Brand conscious

Branding may not seem terribly important in an industry built on long lasting personal relationships, but firms with strong and well-communicated reputations can more easily source deals, recruit top talent and attract investors. The more people that are aware of who you are and what your brand represents, the more opportunities arise to discover that next key relationship, be it with a potential investor, employee or target company.

More GPs seem to be reaching that conclusion, according to recent research from public relations firm BackBay Communications, which revealed that a growing number of firms have ramped up their budgets for marketing materials and websites in recent months.

To be clear, no one is suggesting a clever logo, snazzy annual review or comprehensive social media presence is as effective in grabbing investors’ attention as solid performance figures (some would argue performance is a factor contributing to an overall brand), but the study suggests more GPs are finding ways to supplement their track record with easy-to-execute branding strategies.

Take a strong logo for example. With all the abbreviations flying around the industry, why not create a distinct image or design that is more capable of leaving a lasting impression with investors than what could be accomplished with the standalone letters that represent the firm’s founders?

And at the risk of sounding self-serving, engage the media. Create news releases capable of catching the attention of the press. In fact, create a news section on the firm’s website that allows journalists and other curious outsiders an easily accessible window into the firm’s accomplishments. And speak with reporters directly, and not necessarily in the expectation of a printed quote – they’ll likely remember your name the next time around, or be more sympathetic to your viewpoint when writing unflattering coverage.

Another point to consider is social media, a topic we will explore in the June edition of PE Manager. It’s a subject we’ve covered in the past, having reported that while social networking sites can be a liability, they can also be an important tool in the branding kit.

In all, becoming more conscious of your brand identity seems like a simple win-win-win – a way to help stick out from a crowd of GPs all vying for the same LP commitments, deals and human capital.