costs.
However, to be up to date on the current pricing trends, you should first get a clear picture of what other offers are out there. It is advisable to make use of various data collection tools which could provide you with all the necessary pricing information in your niche.
3. Understand Drivers and Barriers
What products or services appeal most to your target audience? A thorough understanding of your drivers helps you identify your best performing products and project them effectively. For example, customers might love your product quality or free home delivery feature. You can easily project these qualities as your Unique Selling Proposition (USP) on social media.
Further, there could be some barriers that customers face like slow loading of websites, less range of products as compared to competitors, and so on. You can easily understand these barriers through regular brand perception surveys.
Let’s take the example of Netflix, a popular OTT (over the top) content streaming service company. Netflix started out on a humble note in 1997 by renting out DVD discs to customers. In Spite of good profits, they went into unexplored space like streaming video. That resulted in Netflix’s subscriber base increasing to a whopping 23 million by 2011. Further, their innovation did not stop there. They understood the importance of owning the content and started producing their own original TV series and films.
Image Source: Ziff Davis, LLC
4. Look for Unexplored Opportunities
“Business opportunities are like buses, there is always another one coming,”
– Richard Branson, founder of Virgin Group
The business field is buzzing with new ideas and innovations. There is always a hidden opportunity that your business can grab. Even if you find it challenging in the beginning, you can always do market research, learn from your competitors, and work hard to the top.
For example, mattress brands like Purple came out with innovations that were rarely tried out before. They created mattresses that provide excellent spinal support, that too at affordable prices.
While their competitors seldom ventured into this innovative field and just played around with the pricing. The ability to innovate and take risk at the same time has made Purple one of the top mattress brands in the world.
Image Source: Purple Innovation, LLC
5. Build Brand Equity
Brand equity defines the social value of your brand: How well your brand connects to the customers feelings and emotions? As opposed to financial value that depends on the quantity of your product, social value depends on the quality of your product. Quality in turn comes with innovative product features, ease of usability, durability, and more.
Brand equity can be built with these basic steps:
- Create brand awareness through in depth blogs, video tutorials, podcasts, referral programs, enhancing SEO, and so on. Once your audience identifies with your brand values, they will be more likely to engage with your organization.
- Better communicate with your target audience about your brand values, mission, goals, product features, and more. For this, you can make use of attractive visual imagery and videos on your website.
- Build a close bond with your customers by bringing in special customer loyalty programs, focus groups and discussion forums. It brings in a sense of community and belonging leading to repeated purchases from your brand.
Read more: How to Conduct a Brand Awareness Survey
Create an Evergreen Brand by Increasing Brand Perception!
From the automobile industry to the software industry, brand perception definition has evolved over the years. Customers are no longer happy with low pricing of products or services. Rather, they are willing to pay more for quality products and services. Quality coupled with good customer service and branding is what appeals to your customers the most and creates a positive brand perception.
Brand perception measurement approaches range from monitoring your website traffic, conducting a brand perception survey, analyzing online reviews about your brand, and more. Make sure that you know your audience well and tap into unexplored territories for greater growth prospects. Well renowned brands like McDonalds, Amazon and Starbucks had started small and grew into big industry leaders with a positive brand perception.
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