How Does Brand Awareness Increase Sales?


When you’re starting a new business, it’s very important to focus on creating brand awareness. Without it, your potential customers may not even know you exist. Creating a strong brand presence can help increase sales and grow your business. 

Brand awareness can increase sales because it helps people remember your product or service. When people remember your product or service, they are more likely to consider it when they need the type of product or service that you offer. 

Additionally, brand awareness can help to create trust and credibility for your business. People are more likely to do business with a company that they are familiar with and trust. 

Finally, brand awareness can also help to create a positive image for your company, which can lead to increased sales in the future.

Here are six ways brand awareness can help promote and increase sales:

  1. Implement more innovative campaigns that catch the attention of your potential patrons.
  1. Hire an excellent public relations agency to handle your targeted media placements, advertising, and promotional partnerships with other local brands (e.g., reach out to be a sponsor at the event you know will bring in large crowds). This is not only mutually beneficial for both parties but will also spread awareness about you beyond the scope of your company alone.
  1. Get creative with social media – start tweeting consistently about what has happened (good or bad) within your business day, share videos showcasing how you’re doing things better than competitors, upload photos of new products or services – whatever it takes to give people an entertaining glimpse into your business.
  1. Word-of-mouth marketing is one of the most powerful forms of marketing there is. When customers are happy with a product, they’re more likely to tell their friends and family about it. This type of marketing can result in a lot of free publicity for your business.
  1. By increasing trust and credibility, customers are more likely to trust a product if they are aware of the brand. Familiar brands tend to be viewed as more credible than unfamiliar brands.
  1. They increased perceived value. Familiar brands often have a higher perceived value than unfamiliar brands. Customers are willing to pay more for products they are already familiar with.

People will buy a product they are already familiar with, but not necessarily a new one. Sales often tend to go up after a “new and improved” or redesign that’s been highly advertised is introduced to the public. 

This advertising will increase brand awareness which translates into increased sales of their products in stores and online. An intelligent business knows this and is willing to invest time and money into its marketing strategies to achieve success.

People buy familiar products for reasons most common are convenience, predictability, and trust.

  • Convenience is probably one of the biggest reasons people stick to familiar products. It’s often easier and faster to go with something you know instead of trying something new. 
  • Predictability is another significant factor. Knowing what you’re going to get from a product can be reassuring, especially when you don’t have a lot of time or aren’t sure how a new product will work out. 
  • And finally, trust is a huge motivator for many people. When you’ve had a good experience with a product in the past, it’s natural to want to stick with it in the future.

The world of marketing is constantly changing. However, one thing that remains the same is people’s need to buy goods and services they need or want. And one-way businesses can increase sales is through brand awareness.  

Larger companies like Coca-Cola spend billions on advertising campaigns each year because it helps them stay top-of-mind with customers looking for something new at the store or online.

coca cola ad spend in the us in 2017 by type
Coca-Cola spends a whopping 561 million dollars on advertising in America. They invested 446 alone into TV commercials.

Why Is Brand Awareness Important In Business?

When you’re starting a business, it’s essential to think about how you will create brand awareness. After all, if people don’t know who you are or what you do, they’re not going to buy from you.

Brand awareness is essential because brands represent products and services with which they are associated by customers or potential customers. A strong brand creates goodwill with the customer. 

Secondly, it distinguishes one product from another in an increasingly commodity-based market consisting of many products of similar utility and quality, thereby helping a company develop Economies of scale – that is to say, a significant investment upfront might help keep prices down on their whole line as production grows for return on investment.

Thirdly all brands conjure specific memories and emotions based on consumer engagement with them over time – Xerox created the slogan “You press the button; we do the rest.” This helped consumers remember how easy Xerox was to use instead of other similar brands.

This bond between customer and company is highly profitable. It allows for product or service promotion, repeat purchases, and robust customer support (since the company knows who it’s dealing with well). 

These types of ‘brand heavy’ relationships have been rare in recent years as companies now seem more focused on one-off products that require minimal work from them after they’ve been purchased. 

The lack of attention paid to repeat clients has raised questions about how these businesses will thrive. Therefore, let us take a look at three reasons why brands should pay more attention to repeat clients:

  1. Repeat clients are more likely to be brand loyal, and loyal customers are more likely to be profitable for brands. A study by Bain & Company found that a 5% increase in customer retention can lead to a 25%-95% increase in profits.
  1. Repeat clients are more likely to refer their friends and family to your business. Word-of-mouth referrals are the best form of marketing, as they’re trusted and cost nothing (or very little) to generate.
  1. Repeat clients are easier and cheaper to retain than new customers. It costs six times more money to attract a new customer than to keep an existing one, so brands need to focus on retention strategies.

