What is brand identity?

Establishing a clear and compelling brand identity is essential for the success of any business. But, what is brand identity and why does it matter?

Brand identity is the culmination of a company's mission, values, and vision, brought to life through visual elements such as colour schemes, logos, and typography, was well as a distinctive voice and messaging.

A strong brand identity helps businesses build trust, inspire loyalty, and differentiate themselves from their competitors.

For example, in the fintech industry, where trust is paramount, companies like Stripe or PayPal use simple, modern logos and consistent messaging to build confidence with users and convey reliability in handling sensitive financial data. This alignment of brand identity with core values is key to fostering user loyalty in a space where security and trust are vital.

From defining missions and values to designing memorable logos and selecting the right fonts, each and every aspect of brand identity work together to create a consistent and recognisable brand image.

In this guide, we will explore the key elements that shape brand identity and why these are crucial for building a prosperous brand.

Definition of Brand Identity

Brand identity is a combination of a company's mission, values, principles, and vision.

All the different elements are expressed and communicated through visual branding - including a brand's logo, colour palette, brand fonts, and iconography, as well as a brand's voice and messaging.

For fintech startups like Revolut, brand identity extends beyond aesthetics to include an agile, tech-savvy tone of voice that resonates with digital-native users. Revolut’s vibrant color palette and minimalistic logo symbolise innovation and flexibility, mirroring the values the company holds in delivering borderless financial services.

The seven key elements of a brand's identity, includes:

• Brand's mission

• Company's vision

• Brand values

• Founder's values

• Brand personality

• Brand positioning

• Brand voice

Brand identities are integral to businesses' success. A well defined brand identity takes considerable time and effort to establish, but its outcome makes the investment worth while.

A strong brand identity is the key to building instant brand recognition and differentiating a company from its competitors.

Why is Brand Identity Important?

A brand identity is the face of a business, embodying everything a business is and does.

All brand identity elements work to inspire potential customers and create a sense of brand loyalty - therefore, creating a brand identity is crucial to business success.

Increase Consistency

A strong brand identity helps create consistency, allowing a company to appear professional, credible, and trustworthy.

It also helps to create brand recognition of a brand, its products, and company as a whole.

Having a clearly defined visual identity makes it easier to create consistent brand style guide to refer to when producing marketing materials.

A consistent visual brand and messaging can be helpful in establishing trust. Inconsistencies and deviations from brand guidelines can quickly erode that trust.

Increase Brand Equity

Creating a brand identity helps to establish brand equity - the value a target customer assigns to a business based on their perception of its quality.

Brand equity is intrinsically linked to brand recognition. A memorable brand identity helps organisations stand out against the competition and create an emotional connection with the desired target market.

Engage with Target Audience

A good brand will successfully attract the target audience, giving them a sense of belonging.

Powerful brand identities go beyond just customer acquisition, generating customer advocacy and brand loyalty.

What is the Difference Between Brand Identity & Brand Image

The core difference between a brand's identity and image is that its identity is what the brand aspires to be, whereas the image is how they are perceived by customers.

A brand image encompasses all external perceptions of a brand - including customer experience, media coverage, and reviews. While a brand identity is how an organisation actively shapes its own brand.

A good brand image is influential to a brand's overall reputation, defining customers' associations and interpretations of the company.

Seven Elements of Brand Identity

Brand Name

A great brand must have a distinctive name.

Arguably one of the most important brand elements, a brand name acts as the first point of contact between a business and its target audience - shaping perceptions and influencing consumer behaviour.

But, why is it important to have a distinctive brand name?

• Impression: A brand name creates a lasting impression, setting the tone for the entire brand experience.

• Memorability & Recognition: A unique brand name is easy to remember. Choosing a memorable name increases the likelihood of remembering the brand when making a purchasing decision.

• Personality & Positioning: The right brand name should align with the brand's personality, whether that be conveying reliability or friendliness.

• Global: A good brand name should be easy to pronounce, culturally sensitive, and without negative connotations across boarders, to allow for international expansion.

Let's look at two great fintech examples. A brand name like "Monzo" or "Plaid" immediately conveys innovation and simplicity. These short, catchy names are designed for memorability, making it easier for users to recall and recommend the services. Additionally, such names often carry no negative connotations across borders, which is essential for global scalability in the financial sector.

Brand Voice & Tone

Both tone and voice influence how a brand is perceived by its target audience.

Tone refers to the mood or emotion conveyed through language. This may be friendly, formal, authoritative, or playful.

A brand's voice, however, is the distinct style of expression that characterises a brand.

Brand Logo

A logo is visual symbol used to represent a brand. Of all the brand elements, logos are a fundamental component of visual branding.

