Brand Strategy
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Tim Hillegonds
Three Reasons Why Investing in Your Brand Pays Off During M&A
In a world of nonstop consolidation, one truth holds: strong brands win. They attract buyers, command higher valuations, and reduce acquirer risk. If M&A is in your future, brand strength isn’t optional—it’s money on the table.
There’s been no shortage of consolidation lately. From healthcare to tech to manufacturing, mergers and acquisitions are everywhere, and the pace isn’t slowing down anytime soon.
You can debate whether that’s good or bad for competition, but here’s the part that isn’t up for debate: strong brands make you a more attractive target. And strong brands almost always translate into real dollars when it comes time to sell.
Over the last couple of years, we’ve seen more private equity–owned companies and growth-minded organizations come to us for brand architecture or brand transformation work. They all understand a simple truth: when your brand is clear, strong, and well-positioned, it can directly impact valuation.
Here’s how.
Strong brands command premium valuations
Plenty of factors affect valuation, but brand is one that consistently moves the needle. A strong brand signals recognition, loyalty, and market strength—intangible assets that acquirers will pay for. While it may not be the deciding factor in every deal, a weak or confusing brand will absolutely drag you down.Strong brands strengthen market positioning
Brand positioning shapes perception. Market positioning defines where you stand in the landscape. One feeds the other. And in an acquisition process, holding a premium position matters. Strong brands often create a sense of distinction—customers pay more for it, and acquirers do too.Strong brands reduce perceived risk
Every acquisition carries risk, but trusted brands help mitigate it. When your brand has earned confidence in the market, it reassures acquirers about stability, customer retention, and predictable earnings. That makes the investment feel safer and due diligence smoother.
The bottom line
If M&A is anywhere on your horizon, treating brand as an afterthought is a mistake. Building and maintaining a strong brand isn’t just good for day-to-day business—it’s a strategic lever that can unlock real value when the stakes are highest.
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