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
- 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