By: Ethan Clift on Apr 12 2024

Why branding matters for startups

Your brand is your company's product for public perception, don't ignore it.

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As the founder of three startups over the past decade, I’ve learned the power of building a strong brand from the outset. My first startup, Parlor Shows, had a fantastic brand and brand promise. It resonated deeply with both musicians and house show hosts. That strong brand identity was key to making it a household name in the city where it all began—people still remember it ten years later. The brand was so impactful that I’ve often considered passing it on to others with a similar business model.

Branding

Branding is often overlooked in the startup world, with the assumption that if the product is great, it doesn’t matter what it looks like. This is a logical, left-brained way of thinking. But I ask, why do I choose Notion over Google Docs? Why Airbnb instead of Vrbo? Why a Volkswagen over a Toyota? It’s my emotions that make those decisions initially. I then rationalize with my logical brain. And I’m not alone in this. So, what is branding? Branding is how you make your business instantly recognizable and memorable. It’s the process of creating a distinct identity for a business, product, or service—shaping how you’re perceived by your target audience through a combination of emotional, visual, and verbal cues.

Brand Identity

This includes the visual elements like the logo, color scheme, typography, and design aspects that make a brand recognizable. It also encompasses the brand’s name, tagline, and overall look and feel. Think about Virgin Airlines—its red color, avant-garde font, and fun, rebellious vibe.

Brand Values

These are the core principles and beliefs a brand stands for. They guide the brand’s actions, decisions, and communication, helping to build a deeper connection with the audience.

Brand Voice and Messaging

This is the tone, language, and style of communication a brand uses across all platforms and touchpoints. It defines how the brand speaks to its audience and what it says, helping to create a consistent and coherent message.

Brand Experience

This is the sum of all interactions a consumer has with a brand—from the first point of contact through marketing materials, websites, and customer service, to using the product or service itself. A positive brand experience reinforces loyalty and trust.

Brand Perception

This is how the audience views and interprets the brand based on its identity, values, voice, and experiences. While this perception can be influenced, it’s not entirely within the brand’s control.

Brand Promise

This reflects the commitment a brand makes to its customers, representing the benefits and value they can consistently expect from its products or services.

Brand Case-Studies

Now that we’ve covered the purpose behind branding, let’s dive into a few examples of startups that have nailed it.

Clear

The brand focuses on convenience and safety, which is crucial for a service that helps people move through security faster. Their welcoming messaging is designed to make customers feel secure and valued, whether at airports or sports stadiums.

Bumble

Bumble’s brand is centered around empowerment, particularly for women. The app’s design, content, and messaging reflect this, with a clean and welcoming look. The consistent use of yellow reinforces their beehive-themed branding, creating a strong visual identity.

Lyft

Lyft initially made a splash with its quirky and memorable branding, such as the giant pink furry mustaches. This fun and approachable image helped differentiate Lyft from competitors and made the brand instantly recognizable in San Francisco and led to its growth in other key cities across the nation.

While it’s tempting for startup founders to focus solely on product development, overlooking branding can be a costly mistake. A strong brand not only differentiates your product in a crowded market but also creates an emotional connection with your audience, driving long-term loyalty and recognition.

As the examples of Clear, Bumble, and Lyft show, a well-crafted brand can be a powerful asset that accelerates growth and solidifies a startup’s place in the market. For founders, investing in branding from the outset is not just a smart strategy—it’s essential for success.

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