Brand Architecture, + TB Chapter 12 Flashcards
(43 cards)
Brand architecture
Relationship between brands within an organization and how they interact with one another
Role of brand architecture is to clarify brand awareness and improve brand awareness
Importance of developing a brand architecture strategy
Helps marketers determine which products and services to introduce
Which brand names, logos, symbols, etc to apply to new and existing products
Brand-product matrix and brand hierarchy help businesses to?
Evaluate and create structures in business’ portfolios
Gain an overview of their brands and future extension
Assess brand’s key features and differentiations with the competitors
Prevent brand-clash, in which businesses are offering the similar features or PODs of a product or service of an already existing brand
Brand line
Consists of all products, original as well as line and category extensions, sold under a particular brand
3 steps in developing a brand architecture strategy (DIB)
Defining brand potential
Identifying brand extension opportunities
Branding new products and services
Defining brand potential (3 important characteristics VBP)
Brand vision
Brand boundaries (broad brand)
Brand positioning
Brand vision
Management’s long term view of the brand’s potential
Brand boundaries
Identifying the products or services that a brand should offer based on brand vision and positioning
eg: Mercedes should not offer school buses
Brand positioning
Key ingredients include competitive frame of reference, POD, POP, brand mantra
Identifying brand extension opportunities
Line extension
Category extension
Equity implications of each extension needs to be understood in terms of POPs and PODs
Specifying brand elements for branding new products and services
New products and services must be branded in a way to maximize the brand’s overall clarity:
Branded house strategy
House of brands strategy
Sub-brands
Branded house strategy
Umbrella corporate or family brand for all its products (B2B)
eg: Amazon, Amazon Webservices
House of brands strategy
Collection of individual brands all with different names
eg: Nestle, P&G, Unilever
Sub-brands
New product carries both parent brand name and new name
eg: Mercedes-AMG
Brand portfolios
Includes all brands sold by a company in a product category
Brand portfolio judged by its ability to maximize brand equity
Reasons for introducing multiple brands in a category
Increase shelf presence and retailer dependence
Attract consumers seeking variety who may otherwise switch to another brand
Increase internal competition within the firm
Yield economies of scale in advertising, sales, merchandising, and physical distribution
Flankers
Protective or “fighter” brands
To create stronger POPs with competitor brands
Must not be so attractive that they take sales away from higher-priced comparison brands
eg: Armani - Giorgio Armani (very expensive tier 1), Emporio Armani (moderate price tier 2), Armani Exchange (less expensive (tier 3)
Cash cows
A cash cow is a company or business unit in a mature slow-growth industry. Cash cows have a large share of the market and require little investment
eg: Apple iPhone
Low-end, entry-level brand
Attract customers on the brand franchise
High-end, prestige brands
To add prestige and credibility to the entire portfolio
Levels of a brand hierarchy
Corporate level
Family brand level
Individual brand level
Modifier level
Product descriptor
eg: General Motors - Chevrolet - Corvette - C8 - Z06 (corporate, family, individual, modifier, descriptor)
Corporate / company brand level
Highest level of hierarchy, is the corporate image
Family brand level
Used in more than one product category, also called a range brand or umbrella brand
Individual brand level
Restricted to essentially one product category although multiple product types may differ
