Before deciding how to spend your advertising budget, it’s important to understand
the distinction between branding and direct response advertising. Branding is all about building your brand’s equity over time, while direct response advertising aims to achieve instant gratification in a short period of time.1 While both can be used in tandem to create an impactful strategy for your local business, branding is far more capable of winning over the hearts and minds of potential customers. Let’s dive into the details:
Return On Investment
In some instances, direct response advertising tools like coupon books or mass mailers will get a few customers in the door. In the majority of cases, however, these one-time strategies fizzle out and don’t have an impact on your bottom line. Branding is different because it presents the opportunity to build your brand and inform your audience. It may take a couple weeks or months to see the results, but branding is the best way to earn the trust of the community. Focus on the end goal rather than gauging your campaign’s success on the immediate returns.
Long-Lasting Loyalty
Creating trust, loyalty and brand recognition in the community is the key to long-term success as a local business. A coupon or flash sale might work on occasion, but those aren’t sustainable growth strategies. Instead, explore content marketing opportunities that allow you to tell your story while consistently reaching an effective audience. Branding is all about staying top-of-mind with potential customers. Over time, as your brand becomes more recognizable and trustworthy, the results will come through in a big way.
Building Relationships
Local businesses are an essential piece to the unique fabric of every community. Use your marketing efforts to share your story and build relationships with those who call your community home. Even if some of your audience isn’t in need of your products or services right now, let them know that you’ll be there when the time comes. They’ll be more likely to give you a visit over the competition because you’ve always been there.
Source
https://www.comscore.com/por/Insights/ Blog/On-Branding-Versus-Direct-Response- Advertising#:~:text=Direct%20response%20ads%20 aim%20at,not%20going%20to%20occur%20 immediately.
