The construction of the brand, the "branding", consists in developing notoriety, positioning the brand, strengthening it, and creating a link with customers and consumers. This work requires a long-term investment, thanks to image campaigns, but also, in particular, by developing its presence on the web and social networks, which requires time.

Performance marketing aims to measure and improve the effectiveness of advertising campaigns using data and analytics tools. Its objective is to effectively direct the levers and advertising creations to generate a formance that the brand is able to measure, thanks to monitoring dashboards. In fact, performance marketing campaigns very often target lead acquisition, traffic generation, or conversions and are limited to short-term marketing actions.

Often, brand strategies and marketing performance levers are separated. In a difficult economic context, the pressure on the shoulders of marketing decision-makers can also lead them to neglect brand investments to focus on performance marketing operations.

However, the strength of the brand in terms of notoriety and image clearly contributes to the performance of tactical marketing actions. Thus, the work of building the brand and the effective use of marketing performance levers are two equally important aspects of marketing and must combine for increasing performance.

Focusing only on short-term indicators can harm the brand

The growing use of digital in marketing makes performance management more and more reliable, fast, and deep. Whether it's measuring the quality of a site's audience, monitoring engagement on social networks, the evolution of a site's referencing or measuring the attribution of different sales levers, the management tools are there: it is enough (almost) to put them in place. This management is even now possible for offline: to measure the contribution of different media to in-store visits, to measure the impact of TV and radio on online conversions (with a solution like Realytics)…

Of course, it is essential that marketing decision-makers exploit the potential of these measurement solutions. In particular, this makes it possible to make short-term arbitrations on campaigns: modify a media mix, change a creative copy, modify a customer journey, personalization or merchandising parameters, etc.

However, it is necessary to take a step back on the short-term steering indicators.

For example, lowering prices or using promotional offers can help generate more leads and conversions, but it is likely that if these levers are used too strongly and too often, it will lead to a deterioration of a company's image. brand, especially if it claims a premium quality positioning. To increase conversions, AB tests can lead to the conclusion that using more eye-catching visuals or more direct messages is more effective in increasing the volume of clicks: however, is this consistent with the brand's communication charter? , and does it help to position the brand and build loyalty over time?…

The short term can also lead to the wrong indicator. By focusing on indicators that can be monitored in near real time (clicks, conversions, and possibly customer acquisition), we may be led to neglect the real ROI, based on the real value of the customers acquired. This must be measured over time, because it depends on customer loyalty and the quality of their relationship with the brand. Building the brand, positioning it, also means choosing the right customers for the company.

Finally, by concentrating investments on tactical levers to bring performance in the short term, under the influence of a particular context (economic crisis, new competition, etc.), the risk is to disengage from levers whose effects are feel longer term. This is the case of investments in the reputation of the brand, its image, but also the quality of the relationship with customers, or its "natural" presence on search engines.

The brand is decisive in customer choices

When we consider customer journeys, we also see that a significant part of conversions is played out in brand awareness and image, and therefore in top-of-funnel actions. Why ?

Because when the brand is strong, when its image is positive, consistent with its products and targets, it benefits from obvious advantages over competitors.

The stronger a brand is, the less sensitive it is to price competition. A recognized brand can compensate for a price difference with a more premium image and the spontaneous perception of greater quality or reliability.

When clicking to make an appointment, to make a reservation or an order, the confidence that the customer can have in the brand plays a determining role. This client trust is, in order:

    • the quality of the expression of the brand (professional, empathetic, etc.)
    • to the spontaneous notoriety of the brand (he will favor a brand he knows)
    • in the image of the brand, both in terms of quality and adequacy with its values ​​(with equal notoriety)

Thus, the effect of brand awareness can be felt in conversion rates.

Search engines are a vital economic issue. The fact that a brand is spontaneously searched for in Google is directly correlated to its market share. However, to be searched in Google, the brand must first make itself known to its public and benefit from a certain notoriety.

Attachments

Disclaimer

Dekuple SA published this content on 30 January 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 January 2023 17:23:10 UTC.