A brand is much more than a name- it represents a symbol, trademark, logo, term, sign, design or combination which distinguishes a product from others. A product is something that is made in factory but brands are those that are actually purchased by customers. When a customer thinks to buy products like: cigarettes and beer, chances are high that he will search out a particular brand of beer and a particular brand of cigarettes to buy. Even commodities like water have powerful brands as a perfect example is Evian. This brand was selling for 20 percent more than Budweiser and 80 percent more than Coca-Cola. Branding is also something timeless. (Wrigley’s, Coca-Cola etc)
On the global scale, companies are divided into two sides, those who believe that the essence of business success is in the continuing development of superior products and those who believe in branding. The product camp believes that “the brand name doesn’t matter. What counts is how the product performs.” They believe that if the product is no good, the product will fail regardless of whether the product has a good brand name or not. Well if I analyze the Consumer Reports and then check the sales rankings of the brands tested I notice little correlation between quality and branding.
Coke outsells Pepsi. Does Coca-Cola taste better than Pepsi? Yet in taste tests in the US most people prefer the taste of Pepsi.
Sure, some people will give up on some brands. They might even say things like: I would never buy a Jaguar” but frankly these opinions are seldom universal.
References:
The 22 Immutable Laws of Branding by Al Ries and Laura Ries
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