What Is Brand Perception? How Can You Measure It? Including 2 Case Studies.

‍“Your brand is what people say about you when you are not in the room” — Jeff Bezos

This means customers own brand perception, not companies. 

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Before diving into the world of branding and brand perception, well here’s a little secret that you might want to know as an entrepreneur, ‘your brand is not what you say in your slogan, brand values or advertisements. It’s whatever consumers say you are.’ No matter how good your message might be, if the audience doesn't receive it, it's irrelevant. 

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Improving the perception of your brand starts with listening to your consumers. In most cases, companies believe they know how to attract consumers and make them feel positive about their brand. If you are in business, it’s because you believe that you have a great product or service in the market. And it’s natural for you to assume that your consumers feel the same too. 

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Brand perception is how your consumer looks at your product or service and not what you believe it is. Although brand perception can be influenced by you, it's not that easy to do. 

Where you see a ‘6’, they might see a ‘9’.

Whenever a customer buys a product, reads or writes a review, talks to your customer service team, or spreads word-of-mouth feedback a perception is made.  

Before getting into the details of brand perception, let's understand what is a brand and what is branding.

What is a Brand?

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There is a lot of confusion around the terms ‘brand’ and ‘branding’. These are two different terms with different meanings. Let’s break it down into simple explanations. According to Marty Neumeier - 

“A brand is not just the logo.

A brand is not just a product.

A brand is not just a promise.

A brand is not just an impression.

A brand is a result. It’s a reputation. It’s a customer’s gut feeling about a product, service, or company.”

He further moves on to say that, consumers take whatever raw materials you throw at them and they make something out of it. Therefore each person in your company affects the brand by doing something with the brand, doing it for the brand, or hurting the brand.    

Here is a simplified version of my understanding of the term “brand” - ‘Brand is the reputation that you create through the quality of your product/service, through the design, the messaging, the look and feel, your culture, how your employees behave and how it affects people. All these count in forming a brand’. 

You can think of a brand as a personality. Just like people, brands have traits, reputations, and relationships with those who interact with them. Some brands might be seen as reliable and trustworthy.

Let’s understand better with the help of this example:

Imagine walking into a coffee shop. There are two options: one is your ordinary cafe, and the other is Starbucks. Now, Starbucks isn't just about coffee. It's about the experience, the ambience, the familiar logo, and even the way they write your name on the cup, right? That whole package, that vibe you get - that's the Starbucks brand. That's what makes Starbucks, a Starbucks, and not just any coffee shop. It's how a company communicates with the world and, more importantly, how the world perceives and responds to that company. That's the power of a strong brand.

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What is Branding?

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Branding refers to the tools and strategies companies design for a product or service to influence how the general public sees and thinks about a brand. Branding is a culmination of design, typography, vision, colour, shapes, simplicity, harmony, imagination, and a big dose of foresight. These are the things that help brands grow and stand out. Branding is not like sprinting, it’s more like a marathon. A unique promise kept over time. It’s a well-told story. A story that will resonate in the hearts and minds of your customers far into the future.

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Let me give you a more simplified explanation that anybody can relate to. 

Branding is basically giving your company a personality. Let's think of it like dressing up for an occasion. Imagine you're going to a party and you want to make an impression. You pick out an outfit, maybe a dash of your favourite perfume or cologne, and you're all set. That's kind of what companies do with their products or services. They dress them up to make an impression on you - the customer.

Imagine walking into two coffee shops. One feels like your cosy living room, and the other like a sleek, modern tech hub. Each has its own vibe, right? That's branding at work. It's how businesses tell their story and make you feel a certain way, hoping you'll connect with it and choose their coffee over someone else's.

If a brand keeps promising top-notch customer service but you're left on hold for an hour, the branding falls flat. It’s like showing up to the party in that fancy outfit but forgetting to wear shoes. Oops!

