Why are customers obsessed with certain products but uninterested in a similar one? Why do customers buy from one brand and ditch the others? These age-old questions have been asked countless times in the business world. A survey conducted by Facebook on 15,000 persons revealed that brand loyalty and trust are affected mostly by cost, quality, experience, and consistency. In this post, I will share how brand positioning can save your business this year!
Some customers may prefer purchasing expensive items while others will avoid them like the plague. Some customers may patronize a business because of their previous experience with that brand, while others seek out new experiences from diverse businesses. The meteoric rise of fast fashion is clear evidence that most customers don’t prioritize quality either. What every customer prioritizes above all else is consistency. And the first step to establishing a consistent business is branding and brand positioning.
So to assist you, we put several brand positioning concepts to the test to observe how people react to organizations that take a new vs. classic brand position.
What is the Significance of This Positioning Survey?
The goal of this study was to figure out which brands people are attracted to and how that differed depending on their demographics.
The data we gathered will help business owners, whether you run a small, medium, or large company, make a quick, well-informed decision that will position their company effectively. Especially when it comes to finding great business name ideas.
However, in order to meet the survey’s goals, we asked Americans whether they would prefer to work with an established and reputable company or a new and modern one.
Here’s Why this Question was Needed?
When launching or rebranding your company, it’s crucial to recognize that choosing your business’s tone is one of the most important and definitive branding decisions you’ll make.
The right tone is important because it empowers entrepreneurs, brand managers, and corporate executives to control their company’s personality and how customers perceive them.
Try to imagine how the market would have been today if:
- Jobs and Wozniak had named their company Executex instead of Apple
- Bezos had insisted on using Cadabra instead of Amazon
- Phil Knight had stuck with Blue Ribbon Sports instead of Nike
- Larry and Sergey had stuck with Backrub instead of Google.
Without a doubt, your company’s overall personality and consumers’ perceptions of your brand are influenced by the tone of your brand. You can’t afford to overlook your company’s tone when designing your name strategy because it’s so important to your brand positioning and branding.
Although there are several brand tones, most of them fall somewhere between ‘new and modern’ and ‘traditional and trusted.’ And our poll was specially created to determine which demographics of the audience are drawn to new businesses and which are drawn to classic enterprises. We did this because one of the most important decisions a firm must make when building its brand identity is to choose either to position itself as a modern or classic brand.
What the Survey Found Out About Positioning
The replies we received were surprising and refreshing, despite the fact that the survey’s conclusions were not earth-shattering. Here’s a quick rundown of what we learned from the 301 persons that participated:
- People in their 25 to 34 are drawn to new firms—over 50% of those polled preferred current and trendy brands over well-known and reliable ones.
- People aged 35 to 45 choose trendy brands over traditional and trustworthy ones. This group, on the other hand, was evenly distributed between the two possibilities.
- People between the ages 45–54 and 55–65 were more interested in classic and trustworthy brands.
- People aged 55 to 65 were particularly drawn to well-known and reputable businesses.
Men have very little bias for either new or historical brands, according to the survey’s findings.
Women, meanwhile, prefer traditional and well-known brands over new and emerging ones.
153 people out of 301 preferred traditional and trustworthy firms, while 148 chose trendy and creative ones. Based on the results of the study, it’s clear that businesses may take any stance they want as long as it’s in line with their core demographic.
How Does This Affect You?
By the end of our survey, we found that the majority of the younger generation are interested in fresh, modern, unique, and innovative companies. To ensure your firm has a unique, modern, and creative brand identity if you ever want to interest your younger audience.
But what if your target demographic is the older Gen Xers and Baby Boomers? Customers aged 45 and 65 are more inclined to classic organizations, so make sure your company’s positioning radiates a classic, conventional, and trustworthy brand.
According to the survey, if a founder wants to effectively position their firm, they need to concentrate on their products and their tone.
Getting a good brand name is one of the most successful methods to integrate your audience, product, and business, and using a strong business name generator is one of the quickest ways to get some great business name ideas.Grant Polachek is the head of branding for Squadhelp.com, 3X Inc 5000 startup and disruptive naming agency. Squadhelp has reviewed more than 1 million names and curated a collection of the best available names on the web today. We are also the world’s leading crowdsource naming platform, supporting clients such as Nestle, Dell, Nuskin, and AutoNation.