A Brand can help in growing sales at constant prices or secure a higher price while achieving the same volume. Or, it can do both if you invest in smart brand building that delivers a superior experience and expression.

1. A BRAND NEW WAY TO GROW YOUR BUSINESS? 15Build your Brand. Boost your business.
BUILD YOUR BRAND.
BOOST YOUR BUSINESS.
Imagine you are selling 1000 units of a product that
costs $70 at $100 each to make a total profit of
$30 000 {1000x (100-70)}. Now, assume you are
able to reduce the price by ten dollars, and sell 10%
more i.e. 1100 units. Assume also that there is a 5%
saving in the production cost because of higher volume.
The profit per unit is now $23.50 ($90 less $66.50).
Total profit is now $25 850 (1100x$23.50) which is still
less than the profit made prior to the price reduction.
So the effect of a price decline, despite any economies
of scale, could potentially diminish overall profits.
Sustainable growth (as we have seen on page 6) comes
from profits. Marketing’s role is to grow profits not sales.
(Of course, a price reduction can be a useful short-term lever
to disrupt competition).
When brand expression is backed by brand experience
i.e. brand promise is matched by brand delivery,
there are two distinct benefits. Firstly, more people
in the target segment are able to clearly see there is
commensurate value obtained for the price paid. A
stronger brand (achieved through consistent brand
building) can gain more sales without having to lower
the price. A spin-off benefit is the ability to occasionally
launch short term promotions without diluting the value
of the brand.
In the above example, if sales were to go up by 5%
without any reduction in price, the total profit would
increase by 5% to $31 500 (1050x30).
Secondly, a stronger brand can also ensure that your
customers perceive a higher value for the price paid. This
gives the business the freedom to raise prices without
sacrificing volume. In the same example, assume you are
able to increase the price by 2% with no change in sales
volume because of the pull of a stronger brand. Profits will
increase by $2 000 or 6.67% to $32 000 {1000x (102-70)}.
A small increase in price can thus deliver a proportionately
larger increase in profits.
To summarise, brand value built on the back of a great
brand experience and supported by creative brand
expression can manifest in two ways – selling more
without reducing prices or being able to charge a price
premium without sacrificing volume. If businesses begin
to purposefully invest in ‘Brand building’, it is possible to
achieve both outcomes at the same time because of a
multiplier effect. Higher profits allow future incremental
investment in the brand, leading to more growth.
The combined effect of increased sales and higher
margins is what makes a business successful in the
longer term.
The inherent value of a brand is in its power to grow
sales and command a better price. Next time when you
choose to spend money on any marketing activity, ask
yourself how this will help enhance ‘Brand value’.

2. A BRAND NEW WAY TO GROW YOUR BUSINESS? 16Take a different Brand pathway. Talk to ME.
TAKE A DIFFERENT BRAND PATHWAY.
TALK TO ME
In my day to day work, I come across scores of business people as clients, prospects,
students (in my MBA classes) or as mentees.
Some have a clear vision but many have ended up doing what they are by sheer
accident. Or because it seemed like a good idea at the time. For others, it may have
been the only available option.
Whatever your circumstance, it’s never too late to think about your vision and your
purpose (whether gainful or noble), because these are the building blocks for your
brand as well as your business.
If you are unsure how to go about this, I am happy to help you get started. I will set
aside up to 90 minutes exclusively for you at a mutually convenient time and place (or
virtual space). No strings attached. I can only offer a few spots each quarter.
If after that meeting you are keen to build your brand and grow your business
profitably, we meet again to scope your project. This will include what we can do to
get your brand experience right and how we go about matching this experience with
the right expression - so you have a twin pronged growth solution.
Size doesn’t matter. What you prize more does.
It doesn’t matter how big or small your business is. I am willing to talk to anyone.
The only requirement - you need to believe in the value of your brand and be seriously
committed to building it. The path will not be easy or quick. It will take time and effort,
passion and perseverance and a reasonable investment. But I can assure you, it will be
more than rewarding both materially and intellectually.
Take the first step. I look forward to connecting with you.
Warmly,
Mahesh Enjeti
Call me
+61 2 8206 2482
Text me
+61 425 254 659
Link in with me
Email me

3. A BRAND NEW WAY TO GROW YOUR BUSINESS? 17About ME
ABOUT ME
Mahesh Enjeti, Managing Director of SAI Marketing
Counsel and Advisor, Bubblefish Creative Brand
Building, combines the best in management and
marketing consulting to create sustainable profits for
clients' businesses.
Over four decades, Mahesh has worked with hundreds of
brands across every conceivable sector. These include
names such as Allergan, Coromandel International, DCM,
DOLBY, Hawkins Cookers, Hunter Regional Economic
Development, Indian Overseas Bank, ITC Hotels, LG,
Maxxium, Norfolk Island Tourism, Sheraton, TABCORP,
The George Institute for Global Health, Tourism
Australia, Tourism Tasmania, VISA and more.
Since 2014, Mahesh has worked closely with Bubblefish
in building brands for a naturally flavoured water (Sol.
QUENCH and Sol. ESPRIT), a boutique operations
management consultancy (ORBIZ Performance
Specialists), a bubble tea franchise operation
(QueenTea) and a home-grown, all natural, West African
hair and skin beauty range (Pure Persona).
Mahesh has won Awards for marketing effectiveness
and excellence in New York, New Delhi, Hong Kong,
Singapore and Sydney and has been published
worldwide (e.g. Market Leader, UK, Professional
Marketing Australia, CMO Council and HSMAI Marketing
Review, USA).
Mahesh teaches Leadership, Strategy, Marketing,
Entrepreneurship while also mentoring students
undertaking practical business projects at the Sydney
Graduate School of Management, a part of Western
Sydney University. He is involved as Strategy Lead
in the 5-day Executive Development Programme for
Visiting C-Suite Managers from Malaysia.
Mahesh has served on the Board of the Australian
Marketing Institute and on the judging panel of the AMI
Awards for Marketing Excellence over several years. In
2016, he also judged entries to the Stevie International
Business Awards. The year saw Mahesh chosen as a
Regional Finalist in the Business Leader category at the
New South Wales Business Chamber Awards 2016.
With an honours degree in Physics and a PGDM from
IIM Calcutta, Mahesh is also a Fellow of the Australian
Institute of Management, Fellow of the Australian
Marketing Institute and a Member of the UK
Marketing Society and the Australian Market & Social
Research Society.

4. A BRAND NEW WAY TO GROW YOUR BUSINESS?
How to increase sales and profits simultaneously
© 2016
Mahesh Enjeti
Brand Developer, Architect, Builder and Restorer
Visual expression by Bubblefish®