Branding differentiates firms from their competitors and gains customers’ trust by creating a sense of “recognition”, according to the Chartered Institute of Marketing (CIM).

A strong brand has several benefits including helping firms compete on price, generate loyalty and stimulate innovation, the CIM added.

Ray Jones, a spokesperson for the CIM, stressed to marketers that a recognisable brand is a “seal of quality” that helps consumers distinguish between companies.

“Brand-led companies like easyJet recognise that the brand is like the writing in a stick of rock; it underlies the ethos of the company and that includes its people and values,” Mr Jones commented.

He added: “Branding does differ depending on the types of business, because defining your market will determine how you define your brand.”

According to Mirata, design is the seventh most important ingredient for success for UK companies. On average, businesses investing in design expected a 50 per cent return on their most successful project, but they actually received a return of more than 75 per cent.

Related Topics: General Marketing