Residential buildings can benefit from branding.

A rose by any other name may smell as sweet. But is an athletic shoe without the Nike swoosh as trendy, luggage without the LV pattern as chic, a pair of jeans without Levi's signature pockets as much of a lifestyle statement? The answer is, of course, no. The reason is branding.

Big companies have tong known the power of branding: building an image that conveys product benefits in order to own a niche in the marketplace. Think Coca-Cola, IBM or Jeep. Luxury goods manufacturers use brands to create a sense of superiority, cachet and exclusivity about both their products and the discriminating people who own them.

Insofar as the relevance of brands to real estate, consider The Empire State Building as a symbol of the greatness of New York, the building among thousands. It's where King Kong found his fate and Cary Grant and Debra Kerr and Tom Hanks and Meg Ryan found true love. Unique among buildings, it is a brand.

With the residential market at an all-time peak and a limited supply of product on the market, what is the value of investing in branding for new residential buildings?

The first part of the answer is market-driven: all of these new buildings are at the highest end of the market, where sales efforts are directed to purchasers who are wealthy, sophisticated and discriminating and can afford any one of hundreds of apartments on the market.

For these buyers, branding creates an aura of superiority, exclusivity and even urgency. You are selling not only a residence, but also status and a lifestyle. The reality is that no matter how much money there appears to be in the market, there is a finite number of truly wealthy individuals who will be choosing among luxury properties. Branding is a marketing strategy that brings that potential buyer into your property first, so the one-on-one sales process can bring it to the logical conclusion of a sale.

The second reason for branding is the bottom line. By providing a competitive edge, it can be a key strategy to achieving the highest prices per square foot and faster absorption.

Branding as a sales and marketing strategy goes far beyond names, although the name of your product - which may be an address - is one of your most important marketing tools. It is a well thought-out competitive marketing positioning - what my product has that is special or unique (what is known in marketing as unique selling points or USPs), and encompasses every communication with your target market, from stationery to advertising to the sales office environment.

Branding dovetails these unique selling points with profiling of your target market and determining the most important reason they would buy your apartment, as opposed to your competitor's.

The primary question is: what does my building have that will add remarkable value to purchasing a residence? It may be family-sized apartments and on-site day care. It may be residences with opulent pre-war space and architectural detail. It may be on, or nearby Fifth or Park Avenue or Central Park West, and can be marketed through an address and the upscale lifestyle it projects. It might be the building's technological wizardry, outrageous architecture, a European spa and personal fitness trainers, a climate-controlled wine cellar or humidor room with smoking lounge.

Branding creates ideas and stirs emotions. It educates your prospects about why they should purchase from you. It excites them to do so. Developing your brand is part substance, part style, part sophisticated marketing - and 100 percent smart business.