While short-term sales are appealing, long-term efforts keep businesses growing. Studies* show that building brands for long-term growth sustains businesses and drives success.

1. A BALANCED MARKETING STRATEGY INCREASES REVENUES
Brand-building efforts are a lever that drives sales, and studies show that a balanced marketing approach helps build brands for long-term success:

  • Ongoing marketing efforts account for 10% to 35% of a brand’s equity.
  • Promotions deliver only about one-half of the long-term returns of media spending.
  • Without long-term brand building, awareness and consideration decrease, which typically reduces the effectiveness of conversion marketing efforts.
  • Pulling back on long-term marketing increases your cost of acquisition, forgoing future sales while increasing cost to drive near-term sales.

2. BRAND-BUILDING IS THE FIRST STEP FOR LONG-TERM GROWTH
To take your brand to the next level, it’s important to understand which investments produce the best returns in the long run:

  • Evaluate long-term impact through short-term purchases that result from conversions and brand exposures.
  • Analyze the impact your strategy has on driving brand equity metrics, such as consideration, purchase intent, etc.
  • Reinforce your message over time to ensure you’re frequently engaging with your target
    consumers.
  • Studies show that the long-term impact of media can double the impact of media spend, particularly for upper-funnel channels.

A shift from short-term decision-making, to a well-rounded marketing approach, can help marketers understand how to allocate their budgets, while still working to build their brands for long-term success.

Source: MediaPost, reported by David Hohman; *Nielsen studies