Glossary of Branding Terms
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This glossary of key branding terms is an easy-to-use reference tool that helps define terminology used in the branding and marketing world.
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Brand ambassadors outside of companies: well-known and respected individuals, e.g. from the world of sport, film or research, who put their name at the service of brands and thus increase their awareness and positively influence the decision to purchase products and services of the represented brand.
Brand ambassadors within the company: employees who act as internal brand representatives and embody the brand’s values and messages in their daily work. Brand ambassadors also often support the company-wide implementation of the brand by enabling teams to apply the brand correctly and consistently. Another role of brand ambassadors is to make guidelines, templates and best practice examples known and accessible.
The systematic collection of data to support strategic brand management. Qualitative and quantitative analyses are conducted to enable an informed decision on the further development of the brand.
Qualitative analyses can include brand audits, management interviews, customer surveys or benchmark analyses.
Quantitative analyses range from purchase driver analysis to comprehensive brand equity studies.
The sum of all brand-related messages to existing and potential customers, talents and employees, and other stakeholder groups.
Brand communication is not limited to verbal communication: the entire brand experience contributes to communication on behalf of the brand.
The uniformity and coherence of the brand experience and key messages across the entire communication and all touchpoints.
Neurological processes explain why consistency is crucial to building a strong brand. People learn through repetition. The connections in the brain are created through repetition: frequently used neural pathways become stronger. Consistent repetition ensures that a brand is remembered and associated with a certain image.
In addition: every form of mental work costs the brain energy. Strong brands provide cortical relief. They have been learned through consistency in communication and design, and they are immediately associated with the intended characteristics. Consistency thus supports the purchase decision by relieving the brain of strenuous mental work and allowing quick intuition to decide.
Brand experience is the sum of all experiences and interactions that a customer has with a brand, along visual, physical, auditory and olfactory touchpoints.
The process by which a company is fully integrated into another company, e.g. as part of a merger or acquisition, in order to form a single entity and thus realize economies of scale and growth. The integrated brand is abandoned as part of brand integration – or continued as a product brand.
Brands with substantial financial value can also be sold or licensed to other companies as part of this process.
The name or term by which a brand is known and identified.
Brand names can be of different types. A distinction is made between artificial and real names. Artificial names allow the creation of sonorous and unique terms. Real and descriptive names are often derived from the company’s field of activity or from the names of its founders.
Since there are already millions of registered brand names worldwide, artificial names offer two distinct advantages: the chances being able to register a .com URL increase. And it is also easier to register the brand in international trademark registers.
Purely descriptive terms that refer to the company’s offering as well as the offering of its competitors may not be registered as a trademark, since industry terms cannot be claimed exclusively by a company. The situation is different for terms from outside the industry, where registration may be possible under certain circumstances.
Developing a name for a corporate brand is often the first step in setting up a company – at a time when there is a multitude of other tasks to be dealt with. Nevertheless, coming up with a strong name at an early stage is crucial for later success, because not only does renaming a company cost a lot of money, it also means losing the brand recognition that has been painstakingly established.
The sum of all brands that a company owns or actively maintains and uses.
Brand portfolios are often found in B2C business and in the luxury goods sector, where product brands are very specifically aligned with the respective purchasing groups. The owners of brand portfolios generally manage these brands independently of each other in order to retain maximum flexibility for acquisitions and sales.
Developing and maintaining a comprehensive brand portfolio requires the deployment of significant human and financial resources. This is the only way to build and maintain awareness, reach and preference for each individual brand.
The revision of an existing brand to keep it up-to-date and relevant.
As the basis for an informed decision, a systematic brand audit is carried out, for example, to clarify scope and measures. The brand refresh is developed on the outcome of this audit – from strategy to design to implementation.
A brand refresh rejuvenates the brand perceptibly — but the core of the brand remains the same. The brand name is not changed as part of a refresh, in order to ensure recognizability. In most cases, the logo is also retained or only subtly revised.
