Branding gives consumers a promise of quality that generates a loyal following and contributes to steady revenue growth.
A strong brand image helps companies attract and retain customers. Marketing efforts are improved when audiences have a basic understanding of what a business does and the values it stands for. Branding gives consumers a promise of quality that generates a loyal following and contributes to steady revenue growth.
However, delivering these messages requires a steady effort from employees. The Forum stated that businesses need dedicated workers to deliver their commitments to excellence. This makes internal branding a vital part of company success. Organizations can use reward and recognition programs to accomplish these aims, as they allow firms to promote core values internally to create a cohesive culture.
Acknowledging individuals' hard work is a simple way to engage personnel. Reward initiatives are commonly used to achieve short term sales or production goals, but if used consistently, they can build a positive and supportive work environment capable of influencing customer spending.
A study by Northwestern University showed that engaged employees encourage clients to spend more. The research examined the hotel services industry and found that a 10 percent increase in staff satisfaction translated to a 22 percent jump in patron spending. A separate study by Northwestern confirms that organizations can boost their performances focusing on employee engagement.
Reward programs give managers the tools to recognize staff members and help organizations track improvements. Northwestern Professor Frank Mulhern said that metrics such as employee lifetime value let firms measure the long-term impact of a worker's skills. This helps firms determine the best areas to target with internal branding efforts. Mulhern noted that businesses should look for undervalued audiences where small improvements can make a large impact on overall success.
"Often overlooked, employee populations, when engaged and loyal, can provide an accretive value to both internal and external marketing effort," Mulhern said in his report, as published by The Forum.