The rapid rise of the home security industry has made it possible for untold numbers of entrepreneurs to open their own businesses. Some open retail locations that sell all the latest home security equipment, others establish retail operations online, and still others become local dealers that generate most of their revenue by selling equipment and monitoring packages together. Not surprisingly, businesses of all three types do much better when they focus on branding – their own and any national companies they choose to affiliate with.
Marketing experts have known for generations how important a solid brand is. They know that developing a brand that customers can trust is a very effective way of retaining loyal customers and converting casual observers to paying customers. If branding is important to big corporations that spend millions of dollars on brand development every year, does it not make sense that it is equally important to small and medium-sized businesses? Absolutely.
In light of this, the local home security dealer tends to be better off when he or she affiliates with a national brand. It is a lot easier to get the consumer’s attention as a representative of a nationally known brand rather than trying to market your services as ‘Joe’s Alarm Company’. And even if the local alarm company wants to develop his/her own brand alongside a nationally recognized one, co-branding is still better than trying to go it alone.
Here’s what experts tell us branding does for a company:
- Establishes Authority – A company willing to invest in brand development is generally a company willing to do what it takes to earn and keep customers. As such, a solid brand tends to establish a company as an authority in its industry. In the arena of home security, would you be more apt to trust a national brand or a company with a name you have never heard before?
- Establishes Loyalty – Effective branding creates a mental and emotional association between the branded company and the customer that uses that company’s services. When effective branding is combined with quality products and services, it establishes loyalty in the minds of customers. When a customer thinks of home security, for example, he thinks of the brand to which he has some sort of
- Drives Reputation – Once a company has successfully established a brand, they don’t want to jeopardize it in any way. After all, the integrity of their business now relies on the reputation of their brand. What is the result? A company that improves its reputation by striving to protect its brand through its business activities.
The long and short of it is that branding is good for both business and customers. It is crucial in the home security arena due to the competition among so many strong players. Furthermore, the proliferation of DIY home security is making competition among brands ever more fierce.
The local home security dealer looking to build a successful business from scratch would do well to affiliate with a national brand by way of a home security dealer program. Likewise, existing dealers who are not yet brand-affiliated and find themselves struggling should also consider a branded program.
Branding is an important part of home security that can mean the difference between success and failure. Customers interested in installing home security and automation systems are much more likely to trust a national brand than a local company whose name means nothing. No matter how you look at it, branding is an important part of home security that is not going anywhere for the foreseeable future.