Branding Mistakes That Bankrupt Entrepreneurs
- Why do people pay $7.45 for a coffee while the same quality of coffee is available for $1.60?
- Why do people buy a $33 pair of shoes when the same style costs around $15?
- Why do some startups fail despite following all the industry standards?
There is just one reasonable answer to all the above questions: Branding.
Branding is not just your logo, the design, the content on your website, or the market you reach for your business. Branding is basically the perception you create in the eyes of the customers.
Whilst creating this profitable perception, there are some mistakes that can drown you in the open river. I know this because I have been in the same boat as you are right now.
I started as a linear entrepreneur: someone who had no idea on how to do things the right way. My first business was a total disaster.
My friends, my family, all went against me for wasting time and effort with no results at all.
But as humans evolve, I evolved. My second business was also a failure. But this time I learned a few things. Firstly, to calculate the cost before you even imagine materializing your idea. Nowadays there are tools that can estimate your website cost and make your life easy.
Secondly, I realized the power of branding. They say there is no such thing as good branding or bad branding, there is only branding. But I respectfully disagree.
Bad branding can not only jeopardize your reputation, it can also bankrupt your business. Here are 5 branding mistakes you need to avoid while perusing your great idea:
Selecting a terrible business name
We have all heard those crazy business names and regretted clicking on the URL in the first place. While “Oops Hair”, “KidsExchange”, or “Toylet” sounds like quirky names, they won’t attract the right customers.
For you, to succeed, you need to hold yourself from using regrettable brand names. You can use tools like BusinessNameCreator or NameMesh to select some sensible names for your business.
On the other hand, you can use Made to stick strategies to name your business.
The result is to create a business name that coincides with the service you offer.
One more thing you need to ensure is that your name does not sound odd in the market you’re offering. For instance, some names are okay in some culture, while they are taboo in other cultures. Avoid using these types of names.
Stop penny pinching within the business
Many of the business owners treat their staff like hell. And then the staff treat the customers in the same manner.
What you need, is stop penny-pinching every one of them. Treat them well. Give them benefit of doubt, and listen to above well.
If you can, arrange seminars in developing communication skills. If you keep the staff happy, they will keep your customers happy, and it will create a good brand name for your business.
Stop saying “yes” to every branding opportunity
Branding is a high-cost solution. So, it is best, not to listen to every advice that comes along your way.
What happens when businesses don’t have a clear vision of their branding? Companies like Pepsi, brands like McDonalds loose big time.
It is not just about branding everything for everyone. You need to market your brand in the right market and say “NO” to every other branding opportunity.
For instance, if your competitor is trying all the social media tools right now, it is not advisable for you to do the same. You need to focus on just one or two social media platforms.
Create a clear perception for your user
It takes decades to create a brand personality, but it takes just one tweet to destroy a brands reputation.
Beware that anything you do in social media is noted and achieved. That is why you need to be very careful about opening your mouth in social media.
The way you interact with the users will create a picture of your brand among the users. So, you need to plan your every tweet and your every Facebook update that goes in the social world.
Stay true to your brand values and make sure everyone is on the same page.
Avoid the masses in building your brand
Be original. Stop doing what others are doing. What others are doing is good for them, but might not be good for you.
You, as a brand needs to create your own rules and your own identity.
Be original, following the crowd is a fatal error. The ultimate key to your success will be identifying a unique or intriguing selling point and aligning your brand with that, so don’t go with the flow.
Create your own personality. Develop the skills that will single out your brand from all the others in the market.
To wrap it all up…
You need to ensure that you create the right impression when it comes to creating a brand reputation. Your branding is the backbone for your business, and without proper branding and inbound marketing you might face the agony of bankruptcy. And trust me, it is not a road you want to travel.
Mohammad Ali is an experienced digital marketer and a search engine marketing specialist who is currently associated with Branex, as senior digital marketer and brand strategist.