What does it mean to be a premium brand?
Have you ever sat down to think of what it means to be a premium brand? We have had this question on our minds for a while now.
Most of us are probably guilty of having bought something just because it made us feel good, smart, desired or even envied by others. We know perfectly well we could get something similar at a better price, but we go ahead and buy the premium brand just for that feeling. Take Starbucks for example – they charge £5 for a coffee and yet the place is always packed. Many cafes charge £1, maybe £2 but people still go to Starbucks and pay £3,50 for a coffee + the memorable experience it creates for them.
With this in mind, we came up with a list of 4 items that we believe make up a brand premium.
First things first, your product must be high end and worth the premium price you require your consumers to pay.
Remember, bad news travels fast. Now imagine that news being the fact that your brand did not live up to the promises you made, or your service did not live up to the quality expected of a premium brand. Do you think you would be premium then?
So, before you can position yourself as a premium brand you need to make sure your product or service meets all the quality expectations of a premium brand. Make it a point to highlight the things that make it premium. Find a niche in the market that you can focus on and excel at. Once that has been hammered in, you will be in a better position to be a premium brand.
“Premium brands require their consumers to spend more than they would on competing, non-premium brands.”
This is a true statement; however, it has led to most people thinking that the main characteristic of a premium/high-end brand is price. The truth of the matter is there are so many other factors that come to play. What this means is that slapping a high price tag on your products or services will not automatically make your brand premium. You might get away with it a few times but if you don’t have the quality and don’t provide the value for money, you won’t have customer retention.
People who shop premium will always value the small things that make you different from your competitors. It is in those small things that they find the value of your brand. Take Starbucks again as our example, they might just be a coffee shop, but the small things like the customer centric culture is what makes them stand out. It’s in the warm welcoming atmosphere. The innovation with new menu items. The writing your name on your cup. It really is the small things that count.
So, take your time and figure out what will make your brand stand out from your non-premium competitors. You might be surprised at how the small changes you make will have a huge impact on your customers, adding more value to your brand.
Confidence in your messaging goes a long way. Take pride in your brand, brag a little. Don’t be afraid to use phrases like ‘the most brilliant’, or ‘the pinnacle of creativity.’ Associate your brand with things greater and grander. Get your customers to envision your brand as grand and they will want to be associated with it. Who doesn’t want a car with an engine made with airplane grade materials or a shopping experience fit for a royal?
Is this beginning to sound like a premium brand to you? We are sure we have covered the elements we believe are crucial to help any brand position itself as premium. If you are looking for more ways to make your brand stand out, do not hesitate to reach out and we can work together to position your brand where it belongs.