The true value of your brand: an investment or an expense?
What is your brand worth? This can be a tricky question to answer. But chances are, your brand is worth more than you realise.
After all, your brand is essentially your reputation. And your reputation can seem as though it doesn’t cost you anything — until it costs you everything.
Your brand is what attracts your customers and clients, sells what you’re offering, and keeps your business bobbing along. While the value of it can often be determined by past and present profits, sometimes you have to play the long game.
An important distinction to make is the one between an expense and an investment. Too often we hear businesses talk about the costs involved with improving aspects of their brand to work better and harder for their business as an expense. But if it’s going to help grow your business now and into the future, surely it’s an investment…
Expenses reduce your profit, but investments? They're the seeds you plant for a future harvest. These seeds might be:
- Developing or updating your Brand Strategy
- Evaluating your Brand Architecture
- Revitalising your Visual Identity
- Honing your Tone of Voice
- Creating a website that converts
It's time to shift the narrative: your brand isn't a line item on the expense report — it's a core asset deserving of investment.
Creating financially viable brand investments
While planning for future success, you’re probably thinking something along the lines of ‘How can I manage the balance between immediate costs and future gains?’
Spreading marketing costs over the lifespan of the project is a strategic move that aligns with viewing branding as an investment. This approach makes financial planning more manageable for businesses, taking the pressure off farewelling a big sum all at once.
Formulating a budget based on profit margins is another strategic approach. It ties the investment directly to your business's performance, ensuring that marketing efforts scale appropriately with growth. This method encourages a sustainable investment strategy that grows with your company, rather than remaining a fixed cost.
Investing in your brand today to enhance its value tomorrow
Reflecting on the long-term value of your business and its reputation encourages a forward-thinking approach.
An investment mindset for your brand will propel you toward achieving long-term success. At Kick, we make sure every dollar spent on your brand has a return in mind and every decision is aligned with your brand's long-term value and growth potential.
The value of your brand tomorrow is reflective of the investment you make in it today.
