Why would an entrepreneur want to build their personal brand

Why would an entrepreneur want to build their personal brand?

Asked on June 19, 2019 in Business.
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1 Answer(s)

+BOOSTS BRAND IMAGE

Brand image refers to the perception of the public towards the firm’s products and services.

During the pre branding period, you shall see your firm witnessing normal profits, having regular customers, living the same old fashioned business life like trillions of shops in the world.

After building your personal brand, you are bound to witness a sea change in the firm’s overall health.

Personal branding weaves such a strong web of quality, trust and honesty in the minds of the consumers that the latter are mesmerized by it.

A prudent entrepreneur focuses on brand positioning to stay ahead of its competitors in the industry.

+ PRICE PREMIUMS

Price premium is the additional revenue collected by the firm for its brand value in the market.

Once you build your personal brand, you can use it to your advantage by using it in your business.

As illustrated in the above diagram, a normal firm would see a decline in demand as soon as they increase their prices.

On the other hand, your brand will see an increase in demand if the prices are soaring.

Why?

Because customers are so mesmerized by your brand magic that they seem willing to shell out more bucks to buy your goods.

All this is possible in today’s times, thanks to branding.

+ LOW MARKETING INVESTMENTS

I must confess that the initial branding expenses might be heavy, depending upon the industry.

But as a personal brand is built, we have observed a sharp reduction in the total marketing costs.

Marketing is done to remind the consumers constantly of your promise to meet their requirements.

But once your brand name is registered in the minds of the masses, they see no other product or service other than yours.

Your solutions become a household name over time, thanks to good product/ service quality, word of mouth marketing etc.

And thus, savings set in!

+ REPEAT SALES

There’s very little doubt that branding boosts sales.

But the best part is when brand loyalty sets in.

Brand loyalty is the habit of consumers to buy products/ services of a particular firm again and again and again.

The first time users come repeatedly to purchase your firm’s products.

What happens next is crazy:

Repeat customers spread the good word and bring more customers, who also over a period of time, become repeat customers!

And the process goes on and on and on…

This is the power of an effective branding strategy!

Again! All this depends on how you model your branding strategy and put it into effect.

+ STABILITY

Every business guns for consistency so that their day to day operations are not affected.

Regular fluctuations lead to irregularities in the functioning of the firm.

A stable environment gives them a wide scope to think with cool heads and draw future plans.

Branding invokes a sense of trust and maturity in the market, which makes the consumers believe that your products are of supreme quality.

As a result, even in times of adversities, your brand continues to enjoy the masses’ support.

As mentioned in the price premiums point, irrespective of your pricing and volume creation, your sales will not be affected.

Answered on June 19, 2019.
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