In general measuring the ROI of branding is difficult.

It can be difficult because branding is a long term process that works alongside other aspects of a business. It helps to guide, shape and organize almost every decision that a business makes. So it’s hard to isolate and show direct ROI (Return on Investment).

But there are ways to notice the changes that your business will go through as it invests more in branding.

Here are a 6 things to keep an eye on during your branding process. These key performance indicators will help to let you know the value you are creating from investing in branding.

1. Lower cost per customer acquisition.
Once a brand has narrowed in on a distinct positioning strategy, it will start to cost less to acquire new customers. By branding a business to align its verbal and visual communication to a specific audience it becomes more efficient to convert that audience to a sale.  

2. Higher audience engagement.
Once you have spent the time to brand your business you should start to notice higher engagement through marketing channels like Social Media. When your brand is visually appealing and effectively communicating it will command more attention and drive audience engagement.

3. Higher profit margin.
By positioning a brand to be more appealing to a specific niche and audience it becomes possible to meet the needs of this niche better. By meeting these needs better it allows for higher prices of the products or services of your business. People are willing to pay more for something that tailors more directly to there own needs.

4. Loyal customers.
By carving out a niche for your brand you are becoming the top choice to your customers. This means they are much more likely to return again for your product or services. They are also more likely to tell the people they know.

5. Investment value.
By branding from the beginning of the creation of a business is shows potential investors that the business is in it for the long haul. It also helps to lay out the emotional foundation of a brand so that investors can more easily decide if a business is in line with their own personal Ethics.

6. Employee Retention
The act of branding is intertwined in the creation of company culture. Brand foundation elements such as Purpose, Core Values, Mission and Vision all run in parallel to creating the culture of a company. Having a distinct culture for a company will help attract and retain valuable employees that believe in what the company is doing. This creates a lower turnover rate in employees which can save large sums of money in the long haul.


You may notice some of these immediately. Some will take longer to notice. While branding your business make sure to pay attention to these key performance indicators to measure the effectiveness of your brand.

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