The words "branding" and "differentiation" are sometimes thought to be interchangeable by journalists and business owners alike; but the chasm between the two is wide.
Branding is the recognition that comes with promoting a company's name or product through general advertising for which a company pays dearly. As a result, when a consumer is faced with a purchasing decision, he'll buy what's familiar (at least in name).
Think about New Balance running shoes for a moment: there are dozens of different manufacturers of shoes, but New Balance has created the brand that shouts, "these are the very best in running (or walking, or cross training) shoes." When I recently needed a new pair of comfortable walking shoes, I went to the New Balance Shoe Store. I did not even consider any other shoe. Why? I've had great experience with the New Balance brand in the past. As a former runner, New Balance is the only sports shoe I would even consider gladly paying over $ 100 for – without blinking. The brand has stuck with me for two decades.
A company's unique selling position (USP) is its differentiation, that one thing that helps it stand apart from competitors – or its special promise it offers to consumers. For instance, Kraft Cheese promises its use of one-quarter cup of milk in every slice of American cheese. Truth be told, ALL cheese must contain at least one-quarter cup of milk, otherwise it must be called a cheese product (think CheezWiz in a can, and you get the idea). So including this much milk in every slice may not seem unique upon first blush – but Kraft has hung its hat on this amount in promotions, setting itself apart from other cheeses. The result: incredible sales based on a promise of wholesome milk.
Which Path is Better?
Generally, giants like Nike, New Balance, and Kraft can choose to promote either their branding message or their unique selling position because of their huge advertising budget. For the human-sized professional company looking for great impact, its best to put money into promoting a USP which over time, can imprint itself on clients' minds, thus becoming the brand.
Let me explain what I mean. If you are promoting your architectural services, for instance, you want to promote that you understand "green" buildings and sustainable design – important to many owners and builders these days. Your website copy, your brochures, and other contractual materials should all reflect this same message. The benefits to the end user for choosing you (a green architect in our example), become a focal point of your message. The end result: coordinating your marketing efforts with this stream of USP will have the same impact as big-budget branding campaigns because of the familiarity you generate over time.
Bottom line: Consistently promoting your USP to new clients and to existing clients through continued mailings or contact keeps your company name imprinted on clients' minds. Is not that what every company wants, after all?
