{"id":635,"date":"2020-10-16T07:22:03","date_gmt":"2020-10-16T07:22:03","guid":{"rendered":"http:\/\/bigbrandtree.com\/blog\/what-are-the-challenges-when-it-comes-to-branding\/"},"modified":"2020-10-16T07:48:47","modified_gmt":"2020-10-16T07:48:47","slug":"what-are-the-challenges-when-it-comes-to-branding","status":"publish","type":"post","link":"https:\/\/bigbrandtree.com\/blog\/what-are-the-challenges-when-it-comes-to-branding\/","title":{"rendered":"Branding Challenges and How to Overcome?"},"content":{"rendered":"

Branding<\/a> is NOT easy! There are many branding challenges one has to face as a brand owner. This article lists some of those and how to overcome them.<\/p>\n

It is not just about giving a name or attractive logo or slogan.<\/p>\n

It is one of the most challenging tasks you will ever face as a small business owner.<\/p>\n

If you are able to manage these challenges you will be able to build your brand.<\/p>\n

Below are the three biggest branding challenges, I have faced as a Marketing and Branding Professional over my 16 years career:<\/p>\n

Challenge 1: Cash<\/strong><\/h3>\n

The challenge of cash, or dealing with short term financial concern, is the biggest single challenge businesses face.<\/p>\n

Executives who deliver quarterly profits are rewarded. However all of a brand’s value resides in the future and the current financial returns are actually a very small part of the total.<\/p>\n

However if a manager is forced to choose between investing in a brand and missing a short term financial targets, most managers choose to hit the shorter term numbers. This is usually a career optimizing decision. This ultimately leads to “branding doom loop”.<\/p>\n

The doom loop begins with a manager struggling to deliver a short term profit target. To boost sales and profit, the manager deploys a program that have a significant short-term impact, such as price promotion.<\/p>\n

To fund price promotion manager reduces investment on brand building programs.<\/p>\n

However, as the short term financial results improve, competition responds to nullify the impact of the price promotion, leading to less than desirable results on the medium term.<\/p>\n

Moreover, consumers also start expecting promotion and delay their purchases and wait for the next price promotion. Thus the long terms prospects of the brands decline as:<\/p>\n