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What is Branding?

With the rise of social media, concepts like brand, personal brand, and branding are increasingly mentioned in the online space. Branding seems almost indispensable for those “15 minutes of fame” that Warhol predicted for every anonymous person. If we analyze the notion of branding starting from its history, we observe that branding, as a form of attributing a proper name or a distinctive sign to property, existed even in the era of ancient civilizations.

The earliest practices of (so-called) “branding” included marking cattle and applying distinctive symbols to craft objects. Meanwhile, innovations such as Gutenberg’s printing press and the industrial revolution transformed branding into a more sophisticated, almost scientific method, absolutely indispensable for businesses to remain competitive. Towards the 20th century, branding became an integral part of business development strategy, incorporating logos, symbols, and mass communication to strengthen a company’s reputation. Currently, branding extends not only to businesses but also to political parties, non-governmental organizations, and personal pages on various digital platforms.

But what does branding mean? Beyond a distinctive name and some memorable colors, of course. I believe J. Hegarty, an advertising giant, gave the best definition of a brand: “a brand is the most valuable real estate in the world; a corner of someone’s mind.”

“I wholeheartedly agree!” to quote a famous phrase. Branding means possessing someone’s mind to such an extent that they are ready to serve your purpose and interests. In business terms, the brand is the asset with the highest return on investment.

Essentially, branding is a game of perception, implicitly of power. There are many inventive people who waste their talent and energy, just because they are not ready or refuse to enter this game. Tesla vs Edison is the most conclusive example in this regard. Tesla was less popular than Edison during his lifetime, largely due to his reluctance to engage in self-promotion — simply because he was guided by the judgment that science is not a territory of power, but of truth. Although Tesla’s innovations and scientific contributions were revolutionary, he lacked the “marketing” acumen that Edison demonstrated. Edison was a master of self-promotion, ensuring that his name became synonymous with innovation and progress. In his memoirs, Edison stated: “I can always hire a mathematician, but they can’t hire me”. He understood the power of mass media, partnerships, and public perception, effectively creating a strong personal brand. Tesla, on the other hand, focused primarily on his inventions and ideas, often neglecting the importance of public relations and strategic alliances. This allowed Edison to eclipse Tesla in the public eye, securing an authority that was built not just on innovation, but primarily on a well-crafted brand story.

In this vein, how do we ensure that creative people — the “Teslas” of this world — don’t remain in the shadows? That’s where branding comes in. Branding is a techne of public perception. It’s that spotlight directed at the actor’s performance on the social stage. A stage is useless without professional light direction, without that script of artifices that directs the audience’s attention and focuses it on what is meant to be emphasized in the play. Branding is simultaneously an instrument and a facet of power, cumulating a series of techniques that are meant to charm and monopolize the public’s attention. Implemented correctly, branding can transform any beggar into a king and can dethrone any monarch.

And yet branding, like any other field, is surrounded by a multitude of myths and prejudices, which not only mislead specialists in the field but also deter people who could really benefit from understanding how this game of perception works — entrepreneurs, young people with initiatives, creators, etc.

The main prejudices about branding can be reduced to three:
  1. branding is reserved for corporations;
  2. branding = logo/name;
  3. branding is a one-time effort.

Let’s analyze them one by one.

Misconception #2: Branding = Logo

Another prejudice about branding consists in reducing the brand to a logo. In reality, branding involves maneuvering the entire experience that customers have in connection with a company — including how the company’s values transpire in practice, how this company communicates, and what its reputation is on a larger scale. What does the name Netflix tell you, for example? If Netflix had been different from its competitors - giants like Warner Bros. or Universal Pictures - only through its logo, then it surely wouldn’t have had the same fulminant success that made the big players take Netflix seriously. How did Netflix come to dominate the video content market?

Firstly, Netflix’s success is closely tied to the variety of original content, available at the distance of a skip. Netflix constantly invests in local productions and content, which creates a strong connection with diverse audiences worldwide, enhancing the association with the idea of cultural diversity. Thus, in addition to international films, original and award-winning productions or those that have already become classics, we also find on Netflix a variety of films or series in various languages, which makes this streaming platform closer to audiences worldwide. On the other hand, on this platform, the same audience can access content from distant cultures, such as the renowned K-dramas, which are a true cultural phenomenon even globally, confirmed by the fact that, consequently, more and more restaurants with Korean specifics are opening.

