The Art and Science of Branding: Insights from a Brand Strategist

Mats Georgson has spent 35 years in marketing, both on the client and agency side, and for 10 years, he has taught branding and business strategy as a professor at Stockholm University. In his subject Mats is one of the World’s Greatest Business Thinkers. In this blog we share Mats’ words of wisdom from a conversation with Nick Hague in a recent podcast: https://www.youtube.com/watch?v=ecBboHU-v4Q&t=36s

Branding is often perceived as a mix of creativity and strategy, but for those deeply immersed in the field, it can feel almost like wizardry. As Arthur C. Clarke famously said, “Any sufficiently advanced technology is indistinguishable from magic.” The same can be said for branding—when backed by experience, theory, and strategic thinking, it produces results that seem almost magical.

The Foundation of Strategy in Branding

Many companies struggle with developing a clear strategy. Some mistakenly believe that in an era of rapid change, long-term planning is impossible. However, true strategy is not about rigid five-year plans but about understanding how the world is evolving and determining how to succeed in it. Even if plans change, the process of strategic thinking equips businesses to adapt effectively.

A significant issue in many organizations is the reluctance to articulate a clear strategy. Leaders often hesitate, fearing accountability, but the opposite is true—when leadership provides clear direction, teams respond with engagement and alignment. The higher up one is in an organization, the more essential it is to focus on the future, as that is the very essence of strategy.

Another common pitfall is confusing strategy with tactics. Many businesses make small, short-term moves without a coherent long-term vision. While adjustments are necessary, true strategy requires setting clear goals and consistently working toward them. As Henry Mintzberg noted, 90% of strategies are never implemented, but that doesn’t mean planning is futile. Instead, a well-thought-out strategy provides a framework for emergent decision-making, allowing companies to pivot intelligently rather than react blindly.

From Vision to Execution: The Chain of Strategies

A strong brand is built upon a well-structured strategy that aligns vision, business objectives, brand positioning, and company culture. While many believe strategy starts with vision, the best approach is to identify the strongest link in the chain—whether that’s culture, business strategy, or branding—and build from there.

A vision serves as a guiding North Star, encapsulating a company’s purpose and destination. Without it, employees and stakeholders struggle to see the bigger picture. A well-crafted vision not only outlines a company’s aspirations but also defines the value it creates for customers. Every successful organization generates more value externally than it extracts, making vision a crucial summary of its mission, purpose, and value proposition.

Brand Strategy vs. Marketing Strategy

Many companies mistakenly conflate brand strategy with marketing strategy, but they serve distinct roles. Brand strategy defines what a company stands for in the minds of consumers over the long term—it’s the overarching narrative. Marketing strategy, on the other hand, operates on multiple levels, from long-term positioning to short-term promotional efforts.

For a corporate brand, the relationship between branding and marketing is complex. While product brands like Mars bars may see an almost seamless integration of the two, corporate branding requires a broader approach, ensuring consistency across various product lines and markets. Ultimately, brand perception exists only in people’s minds, making long-term brand consistency essential.

Branding’s Role Inside the Organization

A well-defined brand does not only impact external customers; it plays a critical role in employee engagement and corporate culture. Employees must feel connected to the brand’s mission and values, which in turn fosters loyalty, retention, and a strong workplace identity.

A brand strategy acts as a checks-and-balances system for business decisions. If corporate strategies are misaligned with the brand’s promise, they will create internal and external friction. Many businesses focus on financial projections and market opportunities without considering the customer’s perspective. When brand and business strategies are aligned, both become stronger.

Crafting an Effective Brand Strategy

Developing a brand strategy is a complex process that requires structured thinking and expertise. It’s easy to create something that looks like a brand strategy but lacks depth and effectiveness. Businesses should avoid generic, overused buzzwords and instead focus on a concise, actionable brand positioning.

One useful principle is the "Einstein-Chaplin paradox." At their peak, both Albert Einstein and Charlie Chaplin were regarded as “humanistic geniuses,” yet one was a physicist and the other a comedian. A brand strategy should not aim for vague, broad descriptors but rather define the specific, tangible experiences that differentiate the brand.

B2B vs. B2C Branding: What’s the Difference?

Branding is often discussed in the context of consumer brands, but its role in B2B markets is equally critical. The real distinction is not between B2B and B2C but between high- and low-risk purchases. In high-risk transactions, such as multi-million-dollar IT contracts, brand trust plays a pivotal role in decision-making. Conversely, for low-risk items, such as office supplies, branding has less influence.

Similarly, consumer brands face varying levels of perceived risk. A teenager buying sneakers may see the decision as high-stakes, while grocery shopping is often a mindless routine. Recognizing these nuances is essential for developing an effective branding approach.

The Balance of Distinctiveness and Differentiation

Recent debates in branding have centred on distinctiveness versus differentiation. Jack Trout’s Differentiate or Die emphasized the importance of standing out, while Byron Sharp’s How Brands Grow argued that distinctiveness—being easily recognizable—matters more than differentiation. The reality is that brands need both.

A successful brand balances distinctiveness (visual and sensory cues) with meaningful differentiation (why it matters). Changes to brand identity must be handled carefully—adjusting distinctive assets can inadvertently alter brand perception. Many companies underestimate the psychological impact of branding, but real-world success comes from blending strategic differentiation with strong, recognizable brand elements.

Marketing’s Role in Business Growth

Despite the importance of branding and marketing, many businesses underfund their marketing efforts while still expecting growth. A recent Gartner report found that marketing budgets have been slashed by 15%, even though 62% of CEOs cite growth as their top priority. This disconnect is common—many executives expect marketing to generate more value without increasing resources.

Part of the problem lies in how marketing is perceived. Too often, CMOs focus narrowly on advertising, leading CEOs to underestimate the broader role of marketing in product development, customer experience, and long-term growth. A strong CMO must understand the business beyond just campaigns—effective marketing is about shaping the future, not just running promotions.

Final Thoughts

A great brand is built on strategy, vision, and alignment between internal and external messaging. It is not a quick-fix exercise but an ongoing commitment to delivering meaningful value. Businesses that invest in structured, data-driven branding strategies will be best positioned to thrive in an increasingly competitive marketplace.