How do you build a successful e-commerce brand?
How do you build a successful e-commerce brand?
Selling a product is not all that complicated in itself. But building a brand that truly sticks with your customers? That is a completely different story. And that is exactly what separates an online store that enjoys a brief moment of success from a strong business that manages to build a loyal customer base for the long term.
At Redjumla, we see entrepreneurs struggle with taking this crucial step themselves on a daily basis. They sell a good product, but soon notice a number of problems beginning to emerge:
- Margins come under pressure
- Customers do not return
- Growth becomes increasingly difficult
- Competition continues to increase
In other words, their business is not yet supported by a strong brand.
That is why we are going to explain exactly what building a brand involves and how you can approach it step by step.
What does building a strong brand involve?
Before you start putting things into practice, it is important to understand what building a strong brand actually means. After all, it goes much further than simply combining a nice logo with a catchy name. It revolves around the following points:
#1: Recognition
A strong brand ensures that customers immediately recognise your product, even when they have dozens of similar products to choose from. You achieve this by consistently using the same colours, packaging and tone of voice. This is how you create a clear visual identity.
If you fail to pay attention to this, you simply will not stand out enough. And if you do not stand out, you will be competing on price alone. That is a race you are ultimately destined to lose in the long term.
#2: Trust
Customers are also much more likely to buy from a brand that comes across as reliable. Think, for example, of:
- Clear product information
- Professional packaging
- Consistently high quality
- Good, personal service and aftercare
When all these elements are consistently in place, you gradually build more and more trust.
#3: Higher margins
The third point may well be the most underestimated benefit of having a strong brand. An ‘average’ product can often only be sold by offering an exceptionally low price. Customers see the product as just another generic option. There is nothing special or unique about it. In that situation, the cheapest option almost always wins.
Have you managed to build a strong brand? Then you are offering something extra. For example, you can sell your products based on the overall experience, superior quality and a unique identity.
This allows you to charge a higher price without losing customers. In fact, many customers are willing to pay more for a brand they identify with.
#4: Independence
When you only sell a product, you are often completely dependent on platforms such as Bol.com or Amazon. With a strong brand, it becomes much easier to sell through your own online store, on social media or through a wide range of other channels.
This makes your business far less vulnerable to changing algorithms or increasing competition.
#5: Value when selling your business
Would you like to keep open the possibility of selling your business one day? In that case, a strong brand is worth its weight in gold. A buyer will pay considerably more for a business with genuine brand value, an established customer base and strong recognition.
So, there are more than enough reasons to take brand building seriously!
Step-by-step plan: How do you build a brand?
Now that you know why a strong brand is so important, it is time to take action. But how do you actually build a brand in practice?
At Redjumla, we take the lead throughout the entire day-to-day process. As a result, we know exactly which steps truly make a difference.
STEP 1: Define your brand positioning
Everything starts with clear positioning. Who is your brand intended for? What problem does it solve? And what sets it apart from its competitors?
Without clear answers to these questions, you will be building a brand on unstable ground. It will lack a strong foundation. Make sure you take enough time to get this completely clear.
STEP 2: Develop a unique product
A strong brand starts with a product that genuinely adds value. And no, this does not necessarily mean that you need to invent something completely new. It is often much smarter to improve an existing product based on market research and customer feedback. How can you develop a ‘better’ product than your competitors?
STEP 3: Find a supplier
Many e-commerce entrepreneurs look for suppliers in China and import their products from there. This is another process that needs to be approached carefully. You want to find a reliable supplier, make clear agreements and properly understand exactly what your import costs involve, including matters such as customs duties.
STEP 4: Work with a private label
Do you really want to establish a brand of your own? Then a private label is often the logical next step. This allows you to offer a product under your own brand name and in exclusive packaging. In this way, the entire product is built around your own branding.
Sometimes, it is even possible to differentiate your brand further through small changes in colour, finish or exclusive specifications. In that case, both your brand recognition and your margins can increase even further.
STEP 5: Maintain consistently high quality
As we briefly discussed earlier, a brand stands or falls by its consistency. Customers must be able to trust that every product they receive will meet the same high-quality standards. This means that thorough quality control must be carried out during production, especially when working with a factory in China, for example.
STEP 6: Build a brand story
Finally, when building a strong brand, you also need to think about creating a genuine connection. Why does your brand exist? What drives you? A strong story allows you to connect with your customers on an emotional level. As a result, they begin to identify with your brand. Brands such as Nike and Apple are great examples of this.
Ready to grow from selling a simple product into building a strong brand? Contact Redjumla and discover how we can help you make it happen!
FAQ
What is the difference between selling a product and building a brand?
When selling a product, the focus is mainly on price and availability. Building a brand is much more about creating recognition, trust and identity. Customers then make a conscious decision to choose your brand instead of simply going for the cheapest alternative.
How long does it take to build a strong brand?
The time it takes to build a strong brand depends on a wide range of factors. These include the specific market, your budget, distribution, product-market fit and execution.
Is a private label necessary to build a strong brand?
A private label is not an absolute requirement, but it does make building a strong brand considerably easier. With a private label, you determine your own product specifications and packaging. This makes it much easier to distinguish your brand from the competition.