Step-by-step introduction of a new or refreshed brand. This includes, for example, time planning, provision of budgets, prioritization of measures, training of those responsible, provision of templates and development of implementation examples in the form of a modular toolbox.
In contrast to a so-called “big bang”, where a new or refreshed brand is implemented at once, a brand roll-out can be tailored to the capacities and resources of a company.
In certain situations, such as a merger, the roll-out phase is often limited to a few weeks or months. When a part of a company is spun off under a new brand, a step-by-step roll-out is usually ruled out for legal reasons.
The positioning of a brand or company as an expert or opinion leader for specific topics.
The topics are selected based on the business strategy and brand positioning and are repeatedly addressed with relevant and differentiating communication. Key to success is a strong focus on few topics that support and sharpen the brand positioning.
Creating added value for customers, shareholders and other stakeholders by strategically aligning the brand for the long term.
One example of brand value creation is preference, i.e. securing future revenues by building and maintaining a brand that is preferred over the competition. Another example is increasing margins by achieving a price premium.
The translation of the company strategy into a value-adding brand strategy and a unique brand experience (brand design) – with the aim of sustainably supporting business success through the strategic direction of the brand.
The branding process includes the following sub-areas: systematic brand audit, development of the brand strategy and a systematic corporate design and a multichannel implementation strategy.
The systematic planning of a branding process along a timeline – from the development and introduction of a new brand, to the migration of a brand identity, to ongoing brand management.
Developing a company-specific branding roadmap allows to identify brand-relevant interdependencies and efficiently manage complex processes.
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A brand that conveys its messages consistently, clearly and effectively to its target group achieves a high level of communication efficiency.
Communication efficiency leads to a reduction in communication expenses and lower cost for brand management, e.g. through maximum image transfer between all brand touchpoints. Standardization also reduces implementation costs and allows a reduction in brand management resources
The corporate brand is an image of a company in the mind of people: it is made up of visual impressions, values and stories that are associated with a brand name or logo.
Technically, a corporate brand is a unique identifier, symbol or name that identifies the company and its products and services, and distinguishes it from others.
A corporate brand is created through communication and perception. For a well-managed corporate brand, the brand positioning matches the perception of the brand. A strong corporate brand contributes to sustainable growth and higher profitability. This is realized, for example, through a stronger communication effect, higher implementation efficiency, an increase in brand preference – and the enforcement of a price premium.
A unique corporate brand can be registered as a word mark and as a figurative mark in regional and international trademark registers and thus protected against unauthorized use by third parties. Specific rules must be observed in order to develop a registrable trademark.
An agency specializing in the development and implementation of brand strategies and corporate design for companies.
Corporate branding specialists have the experience and know-how to develop systematic and consistent designs that take into account all aspects of a brand.
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An approach when developing a corporate design: to initially focus on digital touchpoints and platforms in order to do justice to the relevance of these channels.
For example, a homepage, a landing page, mobile versions of these, favicons, digital ads, social media posts, presentations and simple animations are tested in the concept phase. Printed matter, stationery, posters, etc. are only presented when the selected concept is developed.
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Employer brand design is a special manifestation of the corporate design, tailored to communication and interaction with talent and employees.
Specific images, additional colors, a differentiating text and layout behavior, as well as special design elements reserved for the employer brand, shape the employer brand experience.
The employer brand strategy forms the basis for the development of an employer brand design. The EVP (employer value proposition), employer brand story and employer brand key messages are translated into visual elements – as part of the overarching brand experience. These employer brand design elements interact to create a coherent and intuitive experience that conveys the brand’s positioning as an employer.
Employer Brand Experience encompasses the visual realization of the EVP (Employer Value Proposition), brand story and core messages to create a unified and unique brand experience for employees and potential talent.
The employer brand strategy forms the basis for developing the employer brand experience. EVP, employer brand story and employer brand key messages are translated into visual elements – as part of the overarching brand experience. These employer brand design elements interact to create a coherent and intuitive experience that conveys the brand’s positioning as an employer. The employer brand experience is characterized by specific images, additional colors, a differentiating text and layout behavior, as well as special design elements reserved for the employer brand.