Brand awareness is a vital part of any business. If your company doesn’t have a strong brand, promoting products and increasing sales can be difficult. 

A great way to boost the success of your branding efforts is by keeping in mind that people are always looking for brands they trust, brands with values that align with theirs, and those that offer quality goods or services at an affordable price point. 

By doing this, you’ll start seeing more customers reach out to buy from you, as well as see increased loyalty towards your company over time.

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What Is The Correlation Between Brand Awareness And Sales?

You know that brand awareness is key to success if you’re an entrepreneur. But did you know that there’s a correlation between brand awareness and sales?

Brand awareness is a critical component in the process of driving sales. A survey conducted by Sales Benchmark Index found that 78% of consumers believe they will buy more from a company they know and trust. 

In addition, 74% said that trust drives their purchase decisions when considering which brands to choose, while 66% agreed that “an organization’s values” significantly affect how much they purchase from the company.

In other words, your brand makes an impact on how likely people are to buy your products or services – a strong positive correlation, in other words! 

Making this matter even more important is that it typically costs eight times as much money to acquire a new customer than it does to retain one you already have.

How Much Should I Spend On Brand Awareness?

Many businesses spend too little on brand awareness, limiting their potential growth. Others spend too much, which can be wasteful and damaging to the bottom line. The key is to find the right balance for your company based on your budget and what you hope to achieve with your marketing efforts.

Some factors to consider include: what type of business you are (B2B or B2C), who your target market is, where your target market is located, and how saturated your industry is. Once you understand these factors, you can begin to develop a brand awareness strategy that aligns with your goals and resources.

If you want to start a business with high visibility in the US, for example, with less than $10,000 in-pocket dollars, it makes sense for you to reach out to influencers who have followers related to your product’s niche. Higher prices may be more appropriate if your brand is targeted towards higher income earners or people are willing to pay a premium for quality.

That said, it’s generally recommended that businesses allocate around 5-10% of their total marketing budget to brand awareness efforts. So if your company has a marketing budget of $100,000 per year, you should be spending around $5,000-$10,000 on branding initiatives.

Of course, these numbers can vary depending on your specific situation. If you’re facing stiff competition from more prominent brands in your industry, you may need to allocate more money to branding efforts to stay competitive.

share of b2b budgets devoted to marketing in the us in 2020

What Is A Brand Awareness Score?

A brand awareness score measures how well-known a particular brand is. This score can be determined through surveys or focus groups that ask participants to identify a list of brands, either by name or by the logo. The percentage of respondents who can correctly identify the brand in question is used to calculate the brand awareness score.

A high brand awareness score indicates that the target market is familiar with the brand and recognizes it when they see it. A low brand awareness score means that the target market may not be as familiar with the brand and may not realize it when they see it. Brand awareness scores can be helpful for businesses that want to assess how well their marketing efforts are working and determine which areas need improvement.


The more you market your brand, the better. You should spend as much money on branding and marketing efforts as possible to increase sales because customers are swayed by their emotions when making purchase decisions. 

With a high awareness score for your company’s name, customers will be drawn in with familiarity with what they know about you already, which can lead to higher conversion rates. 

This is why it is so vital that every business invests heavily in building its brand image before moving into other areas like SEO or digital advertising.

Quick Answers To Frequently Asked Questions

Difference between brand equity and brand recognition?

Brand recognition is simply being aware of a brand. Brand equity, on the other hand, is what a consumer associates with that brand. For example, McDonald’s is highly recognized but may have low equity because people generally think of it as a cheap and unhealthy option. Conversely, Nike has high recognition and high equity because people see it as a quality brand that stands for athleticism and success.

How can building brand awareness campaign help the brand name?

Every brand needs brand awareness to succeed. Just like you need to know which brands are on the shelves when you walk into a grocery store, potential customers need to recognize your brand’s name on their TV or on social media.

Improve your customer experience with easy-to-navigate websites and by improving customer service; remember that great art is necessary, but it doesn’t sell anything unless people can find it. Finally, use SEO (search engine optimization) tactics like keyword research and content marketing that provides timely high-quality information targeted at keywords driving traffic for targeted search terms related to your company so you rank higher in SERPS (search engine result pages).

Should brand advertising awareness campaigns include brand identity?

Yes, they should. A key element to strong brand identity is strong visual communication; social media posts and other types of advertisement typically include text and graphics, but visuals are the most important form of communication when it comes to establishing a recognizable trademark.

