How do you create brand value for your e-commerce business?
How do you create brand value for your e-commerce business?
As a seller on a third-party platform like Amazon or Bol.com, it's not always easy to stand out among sometimes hundreds of other sellers. That's why you want people to assign value to your brand. That way, you have the edge over the competition in consumer perception and performance on Bol.com or Amazon. Brand value only exists in the mind of the consumer, so it is essential that you know how to act on the psychology of your consumer. A potential customer will go through several steps, and we would like to explain them below.
Step 1: Recognition
Starting at the bottom of the first pillar of creating brand value for your company is a customer's recognition of your brand. This can be the logo, the name or a color style. Any form of credit is a good starting point. In many cases, the brand you carry out will not be known by the customer. In this article, you can read more about the brand resonance you want to build with your customer [LINK TO ARTICLE RESONANCE FIRM].
Step 2: Recall
Besides the recognition, you also want a customer to remember your brand. An excellent example of this is Mediamarkt. Everyone knows the slogan "I'm not crazy after all". A slogan is a perfect addition to your customer's minds. The saying radiates something unique and increases the chance that your customer remembers your company when they want to buy a new product from your range. A typical question you take away from the customer with the fitting reminder is, "where did I see that again?". Suppose your customer can't remember that the product came from your catalogue. In that case, their chances of returning to you are meagre. So make sure you have a lasting memory in your customer's mind.
Step 3: Strong Associations
The role of Frank Lammers in the commercials of Jumbo. When you think of Frank Lammers, you think of the Jumbo. Memories and associations go together strongly. So a good association can offer more meaning to your brand. A consumer can conclude that your brand must stand for good quality if famous people want to associate with your company. So, strong associations help in giving meaning to your company.
Step 4: Preference over others
Suppose you have strong competitors on your sales channels. In that case, it is not only vital that you offer a better product or a more competitive price. You can also think about gaining a preferred position by creating a better overlap with the customer. For some consumers, it doesn't matter how much more excellent the Mercedes is than a BMW. Suppose the consumer makes an association of Mercedes with cabs and patsies. In that case, that consumer's preference will always be BMW (we are not an affiliate, by the way! 😉 ). Preference can be obtained in many ways. One is by creating a bit of goodwill with your consumer. Offer an extra option or service, or deliver faster than the competition. Sometimes you can send a different product or addition with the order: think of a keychain, a digital cookbook or a pair of socks. Gaining a preferred position over your competitors creates more meaning in the consumer's mind.
Step 5: Unique Associations
The YouTube channel of Yes Theory got famous Hollywood actor Will Smith to go bungee jumping with them from a helicopter a few years ago. Yes, you read that right. A group of young people with a firm worldview had approached the actor, and in a crazy mood, he said 'yes' too. The video went viral, and Yes Theory grew tremendously in the number of subscribers to its channel. The consequence was much more meaning for their brand and many more associations people make with the brand. If you think of bungee jumping, helicopters or Will Smith, the brain will link Yes Theory. As a result, Yes Theory's sales also went through the roof that year. The merchandise and clothing they sell under the brand 'Seek Discomfort' are sold like hotcakes because of this unique association.
Step 6: Stickiness of the Brand
Last at the bottom of these six pillars is the stickiness of your brand. Years ago, Strato had an advertisement with an irritating figure. Even though the ad sucked and the figure was disgusting, you may remember the company today. So if you are looking for hosting services, Strato has built a particularly sticky brand with this figure. Another example could be a song by an artist you dislike. You spontaneously turn off the sound as soon as it comes by on the radio or Spotify. The stickiness of this brand (person) is at the top of your mind. That's where you want to be with your brand with your consumers.
Step 1: Brand awareness
Brand awareness is the sum of memory and recognition. This is purely objective and has nothing to do with feeling or preference. Only the fact that the customer is familiar with your brand is the goal you want to create with memories and recognition. An excellent example of this is also linking your brand to a charity. Like Mr Beast promised to plant a million trees to create climate change awareness. Or like he tied Squid Game to his YouTube channel. By connecting more brands to your business, you gain more brand awareness.
Step 2: Brand Meaning
The accumulation of Strong and Unique associations with liking and stickiness is the meaning people attribute to your brand. If your brand has a positive or strong sense to people, this can influence their buying behavior. The more importance you offer to your consumers, the more likely you are to increase your sales. The advantage of a solid and meaningful brand is that you generate more sales organically. You only need to put time and hardly any money into it. Risk-free as it were, but highly effective for your online business.
The combination of brand awareness and meaning makes up the brand knowledge people in the market have of you. So here, we combine memories directly attributable to your brand with people's associations with your brand. Suppose you stand for quality or extreme customer friendliness. In that case, these are parts of e common knowledge consumers have of you and your products. This knowledge is needed to create brand value ultimately. Of course, the understanding that the market has of your company must be experienced as positive. An example of negative knowledge is Shell and its environmental pollution. Many people know how bad the company is for global warming. As a result, the market knowledge is negative, which could influence the choice of gas station consumers to fill up their gasoline.
Finally, at the top of the pillars, you will find the ultimate goal of all the previous steps you will have to go through. This is why you will soon wipe out your competition in the product niches you sell. Your brand and awareness resonate through and through the platform, and consumers will be more inclined to buy from you than your competition. To increase your brand equity, you can also have your logo and name printed on the products of the suppliers you work with. This way, you carry even more brand value outward, both online and with physical products. This will help you if, for example, you either want to increase your product range and need investment or if you ever consider selling your online empire.