How To Make Sense Of Brand Marketing As It Relates To Your Trading – by Chrissy Davids

If you’re under the impression that brand image and marketing strategies don’t affect market share and your potential to turn them into a profit then you’re in for a rude awakening. In fact, one analysis performed on Fortune 1000 companies found that certain marketing techniques can influence a company’s stock market valuation.

Seeing as online trading, especially on mobile platforms, can be a tricky task to master, it’s important to learn just how to see past branded marketing when investing and making trades. Paying attention to the way a company markets themselves and their products or services can ensure that you don’t fall prey to the pitfalls of inaccurate imaging that will ultimately cause a decrease in stock prices.

Understanding the Effects of Brand Imaging on Market Share

It’s clear that any company’s marketing efforts, specifically relating to social media and interactive video marketing, have a direct impact on not only their revenue but on their market share as well. Seeing as 90% of marketers say that their social media has definitely affected the exposure of a business, it’s something that affects the bottom line in a big way. While these aren’t the only factors that drive industry performance, they are becoming more and more relevant as many industries rely on digital media and technologies to reach customers and increase their sales. As companies use their brands to create market leverage (think Apple and Coca-Cola) they can establish themselves as strong competitors that connect with consumers, meet their needs and create lasting experiences that lead to customer retention. This all has an effect on their market share and can lead to increases in stock prices.

Making Sense of Marketing in Trading

In the study on the Fortune 1000 companies, it was found that the companies who developed marketing strategies using analytics to identify customers’ lifetime value to a company saw a much more positive increase in their overall stock prices than their counterparts. Leading marketers are actually 1.5 times more likely to use customer lifetime value to understand the effectiveness of their marketing, yielding even more comprehensive results and analytics. By understanding this information, it makes it easier to position yourself as a customer in order to predict how a certain new marketing strategy or series of content releases might affect the market and stock prices. While you can use a wide range of trading tools and economic calendars and calculators if a company you are considering investing in is about to or has just published new marketing content, you might want to reconsider. First, assess whether or not the brand imaging is in line with their target audience, and then consider what kind of positive or negative impact the new marketing content might have on the lifetime value of their customers.

Factoring in the Mobile Revolution

Trading on a mobile platform requires you to understand the effects that mobile has on the companies you’re investing in. Learning how to strategize and make sense of mobile marketing and branded content will allow you to make better moves when it comes to trading and can ultimately allow you to benefit more from your investments into certain companies. Keep an eye on the video content, especially on social media, and you’ll begin to see positive changes in the way you trade.