Investigating the Process and Factors Affecting the Branding of Startups in Iran: A Multiple - Case Study

Document Type : Research Paper

Authors

1 Associate Prof., Department of Business Management, Faculty of Management, University of Tehran, Tehran, Iran.

2 Assistant Prof., Department of Business Management, Faculty of Management and Accounting, Allameh Tabataba'i University, Tehran, Iran.

3 Ph.D. Candidate, Department of Business Management, Faculty of Management, University of Tehran, Tehran, Iran.

Abstract

Objective
Due to the limited study and research in the field of startup branding, the purpose of this research is to investigate the process and factors affecting brand creation in startups. It seeks to examine the importance of branding startups and their strategies.
 
Methodology
This research investigates the branding of 10 Iranian startups in different industries through multiple-case studies and conducting interviews with managers. Data gathered from interviews, organizational documents, and meeting notes were analyzed by the MAXQDA software. Data collection in this research was done using semi-structured interviews, and according to the purpose of this research, i.e. to identify the process and factors affecting branding in startups, an interview protocol was used to provide the possibility of gathering information under the guidance of the researcher. In other words, the interview was designed to provide access to three types of information: 1. background regarding the type and activity of the startups, 2. their views and tendency towards branding, and 3. Their branding activities.
 
 
Findings
This study confirms some of the findings of previous research. However, new findings are presented in this study. In the brand plan section, the findings of this research almost align with the theory. Theoretical and empirical findings show that brand design dimensions play an important role for startups due to their influence on company communication. In particular, empirical findings show that the logo design and name of a startup can be divided into two groups including internal goals and external goals. Based on the findings of this research, common patterns were observed in the branding process in the form of three themes including brand orientation, brand design, and branding activities. The branding process has various elements that should not be ignored to enhance brand equity. The findings show that branding is important to all startups, and they do take measures to improve it. The findings of this research are also different from the extant literature; activities such as public relations and sponsorship, using social media, and partnering with other companies were studied in this research, while they were not mentioned in earlier studies.
 
Conclusion
The most prominent features of startup companies are the lack of time, knowledge, capital, and human resources. Therefore, branding seems to be an important factor in the growth of a startup. In this study, it was emphasized that a brand is influenced by its visual dimensions. This study emphasizes the role of public relations and social media, participation in events, and partnerships with other companies, the importance of individuals and their personal brand in the company as branding activities.

