Does anyone else think people underestimate branding?

[eduardobatumbakal]

I’ve seen two stores sell almost identical products, but the store with better branding ended up performing much better.

Maybe people aren’t just buying products anymore.

Maybe they’re buying stories, identities, and experiences.

What do you think?

 

[emanuelleyang]

I’ve seen two stores sell almost identical products, but the store with better branding ended up performing much better.

Maybe people aren’t just buying products anymore.

Maybe they’re buying stories, identities, and experiences.

What do you think?

It’s because no one actually buys raw utility anymore. You aren't selling a water bottle; you're selling the identity of someone who stays hydrated, works out, and has their life together.

 

[brunolee]

It’s because no one actually buys raw utility anymore. You aren't selling a water bottle; you're selling the identity of someone who stays hydrated, works out, and has their life together.

Exactly. Branding is just margin protection. Store A sells a $15 generic gadget, but Store B sells a $50 "lifestyle upgrade" with sleek packaging and a vibe—and people happily pay the difference.

 

[emanuelleyang]

Exactly. Branding is just margin protection. Store A sells a $15 generic gadget, but Store B sells a $50 "lifestyle upgrade" with sleek packaging and a vibe—and people happily pay the difference.

Exactly, because Store B makes the customer feel good about themselves every time they use it. The product gets them in the door, but the story gives them a reason to justify the price tag.

 

[brunolee]

Exactly, because Store B makes the customer feel good about themselves every time they use it. The product gets them in the door, but the story gives them a reason to justify the price tag.

Facts. Functional equivalence is everywhere now because sourcing is so easy. If your only differentiator is the product itself, you're just racing to the bottom on price.

 

[emanuelleyang]

Facts. Functional equivalence is everywhere now because sourcing is so easy. If your only differentiator is the product itself, you're just racing to the bottom on price.

Precisely. The product is just the physical proof of the story you sold them.