How Branding Improves the Profitability of Your Ecommerce Business

Ninja Van

How Branding Improves the Profitability of Your Ecommerce Business

Fanboys are snapping up Airpods Max even though its price is on par with a decent mobile phone. Their secret? Branding.

Have you ever come across an Apple announcement for one of their latest products and immediately thought to yourself “I need to get myself one of those,” when in fact, you do not need one of those (whatever those may be)? 

That’s the power of the Apple branding—the ability to charge a premium for its products and still drive up demand even if they aren’t necessarily the best in the market. What other brands can sell phone accessories that cost far more than the actual phone?  

Line Waiting GIF by South Park
We’ve all been there.

Branding makes a good first impression

Branding is an important part of a successful business strategy. How you brand your business is how you set your company as well as your products or services apart in the market. It doesn’t matter if your product is one of the most in-demand products of the year. If it’s lost in the deluge of generic-looking products of its kind, no one’s going to buy it.

Because of strong branding, certain brands have become so popular that they’ve practically become synonymous with their product itself. There’s Xerox for photocopiers, Colgate for toothpaste, and Kleenex for facial tissue paper, to name a few.

meg ryan tissue GIF
I think you mean tissue paper, Meg, but Kleenex works too.

Products and services with strong branding, which includes your packaging, that stand out on digital shelves or in supermarkets are more likely to be added to carts than their generic counterparts. 

A study shows that 82% of consumers are more inclined to buy products that have a familiar branding or packaging. We know what we like, and we continue to buy them. 

Strong branding increases your business’s market value as your products are not only easily recognizable, but are also perceived to be more reliable. 

Branding sets a baseline expectation

Wait a minute… | Source: Knowyourmeme

Having a strong brand makes customers feel as if they know your business. With this familiarity comes a sense of predictability in knowing what to expect from your business. They know what products or services your brand offers, and can turn to you whenever they need it. 

It’s become instinctual or habitual for loyal customers to choose you over any other brand because of the familiarity and the positive brand experience they have associated with you.

For example, when it comes to picking an animated film that is child-appropriate, the first brand that comes to mind would be Walt Disney. This is because the Walt Disney Company has spent almost a century positioning itself as the cornerstone of many childhood memories by producing family-friendly animated movies yearly. 

Branding helps to win new customers

Loyal customers are important to have. Not only do they bring repeat business, but are also the most effective brand ambassadors. 

According to a survey conducted by Nielsen Global Trust, out of all the forms of marketing and advertising, recommendations from friends and family are considered to be the most credible. 83% of online respondents trust products and services recommended to them by people they know, making word of mouth your most powerful marketing tool. So, your loyal customers will not only get the word out on your brand but also bring the business in.

A strong brand sends the message that what you have is a reputable brand—one that your customers can rely on and why you have a loyal bunch sticking it out with you. 


Your product can be like a million and one other products available online today, but your branding will be what will set it apart from everything else. Your branding will make you stand out on the shelves and will make customers choose you over the others.

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