In a nutshell, branding is the whole experience wrapped up in a neat package, from the visual stuff to the emotional connections you form with it. It's what sets a brand apart in a crowded room and makes you think, “Yeah, this is my kind of place.”

So yeah, that's branding - turning your business into something memorable, relatable, and downright irresistible.

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Now that we have a very clear and detailed understanding of brand and branding, let's dive into brand perception in detail. In this section of the blog, we will cover what brand perception is, why it matters, and how you measure it. 

What is Brand Perception?

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Walter Landor memorably stated, “Products are made in the factory, but brands are created in the mind”. 

Brand perception is the perception of a brand in the market. It’s all about how you, the consumer, see and feel about a brand. It's not just about recognizing a logo or a jingle, it's the whole experience and feeling you associate with that brand. In essence, brand perception is the big, colourful picture painted by the collective experiences and feelings of everyone who interacts with that brand.

Many understand that the brand’s perception is in fact owned by the brand. The reality is however the perception of a brand is owned not by the brand itself but by the consumers and the wider audience. Companies are super keen on managing this perception because it directly affects whether you’ll buy from them, recommend them to friends, or choose them over a competitor.

Imagine you are riding a two-wheeler, there’s a loud engine sound that accompanies you. People around you are annoyed. Immediately you start worrying. You probably start thinking that you need to visit a mechanic. 

But what if I told you, imagine you are riding a two-wheeler and it's a Harley Davidson bike. Suddenly, your perception and that of the people around you would change. The same engine sound is now a symphony of power and attitude. It's no longer just a noise, it's a trademark that can turn heads. And people willingly pay a premium price for it. 

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This is how branding and perception can come together to turn ordinary into remarkable. 

As an entrepreneur, you should know what perception you want to generate, and then you need to create a brand. So many brands focus on selling themselves instead of creating a positive brand perception. The truth is brands who try hard to sell themselves never sell. Earlier marketing used to be at the forefront of sales, but today brand perception has taken the front seat. 

Brands try to create a brand perception with the help of branding to influence human psychology which in turn brings you business. 

So, in a nutshell, brand perception is built over time, shaped by those experiences, and influenced by everything the company does. And crucially, it's shaped by how customers experience and talk about the brand. That’s what makes you feel good about grabbing a coffee from one place over another or picking one smartphone over the next. Very few people realise the art of shaping that perception determines the success or failure of that brand.

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Why is Brand Perception important?

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Brand perception is important because your brand lives and dies in the mind of the audience through its perception.

Your customers are the reason your brand exists. Without them, there is no brand or business behind it. Hence your customers matter and so do their opinions and perceptions of your brand. 

Now, if your consumer has a positive experience with your brand whether through consumption or experience, your brand earns trust. Earning trust dramatically increases the likelihood that they will choose or come back to your brand. They’re also far more likely to talk positively about your brand or demonstrate loyalty and advocacy. According to Yotpo, 60% of customers will tell friends and family about a brand they are loyal to. 

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And this kind of advocacy when your customers turn into marketeers is far more influential than any other form of marketing and is widely considered to be the holy grail of branding. 

Now, if a consumer has a negative experience with your brand on the other hand, trust is lost. Though it may take multiple positive experiences to generate any kind of influential impact, it may only take one negative experience to completely destroy a consumer relationship. The reality is, that we are far more likely to share bad experiences with our friends and family than good experiences. 

So where exactly are brand perceptions shaped? 

Well considering that the brand lives in the minds of the audience through perceptions shaped by experiences, the perception of a brand is everything. 

The art of branding is not designing logos or even creating messages or stories. The art of branding is the art of shaping perceptions through the strategic tool a brand has at its disposal. 

So in reality a brand and brand perception is shaped at every single touch point. When we experience a brand we are experiencing strategically developed touch points that are all designed to shape how we feel about that brand which ultimately influences our overall brand perception. 

