Lumo Lab brand insights

Tech Sector Rebranding: Leveraging Human Connection for Growth

A three part exploration

Part 1

In the highly competitive tech industry, strategic branding is a crucial factor in driving revenue growth and customer retention.

CMOs and Marketing VPs face the challenge of differentiating their brands in a saturated and rapidly evolving tech marketplace.

A recent study by Edelman found that 81% of consumers need to trust a brand before making a purchase. Scott Lerman, author of Building Better Brands wrote, "In B2B markets, where the considered purchase is the norm, brand-inspired trust becomes a critical shortcut to a sale."

Visual branding is a powerful tool for building trust and recent research suggests that a strategic rebrand, focused on human and emotion-based connection, can be a key driver for revenue growth and brand loyalty.





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The Untapped Potential of Emotional Engagement

A study conducted by The University of Sydney Business School and Hotwire Australia reveals a significant oversight in tech branding strategies.

Tech brands often prioritize product benefits over emotion and connection with buyers.

While many companies focus primarily on product features, there's substantial untapped potential in addressing the underlying, often subjective motivators.

Through these we can shape a stronger human connection with buyers.

Elements of Value

Bain & Co's Pyramid model demonstrates that while functional elements are fundamental, subjective considerations play a crucial role in purchasing decisions.

The third level of the pyramid highlights the importance of subjective motivators. Shifting brand messaging to address these elements can significantly impact buyer behavior.

Strategic Implications for Marketing Execution

To capitalize on these insights, consider the following strategic approaches:

  • Conduct a Comprehensive Brand Audit: Evaluate current brand touchpoints to assess their emotional resonance with the target audience.
  • Develop an Emotionally-Aligned Value Proposition: Integrate emotional benefits into the core brand strategy, complementing the unique value proposition.
  • Implement Emotion-Based Metrics: Incorporate tools like Sentient Decision Science's Subconscious Research Platform to quantify and track emotional engagement alongside traditional KPIs.
  • As Maya Angelou noted, "People will forget what you said, people will forget what you did, but people will never forget how you made them feel."

    This principle holds true in B2B tech marketing, where lasting impressions drive long-term partnerships.

    The next installment in this series will address common pitfalls in tech sector rebranding and strategies to mitigate them.

    A brochure with a purple and blue design
    ABOVE . To connect with a sense of leadership and innovation, Micromine established it's own distinct branding system, that separates it from other competitors.
    A roll up banner designed for Micromine's Australian and Latin American marketing teams

    Drew Usher, the lead researcher and Brand Strategy Director at Hotwire Australia

    “Our study found that tech scaleups focus on traditional and rational ways to communicate their brand. The risk is that it is holding them back from reaching their full potential.
    “Branding is a powerful yet undervalued tool by most tech scaleups, which prioritise product over brand. Striking a balance between function and emotion in brand communications is a huge opportunity.
    "If a scaleup were to change certain levers within its brand toolkit, it could see a 20 percent increase in interest from people.”

    Four key takeaways:

    Identifying your tribe aligns with values and vision, guiding like stars.
    Focus on what customers can achieve with your product, suggests Jason Fried.
    Generate warm leads, and cut down cold leads that hurt your bottom line on excess qualifying time.
    Build your brand prestige, by effectively leverage your strategy, while remaining brand-cohesive.
    Scott Beckman says customers buy emotions, not features or benefits.
    Bain's Elements of Value enhance offerings, meeting a spectrum of desires.

    Brand comms

    Brochures

    websites

    campaigns

    product imagery

    expo Signage

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    The Dream Destination.

    Now that you have clearer idea of the values you're addressing its time to consider. What secondary flow-on benefits will they experience?

    What positive emotions are a response to the flow on benefits?

    As we address the aspirations and the emotional payoffs for our customers, we are able create a bond that people will rave about.

    People are motivated to avoid emotional pain.

    By identifying the emotionally-driven reasons people choose your product or service allows you to develop language that speak right into their 'wants'.

    Where do you win?

    Consider, what are the areas where you aspire to deliver unmatched outcomes and value to your customers?

    What comes next?

    Part 3 - Defining your brand statements.