What Defines Brand Value in the Digital Economy?

The Digital Market is solely for creating value for revenue generation in the digital economy. However, to enhance the brand's digital presence and positioning, your brand should be able to do more than income generation and profits but focus on its higher purpose. Your business purpose is the integral and central axis for brand building. That incorporates fulfilling the brand promise, the unique value proposition, brand value creation, brand value, and equity. These aspects make up the fertile ground your brand will be well-defined and sprout its digital presence, identity, awareness, and positioning in the market.

Digital Economy

In the present digital economy, entrepreneurs no longer base businesses on local vicinity and affordability of products or services. But by quality and value provision, online presence, positioning for customer experience, and building brand identity and awareness in the digital economy. So, your business venture needs to be well defined as a brand that provides quality and value in the market for it to have the power to claim its presence and position on the global market. 

A well-defined value-centered brand is easy to position, promote and build for sustainability and growth in the market. So, as an entrepreneur, solopreneur, startup, freelancer, creator, and business owner, what aspects of branding can you bring into the game of your brand-building effort that will make your brand value well-defined and claim its position in the saturated market? What defines brand value in the digital economy? Before we dive into that, let's briefly look at the digital economy.

What is Digital Economy?

The digital economy is internet-based economic activities. It is digital economic activities on the wide world web. It is a digital global economy dominated by technology, with the Internet as the backbone and driver of all business processes, interactions, and transactions. Its power lies in enabling your brand value to be translated, transcribed, and transmitted to reach new markets and customers globally. And not limited by geographical boundaries.

The Internet, as the driver of the creative digital economy, provides information and communication, a network of technologies, and a worldwide network of economic activities, like freelancing, marketplaces, commercial transactions, and professional interactions on the Wide World Web. So, how can you harness this opportunity and make your brand value understood and appreciated to position, promote, and build your brand for survival, sustainability, and success in the market? Here is how your brand value can be well defined at a glance to attract attention and be positioned and promoted for solid brand building in the digital economy.

Brand Promise

A brand promise is the foundation of your brand’s reputation and integrity and its power to accrue brand value in the market. That way, a powerful tool and strategy in brand marketing for brand building. You cannot build a solid brand based on an unquestionable brand promise. It is a question of assuring and reassuring your ideal client why they should follow you and your brand and how convincing your reason is to make them feel like following you and choosing to be part of your brand. Brand promise has always been a powerful statement to express the value you promise to deliver to your ideal clients.

As such, it is a promise to provide an exceptional experience of products or services to your ideal customers or clients. That insinuates interest and investment in the brand for online presence and positioning your products and services. The brand promise goes beyond the face value of products or services. It spells a deep sense and meaning to inspire your ideal client to want to know more about your offer. It is not a selling message but more of a well-crafted marketing statement that embodies what your brand strives and thrives to provide. And establish itself as an influencer in the industry and niche it serves.

Walmart ensures its ideal customers believe that if they shop with its brand, they will save and live better. Such a brand promise is a pledge and commitment to fulfill for their customers without wavering for solid brand building. A brand promise is a translation of your brand’s integrity and reputation in the market. Let’s see how you can further define and clarify brand promise through a unique value proposition in your marketing strategy.

Unique Value Proposition

Unlike the brand promise, the unique value proposition focuses on product or service features and benefits. The value proposition is more specific with how the product or service being marketed and sold solves an identified problem and pain point. That communicates the intangible benefits of the solution you promise to provide through your products or services and optimizes your marketing message for brand identity and awareness. 

It captures the ideal client’s attention and differentiates your company and brand in the mind of your target audience. It articulates and clarifies the value you provide in an unquantifiable way and enables pointing at the value of a specific product or service. And how profitable, practical, and functional it is. It is what the product or service can do for the customer. And this is determined by relevance and benefit to your well-identified and segmented client base and whether it aligns with their wants and needs. 

You need to clarify the benefits and communicate the value of those benefits. Therefore, in brand marketing for brand building, the unique value proposition statement helps to differentiate your brand as the preferred provider, making your ideal clients see how your product or service benefits them and as their best option compared to your competitors. That boosts your brand value in the market for the sustainability and success of your brand.

Value Creation

Your unique value proposition directs you in what to create to fulfill the brand promise, value proposition, brand value, and equity in the market. That is where you should crack it up and turn resources into something of perceived value. Like raw materials into tangible blueprint products and raw data into something meaningful and usable like metrics, you can turn into insights to improve your marketing and brand-building effort. You translate anything you do and any stuff you create into functional, monetary, social, or psychological value. And in marketing and branding, it is more of functionality and revenue generation. The social and psychological value is more on the higher purpose of satisfaction. And how your brand products and services satisfy and improve your ideal customer’s life and well-being.

So, there are two types of value creation. The financial value is revenue generation and profits. That is tangible such as sales and profit. Non-financial is non-tangible measures, like customer satisfaction or stakeholder engagement with your brand and their loyalty and dedication to see your brand succeed in the market. These measures become more effective with a deep understanding of your potential customer and their business and lifestyles. Value creation with a thorough knowledge of your ideal customer improves the buying process that optimizes sustainability and success in solid brand building.

Brand Value

Do you sometimes wonder what you are doing and why you are doing it? You are not alone. Most entrepreneurs always feel that way, especially when the purpose and value of your business venture are still in the experimental stage of establishing it as a brand. Value is the degree of importance of your brand in the market. And that takes time to position its identity and presence in the market. That needs long-term marketing strategies like blog marketing to spell out its role in your industry and niche.

In marketing, value provision has always been a bone of contention over pricing and profit margins in the business. However, in entrepreneurship, it has always been quality and value provision that make your brand value in the market. Brand value is the foundation of all your marketing strategies and brand-building efforts. Value can be both commercial and social value. But best of all, as a brand, we explore the financial value that enables it to fulfill its purpose. That is the social purpose as a gesture of contributing to the greater good of the society the brand has made its commercial success.

So, brands do not just start with a higher purpose before realizing the commercial value that creates revenue. Your brand value can be financial and non-financial. However, best of all is its contribution to improving your ideal customers’ lives and furthering the cause of business and entrepreneurship in the digital economy. Once that is clarified, you will be on your way to understanding the purpose and value of your business and focusing on boosting your brand value and reputation in the market for solid brand building.

Brand Equity

Once you can create value for your target customers, you boost sales, improve customer loyalty, and grow your brand for reputation in the market. That means gaining positive brand equity. That means long-term success that optimizes your brand’s overall equity as in customer satisfaction, not just revenue generation and profits which is short-term and short-lived. In marketing, brand equity affects revenue generation and sales. Once your brand establishes positive brand equity, you can introduce any product or service at any reasonably higher price and expect your ideal customers to flock in for sales because of the reputation already established in the market.

You can reflect on Apple’s unbeatable reputation. Therefore, brand equity signifies positive brand loyalty, awareness, associations, and perceived quality by the target customers. Which contributes and provides value to your brand and increases positive brand perception in the market. It describes the purpose of having a recognized and identifiable brand in the market. That makes it easier for customers to have confidence in purchasing its products or services and reduces marketing costs.

Brand equity enhances brand loyalty for its contribution to brand awareness and associations. The strategy is to maintain positive brand equity and deliver on your promises. That builds up a good reputation through consistent customer experiences, reliability, dependability, and innovation purpose-driven like Apple and Amazon, to quote a few examples of global presence and reputation. Positive brand equity boosts your brand presence, awareness, and positioning for solid brand building.