Keywords

Main Subjects


Abimbola, T. (2001). Branding as a competitive strategy for demand management in SMEs. Journal of research in marketing and entrepreneurship, 3(2), 97-106.
Azizi, Sh., Gharecheh, M. & Barati, A. (1396). A successful brand model in the ceramic tile industry with a Grounded theory approach. Journal of Business Management, 9 (4), 826-807. (in Persian)
Borg, E. A. & Gratzer, K. (2013). Theories of Brands and Entrepreneurship: Conceptualizing brand strategies. Singapore. Global Science and Technology Forum.
Braun V., Clarke V., Hayfield N., Terry G., Liamputtong, P. (2019). Thematic Analysis. In (eds) Handbook of Research Methods in Health Social Sciences. Springer, Singapore.
Bresciani, S., & Eppler, M. J. (2010). Brand new ventures? Insights on start-ups' branding practices. Journal of Product & Brand Management, 19(5), 356-366.
Chapleo, C. (2015). Brand ‘infrastructure’ in nonprofit organizations: Challenges to successful brand building? Journal of Marketing Communications, 21(3), 199-209.
Crane, F.G. (2010). Marketing for entrepreneurs: concept and application for new venture. North America: SAGE Pablication, Inc.
Da Silveira, C., Lages, C., & Simões, C. (2013). Reconceptualizing brand identity in a dynamic
environment. Journal of Business Research, 66(1), 28-36.
Delavar, A. (2007). Research Methods in Psychology and Educational Sciences. Nashre Virayesh. (in Persian)
Dew, L., & Kwon, W. (2010). Exploration of apparel brand knowledge: Brand awareness, brand association, and brand category structure. Clothing and Textiles Research Journal, 28(1), 3-18.
Eriksson, P. and Kovalainen, A. (2008). Qualitative Methods in Business Research. London: Sage.
Fatema, M., Azad, M. A. K., & Masum, A. K. M. (2015). Impact of Brand Image and Brand Loyalty in Measuring Brand Equity of Islami Bank Bangladesh Ltd. Asian Business Review, 2(1), 42-46.
Gardner, J., and B. Cooper. (2014). Entrepreneur’s Guide to the Lean Brand: How Brand Innovation Builds Passion, Transforms Organizations and Creates Value. San Diego ca: Market by Numbers.
Horan, G., O'Dwyer, M., & Tiernan, S. (2011). Exploring management perspectives of branding
in service SMEs. Journal of Services Marketing, 25(2), 114-121.
Hosseinzadeh, R. & Bektash, F. (2017). Investigating the Impact of Sensitive Marketing Mix on Brand Equity and Brand Image (Case Study: Royal Mattress Brand). Journal of Business Management, 10 (2), 324-303. (in Persian)
Juntunen, M. (2012). Co-creating corporate brands in start-ups. Marketing Intelligence &
Planning
, 30(2), 230-249.
Kapferer, J.-N., (2012). The new strategic brand management: Advanced insights and strategic thinking. 5 ed. London: Kogan Page Ltd.
Keller, K. L. & Lehmann, D. R. (2008). Brands and Branding: Research Findings and Future Priorities. Marketing Science, 25(6), pp. 740-759.
Keller, K.L. (2013). Strategic brand management: Building, measuring, and managing brand equity. Pearson Education Limited. ISBN: 978-0-13-266425-7.
Khanlari, A., Esfidani, M.R., & Mashayekhnia, A. (2019). A Conceptual Model of Brand Talkabilityin Automobile Industry Based on Interpretive-structural Modelling Approach. Journal of Business Management, 11(2), 299-318. (in Persian)
Khodadad Hosseini, S. H., Golabi, A. M., & Yadollahi, J. (2014). Designing the Entrepreneurial Branding Processing Model in Small and Medium Sized Business in Food Industry. Quarterly Journal of Brand Management1(1), 13-44. (in Persian)
Konecnik Ruzzier, M., Ruzzier, M. & Hisrich, R.D. (2013). Marketing for Entrepreneurs and SMEs: A Global Perspective. Cheltenham: Edward Elgar.
Krake, F. B. (2005). Successful brand management in SMEs: a new theory and practical hints.
Journal of Product & Brand Management, 14(4), 228-238.
Malik, A., & Sudhakar, B. D. (2014). Brand Positioning Through Celebrity Endorsement-A Review Contribution to Brand Literature. International Review of Management and Marketing, 4(4), 259.
Manhas, P. S. (2010). Strategic Brand Positioning Analysis through Comparison of Cognitive and Conative Perceptions. Journal of Economics, Finance & Administrative Science, 15(29), 15- 33.
Mitchell, R., Hutchinson, K., Quinn, B. & Gilmore, A. (2015). A framework for SME retail branding. Journal of Marketing Management, 31(17-18), 1818-1850.
Mohan, B.C. & Sequeira, A. H. (2016). The impact of customer-based brand equity on the operational performance of FMCG companies in India. IIMB Management Review, 28, 13–19.
Nadaf, M., Darzian Azizi, A., Tirandaz, S. (1397). Investigating the Mediating Role of Relationship Quality Dimensions in the Impact of Customer Service Personalization and Customer Appreciation on Brand Equity (Case Study: Irancell Company). Journal of Business Management, 10 (1), 227-208. (in Persian)
Norskov, S., Chrysochou, P., & Milenkova, M. (2015). The impact of product innovation attributes on brand equity. Journal of Consumer Marketing, 32(4), 245-254.
Rode, V., Vallaster, C. (2005). Corporate branding for start-ups: the crucial role of entrepreneurs. Corporate reputation review, 8 (2), 121-135.
Roper, S. & Fill, C. (2012). Corporate Reputation. 1: e ed. Edinburgh: Pearson Education Limited.
Rus, M., Ruzzier, M.K. & Ruzzier, M. (2018), Startup Branding: Empirical Evidence among Slovenian Startups, Managing Global Transitions, 16 (1), 79–94.
Ruzzier, M. K. & Ruzzier, M. (2015). Startup branding funnel: a new approach for developing. London, IE.
Salamzadeh, A. & Kawamorita, H. (2017). The Enterprising Communities and Startup Ecosystem in Iran, Journal of Enterprising Communities, 11(4).
Spence, M., & Hamzaoui Essoussi, L. (2010). SME brand building and management: an exploratory study. European Journal of Marketing, 44(7/8), 1037-1054.
Srivastava, R. K. (2011). Understanding brand identity confusion. Marketing Intelligence & Planning, 29(4), 340-352.
Talay, M. B., Townsend, J. D. & Yeniyurt, S. (2015). Global Brand Architecture Position and Market-Based Performance: The Moderating Role of Culture. Journal of International Marketing, 23(5), 55-72.
Tatikonda, M. V., Terjesen, S. A., Patel, P. C., & Parida, V. (2013). The role of operational capabilities in enhancing new venture survival: A longitudinal study. Production and Operations Management, 22(6), 1401-1415.
Vomberg, A., Homburg, C. & Bornemann, T. (2015). Talented people and strong brands: The contribution of human capital and brand equity to firm value. Strategic Management Journal, 36(13), 2122-2131.
Wickham P.A. (2006). Strategic Entrepreneurship (4th edition), Prentice Hall, Harlow.
Wong, H.Y. & Merrilees, B. (2005). Brand orientation typology for SMEs: a case research approach, Journal of Product & Brand Management, 14(3), 155–162.
Yin, R. K. (2003). Case study research: Design and methods. Thousand Oaks, CA: SAGE Publications.