Does Branding influence B2B Industrial Sales and Purchasing Decisions? Here’s the research.

Branding in the industrial space is grossly misunderstood, and this ignorance is hindering small and medium companies in B2B sales. Here’s the research that shows how branding influences purchasing decisions in industrial and account-based sales.

The results of these studies will give you the added confidence that intentional brand development will positively impact your customers’ purchasing decisions and position your company for sustainable growth.

Below are statements that CEOs have said to me about sales and marketing in the B2B industrial marketplace:

“We’re a chemical company for manufacturers, our customers don’t care what our website looks like.”

“Door-knocking and handshakes will increase sales more than emails ever will.”

“Purchasers only care about performance, price, and availability. Nothing else matters.”

In the B2B industrial and manufacturing sectors, effective branding often doesn’t get the attention it deserves. Many think that purchasing decisions boil down to quality and price alone. Not true.

Consider the Research on Branding and B2B Purchasing Decisions

Numerous studies demonstrate the impact of brand and logo design on B2B buyers in the industrial market. This research is relevant as industrial companies face unique challenges and need to validate why they would allocate precious sales and marketing spend on branding.

Does branding significantly influence purchasing decisions even in more technical or industrial contexts? Here are some relevant studies with their references:

Emotions Most Definitely Influence B2B Purchasing

Anyone in sales understands that a buyer’s emotional state will impact their purchasing decision. So, any insight into the emotions your brand may be invoking will help you create the right message and present your solution to a more open prospect.

STUDY: A framework of brand value in B2B markets

Researchers (Leek and Christodoulides, 2012 ResearchGate.net) explored the role of emotions in B2B purchasing decisions and showed that brand image positively affects the quality of the customer-brand relationship. This, in turn, influences purchase decisions and brand loyalty.

EXCERPT: “The creation of value is admittedly a critical task for marketers regardless of industry. This paper focuses on a type of value that has traditionally been perceived as irrelevant to industrial markets and argues that brand value facilitates the progression from goods and services value to relationship value. 

(We considered) both the functional (i.e., quality, technology, capacity, infrastructure, after-sales service, capabilities, reliability, innovation) and emotional qualities (i.e., risk reduction, reassurance, trust) important for the development of industrial brand equity. 

Situational (e.g. nature of the purchase) and environmental factors (e.g. the economic situation) affecting suppliers’ perceptions of the importance of brand in a B2B context and the role of functional versus emotional brand qualities are discussed. 

The framework provides a basis for B2B practitioners to build their brands in such a way as to make a functional as well as an emotional connection with buyers that is more likely to lead to a supplier–buyer relationship.”

The Influence of Logo Design on Industrial Buyers

Your logo is more than a graphic symbol; it’s the face of your company. A well-designed logo will improve brand recognition and convey credibility to build trust in the industrial sector, where decisions are scrutinized. 

Exceptionally executed design communicates a company’s reliability and attention to detail, which are critical for industrial buyers who depend on precision and consistency. 

Decades of research have demonstrated that timeless, iconic design and relevant colors can influence how a brand is perceived.

A memorable logo does more than increase recognition; it creates subliminal confidence for potential buyers.  Why wouldn’t you leverage this psychological bent? It can be the pivotal weight that confirms their purchasing decision.

Building Trust Through Effective Brand Design 

Consistency is key in branding. For B2B buyers, trust is everything, and having consistency across all platforms reinforces that trust. From the logo and color scheme to font, tone, and messaging, uniformity in branding elements subtly yet powerfully assures buyers of the brand’s reliability. 

The converse is equally true. An outdated, busy, or confusing logo will convey a negative impression.

Holistic branding extends beyond marketing and requires consistency in every aspect of your company. Your company is evolving, and intentional branding lays the foundation for trust, which is the foundation of your sales success. This study, looks into the impact visual brand elements have on purchasing decisions. 

STUDY: Development of New B2B Venture Corporate Brand Identity: A Narrative Performance Approach (Törmälä and Gyrd-Jones, 2017)

Research.cbs.dk emphasized the importance of visual brand identity elements, including logos, in B2B markets. They found that these elements are crucial in building brand equity and influencing buyer perceptions.

A professional brand identity, consistently implemented, will differentiate your company in a crowded marketplace. When buyers repeatedly encounter the same brand elements, it builds familiarity and inspires trust.

This trust heavily influences purchasing decisions because buyers are more likely to connect with brands they recognize and feel secure about. By maintaining a cohesive brand identity, companies position themselves as dependable partners in the industrial and manufacturing sectors. 

