What’s The Big Deal About Branding Anyway?

By Jackie Brown, JB Communications Group

McDonalds. Five Guys.

Jimmy Choo. Merrell.

Southwest Airlines. American Airlines.

Old Navy. Neiman Marcus.

Bank of America. PenFed.

When you read those names, chances are you felt a very distinct gut reaction for each one. And you knew, without any additional information, the difference between the two companies on each line. Reading the name “Old Navy” gives you a specific image, one that’s likely very different than the image you call up for “Neiman Marcus.” They both sell clothes, but are so very, very different.

That gut reaction you have at the mention of an organization’s name? That’s branding.

Branding is the perception and personality of a business. Marketing, on the other hand, is the promotion of that business (and its products and services).

Credit unions typically spend quite a bit of time and resources on marketing, but what about the branding? Given most credit unions look and sound a lot like each other, it’s pretty obvious branding gets overlooked.

But if branding is given its due attention, those efforts pay off in increased awareness, stronger affinity and being clearly set apart from all the other financial institutions in the market.

Let’s take a closer look at what branding is and how it can impact your growth.

Branding Defined

Branding is often misconstrued as the logo, corporate fonts and colors. These elements support the brand, but do not define it. Some ‘gurus’ on LinkedIn or Twitter write that branding is how the public views your business, that those working in the business can’t define it at all. I call hogwash on that one. A credit union can definitely define their own brand. In fact, they absolutely HAVE to define their brand.

If branding is not the  logo, and it’s not defined by the audience, then what is it?

Branding is everything that impacts how the audience engages with the business. Sounds a bit heady I know but think about it. When we fly Southwest, we now expect the safety lecture to be fun and quirky. The experience we have with McDonald’s is very different than Five Guys, not to mention how different their products are, even though both make hamburgers.

Your culture, products, member service, retail environment, tone of voice and even down to your notification letters all inform how the public and membership perceive your credit union.

The thing is, when a credit union is very intentional about those elements, we immediately see how it stands out from their competition. Then, when the public needs a financial product they’ll think of THAT credit union, especially if the personality is appealing to them.

Let’s take a look at a few stand out credit unions.

Branding In Action

On Tap Credit Union

Golden, CO    |   $380 Mil Assets    |   20,000 members

Coors Credit Union plodded along as the co-op for Coors Brewery employees, but when the credit union wanted to serve a wider field a name change seemed to be in order. It took advantage of that shift to seize a special and unique place in their market. Embracing its brewery history, the credit union changed the name to On Tap Credit Union, created retail environments which feel like a craft brewhouse, developed visuals and tone of voice to reflect that style as well. On Tap has experienced solid growth since refining its brand, steeped in its existing culture and history.

Canvas Credit Union

Denver, CO    |   $3.2 Bil Assets    |   260,000 Members

Originally Public Service Credit Union, this organization and its membership recognized the name no longer reflected its culture. After extensive member research the name was changed to Canvas Credit Union. Canvas denotes a blank surface on which the member can create their personal work of art as well as a large protective covering especially used in rugged or outdoor uses. Being in Colorado, that rugged outdoor environment speaks to the target audience. Canvas also updated other assets - website, branches, even how their staff dressed. This welcoming, friendly culture was amplified with the decision to bring in a CEO who also embraced these needed shifts.

These two credit unions took the time to understand their culture and how they fit within their respective competitive landscapes. Their research informed and defined their updated branding materials, which then informed their marketing materials.

When an organization has strong branding assets like these two credit unions, it streamlines marketing efforts. The look and feel will be consistent. The tone of voice also will have a framework. These elements create a strong foundation for marketing materials so projects can move more quickly with cohesion.

Marketing Or Branding

As mentioned earlier, marketing is the practice of promoting a company and their services and products. Marketing can also include the development of those products and services especially how they fit in to the marketplace and solve the customers’ problems.

Let’s review some typical projects within a credit union’s marketing department to help clarify the differences between marketing and branding:

Campaign to increase loans?

Marketing. The campaign is using specific strategies and tactics to promote a product.

Manning a table at a benefits fair?

Marketing. This outreach is promoting the credit union.

Annual report?

Marketing. This document is often used to promote how the credit union positively supports the community and its membership.

Credit card design?

Marketing. This product will perform much better in the marketplace when there’s market research supporting the benefit, features and design decisions. Hopefully your marketing department is part of your product team.

While all of these are marketing projects, the brand will be reflected in how they act, look and sound. Branding informs the style and function of your credit union’s public touchpoints. Get those touchpoints to reflect your true culture and your credit union will be well on its way to standing out from the crowded market.