Value-Based Branding

Base your brand on value and you take price out of the equation.

In other words, what would you pay for something that is worth millions of dollars?

Would you pay in the five or low six figures for it? Yes, you would. Because the value is much more than what you are paying.

So if you think you have a high price point – or if you think OTHERS will think you have a high price point – you must base your branding on the VALUE that your product brings.

Otherwise your brand will flop. Or languish. Or limp along.

None of these is what you need to sustain your lifestyle.

Quantifying the Value of Your Brand

For commodities like shaving products, for instance, this is easy.

Brand One lasts 42 shaves and Brand Two lasts 100 – with less cuts and nicks. You may pay 20% more, but it’s still a good value to you.

Even if you don’t save money, you have what they call “intangible” value in not having nicks and cuts all over your face every day. You’d pay more for a better experience.

So you have to determine two things in your branding: What is the tangible benefit (as in you have 58 more shaves with Brand Two – it’s trackable, it’s measurable), and what is the intangible benefit that you bring to the table?

Tangible vs. Intangible in Branding

Intangibles are what will make the sale.

We work with two sides of our brain. The left, or logical side. And the right, or emotional side.

If something looks good on both sides, it’s a no brainer.

What about a brand that costs more, which is obviously displeasing to the logical side. But that same brand gives boatloads of intangibles, like happiness, peace, and prosperity?

Guess what? In a showdown, your right side is the winner 90% of the time.

That’s why people find it hard to diet and exercise. Or to save money. Or to even keep their cars clean.

All of these involve a trade off of logic and emotion.

You want a fat savings account, bigger biceps, and a sparkling set of wheels. But you also want that supersize burger and fries, and you wind up leaving the wrapper in the car on the way to watch the game with your buddies.

The point is that all of those things give you good feelings – right now – and the others… well, they require work.

Building Branding Based on Intangibles

Now that you are aware of the importance of intangibles, how do you take advantage of this in your branding?

You talk in terms of what the brand does for the people. Features don’t matter –the benefits do.

You create the emotional pay-offs for your brand – like giving immediate affirmation after the sale. As in: “Once you join, you’ll become a member of our Premiere Club, with your own welcome kit and one-on-one consultation with our top consultant…”

You appeal to the right side of the brain, which is very visual, by showing the results of your brand through an attention-grabbing video.

The bottom line: Value-based branding is about quantifying your product and speaking to the two side of the brain.

What is the tangible value? Speak logically to the left side about that.

What intangible benefits does your product provide? Show those to the right.

And remember this in your branding… in a showdown, as in the movies, the right side usually wins.