Brand Identity

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DEFINITION of 'Brand Identity'

How a business wants a brand's name, communication style, logo and other visual elements to be perceived by consumers. The components of the brand are created by the business itself, making brand identity the way in which a business wants consumers to perceive its brands, not necessarily how it is actually perceived.

INVESTOPEDIA EXPLAINS 'Brand Identity'

Brand identity is different than brand image, which is what consumers actually think. It is constructed by the business itself. A negative gap between brand identity and brand image means a company is out of touch with market sentiment, which will make selling its products more difficult. The brand image held by consumers can reach a point at which a business or product has to rebrand itself or risk not bringing in sales.

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