A corporate identity or corporate image is the manner in which a corporation, firm or business enterprise presents itself to the public. The corporate identity is typically visualized by branding and with the use of trademarks,[1] but it can also include things like product design, advertising, public relations etc. Corporate identity is a primary goal of corporate communication, aiming to build and maintain company identity.
In general, this amounts to a corporate title, logo (logotype and/or logogram) and supporting devices commonly assembled within a set of corporate guidelines. These guidelines govern how the identity is applied and usually include approved color palettes, typefaces, page layouts, fonts, and others.
Integrated marketing communications (IMC)
Corporate identity is the set of multi-sensory elements that marketers employ to communicate a visual statement about the brand to consumers.[2] These multi-sensory elements include but are not limited to company name, logo, slogan, buildings, décor, uniforms, company colors and in some cases, even the physical appearance of customer-facing employees.[3] Corporate Identity is either weak or strong; to understand this concept, it is beneficial to consider exactly what constitutes a strong corporate identity.
Consonance, in the context of marketing, is a unified message offered to consumers from all fronts of the organization (Laurie & Mortimer, 2011)[failed verification]. In the context of corporate identity, consonance is the alignment of all touch points.[4] For example, Apple has strong brand consonance because at every point at which the consumer interacts with the brand, a consistent message is conveyed. This is seen in Apple TV advertisements, the Apple Store design, the physical presentation of customer facing Apple employees and the actual products, such as the iPhone, iPad and MacBook laptops. Every Apple touch point is communicating a unified message: From the advertising of the brand to the product packaging, the message sent to consumers is 'we are simple, sophisticated, fun and user friendly'.[5] Brand consonance solidifies corporate identity and encourages brand acceptance, on the grounds that when a consumer is exposed to a consistent message multiple times across the entirety of a brand, the message is easier to trust and the existence of the brand is easier to accept.[6] Strong brand consonance is imperative to achieving strong corporate identity.
Strong consonance, and in turn, strong corporate identity can be achieved through the implementation and integration of integrated marketing communications (IMC). IMC is a collective of concepts and communications processes that seek to establish clarity and consistency in the positioning of a brand in the mind of consumers.[7] As espoused by Holm (cited in Laurie & Mortimer, 2011), at its ultimate stage, IMC is implemented at a corporate level and consolidates all aspects of the organization; this initiates brand consonance which in turn inspires strong corporate identity. To appreciate this idea with heavier mental weight, it is important to regard the different levels of IMC integration.
The communication-based model, advanced by Duncan and Moriarty (as cited in Laurie & Mortimer, 2011) contends that there are three levels of IMC integration; Duncan and Moriarty affirm that the lowest level of IMC integration is level one where IMC decisions are made by marketing communication level message sources. These sources include personal sales, advertising, sales promotion, direct marketing, public relations, packaging and events departments. The stake holders concerned at this stage are consumers, local communities, media and interest groups (Duncan and Moriarty, 1998 as cited in Laurie & Mortimer, 2011). At the second stage of IMC integration, Duncan and Moriarty (as cited in Laurie & Mortimer, 2011) establish that level one integration departments still have decision-making power but are now guided by marketing level message sources. At stage two integration the message sources are those departments in which product mix, price mix, marketing communication and distribution mix are settled; appropriately, stakeholders at this stage of integration are distributors, suppliers and competition (Duncan and Moriarty, 1998 as cited in Laurie & Mortimer, 2011). It is at this stage of integration that consumers interact with the organization (Duncan and Moriarty, 1998 as cited in Laurie & Mortimer, 2011). Moving forward, the last stage of Duncan and Moriarty's Communication Based Model (as cited in Laurie and Mortimer, 2011) is stage three where message sources are at the corporate level of the organization; these message sources include administration, manufacturing operations, marketing, finance, human resources and legal departments. The stakeholders at this level of IMC integration are employees, investors, financial community, government and regulators (Duncan and Moriarty, 1998 as cited in Laurie & Mortimer, 2011). At the final stages of IMC integration, IMC decisions are made not only by corporate level departments but also by departments classified in stages one and two. It is the inclusion of all organizational departments by which a horizontal, non linear method of communication with consumers is achieved. By unifying all fronts of the marketing firm, communications are synchronized to achieve consistency, consonance and ultimately strong corporate identity.[8][9][10][11][12][13][14]
Organizational point of view
In a recent monograph on Chinese corporate identity (Routledge, 2006), Peter Peverelli, proposes a new definition of corporate identity, based on the general organization theory proposed in his earlier work, in particular Peverelli (2000). This definition regards identity as a result of social interaction:
Corporate identity is the way corporate actors (actors who perceive themselves as acting on behalf of the company) make sense of their company in ongoing social interaction with other actors in a specific context. It includes shared perceptions of reality, ways-to-do-things, etc., and interlocked behavior.
