Ordinary business owners have long struggled with the concept of brand and brand positioning. And that’s mostly because these are complex concepts that carry major implications for companies.
As an entrepreneur, you must recognize that the outcomes of your business’s activities can either develop and strengthen or destroy your brand’s image.
Your brand’s image is the persona your company expresses through its name, tone, logo, and other features.
And branding is the process of developing this persona, allowing your customers to identify your products and services quickly. On the other hand, brand positioning is the value customers place on your company that distinguishes it from rivals.
Your company’s brand and its positioning establish the foundation for its interactions with consumers and other companies.
And, because your company’s brand does not function like a material construct—such as a building—but only in your audience’s thoughts, there is a strong requirement for your brand to be effectively positioned.
So, to help you, we compared several brand positioning concepts to see how people react to organizations that take traditional positions against those that adopt modern positions.
What was the Purpose of This Study?
The purpose of this study was to find out which brands users are interested in and how this differs by demography.
The information we obtained will help company owners who are establishing or rebranding their small, medium, or big businesses make quick, well-informed choices that will assist them when positioning or selecting the finest company name ideas.
To assist us in achieving the survey’s goals, we questioned Americans if they’d be willing to work with a new and modern firm or a well-known and respectable one.
Why’s This Question Important to the Survey?
Every entrepreneur understands that picking a solid tone is one of the most important and comprehensive branding decisions you’ll have to make when beginning or revamping your business.
The perfect tone is essential for startups, brand managers, and management executives since it allows them to define their corporate identity and how others view them.
Consider how the world would have changed if:
- Instead of Apple, Steve Wozniak and Steve Jobs named their company Executex.
- Backrub had been the name Larry and Sergey chose for their company.
- Jeff Bezos had chosen Cadabra instead of Amazon.
- Phil Knight had not switched from Blue Ribbon Sports to Nike.
Your brand tone has an impact on your company’s overall identity as well as customer expectations. Whenever it comes to branding, the tone is everything, and you can’t afford to neglect it when establishing your firm.
And the goal of our research was to identify which clientele preferred modern enterprises over conventional ones. We chose this option because determining whether to portray one’s brand as a fresh or traditional one is crucial for an entrepreneur.
What the Study Showed Us About Positioning
Our findings were not earth-shattering, but the results we received were rather intriguing. Here’s a brief rundown of what we found from the 301 persons that participated:
- Customers in their twenties and thirties were inclined to new firms, with more than half preferring new and expanding businesses to well-known and established ones.
- New brands are favored above established businesses by those aged 35 to 45. This age group, however, was evenly divided between the two alternatives.
- Traditional and established companies piqued the interest of individuals aged 45–54 and 55–65.
- Traditional and established companies appeal to those aged 55 to 65.
- According to the data we got, men expressed no preference for either contemporary or established brands.
- Women, unlike men, favor classic and trusted brands over modern ones.
- Among the 301 participants, 153 favored well-known and trustworthy businesses, while 148 preferred new and creative businesses. According to the poll, any corporation can use any strategy it wants as long as it is suitable for its customer base.
What It All Means
According to the study, millennials favor fresh, contemporary, imaginative, and revolutionary enterprises, while Boomers and Gen Xers favor conventional brands.
Therefore, if you want to appeal to the younger population, make sure your company has a clear, contemporary, and creative brand identity. If you’re targeting an older audience, make sure your brand has a strong conventional identity.
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.