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Branding Strategies

Leveraging the power of the brand name tocover the market more effectively Brand associations

Why do we do it? By doing more with less, you are simply harnessing

the power of leverage.

To grow, expand, and be successful.

If you are not a brand, you are a commodity. RobertKiyosaki

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Branding Strategies

Your brand has a respectable market sharebut you want it to grow. What do you do?

Address segment needs more precisely How can you use the equity of the brand

name to address segment needs even better?

Sub-branding / umbrella branding

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Sub-branding

Creating new brands which are part of the parentbrand family expressed as suffixes of theparent brand.

For example, Nike Air Jordan is a sub-brand of Nikewhich is the parent brand. Air Trigo, Air Mohawkare sub-brands of Nike Air.

Apple I-Pod, I-Pod Mini, I-Pod Shuffle and now theI-Pod Nano

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Umbrella Branding

When you have many sub-brands, each linkedto a common brand, then the common brandis known as the umbrella brand

For example, Ford Taurus, Ford Explorer, FordFocus, Ford Ranger, Ford Five Hundred, FordFreestyle, Ford Expedition, Ford Thunderbird,etc.

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Branding Strategies

Your brand has a respectable market shareand you want to protect it from growingcompetition. What do you do?

Address that section of the market which does notbuy your product

How can you attract customers who do not

buy into your brands equity? Flanker branding

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Flanker Branding

Different brand name same product

Purpose: Pre-empt competition, cover the marketmore completely (protect your flanks)

Problem: some cannibalization is expected.

For Example:

Thums Up and Coca Cola in India

General MillsRobin Hood and Gold Medal brand flour

Tide and Cheer from P&G

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Branding Strategies

Your brand is strong in your current market.The market is saturated and you are lookingto diversify. What do you do? Identify another product and give it the same

brand name

If the new product is in the same product line Line Extension

If the new product is from a completelydifferent product line Brand Extension

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Brand Extension

Same brand name, new product line i.e. Reebokshoes and Reebok water. Nike shoes and Nike

casuals. Clinique make-up and Clinique perfume.

The concept of congruence determines the

success of a brand extension strategy. (i.e.

Johnsons baby powder and Johnsons baby oil high congruence. But imagine Lysol toilet bowl

cleaner and Lysol toothpaste!!!)

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Line Extension

Same brand name, different product in thesame product line.

For example, Ivory soap and Ivory shampoo

Line extensions are safer strategies than brandextensions since congruence is always higher.

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Branding Strategies

Your brand is sold in the B2B market as a component ofanother product. You want the brand to get consumerrecognition and equity. What do you do? Tell consumers about your brands presence in the final product

Ingredient branding: Branding an ingredient of the mainbrand, which is often manufactured by a differentcompany.

For example, Intel Inside is an ingredient brand on IBM,Dell, Compaq, etc. computers; Breyers Chocolate Ice Creamwith Hersheys pieces / M & Ms; Breyers icecream withSplenda

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Branding Strategies

You have a strong brand but want to penetratethe market even better. What do you do?

Complementary Branding or Co-brandingwhen two or more mutually reinforcing brands

get together to jointly promote themselves (one

is not an ingredient of another). For example, Green Burrito & Carls Jr., Taco Bell

& Pizza Hut

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Product-Market Matrix

NEW

OLD

OLD NEW

Product

Market

Diversification

Brand extension

Product DevelopmentCo-brandingIngredient branding

Market DevelopmentBrand extension

Line extension

Market PenetrationSub-branding

Flanker brands

Co-branding

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Brand

Name

Product

Line

EXISTING

EXISTING

NEW

NEW

Line

Extension

Flanker

Brand

Brand

Extension

Diversification

Product Line-Brand Matrix

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References

http://www.slideshare.net/Fordlovers/some-branding-strategies-branding-strategy, August17, 2010.

It takes 20 years to build a reputation and only fiveMinutes to ruin it. If you think about that, you willdo things differently. Warren Buffett

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