• Branding for a sustaining business model


    Theories on marketing principles encourage management to design strategic business models. To achieve a sustaining business model (repeat sales), however, requires branding. This raises the question: when does marketing end and branding begin?

    The academe teaches us that the creative development toward addressing a particular demand is always where one begins. After that is the creation of the product or service. That makes sense. After all, it would be foolish to launch a product or service where no market demand exists. After the product is created, a pricing strategy is identified. Packaging and distribution are likewise strategized and, finally, an awareness campaign is launched.

    This still does not necessarily guarantee a business model, much less a sustaining business model. By business model, we mean sales: A sales demand that replenishes its stock, less its cost of goods sold, less its operating expenses after tax, which then creates the business model. However, to stay the market and generate repeat sales or a sustaining business model is not automatic. Unless you have a unique market with no need for repeat sales (probably absurd), you must have a business model with sustained sales.

    No amount of advertising or promotion will generate a sustaining business model unless you begin to brand. Branding is all about integrity, and unless your product or service acquires this integrity in the target market, your product or service will never possess the ever elusive sustaining business model.

    Branding is all about the consistent delivery of the brand promise, which generates integrity. Success comes with the perceived integrity being branded. Research and development, even after the creation or manufacture of the product, will not help unless your product or service is able to consistently deliver on the brand promise. Only then can you brand and generate a sustaining business model. No bogus product or poor service will sustain a marketplace or target audience. False advertising will not succeed and no product or service can survive without branding.

    Some may think it odd that created products or services must be genuine if they are to realize integrity. This of course limits products being offered in the marketplace. We see products being hawked in the street with no advertising or awareness campaign, yet they are snatched up by consumers. Yes, that happens, but it does not mean the products will stay in the market. And if the objective is a one-time sale, there will be no need to brand.


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