Brand is paramount in the product arena; it creates awareness, drives perception, and improves desirability. Brands with top-of-mind awareness have higher perceived value, which allows charging higher price points. Many service companies, however, have not embraced brand, because they believe it to be largely the domain of product companies. But many of the same basic marketing principles apply: brand drives perception, preference, top-of-mind awareness, higher fees, and so on. So why can’t service firms reap the same benefits?
They can, when branding for a service firm is done right. In order to brand your service firm the right way and take advantage of the same benefits that product companies receive from great branding, there are four key distinctions between product and services branding strategy that you need to be aware of. Four Keys To Launching Your Service Brand: In order to brand your service firm the right way and take advantage of the same benefits that product companies receive from great branding, there are four key distinctions to consider. 1. Don’t Mass Market To Your Target Market
Product companies sell to the masses through large scale advertising efforts. Following in the footsteps of these companies, many service firms, when attempting to build their brand, start advertising to the masses as if they were selling Wrigley’s Spearmint Gum or Coca Cola. But for a service brand, this is a waste. It’s not targeted enough, and it costs too much, given the return that it provides. The dynamics of brand implementation are just different for service companies. Service firms need consistent articulation of their value proposition across all touch points of the marketing and sales process.
The Research paper on Branding Activities of a Micro Industrial Services Company
Jenny Sandbacka, Satu Natti and Jaana Tahtinen Department of Marketing, University of Oulu, Oulu, Finland Abstract Purpose – The purpose of this paper is to explore the internal and external corporate branding activities of micro-sized industrial business services companies. Design/methodology/approach – An abductive research approach and a case study method were used. Data were gathered with ...
While catchy jingles during primetime TV might work for a product company, they are simply inappropriate for service firms. But the right marketing program that “touches” your prospects regularly with highly targeted messages will increase awareness and recognition, so the next time you call to schedule a meeting,they’re more likely to take it. 2. Focus On Relevance Over Differentiation Differentiation is important to product companies. Most brand models (and business schools) argue the need to differentiate. But it is a rare service brand that can stake the claim to categorical differentiation.
Let’s face it, many firms offer similar services. As such, it is difficult to own a unique market position. So forget about those product oriented, one-word descriptions. Instead of attempting to be amazingly different from the rest, focus on being relevant. Specifically, relevance as it pertains to the client. The ideal service brand merges the needs, wants, and desires of the client with the character and values of the company. The key lies in creating a space where customer needs meet company essence, an ideal combination of rational and emotional attributes that apply to both groups.
This common ground approach develops a brand that not only resonates with the client by delivering what is important to them, but also develops a brand that is genuine, appropriate, and defensible by the company. By staking a claim for what you stand for, communicating how you help your clients succeed, and communicating how reliable you are in doing this, you’ll develop a unique identity. Most service firms don’t have the stick-to-it ability to get this far, but if they do, they’ll stand out in the market. 3. Worry About Growing Revenue, Not Market Share
Product companies are taught that they must be number one or two, in terms of market position, to be successful. Service brands should concentrate on growing revenue, not gaining market share, as product companies do. In a service industry, whether it be accounting, law, architecture, or consulting, even local markets are usually fragmented and crowded with many successful firms generating considerable revenue from like-services. Instead of concerning yourself with your position in the market, focus your efforts on improving the bottom line. 4. Help Your People Be Your Brand
The Essay on Company Background & Product Analysis
1.1 Briefly provide a background discussion on your company and their products/services. Identify which product you can have chosen to analyze and why? What category of new product is it? Nokia, the world’s largest mobile phone maker. It is the world leader in mobile communications, driving the growth of the big mobility industry. Nokia is dedicated to increasing people’s lives and ...
Service firms do not have a tangible display of products that you can see, touch, and test out before deciding to purchase. As a service firm, your face to the world, what carries your brand most is your people. As such, do not underestimate the internal components of brand development. To create a collaborative culture, communicate your brand message to the troops so that each individual becomes a brand ambassador. This helps to ensure that every sales call, every client interaction, and every elevator conversation delivers the brand as intended.