In this process, the corporate actors are of equal importance as those others; corporate identity pertains to the company (the group of corporate actors) as well as to the relevant others;
Best practices
The following four key brand requirements are critical for a successful corporate identity strategy.
Differentiation. In today's highly competitive market, brands need to have a clear differentiation or reason for being. What they represent needs to stand apart from others in order to be noticed, make an impression, and to ultimately be preferred.
Relevance. Brands need to connect to what people care about in the world. To build demand, they need to understand and fulfill the needs and aspirations of their intended audiences.
Coherence. To assure credibility with their audiences, brands must be coherent in what they say and do. All the messages, all the marketing communication, all the brand experiences, and all of the product delivery need to hang together and add up to something meaningful.
Esteem. A brand that is differentiated, relevant and coherent is one that is valued by both its internal and external audiences. Esteem is the reputation a brand has earned by executing clearly on both its promised and delivered experience.
Visual identity
Corporate Brand Attributes example — Brand Signature: Brand Mark (trademark), Brand Logotype, Brandline (or Brand Slogan) and Supergraphic.
Corporate visual identity plays a significant role in the way an organization presents itself to both internal and external stakeholders. In general terms, a corporate visual identity expresses the values and ambitions of an organization, its business, and its characteristics. Four functions of corporate visual identity can be distinguished. Three of these are aimed at external stakeholders.
First, a corporate visual identity provides an organization with visibility and "recognizability".[15] For virtually all profit and non-profit organizations, it is of vital importance that people know that the organization exists and remember its name and core business at the right time.
Second, a corporate visual identity symbolizes an organization for external stakeholders, and, hence, contributes to its image and reputation (Schultz, Hatch and Larsen, 2000). Van den Bosch, De Jong and Elving (2005) explored possible relationships between corporate visual identity and reputation, and concluded that corporate visual identity plays a supportive role in corporate reputation.
Third, a corporate visual identity expresses the structure of an organization to its external stakeholders, visualizing its coherence as well as the relationships between divisions or units. Olins (1989) is well known for his "corporate identity structure", which consists of three concepts: monolithic brands for companies which have a single brand, identity in which different brands are developed for parts of the organization or for different product lines, and an endorsed identity with different brands which are (visually) connected to each other. Although these concepts introduced by Olins are often presented as the corporate identity structure, they merely provide an indication of the visual presentation of (parts of) the organization. It is therefore better to describe it as a "corporate visual identity structure".
A fourth, internal function of corporate visual identity relates to employees' identification with the organization as a whole and/or the specific departments they work for (depending on the corporate visual strategy in this respect). Identification appears to be crucial for employees,[16] and corporate visual identity probably plays a symbolic role in creating such identification.
The definition of the corporate visual identity management is:[17]
Corporate visual identity management involves the planned maintenance, assessment and development of a corporate visual identity as well as associated tools and support, anticipating developments both inside and outside the organization, and engaging employees in applying it, with the objective of contributing to employees' identification with and appreciation of the organization as well as recognition and appreciation among external stakeholders.
Special attention is paid to corporate identity in times of organizational change. Once a new corporate identity is implemented, attention to corporate identity related issues generally tends to decrease. However, corporate identity needs to be managed on a structural basis, to be internalized by the employees and to harmonize with future organizational developments.
Efforts to manage the corporate visual identity will result in more consistency and the corporate visual identity management mix should include structural, cultural and strategic aspects.[17] Guidelines, procedures and tools can be summarized as the structural aspects of managing the corporate visual identity.
However, as important as the structural aspects may be, they must be complemented by two other types of aspects. Among the cultural aspects of corporate visual identity management, socialization – i.e., formal and informal learning processes – turned out to influence the consistency of a corporate visual identity. Managers are important as a role models and they can clearly set an example. This implies that they need to be aware of the impact of their behavior, which has an effect on how employees behave. If managers pay attention to the way they convey the identity of their organization, including the use of a corporate visual identity, this will have a positive effect on the attention employees give to the corporate visual identity.
Further, it seems to be important that the organization communicates the strategic aspects of the corporate visual identity. Employees need to have knowledge of the corporate visual identity of their organization – not only the general reasons for using the corporate visual identity, such as its role in enhancing the visibility and "recognizability" of the organization, but also aspects of the story behind the corporate visual identity. The story should explain why the design fits the organization and what the design – in all of its elements – is intended to express.