A great logo should be quickly and easily identifiable, creating a lasting impression on the customer.

The key to designing a memorable brand logo is blending simplicity with differentiation. It shouldn't be overly complicated or detailed, but unique enough to stand out against competitors.

Font

Typography is the art of arranging and designing type - including the selection of fonts, point size, line length, line spacing, and letter spacing.

Fonts used in logos, websites, social media, and other marketing materials can provoke different emotions. They are integral to the overall brand identity, creating a recognisable and memorable brand image.

From digital to print, employing consistent use of typography is vital in solidifying brand identity.

Colours

The colours selected to represent a business are key elements of the overall visual identity. Colours go beyond just aesthetics, encompassing emotions and associations surrounding a brand.

In fintech, green is often used in fintech because of its association with money and growth. Venmo’s distinctive blue color, however, represents trust and reliability, crucial for a brand that handles peer-to-peer payments.

Implementing a consistent colour palette, through brand guidelines, ensures a universal experience across all branding elements.

It can also create instant brand recognition and contribute to the overall brand identity design.

Imagery & Graphic Design

Brand consistency can be achieved by incorporating tailored images and graphics into a business' brand identity.

Brand assets, from style of images used to the use of gradients, all contribute to a cohesive brand presence.

Visual elements can help convey a brand's values, personality, and messaging by telling a story resonating with the target audience. Consistent brand assets, across marketing channels, reinforces the brand identity.

Brand Guidelines

Brand guidelines, also known as style guides, are clearly defined rules and standards that communicate how a brand should be represented.

They are essential in ensuring that a company's leaders, partners, and employees have awareness of brand assets and a full understanding of how they should be used.

How to Create a Brand Identity

Conduct Market Research

The first step in creating a strong brand identity is conducting thorough market research.

Audience

Having a deep understanding of customer expectations is vital in creating a successful brand that customers know and love.

Value Proposition & Competition

When beginning the branding process, businesses must ask themselves ... What makes the business unique? What can the business offer that competitors cannot?

A solid understanding of the business' key differentiators, as well as the company's strengths, is key to developing a good brand strategy.

Closely monitoring competitor activity can educate brand strategists on what techniques work well and not so much.

Mission

Once the business model has been established, it's imperative to have a clear mission statement encapsulating the brand's vision and goals.

Outline the brand purpose, it must be clear what the business is truly about.

Personality

Regardless of not being an individual, a brand should be personable.

Visual elements, such as colours and imagery, are used to represent who the brand is. These should then be enhanced with the chosen tone of voice.

Whether a brand decides to take a playful or more professional tone, defining a communication style helps to create an authentic identity that represents the business.

SWOT Analysis

Conducting a SWOT Analysis is a beneficial activity to better understand a brand.

This part of the creative process serves as a solid foundation for further developing brand characteristics:

• Strengths: Identify positive characteristics that provide an advantage over the competition.

• Weaknesses: The characteristics that disadvantage business development.

• Opportunities: Industry trends that present opportunities to the business.

• Threats: Any challenges or problems that may pose a threat to the organisation.

Design Visual Elements

Once the core elements of brand identity have been agreed, a brand can visually be brought to life.

Logo

Logo design is a vital part of the overall branding process - it is often the most recognisable aspect of a brand.

It is featured across all marketing campaigns, from websites to business cards and online advertisements.

Colour & Typography

A colour palette provides businesses with a variety of complimentary colours when creating visual content, such as social media graphics, while remaining consistent with the brand identity.

Choosing a selection of fonts can help to compliment imagery and graphics, as well as communicate the brand's personality. Type is used within logos, website, and in documents - there should be consistent use across the board.

Brand Guidelines

To ensure consistency throughout marketing materials and campaigns, create a brand style guide to provide the marketing department with a set of 'rules' surrounding the brand identity.

Monitor the New Brand Identity

Like other areas of marketing, businesses can evaluate the success of their brand identity by tracking key performance metrics.

Upon analysing the data, any necessary changes can be implemented to further develop the brand experience.

Conclusion

So, what is brand identity? It’s the essence of a business, shaping how it communicates, looks, and feels to its audience.

For fintech companies, creating a strong brand identity is critical to standing out in a crowded marketplace. Whether it's a clean and simple logo, a vibrant color palette, or a clear and authoritative brand voice, each element works together to build trust and engagement with users.

At Blue Train Marketing, we understand that building a strong brand identity is essential to business success. Our Marketing Team is dedicated to helping businesses bring their vision to life, ensuring every element aligns with their goals and speaks to their target audience.

Ready to create a brand identity that stands out? Reach out to Blue Train Marketing today and let us help your brand reach its full potential.