Brand Strategy: The Key To A Successful Startup

By  |  0 Comments

There are roughly 5 million startup companies competing for success in today’s market, and only 5% of startups will prosper. The question they are facing is how to be included in the elite few? The answer is simple- brand strategy. The key to a successful startup is strong branding. This is the factor that separates companies that garner a lot of attention to those that fade into the masses.

Startups often do not think of their brand early enough. In  looking to buy clomid “Out of the picture: why the world’s best photo startup is going out of business“,  where to buy finasteride (proscar propecia) Casey Newton discusses the company Everpix, and its impending shutdown.  In two years, Everpix has gone from wildly successful, catering to 55,000 users, to posting its shutdown notice due to the company’s current net income of -$2,294,818.17 . Newton attributes the failure to a lack of brand strategy. “The founders acknowledge they made mistakes along the way. They spent too much time on the product and not enough time on growth and distribution. The first pitch deck they put together for investors was mediocre. They began marketing too late. They failed to effectively position themselves against giants like  Apple and Google, who offer fairly robust — and mostly free — Everpix alternatives.”

Another startup that’s failure attributes to lack of brand strategy is The Bee App. The app’s programer admits defeat in “Diary of A Programmer With No Clue About Marketing”, stating “So now after years of neglecting anything to do with marketing. I get it. Marketing is hard. So crushingly hard. Also I was incredibly naive in thinking that the product was so good that the marketing would just snowball itself into action.”

Startups tend to oversee the financial benefit that comes with well-thought-out branding. Strategic branding will help build brand equity, as well as capture attention from potential investors. Good branding will lead to strong brand equity. This will add value to your product, ultimately allowing you to charge more for your brand than your competitors. Another financial benefit of developing a strong brand is the ability to entice investors, which remains a continued struggle among new companies.

Consumers, as well as developers, respond to good branding. A good brand strategy will lead to developers’ interest in assisting your company build your brand. Venture capital is a necessity for startups that have limited operating history, and are not able to raise capital in the public market. If your startup is not able to secure a bank loan or complete a debt offering, venture capital gives you the opportunity to secure money to help develop and grow your company.

Don’t make the same mistakes that the companies behind The Bee App and Everpix made, and start developing your brand strategy now. Your brand should represent the experience your consumer receives from using your product or service. This will become what consumers associate with your product. It tells consumers what to expect from your product or service. Branding helps consumers differentiate your product from competitors.

To learn more about how to brand strategy check out John William’s: “The Basics of Branding”.

Jimmy graduated from the University of Florida advertising program. Prior to joining [L]earned Media, Jimmy had internships with several startups in Florida and North Carolina as well as mcgarrybowen on clients such as Verizon and Reebok in New York.

You must be logged in to post a comment Login