To ensure successful implementation, the employer brand experience must be system-compatible, efficient and easy to use. This can be achieved by applying the basic elements of the actual brand identity without restriction to the employer brand as well – including brand positioning, logo, brand colors, fonts, UX elements, website wireframes, etc
Employer branding encompasses all strategic and tangible elements that position a corporate brand as a strong employer brand. The basis for successful employer branding is a clear alignment of the brand with the business strategy – and with the expectations of talent and employees.
A strategically managed employer brand can help implement the business strategy by attracting the right talent, for example, for a growth strategy, or for pioneering innovation, or for internationalization, or for a transformation process.
In order to specifically formulate the EVP attributes, Markenfels has developed the “EVP Navigator©” (EVP = Employer Value Proposition).
The EVP Navigator helps to clarify how the company can position itself as a great company with great people, promising career prospects and attractive benefits. In the development process, two key questions of talents are explored: “What’s in for me?” and “Who is this company and what makes it tick?”
The aim of the development process is to identify the three to four clusters of attributes that the company can use to position itself to talented individuals and employees – in a relevant, differentiating and credible way.
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A B2B company that occupies a leading position in its market segment due to a unique product, service or technology, but is often less well known than large brands or corporations.
For hidden champions that are growing and want to attract new customers and talent, a brand refresh is a proven process to increase attractiveness and awareness.
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The verbal messages of a brand that communicate its positioning, attributes and benefits, thus creating a consistent image.
The development of key messages is based on the business strategy and brand strategy.
In their sum, key messages answer a key question of customers: “why should I be interested in this brand – and make a purchase decision?” The aim is for the key messages to run like a red thread through all of the company’s communications. Repeating messages ensures recognizability: this is how messages become anchored in the minds of customers.
KPIs are measurable indicators that evaluate the progress or success of a specific activity or process.
In brand management, possible KPIs include brand equity or the role of the brand in business success. Less complex indicators such as brand awareness or preference also contribute to informed brand management.
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The logo is the visual trademark. It represents the greatest condensation of a brand and serves as a visual anchor. When you see the logo, the image of the brand is recalled. For a logo to become a strong brand, the brand must be built and communicated in a targeted manner.
What are the elements of a logo? A logo usually consists of a logotype (or wordmark) that is based on the brand name or an abbreviation of the brand name. Alternatively, or in addition, a symbol can be used.
In addition to visual logos, sound logos and scent logos can be developed.
Strong brands establish comprehensive legal protection for their logos to prevent imitators from bringing similar logos into circulation.
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The Markenfels “M&A Brand Navigator©” is a systematic management tool that enables companies in the context of a merger or acquisition to use their brand portfolio strategically, to add value, and to efficiently manage the integration of the companies.
A structured brand management process accompanies the merger process through the classic M&A phases: from due diligence to strategy development and implementation. The focus is on aspects that measurably contribute to value creation, namely profitability, market share, reputation and image.
When two companies merge, the question arises under which brand the future joint organization should operate, and how products and services will be branded in future.
A specific branding process, tailored to mergers and acquisitions, contributes to a successful M&A process. The branding process is guided by KPIs (key performance indicators) such as reputation, profitability and market share, in order to promote the success of the business combination.
For example, the goal may be to accelerate the integration of the two companies – based on a clear brand architecture, a new, joint positioning and a new, uniform brand experience that inspires talent, employees and customers.
Marketing encompasses all activities that aim to advertise and sell products or services. A successful marketing strategy includes promotion – e.g. via advertising, PR, direct marketing, sponsoring, trade fairs and events – but also pricing, product policy, and the selection of distribution channels.
