With more and more brands available in the local market, companies are increasingly seeing the value in developing – and differentiating – their brand.

WHAT’S in a name? For companies, a brand name can be the difference between boom and bust. According to The Brand Gap, Coca Cola is the world’s most valuable brand, at about US$70 billion – more than 60 percent of the company’s market value.

Recognising the benefits of possessing a strong brand, companies across the world are investing money to build up the value of their brand.

Daw Yi Yi Myint, a retired professor from Department of Management Studies, says brands are becoming increasingly valuable in Myanmar. This is mainly because of changing consumer patterns – we are increasingly buying manufactured, rather than raw products. One example is shopping in the supermarket, where there are many options for the same product – often only distinguishable by the name on the packaging.

“When people go to the shop now, they are not just buying a company’s product, they are also buying into the brand,” Daw Yi Yi Myint says. “So companies are going to use many methods to make their brand popular. Among these, advertising and sponsorship are the most common methods.”

Branding is not just limited to products. Services, from air travel to accounting and even medical care, are also subject to branding.

“[In terms of branding] the boundaries have shifted across the globe. Now, a strong brand has become one of the most important factors in selling products and services. To develop a brand, manufacturers and service providers spend a lot of money. Much of this is spent on advertising and companies will often hire consultants to help them market and advertise their brand effectively.”

Daw Kin Lay Wai, a director of Sweet home decoration, says companies need to develop their brand to set their product apart from their competitors.

“We have many competitors in the market. Since we set up this company 10 years ago, I have tried to establish our brand name in the market by emphasising the quality and reliability of our products,” she says. “To develop a strong brand, we must make sure that customers associate our name with quality products and services.”

Despite all the money spent on branding, not all consumers are brand conscious. And while some are completely loyal to one brand, many others can be persuaded to switch brands – mainly by pricing.

U Ye Linn, a 60-year-old retired government officer, says he developed an allegiance to sportswear and shoe brand New Balance 26 years ago while living in America. He doesn’t rule out trying other brands, though.

“I like [New Balance] very much but I also buy other brands like Adidas and others,” he says.