These tools of brand expression include positioning, differentiation, benefit and value, personality, voice, messaging, stories, emotion, empathy, logos, typography, colour, imagery, activation, emails, coupons, advertisements, articles, videos, and much more. 

Essentially every single touch point across every single channel or media whether digital or physical, is yet another opportunity for a brand to influence the perception that lives in the mind of the audience.

How to influence brand perceptions with strategy?

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Well, each of the brand tools of influence that has been mentioned previously isn’t created through shotgun strategy. Each one is carefully developed through the brand strategy process which in turn strategically shapes the individual touch points of the brand and the experiences of the audience through those touch points.    

Let's discuss some of the most influential tools or brand strategy elements that contribute to overall brand perception.

Positioning Strategy

The position of the brand defines why the brand is different from its competitors. And it also defines the value of that difference to the consumer. In essence, the positioning strategy establishes exactly what the audience should understand and remember about the brand as a priority which influences the rest of the brand development and the overall communication strategy as well.

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Brand Personality

Brand personality is becoming an increasingly important tool that brands are leveraging to shape audience’s perceptions. Neuroscience has uncovered that as humans we make the majority of our decisions subconsciously through our emotional limbic system. As humans, we connect with other humans based on characteristics and behavioural traits to which we are either attracted or not attracted to. Brands making a conscious effort to understand their audience, their desires, and their personality are at a distinct advantage when they use that understanding to shape brand communication through that personality. The more familiar a brand feels and the more attracted the audience is to the characteristics being displayed, the more likely the brand is to resonate with that audience.

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Brand Messaging 

One of the most influential tools at a brand’s disposal is the brand messaging framework. Though many understand the brand message to consist of a single core message, the reality is with the indefinite touch points of modern brands today a comprehensive brand messaging framework is required. Now this framework should outline a collection of key messages that are developed to shape the audience’s understanding of what the brand is all about. These individual key messages are then used to influence specific touch points and their messages across all the platforms that the brand uses.

How to write a compelling website copy

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Emotional Storytelling

As humans, we all have this innate attraction to stories because they have been used to transfer information from one generation to the next over millions and millions of years. We gravitate towards stories because our instinct tells us that there is a reward of knowledge at the end of that story. And this gravitational pull toward story, coupled with our emotional decision-making bias, makes for a potent combination. Brands that can wrap their messages up within emotional storytelling can leverage our human instincts to attract eyes and ears. 

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Authenticity

Authenticity is the hallmark of modern brands which aims to connect with the audience through human emotions. Since the shift of consumer power from brands to consumers on the back of the digital revolution, brands have evolved into these human personas. The days of one-way broadcast communication are gone. Today brands have to be there communicating on the digital forefront. And consumers are less tolerant of brands talking some crap. Honesty is a key ingredient of modern brand communication and is measured by instinct. 

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Visual Identity 

The development of the brand personality defines the characteristics that the brand should use throughout its messaging. While the messaging framework has an opportunity to deliver those characteristics through language and tones, the visual identity can bring them to life visually. As the old adage goes “you never get a second chance to make a first impression.” We all know that a brand is not a logo, though the visual identity as a whole still has an important role to play. Visuals create a memory and allow the subconscious mind to focus to create perception and narrow down choices. If the strategic characteristics are displayed visually, the brand strategy can begin shaping perceptions within milliseconds of the very first contact and beyond. 

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So now that you know what brand perception is and how to influence it, how do you measure brand perception?  

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How to measure brand perception?

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Brand equity is the premium on the value a brand offers as a business. In other words, it's the intangible value attributed to the brand in isolation from that business. Brand equity is a measure of the brand's ability to capture customer loyalty, influence purchase decisions, and command premium prices. Growing brand equity is in essence growing the brand. And in order to measure that equity, brand perception must be measured. Because your brand perception lives in the mind of your audiences that’s where you must go to measure it. So how do you do that?

