I love you. Business of Branding.

The Business of Branding. 
Covid-19 Lockdown D44.

Let me attempt to explain the business of branding and the branding of business in as short a way as I possibly can.

I have often described good communication of any subject has to be made so simple that a six-year old, a sixteen-year old and a PhD student can understand.


A Business is defined as the process of Acquiring and Keeping Customers.

1. Acquiring Customers is the equation of :  LG x C = Customer 

which means: Lead Generation multiplied by Conversion equals Customer.

This is the Business funnel equation that all businesses undergo whether they know it or not.
A lead is a prospective* customer, so generating leads is the process of getting attention through the various channels to convert prospects into customers.
So how and what attention do you get for your business? This is the first step of Branding.

*A prospect is someone who wants and can afford your product or service.


2. Keeping Customers, as the sentence implies is about ensuring your converted customers don't leave you unless they no longer need, want or can no longer afford your product or service.
What is the key to keeping customers? It is about building and maintaining relationships.
How far and how deep you want to build that relationship depends on how long or how big you decide to build your business.

The Business Landscape

Most businesses start with a "Build it and they will come" / "Take it or leave it" business model or attitude. Few start with the end in mind.
Yes. It is sheer arrogance. It started in the good old days and still is the business mentality today.
Can't blame them, for it is in our nature to be proud of our intelligence, talent, and craft.

However, this is short term thinking. No matter how good, intelligent, talented, there are always others who are as talented and as intelligent as well. And there will always be people or products that will be better than yours. The "build a better mouse trap" strategy will work until somebody else builds an "even better mouse trap". Then you lose your customers because they are just that; a customer. This is short term success.

Business with Heart

With all things being somewhat equal, meaning good basic hygiene in place; your product lives up to expectations, your pricing is reasonable with clear value propositions, your business is consistent all round. Then you can start building your business on the pillars of strong and good relationships.

Make the customer your friend. Because it is always better to buy from a friend and it is also difficult not to buy from a friend. Keep maintaining that friendship and not give reasons for a friend to leave you. Be honest, be generous, share good things with your friends and you will have die-hard loyal friends and raving fans.
Give great value to your customers so they can't resist being your friends. Friends buy from friends. Friends recommend other friends. Friends are also quick to forgive friends.

There is no secret sauce really. Building a good business is not only about secret formulas, fancy gimmicks or bold claims. It is also not about transactions between a 'business' and a 'customer'.
When human beings go into business by labels and roles, they tend to get too serious and you get to hear things like; 'I'm running a business here you know...?""..Not a charity!"

That is when we forget that businesses are conducted between human beings.
And as we all know; human beings are living, breathing entities with feelings.
How you make them feel determines how well you succeed doing business with them. Make them feel appreciated, comfortable, important and informed, they will have no reason to leave you.
But what if they do?

4 Reasons Why Customers Leave

1. They no longer need, want or can afford your product.

They could exit the market due to trading-up or down, death, obsolescence, affordability or unavailability. Nothing much you can do here except to stay relevant and stay in touch.


2. They are unhappy with your price.

Price is what the customer pays. Value is what the customer gets.
Some businesses resort to price-cutting when the problem is customer service.
A PWC Study details that customers are willing to pay a 7-16% premium for good customer service experience. In fact 65% of customers interviewed find a positive customer experience to be more influential than great advertising.


3. They are Unhappy with your product.

People are seldom unhappy with products but with product claims. Stick with your product truths. Only make promises that you can keep. Nobody is forcing you to make a promise. So don't make a promise unless you can keep it. This is true with all relationships as well.
Angry or dissatisfied customers are likely to share their disappointment with friends on social media.


4. They are unhappy with the way they are treated.

This is where you should pay special attention.
73% of all customers point to customer experience (CX) as an important factor in their purchasing decision.
Another survey done by McKinsey reveals that; over 90% of customers who are dissatisfied with customer experience will- rather than telling you what's wrong and how you can improve it - just not come back. You have not just lost a customer but also valuable data on why they left.

The Bottom Line

So while it's clear that Customer Service, more specifically Customer Experience is key to keeping customers happy and coming back, how do we create positive customer experiences?

So what is Branding? Branding is Experience.

So while Business is the process of acquiring and keeping customers, Branding is the business of finding, and uncovering your unique customer experience. That is the second step in Branding.

It's that simple. Don't agree? Call me.