Should content marketers write about brand recall to the potential customer?

Yes. The value of writing about the brand recall is most evident when a company has established a solid position in the marketplace, but its product or service still leaves room for improvement. In this case, the content marketer’s job is to connect established successes to potential improvements with entertaining and informative posts–to show that decision-makers are paying attention and doing their research.

Does Google adwords target audience with google ads?

Yes, Google AdWords target audience with google ads. Google’s ad network is one of the largest in the world, and it allows advertisers to target users based on a huge range of factors, including demographics, interests, and even past behavior. This makes it possible to create very specific targeting criteria for your ads so that you can reach the most relevant audience possible.

Difference between brand perception and brand visibility?

“Brand perception” is a measure of the emotional connection consumers have to a brand, whereas “brand visibility” measures how many people recognize and can identify with the brand.

Thus, they are two different ways to assess your branding efforts from an outside point of view. How well people think about your company-in terms of their thoughts and feelings-is what we call ‘brand perception,’ whereas how many people know that you exist and would buy your products if there were a chance for them to do so before they found something else is called ‘brand visibility.’

Do brand awareness marketing help brand building?

Brand awareness campaigns are one of the most valuable marketing tools businesses have at their disposal. They provide a way for companies to reach audiences they would not otherwise be able to reach in a concentrated, non-expensive manner.

The prime benefit here is that a company can send a broad message across a broad audience in seconds cheaper and with broader exposure than any other marketing method available. One major drawback is that many people will simply reject these messages or tune them out because they don’t offer anything valuable that the person wants – hence “awareness” campaigns. Here’s how it works: The goal isn’t active participation or conversion, but instead just reaching potential customers with the brand’s message.

Can a social media platform build a strong brand awareness?

Yes. Today digital marketing is important for the success of a business and social media plays a huge role. Instagram has an active following of 500 million people and it’s growing. If your business can manage to make its way onto this platform, the rewards could be huge in terms of new followers who are extremely enthusiastic about what you do.

Does increasing brand awareness increase market share?

It depends on how you’re increasing awareness. If you do it through traditional advertising, then it is likely that your market share will stay about the same. However, if you increase brand awareness through interactive marketing, then it is likely that your market share will go up.

Interactive marketing is all about getting customers involved with your brand. You can do this by having a strong social media presence, by creating interesting and engaging content, or by hosting events and promotions. The key is to make sure that customers feel like they are part of the brand and that they have a voice in what you do. When customers feel connected to a brand, they are more likely to stick with it and to recommend it to others.

What marketing strategy is best for customer loyalty?

There are a few different marketing strategies that can be effective for customer loyalty, but the most important thing is to be authentic and genuine with your customers. Building trust and rapport with your customers is key to developing a long-lasting relationship, so make sure you are responsive to their needs and always deliver on your promises.

Another effective strategy is to create a loyalty program that rewards customers for their loyalty. This can incentivize customers to continue doing business with you and may encourage them to refer their friends and family members as well. Finally, always stay up-to-date with the latest trends in marketing so that you can continue reaching your target audience in the most effective way possible.

Does content marketing increase awareness of the target audience?

Yes, content marketing is an effective way to increase awareness of your target audience. By creating valuable content that’s relevant to your target audience, you can help them become more knowledgeable about your company and what you offer. As a result, they’ll be more likely to do business with you.

Content marketing also helps build trust and credibility with your target audience. When they see that you’re constantly providing helpful information, they’ll come to view you as a credible source of information and be more likely to buy from you when the time comes.

Can a social media marketing campaign increase brand familiarity?

Yes. A social media marketing campaign can increase brand familiarity by increasing the visibility of the brand and providing information about the brand.

Social media platforms are a great way to connect with customers and create a connection with them. When customers feel connected to a brand, they are more likely to be loyal to that brand. Additionally, social media provides a platform for brands to share information about their products and services, which can help increase familiarity with the brand.

Do brand trust with the existing customer help prospective customers?

Yes, brand trust with the existing customer does help attract prospective customers.

When a customer is satisfied with a brand and trusts it, they are likely to recommend it to their friends and family. Word-of-mouth marketing is one of the most powerful forms of marketing there is, and it’s something that can be earned through providing a great product or service.

Prospective customers will also look at how other customers have reacted to a brand before making a purchase decision. If they see that other people have had a good experience with the brand, they’re more likely to trust it as well. This is known as social proof, and it’s one of the most effective ways to build trust with potential customers.

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Wasim Jabbar

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