Why Do Startups Suffer? They Ignored This Research on Brand Positioning
When a startup’s product is incompatible with its target audience, you can expect its performance to slow to a crawl or even stop. And although the remedy is extensive market research, it is unfortunate that many founders only identify this issue after their company has failed.
And, because consumer research is expensive, few entrepreneurs can afford to devote their limited resources to testing and determining the best path for their company to pursue if it must appeal to its customers.
So, to accelerate the process and make it simpler for you to understand what does work, as well as the product and branding image that will attract your customers, we conducted this extensive research that will provide you with keen insight into how clients react to brands with traditional and historied brand tones and those with modern and creative ones.
Why Was This Study Carried Out?
We were interested in finding out more information on the types of businesses that different consumers preferred and how this differed by age group.
As a new entrepreneur, you should be aware that aligning the name of your organization and other key branding components like your tone and values with the needs of your target market will enhance and raise the likelihood that your firm will succeed.
So, to fulfill our study’s goals, we asked American consumers whether they preferred doing business with firms that utilize classic brand tones or those that use modern and innovative ones.
How Significant is This Simple Question?
First, understand that the choice of choosing the best brand positioning strategy is one of the most crucial ones you’ll make when beginning or rebranding your firm. And that’s simply because it has a significant impact on brand positioning.
Additionally, brand development calls for acquiring a thorough understanding of both your target audience and your brand’s personality. Every new entrepreneur must be prepared to invest the time necessary to generate creative company name ideas for their enterprises and products.
The right name offers an enticing tone that will improve the positioning of your brand and have an impact on how the public connects with your services.
Here’s What Our Survey Discovered
To more accurately depict our findings, we divided the data we collected into various age groups. And despite the fact that the survey’s results weren’t very shocking, the reactions we received were fascinating.
These are the findings from the 301 people we polled.
- While older customers will prefer a more historical tone, buyers under the age of 30 are more likely to patronize businesses with a modern and contemporary brand tone.
- Consumers aged 35 to 45 were equally enthusiastic about contemporary and cutting-edge brands. Given how closely the results matched each other, it is clear that this group doesn’t pay too much attention to whether an enterprise is conventional or modern.
- According to the research, shoppers between the ages of 45 and 54 like reputable, established businesses.
- Customers within the age group of 55 and 65 mainly prefer traditional businesses to modern ones by a large margin.
- The survey shows that men don’t appear to prefer companies with conventional or innovative tones.
- Meanwhile, women loved well-known, established companies over new and creative start-ups.
- 148 of the 301 respondents preferred fresh, modern businesses, while the remaining 153 chose classic, traditional brands.
Our research shows that you can position your brand as either historical or contemporary as long as it caters to the needs of your target demographic.
Set Up Your Company for Success
To build a highly captivating brand identity for your company, you’ll need to invest a lot of time, effort, and skill. So, as you create your value proposition, marketing strategies, and brand identity, be sure to incorporate the survey’s results. Infusing your brand tone into every area of your organization would give you a better result with branding.
Author Bio: Grant Polachek is the head of branding for Squadhelp.com, 3X Inc 5000 startup and disruptive naming agency. Squadhelp has reviewed more than 1 million names and curated a collection of the best available names on the web today. We are also the world’s leading crowdsource naming platform, supporting clients from early-stage startups to Fortune 500 companies.