Another key element of the Netflix brand consists of the comfortable experience it promises for each user and achieves through personalized recommendations. Netflix knows my preferences and interests better than friends or family. Moreover, if we closely follow the brand’s activity on social media, we observe that Netflix is an avid meme producer. Various sequences from the series run by the platform, which have already become iconic (e.g., Seinfeld or SATC), go viral and are integrated with elements from local culture, thus indirectly promoting the platform, but in a familiar way. Netflix constantly stimulates its users to discuss at length the content of the films that are about to be released. Netflix’s promotional messages are consistent, built around current topics, that is, in step with everything that means the online phenomenon.

Netflix’s branding strategy shows us that the brand’s area of operation extends beyond the logo. Branding encompasses both product quality, real user experience, vocabulary familiarity, message coherence, including cultural impact. All these elements taken together have created from Netflix a powerful brand that resonates deeply with audiences around the world, positioning it as a leader in the entertainment field.

Misconception #1: Branding is a tool relevant only for corporations

There persists this misconception that branding is useful and beneficial only to large corporations. In reality, branding is essential for all organizations, regardless of size. A strong brand helps entrepreneurs at the beginning of their journey or small businesses to better define their product, differentiate themselves from competitors, and form a loyal consumer base, gaining their trust over time. A conclusive example in this regard is the company Vinted, founded in Lithuania in 2008 by Milda Mitkute and Justas Janauskas.

Vinted started as a small marketplace for second-hand clothes in Lithuania. The difference is that, right from the start, Vinted was built around a clear company vision — “to make second-hand the first choice worldwide”. Vinted’s commitment to sustainable fashion and a well-thought-out promotion strategy successfully propelled the Vinted brand into Germany, later into the Czech Republic, France, Poland, and the United States. Today, Vinted has a presence in 22 countries and serves over 100 million customers worldwide.

In the same vein, the Vinted brand was built around ideas of community — through marketing dedicated to local markets/preferences, thus encouraging better interaction between members of the same community and accessibility — by facilitating the process of selling second-hand clothes, with the help of an easy-to-use platform and an intuitive application. Essentially, Vinted replaced the middleman, i.e., the physical store, offering better services online, respectively reducing the speed and complexity of the process of purchasing a second-hand piece.

The company’s clear and consistent branding, including social media promotion and the platform’s strong emphasis on safety founded on a transparent rating system, have contributed to Vinted’s development from a small local start-up to a leading platform for the second-hand fashion segment in Europe, expanding in 2022 into the premium second-hand segment as well. Vinted’s success shows us that strategic branding is essential for businesses at the beginning of their journey. By formulating a clear mission, promoting a sense of community, offering an easy-to-use platform, and adapting marketing efforts to local specifics, Vinted has built a strong brand that continues to monopolize the online second-hand fashion market.

Misconception #3: Branding is a one-time effort

Another assumption is that once you’ve created a brand, the work is done. In fact, effective branding is an ongoing process that requires permanent adjustments as markets evolve, consumer preferences change, and more and more new competitors emerge. In this context, brands are obliged to constantly refine and consolidate their promise to remain relevant and convincing.

An example that disproves this prejudice about branding is how the McDonald’s brand continues to adapt and consolidate its brand to remain relevant. In this sense, McDonald’s constantly modifies its menu and marketing strategy to reflect evolving consumer preferences and market trends. For example, for several years, McDonald’s has entirely repositioned itself from the fast food segment to fast casual, introducing healthier options such as salads, fruits, and breakfast, as well as the premium McCafé drink range. Even though it is a global brand, like Netflix, McDonald’s uses the same strategy of personalizing the brand at the local level — “Come for McMici” or “The Celebration of Local Flavors”. Also, to remain relevant, the brand always collaborates with national or international artists, who contribute to a better image of the brand, for example, the collaboration between BTS & McDonald’s for K-Pop fans. To highlight how innovative it is, McDonald’s has modernized not only the design of its restaurants (who still remembers the first restaurants where the predominant colors were yellow & red?) but also its operations, introducing digital ordering kiosks, mobile apps for ordering, and competitive delivery services. On the other hand, we can also observe sustainability initiatives, including greater transparency related to ingredients and the production process.
All these changes reflect the imperative of aligning the brand with the dominant values of new consumers. The metamorphoses that brands like McDonald’s or Coca-Cola have gone through, that is, long-lived brands with vast experience, attest to the fact that effective branding is a continuous and dynamic effort, which translates into a need for constant adaptation to market trends, including a need to integrate global and local elements in communication and to think of innovative products that are relevant to the key audience.

And for you, what does branding mean?