The basis for successful marketing is the creation of a strong brand – known as branding. Branding encompasses all strategic, visual and verbal elements of a brand that define its identity and interact to create a relevant and differentiating brand experience. This includes the strategic positioning (brand idea, brand story, brand personality), name, logo, tone of voice and key messages, imagery, colors and fonts, layout principles and special design elements.
Marketing reacts quickly to changing environments and needs, while branding aligns the brand for the long term.
Good cooperation between branding and marketing specialists contributes to the economic success of the company.
When two companies merge, the question arises under which brand the future joint organization should operate, and how products and services will be branded in future.
A specific branding process, tailored to mergers and acquisitions, contributes to a successful M&A process. The branding process is guided by KPIs (key performance indicators) such as reputation, profitability and market share, in order to promote the success of the business combination.
For example, the goal may be to accelerate the integration of the two companies – based on a clear brand architecture, a new, joint positioning and a new, uniform brand experience that inspires talent, employees and customers.
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The process by which a customer makes a choice between different offers and decides to purchase a particular product or service. The brand plays a more or less important role in this decision, depending on the industry.
In the consumer sector (B2C brands), buyers choose directly between brands – at the physical shelf or in the digital shop. B2B purchasing decisions are based on a more complex process: the entire value chain is considered as comprehensive solution, from the planning of systems or product portfolios to downstream services and ongoing deliveries.
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The contribution of a brand to the purchase decision. This value is referred to as the “role of brand” and depends heavily on the industry and the positioning of the brand.
In B2B, the brand contributes between 2% and 20% to the purchasing decision. In the B2C luxury goods industry, the role of the brand achieves 90% or more.
While in B2B innovation industries such as med-tech, the role of brand can be up to 20%, the brand plays a lesser role in the commodity sector (e.g. chemical raw materials), since the standardized quality and availability of the materials are the main focus here.
Positioning also influences the role of brand: for premium brands, the brand contributes significantly more to the purchase decision than for low-priced entry-level brands.
A “Role of Brand” of 2% may seem low. But with a turnover of 100 million, 2 million can be attributed exclusively to the power of the brand.
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The design principles for implementing a brand in the third dimension (spaces and physical environments) to create a three-dimensional brand experience.
This includes shapes, materials and room layouts, the planning and implementation of brand-specific rooms in new and existing buildings, the development of event designs and brand-specific labeling and orientation systems. Examples of applications include trade fair booths, company anniversaries, launch events, open house days and orientation systems for companies.
Stakeholders (outdated: target groups) are groups of people and parties that play a decisive role for the company, e.g. as existing and potential customers, investors or employees.
Depending on the company, stakeholders also may include institutions, authorities, regulatory bodies, communities and the general public.
A Markenfels approach that encourages companies to critically question the creation of new brands and instead strengthen the existing brand.
Three principles lead to success:
- As few brands as possible:
Companies should try to integrate as many products and services as possible into their existing brand. This saves money and resources and strengthens the existing brand. - Outside view instead of inside view:
Take the customer’s point of view. What strengthens their trust, what reduces the risk of a product launch, how to win new customers as easily as possible? - Use existing assets:
Are there strategic reasons for creating a new brand? In this a case, it is worth checking whether an existing brand in the portfolio can be used for this purpose. This saves time-consuming trademark registrations and ideally makes use of the existing brand awareness.
In the context of branding:
Consulting services aimed at improving the long-term competitiveness and success of a company by aligning the brand in a way that maximizes support for the corporate strategy. Strategic consulting services include clarification of the brand architecture, brand positioning, naming and naming systems.
The integration of sustainability principles and values into the brand strategy and communication of a company.
Curious for more?
Discover how sustainability branding creates value:
https://markenfels.ch/en/thought-leadership/green-sustainable/
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The development of verbal brand elements such as name, slogan/claims and messages that communicate the identity of a brand.
The process is supplemented by trademark searches and legal assessments to ensure that the names or claims developed are registrable in trademark registers and can therefore be protected.
Verbal branding also covers the development of a tone of voice, the brand-specific definition of vocabulary and language style for communicating the brand.