Presentation on theme: "Chapter 13: Managing B rand Architecture. Contents Brand architecture and relationship between brands Product market brand context Choosing the right."— Presentation transcript:
Contents Brand architecture and relationship between brands Product market brand context Choosing the right position Rationalizing brand portfolio
Brand architecture and relationship between brands In a brand portfolio, each brand should be unique and should result in maximizing the equity of all the brands in the portfolio and/or should not harm the equity of the other brands. Thus, each brand is unique and caters to different segments in the market. While devising a brand portfolio, marketers need to be careful and come out with brands that maximize the coverage of the market and minimize overlap between brands, so that the threat of cannibalization is minimized. An organization can launch brands that satisfy a particular need of the target market or to offset competition. This results in brands playing a specific role in the portfolio of brands of an organization.
Brand roles in the Brand Portfolio Flankers For example: Wheel and Rin for Surf (Unilever); Red Fox (select service economy hotels) for Lemon Tree hotels (upscale full-service) etc. Cash cows For example: Colgate, Singer sewing machines; Surf blue and Sunlight soap of Unilever etc. Low-end entry For example: Rs. 20 burgers from McDonald’s; Lucera brand of Jewellery from Gitanjali Group; Wheel for Unilever etc. High-end prestige For example: Nakshatra and D’Damas jewellery from Gitanjali group; Surf Excel from Unilever etc.
Importance of understanding brand architecture To build powerful brands Leads to optimal allocation of brand-building resources Provides clarity of offering so the brand identity is clearly perceived by the consumers providing opportunity to extend the brand Provides synergy in creating association building Provides a platform for future growth.
Roles played by the brands – Strategic brands – Linchpin brands – Silver bullets – Cash cow brands
Brand relationship spectrum Low relationship among parent brand and sub- brands High degree of relationship among brands House of brands Endorsed brands Sub-brandsBranded house
Choosing the right position Contribution made by the master brand to the new offering – Value proposition – Credibility – Visiblility – Efficiency in communication Association of the master brand with the new offering There is compelling need for a separate brand The business can support a new brand
Rationalizing the brand portfolio Rationalization can be done by any of the following ways: – Liquidation – Merging – Selling – Milking – Elimination – Consolidation
Quick Recapitulation Brand architecture and relationship between brands Product market brand context Choosing the right position Rationalizing brand portfolio