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Customer Outreach 

Sometimes you need to get up close and personal. Most brands begin building an audience from day one across multiple platforms. Conducting one-on-one interviews or focus groups with customers can offer detailed insights into their experiences with your brand. It's like sitting down with a few guests after the party to chat about what they really thought. This qualitative research method can uncover nuanced views of your brand that surveys and focus groups might not capture. Reach out and ask the people that’s what matters. 

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Brand Perception Survey

Many brand strategy firms use brand perception surveys to collect feedback from their target audience. By knowing their opinions and sentiments, you know how well your brand is perceived by your customers and non-customers alike.

While conducting a brand perception survey, the best part is you can craft questions according to the brand perception you want to create. Always make sure that you take into account existing customers, past customers, and new customers.

Existing customers - How do they perceive you now, and how has this changed over time? What influenced their perception?

New customers - ‘Why us?’ Knowing what the deciding factor is and seeing how customers compare you to other brands is vital information.

Past customers - Find out why they left, so you can improve. How could you win them back? What was it that they initially liked, and what happened to it? This will help you prevent making those mistakes in the future.

Non-customers - Your brand perception should never just be looked at on its own. While people could love you, if they love your competitor more, you still lose. Find out what the general perception is that people have for competing brands to get a better understanding of your place.

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Use of Social Media

What to know how people feel about your product? Social media is your go-to friend.

Social media has become the modern-day piazza where people hang out and share their opinions and experiences. Social conversations can help brands understand better what aspects influence consumer perceptions.

Even though social media can act as a friend, it’s impossible to manually keep track of all comments, social media interactions, tweets, and captions that mention your brand. There are so many nuances involved in each social media platform’s audience. Here comes the real help - Social listening tools
These tools dive into all relevant online communities and social media chatter and take over the busy work. There are plenty of social media monitoring tools today that all offer the ability to gain insight into social media conversations. The access to a smart dashboard will not only show you how many people are talking about you but will also tell you what the sentiment of those messages is - and that's what really matters.

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Online Reviews

Online reviews are the modern-day word of mouth. Almost 91% of the customers rely on online reviews to gain trust in any product. Online reviews can give you insight into how customers perceive your brand. You can track the number of positive and negative reviews. This will also help you understand where you are going wrong and where you should improve. 

It might be the good review, the bad, and sometimes the ugly, but it’s all valuable feedback.

Just reading and monitoring reviews will not improve things. It's essential that you respond to them effectively. It’s important that you address all the positive and negative comments and, at the same time always avoid sounding defensive. Any encounter with customer service is a tremendous opportunity to improve your company’s image because modern customers are vocal about their thoughts and feelings. 

Hence, checking the online reviews of your brand will give an understanding of where your brand stands with respect to the competitors. 

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So, measuring brand perception is all about gathering intel from every corner. Directly from your customers, through social media, by keeping an eye on reviews, and even seeing how you fare against the competitors. Regularly analyzing these metrics allows businesses to change their strategies, improve customer experiences, and ultimately strengthen their brand.

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How certain products have branded your brain?

Coke is just soda. Levi’s are just jeans. Here consumers go out of their way to select these specific brands over others. A consumer would be willing to pay more for exactly the same thing. How is this possible? 

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Apple has been telling you the story over and over again that Apple is the brand for hip, cool, fun, creative people. This is the true power of bands. They can influence our behaviour in ways that extend way beyond the point of sale. So to what degree can the influence of brands wreak havoc on our ability to make rational spending decisions? 

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When I make choices about different brands, I am choosing to create an identity. When I put those shoes on, those jeans, that hat, someone is going to form an impression about what I'm about. So if I’m choosing Nike, I am choosing a kind of different way to express affiliation with sport. Nike is about performance. I have to choose which different conceptual pathways are most consistent with where I am in my life. And once a consumer makes that choice. Their relationship with a brand can deepen to the point where they identify with that brand, like family. And once you identify with the brand it can shape the way you behave. 

