Ira Belsky, Artlist cofounder and Co-CEO.
Performance marketing, with its easily trackable metrics and immediate results, has become irresistible to marketing teams. However, this focus on short-term gains often comes at the expense of building a lasting brand.
In this article, I’ll explore why brand matters and why it’s everyone’s responsibility within an organization. I’ll also discuss the challenges of maintaining brand integrity in a growth-focused environment and provide strategies for balancing both brand and performance marketing.
Why Brand Matters
When you think of a brand, you often have an instant reaction. Whether it’s positive or indifferent, that feeling comes from your connection to the brand’s story. Its values and narrative are built over time, making you feel something. Leading a growing company has shown me just how powerful this emotional connection is.
While performance marketing aims to drive specific actions, brand marketing creates a lasting impression that resonates with consumers on a deeper level. As Steve Forbes, editor-in-chief of Forbes magazine, says, “Your brand is the single most important investment you can make in your business.” A brand isn’t just about immediate conversions or sales—it’s about creating a narrative that stands the test of time. Although performance metrics matter, they should never come at the cost of compromising your brand’s unique story and values.
The emotional connection is invaluable. A strong brand means companies can charge premium prices for their products, weather economic downturns more effectively and create a brand barrier against competitors and new market entrants.
Consider Porsche. With its legacy rooted in high performance and luxury, Porsche’s powerful brand position meant it could easily pivot and transition into the electric vehicle market. The strength of the brand carries an implicit promise that whatever it does, it will deliver excellence. As the company states, “Porsche remains Porsche—in the long term, and with no exceptions.”
In a world fixated on short-term gains, brand building remains your most powerful long-term investment. A strong brand creates emotional connections that build loyalty over time.
Good branding is woven into the fabric of the company. It extends beyond marketing campaigns to encompass every interaction, from product quality to the way customer support talks to you when you have a problem. A brand’s promise isn’t just its messaging—it’s upheld by every department, making each touchpoint a testament to its values.
Challenges Of Driving Brand In A Growth Matrix Model
It’s very easy to get sucked into data-driven decision-making. Numbers, direct wins from marketing and short-term, easy-to-calculate returns all drive instant growth.
Brand building, on the other hand, faces challenges. It’s about longevity, comes from the ground up and is based on the brand’s story and product messaging. Everyone must speak the same language, which is harder to achieve when short-term gains aren’t apparent.
Many companies struggle with clearly defining brand management responsibilities. It’s often unclear which department owns these tasks, who sets and measures KPIs and how to justify resource allocation for brand-related activities. This ambiguity can hinder effective brand management and strategic decision-making.
Take the case of Uber. In its rapid expansion phase, Uber prioritized growth and performance metrics over brand building. This led to PR crises and a tarnished brand image. In recent years, Uber invested in rebuilding its brand—twice, demonstrating the long-term costs of neglecting brand in favor of short-term growth.
Justifying Brand Activity Without Clear Metrics
Although brand building may lack the clear-cut metrics of performance marketing, its value can be demonstrated. Customer lifetime value (CLV) is often higher for strong brands, as loyal customers make repeat purchases and are less price-sensitive. Brand equity measures such as awareness and perceived quality can indicate the strength of your brand over time.
Consider Oatly’s success. Despite a crowded market, Oatly’s quirky branding and strong sustainability message have helped it stand out. Its focus on brand building through unconventional marketing has led to explosive growth and a successful IPO, demonstrating branding power even in commodity markets.
Balancing Brand And Performance Marketing
Achieving a balance between brand and performance marketing is essential for long-term success. Make sure that your performance advertising fully aligns with your brand message and never abandon one over the other. This alignment reflects a commitment upheld by every department, from product to customer service, creating a cohesive approach where brand and performance efforts reinforce each other.
Here’s how you can effectively balance these two crucial elements:
1. Develop performance guidelines within your brand playbook. Create rules for how your performance marketing should reflect your brand—from copy tone to visual style—to ensure consistency and authenticity.
2. Set and align metrics. Track both ROI and conversion rates, as well as brand lift and sentiment, to understand their relationships. Look for patterns between strong brand presence and improved performance.
3. Build campaigns around brand stories. Introduce brand elements early in your funnel and weave your mission throughout the customer journey. Spotify’s annual “Wrapped” campaign is a perfect example of this, turning performance marketing into an engaging brand experience that users anticipate and share.
4. Test and optimize. Run A/B tests comparing performance-focused ads against brand-infused versions to find what works for your audience. We often find the best performers combine both elements.
5. Create feedback loops. Use campaign insights to inform brand strategy and vice versa. When specific brand messages resonate, amplify them across brand campaigns.
Tomorrow’s Brands
Although the instant gratification of performance marketing is tempting, neglecting your brand is a shortsighted strategy. A strong brand provides a foundation that enhances all other marketing efforts, builds loyalty and creates long-term business value. By finding the sweet spot between brand building and performance marketing, companies can drive both immediate results and sustainable growth. Your brand is a promise to your customers—one you should never compromise.
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