Table of Contents
What is Brand Awareness?
Brand Awareness – It is a marketing term that describes the degree to which consumers recognize a product by name. Building it is a crucial step when promoting a new product or relaunching an old brand. Ideally, this can include the characteristics that set the product apart from its competition.
This is how Brand Awareness Works
Products and services with high brand awareness are likely to generate more sales. Consumers faced with choices are simply more likely to buy a branded product than an unfamiliar product.
Look at the soft drink industry. Many soft drinks cannot distinguish from the packaging. Industry giants Coca-Cola and Pepsi rely on brand awareness to make their brands what consumers are looking for. Over the years, these companies have used advertising and marketing strategies that have increased brand awareness among consumers and have resulted directly in higher sales.
This higher awareness rate for dominant brands in a category can serve as an economic divide that prevents competitors from gaining additional market share.
Special Considerations for Brand Awareness
In 2019, internet users spent around 38 minutes on Facebook, 26 minutes on Snapchat, and 27 minutes on Instagram every day
Unsurprisingly, companies are now putting a lot of energy into building it on these platforms. This has led to new forms of advertising where consumers have discussions about the products and services they like and use. Targeted ads on Facebook and Instagram are responsible for most brand awareness tactics, especially for Millennial and Gen Z audiences.
Furthermore, Consumers inevitably share negative experiences as well, and marketers adjust to that reality. A company needs to respond to negative reviews and provide a real-time solution to the customer’s problem.
But as consumers see and interact with social media posts and updates, it will increase. For brand awareness to be more productive, consumers need to seamlessly connect to the company’s website via the social media platform.
Other Ways to Build Brand Awareness
Print media is refusal longer what it used to be, but there are still consumers who read newspapers and magazines. Strategically placed advertisements, for example, in certain places in the relevant section of a newspaper or specialist publications, can attract viewers’ attention and strengthen brand awareness.
For example, a new company listed in the Foreign Exchange (FX) market may advertise in a magazine that focuses on global trading and currencies to increase this among investors.
Advertising in physical locations, such as B. in stores, is also used to increase it. Impulse buy products are suitable for in-store sales and promotion. A company marketing a new candy bar can sell the product through a point of sale (POS) to increase it.
Sponsoring events is another effective way to build it. Charities, sporting events, and fundraisers add significant visibility to a company’s name and logo.
For example, a health insurance company can hand out free branded health packages during a charity marathon. It combines branding with an act of goodwill and community spirit. It has increased, and also, the image has polished up.
Cost Per Mille (CPM) – Explanation, Costs of CPM, Advantages, and More
Cost Per Lead – Costs Mean, Marketing Tactics, Charge, and More