Corporate colors
Corporate colors (or company colors) are one of the most instantly recognizable elements of a corporate visual identity and promote a strong non-verbal message on the company's behalf. Examples of corporate colors:
Nearly 7,000 years ago, Transylvanian potters inscribed their personal marks on the earthenware they created. If one potter made better pots than another, naturally, his mark held more value than his competitors'. Religions created some of the most recognized identity marks: the Christian cross, the Judaic Star of David, and the Islamic crescent moon. In addition, Kings and nobles in medieval times had clothing, armor, flags, shields, tableware, entryways, and manuscript bindings that all bore coats of arms and royal seals. The symbols depicted a lord's lineage, aspirations, familial virtues, as well as memoirs to cavalry, infantry, and mercenaries of who they were fighting for on the battlefields.[18]
A trademark became a symbol of individuals' professional qualifications to perform a particular skill by the 15th century. For example, the Rod of Asclepius on a physician's sign signified that the doctor was a well-trained practitioner of the medical arts. Simple graphics such as the caduceus carried so much socio-economic and political weight by the 16th century, that government offices were established throughout Europe to register and protect the growing collection of trademarks used by numerous craft guilds.[18]
The concept of visually trademarking one's business spread widely during the Industrial Revolution. The shift of business in favor of non-agricultural enterprise caused business, and corporate consciousness, to boom. Logo use became a mainstream part of identification, and over time, it held more power than being a simple identifier. Some logos held more value than others, and served more as assets than symbols.[19]
Logos are now the visual identifiers of corporations. They became components of corporate identities by communicating brands and unifying messages. Logos commonly function as a solution to the challenge of distinguishing one brand from another.[20] The evolution of symbols went from a way for a king to seal a letter, to how businesses establish their credibility and sell everything from financial services to hamburgers.[19] Therefore, although the specific terms "corporate image" and "[brand identity]" didn't enter business or design vocabulary until the 1940s, within twenty years they became key elements to business success.[18]
Media and corporate identity
As technology and mass media have continued to develop at exponential rates, the role of the media in business increases as well. The media has a large effect on the formation of corporate identity by reinforcing a company's image and reputation. Global television networks and the rise of business news have caused the public representation of organizations to critically influence the construction and deconstruction of certain organizational identities more than ever before.
Many companies pro-actively choose to create media attention and use it as a tool for identity construction and strengthening, and also to reinvent their images under the pressure of new technology. The media also has the power to produce and diffuse meanings a corporation holds, therefore giving stakeholders a negotiation of the organizational identity.[21]
Public relations (PR) is the practice of managing and disseminating information from an individual or an organization to the public in order to influence their perception. Public relations and publicity differ in that PR is controlled internally, whereas publicity is not controlled and contributed by external parties. Public relations may include an organization or individual gaining exposure to their audiences using topics of public interest and news items that do not require direct payment. The exposure is mostly media-based, and this differentiates it from advertising as a form of marketing communications. Public relations aims to create or obtain coverage for clients for free, also known as earned media, rather than paying for marketing or advertising also known as paid media. But in the early 21st century, advertising is also a part of broader PR activities.
The reputation or prestige of a social entity is an opinion about that entity – typically developed as a result of social evaluation on a set of criteria, such as behavior or performance.
In marketing, corporate branding refers to the practice of promoting the brand name of a corporate entity, as opposed to specific products or services. The activities and thinking that go into corporate branding are different from product and service branding because the scope of a corporate brand is typically much broader. Although corporate branding is a distinct activity from product or service branding, these different forms of branding can, and often do, take place side-by-side within a given corporation. The ways in which corporate brands and other brands interact is known as the corporate brand architecture.
In marketing, publicity is the public visibility or awareness for any product, service, person or organization. It may also refer to the movement of information from its source to the general public, often via the media. The subjects of publicity include people of public recognition, goods and services, organizations, and works of art or entertainment.
Corporate social responsibility (CSR) or corporate social impact is a form of international private business self-regulation which aims to contribute to societal goals of a philanthropic, activist, or charitable nature by engaging in, with, or supporting professional service volunteering through pro bono programs, community development, administering monetary grants to non-profit organizations for the public benefit, or to conduct ethically oriented business and investment practices. While once it was possible to describe CSR as an internal organizational policy or a corporate ethic strategy similar to what is now known today as Environmental, Social, Governance (ESG); that time has passed as various companies have pledged to go beyond that or have been mandated or incentivized by governments to have a better impact on the surrounding community. In addition, national and international standards, laws, and business models have been developed to facilitate and incentivize this phenomenon. Various organizations have used their authority to push it beyond individual or industry-wide initiatives. In contrast, it has been considered a form of corporate self-regulation for some time, over the last decade or so it has moved considerably from voluntary decisions at the level of individual organizations to mandatory schemes at regional, national, and international levels. Moreover, scholars and firms are using the term "creating shared value", an extension of corporate social responsibility, to explain ways of doing business in a socially responsible way while making profits.
