What are the limitation of branding?

Answer 1

(i) Cost

If you wish to create and maintain a strong brand presence, it can involve a lot of design and marketing costs. A strong brand is memorable, but people still need to be exposed to it, this often requires a lot of advertising and PR over a long period of time, which can be very costly.

There are also costs involved with the creating of a brand image or logo (Paying for a designer, printing new letterheads/business cards etc.), and although most of these are only one off costs, they are still relatively large for most small businesses.

The exposure of your brand can be left to word of mouth, this will save you money, but will also greatly slow down the exposure your brand receives.

(ii) ImpersonalOne of the main problems with many branded businesses is that they lose their personal image. The ability to deal on a personal basis with customers is one of the biggest advantages small business have, and poorly designed branding could give customers the impression that your business is losing its personal touch. (iii) Fixed ImageEvery brand has a certain image to potential customers, and part of that image is about what products or services you sell. If you are known for selling just one product, and you want to sell another product, will you be able to do so effectively ? If you sell computers, would your brand name be suitable for selling vacuum cleaners? If your brand is focused too strongly on one product, it can limit your ability to sell other products. (iv) TimescaleThe process of creating a brand will usually take a long period of time. As well as creating a brand and updating your signs and equipment (e.g. Stationary, vehicles etc…), you need to expose it to your potential customers. It is commonly shown that people need to see an advert at least three times before they absorb it, which means you will need to advertise and promote the brand for a considerable amount of time before it will become well known.