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And it reaches a point where it becomes really interesting like, if someone talks bad about that product, brand, or service, they would be the first to go and defend. Why? Because an attack on the brand is an attack on themselves. Most people just don't realize that they are subconsciously choosing brands because those brands have some kind of self-expressive value. 

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Case Studies: Successful Brand Perception

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Digging into stories about brands that totally reinvented themselves and nailed it can teach us a ton about how folks see your brand. These case studies highlight the importance of adaptability, customer focus, and innovation in shaping public perception. These tales really shine a light on how being flexible, really tuning into what customers want, and not being afraid to try new things are key to making people see you in a whole new light.

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The Tata Group

Founded in 1868 by Jamsetji Tata, is one of India's largest and oldest conglomerates, encompassing a diverse range of businesses, including steel, automobiles, technology, consumer products, and hospitality. The group has successfully cultivated a brand perception that is deeply rooted in trust, quality, and social responsibility. This positive brand perception is a direct result of strategic initiatives across various facets of its operations and corporate ethos.

Brand Perception of Tata Group

The Tata Group's brand perception is characterized by several key attributes:

• Trust and Integrity 

Tata is synonymous with trust among Indian consumers. This trust has been built over decades through consistent ethical business practices and transparency.

• Quality and Innovation

The conglomerate is known for its commitment to quality and continuous innovation across its product lines and services.

• Corporate Social Responsibility (CSR)

Tata Group has a long-standing reputation for its contributions to social welfare and sustainable development. The group allocates a significant portion of its profits to various social initiatives, reinforcing its image as a socially responsible brand.

• National Pride 

As an Indian multinational conglomerate with a global presence, Tata Group is often associated with national pride. Its success on the international stage has contributed to a positive brand perception within India.

Strategies Implemented to Enhance Brand Perception

The Tata Group has implemented several strategic initiatives to enhance and maintain its brand perception:

• Ethical Business Practices and Governance

Tata Sons, the principal investment holding company of the group, has set high standards of ethics and corporate governance, which are implemented across all Tata companies. This commitment to ethics and transparency has played a crucial role in building trust.

• Focus on Quality and Innovation

The group has continually invested in research and development to innovate and improve its products and services. Companies like Tata Consultancy Services (TCS), Tata Motors, and Tata Steel are known for their focus on innovation and quality.

• Diverse and Inclusive Portfolio

Tata Group's strategy of diversification across industries and its commitment to inclusivity and accessibility in its products and services have broadened its appeal among various consumer segments.

• Corporate Social Responsibility (CSR)

The group has a dedicated trust for CSR activities, and a significant percentage of the profits of Tata Companies are invested in social initiatives. Programs focusing on education, health, rural development, and the environment have bolstered its image as a socially responsible entity.

• Global Expansion and Local Integration

Tata Group’s strategy of global expansion while maintaining a strong local integration has enhanced its brand perception not just in India but globally. Acquisitions like Jaguar Land Rover by Tata Motors and Tetley by Tata Consumer Products have been leveraged to position Tata as a global powerhouse that retains its Indian roots.

• Customer-Centric Approach

Across its businesses, Tata Group has maintained a strong focus on customer satisfaction, investing in understanding customer needs and preferences and tailoring products and services accordingly.

• Employee Welfare and Engagement

Tata Group places a high emphasis on employee welfare, believing that satisfied employees contribute to a positive brand image. Its policies promote diversity, employee development, and welfare. 

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Tata Group's brand perception is a complex tapestry woven from its history, values, and strategies. By consistently adhering to its core values while adapting to changing market dynamics, Tata has not only maintained but continuously enhanced the brand’s perception among consumers and stakeholders alike. This holistic approach to brand building serves as a benchmark for businesses worldwide aiming to achieve sustained brand loyalty and reputation. 

