In this two-part series, we examine the importance of early stage branding, strategy and promotion for startups.
by Hayley Raynes
Recently we pitched branding, marketing strategy and promotion to the founder of a tech startup who had achieved some initial success in his industry. The man was skeptical. While he conceded that branding is important, he didn’t think it was necessary at such an early stage in his business’s development.
Of course we jumped at the chance to convince him otherwise, because we know that early stage branding is the best and most important kind and that, without strategy and promotion, the risk of failure goes up exponentially. Thankfully, after stating our case, we convinced him to move forward with a strategic branding effort as soon as possible. But it made us realize that his is probably not the only startup out there holding off on this critical aspect of business development. That’s why we decided to put this article together to explain:
-Why it’s of vital importance to begin branding efforts as early as possible.
-Why it’s important to have a strategic plan that fits seamlessly into a business’s overall goals.
-Why hiring a team of experts will save time, money and potential disaster.
Inscription in the Temple of Apollo at Delphi
In order to effectively communicate who you are to your target market, you have to actually know who you are. And while most businesses think they know, we can’t tell you how many times we’ve started asking fundamental questions regarding operations, budgets, forward strategy, key markets and company goals only to get the following answer: “Let me get back to you on that one.”
Developing and positioning a brand to reflect a company’s identity, speak to the right people at the right time and send the right message communicated in the right tone requires that business operators know their company and know their audience inside and out. This means being able to articulate—on demand—the business’s mission, culture and values. The earlier a company tackles this hurdle, the better. Because it’s one thing to have the next game-changing technology—it’s another thing altogether to actually position that technology to change the game.
“You may delay, but time will not.”
You have the product; you have your key people; you have an opportunity to present your product to an investor that could catapult your business into the stratosphere.
But wait. You don’t have any marketing materials. Crap!
Quick. You need a logo—one that can see you through at least the next three to five years. You need a tagline, too—something that sums up who you are in 10 words or less. Oh no, they’re asking for a website? You can’t show them that mess your niece threw together after securing your domain. What about a brochure? A business card? Heck, you’re going to need something—anything that makes you look like you’re actually working out of an office, rather than the garage.
More than 33 billion dollars was handed out by venture capitalists in 2013 in the U.S. alone. But getting a piece of that capital is not just a matter of standing in line with your hand out. You’ve got to wow the crowd. Have you been on Kickstarter lately? If so, you may have noticed these wooden map guys. They run a simple business—selling wall art in the form of machine-cut wooden maps. They had a modest financial goal—$7,500 for equipment that will help them expand their product line. As of this writing, they have raised $15,697 and earned a feature on the Kickstarter discovery page. Small potatoes, sure, but relatively speaking, they are killing it. And here’s why: They look legit. They’ve got a website, a YouTube video, professional photography, a blog (though they could post more often)—the works. The result? The world of (Kickstarter) finance takes them seriously.
And think about it, if this kind of complete marketing package was necessary to convince the average Kickstarter funder to throw them five bucks, imagine what kind of game you’re gonna need to get in with the big VC firms, angel investors and private equity seed financiers.
Still not convinced? Don’t take it from us; check out point three in Paul Jackson’s Entrepreneur article about how to secure funding from a VC firm.
Because here’s the deal, branding is campaigning. Branding is shaking hands and kissing babies (metaphorically speaking). Branding is persuasion. It’s convincing people to like you, to support you, to promote you, to be loyal to you. There are other choices out there—good, dare we say great, choices. It’s your brand’s job to convince customers—whether they are investors or end users—that you are the best choice, now and in the future. And everyone knows the first rule of politics is: “Control the message.”
You see, in the absence of a brand, your audience—whether they are investors or customers—will create one, because not caring about the brand is branding. Appearing not to have a budget for branding, is branding. Cheesy, thrown-together-at-the-last-minute branding materials is branding. Would you go to a job interview (outside of Silicon Valley)with your tie askance, shirt untucked, bed-headed and furry-toothed? If so, that’s probably why you’re reading this in your PJ’s at 11 a.m. on a Wednesday, instead of working. Image matters.
And from our side, branding early just makes the whole process a heck of a lot easier. Because if we are involved from the beginning, we won’t have to spend a ton of our time (and your money) undoing the damage of your “non-branding” efforts. Scrubbing an image from the hearts and minds of investors and consumers can take a long time—time you just don’t have in today’s competitive marketplace.
Like what we’re saying? Stay tuned for part two in our series on early stage branding, strategy and promotion…