Measuring success is one of the best ways you can understand and develop your business. You can do this with teams and departments, and tracking key performance indicators and goals is one of the best ways to invest in and develop your individual employees. You also need to know your business’ overall capacity, how much money you’re making, how much more you could be making, and if you’re not hitting that high level, why you aren’t.
What’s less understood is that you can track the performance of your brand. Your brand is one of the most important assets you have as a business owner, and almost every decision you make plays into it, weakening or strengthening your brand.
To track the performance of your brand effectively you need to understand what a brand is.
Defining a Brand
Your brand isn’t just your conscious efforts to advertise your business: it’s not just branding. Your brand is the image or personality your customers build for your business in their minds that tells them whether or not they want to interact with it. You can influence the growth of your brand with your adverts, of course, but also with every other decision about how customers encounter and interact with your business. Setting a price point is a powerful branding opportunity: this lets you communicate whether you are a luxury brand, whether you’re an everyday essential, if you’re for everyone or if you’re for an elite few.
Think of Waitrose for a good example: they’ve used their creative advertising, pricing, product selection and in-store experience to craft a brand that is about bringing upper class exclusivity to a broad, middle class audience on the high street.
Measuring Your Brand
A good brand appeals to the customer groups you’re targeting in your advertising, telling them that this is the right place for them to shop. If you’re targeting adverts at customers who don’t find your brand appealing, you either need to work to modify your brand, or pivot to target a new group of customers!
One of the most powerful tools for measuring your brand’s performance is the brand tracking survey. This asks customers to rank brands in your niche – not just yours but your competitors too – on the key strengths for your brand. This includes generic metrics like unprompted recall and purchase intent (do they know who you are and do they want to spend money on you?), but also the extent to which they associate your brand with the key qualities you want, like luxury, value or anything else you’ve worked to incorporate in your brand.
This allows you to quantify your brand’s performance in absolute terms, but also in relative terms: how you’re doing compared with your rivals. This gives you a rounded understanding of your brand’s health, and helps you understand what, if any, changes you need to make to boost its success.