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CRED 

Founded in 2018 by Kunal Shah, is an Indian fintech company that operates a credit card payment and management platform. The app rewards users for paying their credit card bills on time, aiming to make financial responsibility rewarding and fun. CRED's brand perception is intricately woven with notions of exclusivity, trust, innovation, and community among its user base. The company has effectively positioned itself as not just a financial services platform but as a lifestyle brand for the creditworthy and financially savvy individual.

Brand Perception of CRED

CRED's brand perception revolves around several core attributes:

• Exclusivity

CRED's membership is exclusive to individuals with a high credit score, which has created a perception of it being a premium service for the financially responsible and discerning user.

• Trust and Security

In dealing with financial transactions and data, CRED has successfully established itself as a trustworthy platform that prioritizes user data security and privacy.

• Innovation and User Experience 

CRED is seen as an innovator in the fintech space, with a focus on a seamless and engaging user experience. Its app interface is user-friendly and aesthetically pleasing, which resonates well with its target demographic.

• Rewards and Community 

By offering rewards for financial behaviours that are typically unrewarded, like paying credit card bills, CRED has fostered a sense of community among its users. It positions itself as a platform that not only understands but also values the financial diligence of its members.

Strategies Implemented to Enhance Brand Perception

CRED has employed a multifaceted strategy to build and enhance its brand perception among Indian consumers.

• Marketing and Advertising

CRED has invested heavily in high-quality, memorable advertising campaigns, particularly around major events like the Indian Premier League (IPL). These campaigns often feature celebrities and are known for their humour, creativity, and sometimes, their abstract nature, which has helped CRED stand out in a crowded market.

• Exclusivity and Membership Model

By making its platform accessible only to individuals with a high credit score, CRED has cultivated a sense of exclusivity and prestige. This strategy has not only helped in creating a distinct brand image but also ensures a user base that is financially responsible.

• Engaging User Experience

CRED focuses on providing a highly engaging and visually appealing user experience. The app design is intuitive, making the process of credit card payments smooth and enjoyable, which enhances the overall brand perception.

• Rewards for Financial Discipline

The core value proposition of CRED is to reward users for their financial discipline. Through partnerships with various brands and services, CRED offers exclusive deals, cashback, and other rewards, thereby incentivizing timely credit card bill payments. This strategy reinforces the brand’s focus on financial responsibility and rewards.

• Community Building

CRED engages in community-building activities, including offering exclusive experiences and services to its members. This approach not only fosters loyalty but also enhances the perception of CRED as a brand that offers more than just financial services.

• Customer Service and Trust

Ensuring top-notch customer service and prioritizing user data security are key aspects of CRED’s strategy. The brand’s commitment to these areas has helped build trust and reliability among its user base.

• Innovative Financial Products

Beyond credit card bill payments, CRED has expanded its product offerings to include loans, rent payments, and a commerce platform, among others. This expansion into different financial services has positioned CRED as an innovative and holistic fintech solution.

CRED’s success in building a positive brand perception lies in its ability to merge financial services with lifestyle aspirations, creating a unique market position. By focusing on exclusivity, innovation, and rewarding financial responsibility, CRED has successfully cultivated a brand image that resonates with a demographic that values both financial prudence and premium experiences. The company’s strategies in marketing, user experience, community engagement, and product innovation have collectively contributed to its strong brand perception among Indian consumers.

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Conclusion 

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Brand perception is the key branding term that you need to take care of as a brand builder because this is the very thing that the brand you are building aims to shape. If the brand is developed with a crystal clear understanding of who the audience is and a clearly defined position, it can develop a communication strategy with a definitive plan to shape those perceptions. Understanding and influencing brand perception is an ongoing journey, not a destination. 

Now that you have an idea about branding and brand perception, you can go about employing strategic measures to assess and improve how your brand is perceived. With the help of the above discussed guide, you’ll be able to keep your brand perception on the right track - boosting your customer loyalty and driving up sales.

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