Marketing communications refers to the use of different marketing channels and tools in combination. Marketing communication channels focus on how businesses communicate a message to their desired market, or the market in general. It is also in charge of the internal communications of the organization. Marketing communication tools include advertising, personal selling, direct marketing, sponsorship, communication, public relations, social media, customer journey and promotion.
Internal communications (IC) is the function responsible for effective communications among participants within an organization. The scope of the function varies by organization and practitioner, from producing and delivering messages and campaigns on behalf of management, to facilitating two-way dialogue and developing the communication skills of the organization's participants.
Advertising management is how a company carefully plans and controls its advertising to reach its ideal customers and convince them to buy.
An advertising campaign is a series of advertisement messages that share a single idea and theme which make up an integrated marketing communication (IMC). An IMC is a platform in which a group of people can group their ideas, beliefs, and concepts into one large media base. Advertising campaigns utilize diverse media channels over a particular time frame and target identified audiences.
Business communication is communication that is intended to help a business achieve a fundamental goal, through information sharing between employees as well as people outside the company. It includes the process of creating, sharing, listening, and understanding messages between different groups of people through written and verbal formats. The way that people communicate and operate within a business is very vital to how successful the company will be in the business world. Business communication occurs internally, employee-to-employee, or externally, business-to-business or business-to-consumer. This internal and external communication can happen through verbal or non-verbal communication methods. Often these internal and external forms of communication come with barriers, which can prevent the receiver from understanding the information sent by the sender.
Corporate communication(s) is a set of activities involved in managing and orchestrating all internal and external communications aimed at creating a favourable point of view among stakeholders on which the company depends. It is the messages issued by a corporate organization, body or institute to its audiences, such as employees, media, channel partners and the general public. Organizations aim to communicate the same message to all its stakeholders, to transmit coherence, credibility and ethics.
Strategic communication can mean either communicating a concept, a process, or data that satisfies a long-term strategic goal of an organization by allowing facilitation of advanced planning, or communicating over long distances usually using international telecommunications or dedicated global network assets to coordinate actions and activities of operationally significant commercial, non-commercial and military business or combat and logistic subunits. It can also mean the related function within an organization, which handles internal and external communication processes. Strategic communication can also be used for political warfare.
A touchpoint can be defined as any way consumers can interact with a business organization, whether person-to-person, through a website, an app or any form of communication. When consumers connect with these touchpoints they can consider their perceptions of the business and form an opinion.
Brand awareness is the extent to which customers are able to recall or recognize a brand under different conditions. Brand awareness is one of two dimensions from brand knowledge, an associative network memory model. It is a key consideration in consumer behavior, advertising management, and brand management. The consumer's ability to recognize or recall a brand is central to purchasing decision-making because purchasing cannot proceed unless a consumer is first aware of a product category and a brand within that category. Awareness does not necessarily mean that the consumer must be able to recall a specific brand name, but they must be able to recall enough distinguishing features for purchasing to proceed. Creating brand awareness is the main step in advertising a new product or bringing back the older brand in light.
Customer experience, sometimes abbreviated to CX, is the totality of cognitive, affective, sensory, and behavioral customer responses during all stages of the consumption process including pre-purchase, consumption, and post-purchase stages.
A brand is a name, term, design, symbol or any other feature that distinguishes one seller's good or service from those of other sellers. Brands are used in business, marketing, and advertising for recognition and, importantly, to create and store value as brand equity for the object identified, to the benefit of the brand's customers, its owners and shareholders. Brand names are sometimes distinguished from generic or store brands.
Cornelis Bernardus Maria (Cees) van Riel is a Dutch organizational theorist, consultant, and Professor of Corporate Communication at Rotterdam School of Management and Director of the Corporate Communication Centre at the Erasmus University, known for his work in the area of corporate communication and reputation management.
Corporate architecture refers to the use of architectural design to construct physical spaces that can promote the corporate image of a corporation. During the 20th century corporate architecture was able to transition from designs with mainly function in mind to more creative endeavours, which are able to be an architectural expression of the firm’s institutional identity and play a role in stakeholders’ image of the organisation.
Employer brand is branding and marketing the entirety of the employment experience. It describes an employer's reputation as a place to work, and their employee value proposition, as opposed to the more general corporate brand reputation and value proposition to customers. The term was first used in the early 1990s, and has since become widely adopted by the global management community. Minchington describes employer brand as "the image of your organization as a 'great place to work' in the mind of current employees and key stakeholders in the external market. The art and science of employer branding is therefore concerned with the attraction, engagement and retention initiatives targeted at enhancing your company's employer brand."
A chief reputation officer (CRO) is an executive-level position at a corporation, company, organization, or institution, typically reporting directly to the CEO or board of directors and belonging to the executive board of directors.
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