TRIGGER 3

Brand architecture and brand strategy

1    Compare the brand strategies and architectures of different companies. How and why are they different?

2    What brand architecture models do companies you know use?

Brand architecture is the way in which the brands within a company’s portfolio are related to, and differentiated from, one another. The architecture define the different leagues of branding within the organisation; how the corporate brand and sub-brands relate to and support each other; and how the sub-brands reflect the core purpose of the corporate brand to which they belong. [Bennie, 2000] 

Brand architecture describes the role of the corporate brand in marketing products and services, as well as the relation between all the brands, sub-brands, products, variants, and acquired businesses in the company’s portfolio.

David Aaker has written a great deal about brand architecture

Branded house

Has many products and offerings under one main brand (also called mother, umbrella brand or master brand). These sub products don’t have separate identities and all contribute to the strength of the main brand.

In professional services is also known as a one-firm brand strategy. The firm has a single brand: logo mark, marketplace positioning and messaging. The subordinate service offerings share these brand elements but contain their own unique messaging points.

Example of branded houses

Google

Google has numerous sub-brands, including: Google Drive, Calendar, and Translate. This brand giant knows to keep its name attached to everything it does. Although brand extensions like Drive and Calendar are well known on their own, they are always their primary brand first; Google is listed before the name of the sub-brand in any branding.

Apple

Apple has several products; however, the iPhone, MacBook, and iPad never differentiate from their master-brand. Apple keeps its branding running through all of its sub-brands. Note Apple’s logo located on the back of all the products.

House of brands

The complete opposite of a branded house. There are still many varied products and offerings, but they are marketed under separate brands, which have their own identities.

There’s a clear separation between parent companies such as Unilever and Procter & Gamble and their brands, with the general consumer likely unaware some of the brands are connected in this way.

Example of House of brands

·      P&G

They’re all Proctor and Gamble (P&G)! P&G is a pretty well-known brand on its own, but it’s the sub-brands that are the most easily identifiable. Some of P&G’s most well-known sub-brands include: Tide, Charmin, Bounty, Pampers, and Dawn.

·     Mars

      Snickers, Skittles, and M&Ms may be frequent grabs on your snack run, but less often might you think of Mars Brands bringing these sweet treats together.

·     Unilever

     Unilever has a portfolio that ranges from food to hygiene products. You may have some Lipton products in your fridge or pantry, and Dove located in the shower. Both are major brands in their product categories, but they are both connected as sub-brands of Unilever.

Sub-brands

Sometimes, a brand strategy is a combination of the two. In this case, there is one major brand, like Coca-Cola or Pepsi, where the name of the company matches one of the products. Usually through time, the business has expanded its portfolio to include other products. These products are associated with the main company, but are distinct brands of their own.

Example of Sub-brands

·     Coca-Cola

The phrase “Lots of Choices” in Coca-Cola’s below advertisement is very true of the company, with products ranging from soda to water. What makes Coca-Cola different from Pepsi (besides their legendary taste battle), is that Coca-Cola chooses to focus on its beverages, while Pepsi has moved beyond its drink offerings, into food products. As one of the most easily identifiable brands in the world, Coca-Cola is a brand goal any company aspires to. Sprite, Dasani, and Honest Tea are distinct sub-brands, traceable back to Coca-Cola, but known by their sub-brand names.

·     Pepsi-Co

Everyone knows that the perfect match to a sweet soda is a salty snack. Pepsi-Co, like Coca-Cola, is most well-known for its primary product, Pepsi, but has expanded its product offerings. Pepsi moved beyond sodas and into snacks. Each of Pepsi’s many products has a distinct sub-brand.

·     Amazon

Amazon is best known as ecommerce giant Amazon.com, but the company includes many other major web presences. Each of these sub-brands is distinctly different from the primary and very loosely associated with the main brand. Many Amazon sub-brands were acquisitions.

 

Endorsed brands

 

In contrast to sub-brands, endorsed brands are closer to the house of brands architecture.

As with a house of brands, endorsed brands see many products and offerings under separate brands, but they are supported by the masterbrand. the endorsed brand plays a major role, has a separate identity and uses the masterbrand’s endorsement as a quality stamp – it helps the endorsed brand build awareness and trust.

The naming structure of an endorsed brand sees the endorsed name first, followed by the masterbrand. Also the logo and branding of the endorsed brand is more prominent than that of the masterbrand.

Example of Endorsed Brand

·      Nestle

3M

Starbucks

https://brandstruck.co/blog-post/brand-architecture-part-1-difference-branded-house-house-brands/

https://brandstruck.co/blog-post/brand-architecture-part-2-difference-sub-brands-endorsed-brands/

https://www.slideshare.net/nm91020/6-brand-portfolio-architecture

3    Which brand architectures are good for different products and services?

Branded house

A branded house architecture works when a company targets a similar audience with different products, and wants to build the same proposition and the same associations for different offerings, has a limited marketing budget, as it’s cheaper to build awareness of just one brand as opposed to several. When reputation risk related to different products is low, as one wrong move could affect the whole company.

House of brands

A house of brands structure is recommended when an organisation targets different audiences with the same product categories (for example three shampoo brands for three different target groups) and wants to build different propositions and new associations for different products (e.g. a value for money shampoo, a mid-range shampoo solving a concrete hair problem like dandruff and a premium hair salon shampoo). House of brands is convenient when reputation risk related to different products is high and you don’t want other brands in your portfolio to be affected. this brand architecture can be effectively applied only if there’s a substantial marketing budget to build awareness of each individual brand.

Sub-brand

The sub-brands architecture is convenient when you want to extend your main brand to new target audiences – for example, Disney Junior targeting a younger audience than the Disney master brand. works when attempting to enrich the master brand with new associations, whether you want to make it a bit younger, edgier or more premium. It’s also a good strategy when you have a limited marketing budget and want to build the sub-brand’s awareness based on what has already been built by the masterbrand. Finally, it’s effective when reputation risk related to different products is low, as a problem with a sub-brand can affect the masterbrand.

Endorser Brand

The endorsed brands architecture is a good choice, when you want to target different audiences, while continuing to use the power of the masterband. It also works, when you want to build different propositions and new associations for different products. Similarly to the house of brands architecture, you need a substantial marketing budget to build awareness of each endorsed brand. However, the presence of the masterbrand in branding and communication should make this job a bit quicker and cheaper. In terms of the reputation risk, endorsed brands rarely affect other brands in your portfolio.

https://www.extradigital.co.uk/articles/internet-marketing/branding-architecture.html

4    Analyse the brand strategy and architecture of a chosen company.

SAMSUNG
 Followed the Branded house architecture

https://www.scribd.com/presentation/175013585/Brand-Architecture

References

https://brandstruck.co/blog-post/brand-architecture-part-1-difference-branded-house-house-brands/

https://brandstruck.co/blog-post/brand-architecture-part-2-difference-sub-brands-endorsed-brands/

https://www.slideshare.net/nm91020/6-brand-portfolio-architecture

http://www.ideasbig.com/blog/branded-house-house-brands/

https://www.scribd.com/presentation/175013585/Brand-Architecture