Perception and Reality: How Branding Shapes Buyer Views 

In the B2B industrial marketplace, perception often shapes reality. A well-crafted brand will influence buyers’ perception of a company’s capabilities and product quality. This perception is crucial because it affects the buyer’s decision-making process. 

Buyers will likely associate its products with cutting-edge technology and superior performance if a brand is viewed as innovative and forward-thinking. Branding elements like logo design, color schemes, and typography also create these perceptions. 

STUDY: Study on brand sensitivity in B2B professional services

The conclusion from this study (Casidy, Nyadzayo, Mohan, Brown, 2019  ScienceDirect.com) showed that brand equity has a significant positive impact on industrial buyers’ purchase intentions. They concluded that industrial marketers should invest in building strong brands to influence B2B purchasing decisions.

EXCERPT: “When devising an effective branding strategy, which factor should B2B companies emphasize as most likely to influence a buyer’s decision? 

1) Objective and/or operational factors (e.g., technology, functionality, performance outcomes), or

2) Subjective and/or imagery factors (e.g., their association with high-profile customers, reputation)? 

Answers to these questions are essential as B2B marketers seek to understand whether and how strong brands can be best capitalized to achieve a competitive advantage (Grewal et al., 2015, Lilien, 2016).

The results of this study confirmed that visual and subjective perceptions play a significant role in buying decisions. Equally important, however, are competence and quality. Intentional, holistic branding will address both factors, setting up your brand for sustainable growth.

In a Digital World, Purchasers’ Buying Processes are Shifting

The emerging millennial workforce’s increasing reliance on digital sources of information, such as blogs, social media, and online forums, is influencing procurement decisions in unexpected ways. 

This trend is different from how organizational buyers have tended to rely on decision-making shortcuts—such as brand loyalty and peer recommendations—to mitigate risks and streamline purchasing processes.

STUDY: Decisions Under the Illusion of Objectivity: Digital Embeddedness and B2B Purchasing.

With information processing theory, these researchers inquire into how digital information sources are shaking up the way businesses make purchasing decisions. (Krijestorac, Haris and Garg, Rajiv, and Konana, Prabhudev, 2017, Rev. 2020 SSRN)

EXCERPT: “Analysis of survey responses from 196 purchasing managers suggests that more digitally embedded buyers are more willing to adopt innovations, yet interestingly, rely more on decision shortcuts such as brand and peer opinions.”

Presenting a consistent brand identity and message across every media (online, print, display, vehicles, sales presentations, etc.) is more important than ever.

No matter your industry, you need to win people.

When your goal is to build a relationship with decision-makers and win an account,  you need to influence those people on a number of levels. A strong brand will provide a competitive edge, creating a sense of reliability and quality in the minds of your potential buyers. 

Branding is your 24/7/365 silent salesperson, boosting customers’ perceptions of the value of your products and services. While intentional branding goes deeper than your logo, expert design, and marketing copy, these play a critical role in the buyer’s unconscious mind.

Take a minute to look at the following before and after rebranding and updated website. Which homepage do you think more quickly accomplishes these four marketing objectives?

• Creates an impression of a well-managed, modern company
• Quickly describes what they do
• Immediately identifies who they serve
• Provides a simple call to action

KIRKS’ Website After Rebranding:

The Power of Differentiation in a Crowded Marketplace

In the competitive B2B industrial sector, standing out is crucial. A strong brand differentiates a company from its competitors, highlighting unique selling points that attract buyers. 

Your brand is multidimensional. Holistic branding knows that your brand is built on every action (and inaction) your company takes, from your business strategy to your sales pitch and customer service to how you manage your CRM. 

The ROI of Investing in Your Company’s Brand Identity

The connection between effective branding and customer perception is a powerful factor that can sway choices, even in industries where product specs and price might seem to be the main focus. 

Industrial buyers frequently make decisions based on both technical specifications and perceived value, and these studies show that intentional branding can significantly impact both. 

Brand design plays an essential role in shaping perceptions and influencing buying behavior. It’s often the first—or one of the earliest—impressions people get of your company. First impressions are lasting: take care to make them well!

By effectively managing your brand identity, your company will leverage buyer perceptions to build trust in your brand for a certain win-win. 

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Holistic Branding: Identity Creative has streamlined a process that can get you there with no shortcuts, and at a good pace. 

Book a call with Linda or Bill. We’ll show you how it’s done by starting with a custom Brand Identity Blueprint–the foundation of a consistent, trusted and sustainable brand.