In Branding, StrategyJanuary 18, 20242 Minutes

Why some organizations don’t take brands seriously?

Some organizations prioritize branding over other initiatives, while others rely on products, technology, competitiveness, etc. It’s a strategic decision that organizations make. These differences in the importance of branding within businesses vary across scale, geographies, industries, and markets. Organizations differ in their brand orientation.

The term ‘Brand Orientation’ refers to an approach in which the processes of the organization revolve around the creation, development, and protection of brand identity in an ongoing interaction with target customers to achieve lasting competitive advantage.

Sometimes brands are not taken seriously probably due to the following potential reasons;

  1. Lack of understanding: If branding is treated as a cosmetic exercise only, and regarded merely as a new game/logo, stationery and possibly a new advertising campaign, it will have only a superficial effect at best.
  2. Terminology: The term brand has now permeated just about every aspect of society, and can be as easily applied to utilities, charities, football teams, and even government initiatives as it has been in the past to packages goods. Yet there still seems to be a residual and stubborn belief that brands are relevant only to consumer goods and commerce.
  3. Ownership: The brand may simply be regarded as the specialist province of the marketing team, or, since the visual aspects of brands are the most obvious manifestation, the brand managing may be delegated to the design manager.
  4. Tangible and intangible elements: The tangible areas are always easier since today’s senior business culture is still often happier concentrating on the business’s tangible, rational and quantifiable aspects.

It is recommended to better understand the role brand can play in the success of an organization. As each organization is unique, there is a need for customized solutions for each enterprise.

Reference: The Economist (2009). Brands and Branding. Profile Books