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Faculty Name:
Vishal Desai
Lesson # 8
BRAND STRATEGIES
For example:
• In terms of positioning
• Rexona – a gentle soap with natural oils to have a good effect on skin
For example
• HUL’s detergent brand – Surf Excel, Rin and Wheel offer all
possible price points, benefits and utilities linked to different sub-
markets
2)A new product is not likely to send negative feedback and associate
the brand with the burden of failure
For example:
• Philips – line extension has T.V, video and audio, personal care,
communication and household appliances
For example:
The products in the line draw their identity from the main brand
L’ Oreal
Nail Powder
Lipstick Eyeliner Foundation
Enamel Compact
All the products share a common promise which stems from the
firm’s or range brand’s area of competence
For example:
• Nestle uses its Maggi brand for its range of fast food – Maggi
noodles, sauces, soups, pastas,etc
Area of
Ayurvedic Concepts Competence
Or expertise
Skin Care
Health Care Body Care Hair Care
Lotions, Face Wash,
Ayur Slim Capsules Antiseptic Cream Cleanser Creams
Daily health Capsules Pain Balm Anti- Dandruff
Digestive Capsules Muscle and Joint Rub Cleanser
Cough Syrup Hair Conditioner
Hair Vitaliser
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+ Benefits of Range Brand Strategy / Mixed Branding:
2)The brand can easily embrace other new products which are
consistent with the brand, reducing the cost of introducing new brand
in the market
1)The brand can become weak due to overstretching if the brand tends
to hang large number of products on it
For example:
Television Irons
Lighting Mixers
Hi-fi Music
Monitors
system
Medical
Shaver
equipment
Phones
India’s premier M-school
+ Benefits of Umbrella Branding / Multi – Product
Branding Strategy:
1)Umbrella branding is an economical strategy as investing in a single
brand is less costly than trying to build a number of brands
For example:
2)With time, market fragments and gets divided into smaller sub-
segments
3) Each segment presents its own unique structure of needs and buyer
preferences
For example:
For example:
The product is given a brand name and it is combined with the name
of the firm
For example:
Both the name enjoys equal importance and are given equal
status in the brand’s communication
For example:
2) When the product categories are different, double branding may not
be the correct strategy
It makes the product brand name more significant and the corporate
brand name is relegated to a lesser status
For example:
The marketers can subtly transfer the corporate brand’s equity and at
the same time enjoy the freedom to the venture beyond immediate
product boundaries
The product failed as it did not go down well with the Nestle
endorsement
Private labels can be called store brands when they actually adopt the
name of the store itself in some way
For example:
Thus, the benefit to the consumers of buying private label and store
brands is often cost saving
Whereas, the benefit to retailers selling private label and store brands
is their gross margin which is relatively higher as compared to
national brands
Creating synergy
For example:
For example:
In this the corporate brand remains all powerful but the product is
also given a name
For example:
In this format the corporate brand remains visible but it takes the back
seat
For example:
• Godrej endorses all its product brands which are most visible and
dominant – Cinthol, Ganga, Fair glow, No.1
For example:
For example:
Protect the company- giving a product its own unique name means it
will not be readily associated with the existing brand. This reduces
risk of damage to the existing brand and/or company if the product
fails
For example:
• Colgate has come out with Colgate Gel, it still sells the Colgate
White toothpaste
Brands with significant customer bases that require less attention than
other brands
For example:
For example:
Because a silver bullet has a role that extends beyond supporting its
own business, it deserves extra resources allocation in the form of
advertising / or product development
For example:
Sub brands are brands that are connected to the parent brand and
supplement or modify the parent brand’s association
The parent brand provides the ‘primary frame of reference’ and the
sub-brand provides the attribute association
For example:
• Where the endorser brand and the sub-brand both play a major role
For example
• Nestle Kit Kat – both Nestle & Kit Kat have strong brand equity
For example:
For example:
Angry Birds
India’s premier M-school
+ Merchandise Licensing industry
Worldwide is estimated at $187billion but in India it is still at nascent
stage
The emergence of organized retail in India has set the pace for new
collaborations between Licensors and Indian business houses
Allow entry into new categories and businesses in which the company
may not have core competency
However, the risk is that the product will not live up to the reputation
established by the brand
One cannot make a blanket judgment about any strategy being the
best
For example:
2)Competition
3) Resources
• Product branding firms like P&G, HUL, etc have deep pockets
• While the firms in Eastern side of the globe heavily banked upon
umbrella branding. These firms, instead created a common equity
pool to be used and exploited by products in their portfolio
• Innovation brings uncertainty, both for the firm and the customers
This hierarchy involves moving from top level to the bottom level
introducing more brands at each succeeding level which may be
easily represented as follows:
4)Modifier (GLX)
For example:
• P&G owns Vicks, Whisper, Ariel etc – but does not uses its
corporate name in any of its line business
Some other firms combine their corporate brand name with family
brands or individual brands
For example:
For example:
At the next lower level, a family brand is defined as brand that is used
in more than one product category but it is not necessarily the name
of the company or the corporation itself
For example:
For example:
For example:
Product Mix
Brands 1 2 3 4
Brand Line
A
Product Assortment:
Entire Matrix
Product Mix
Product Breadth/Width
(No. of product lines)
Average Depth
Product Line Length = Total Variants/
No. of products in product line Total Brands
Product Assortment
India’s premier M-school
HUL
Detergents Soaps Hair Care Food Beverage Oral Care Skin
es / Ice
Creams
Care
Wheel Liril Clinic Plus Kissan Taj Close-up Ponds
Mahal
Tea
Rin Breeze Sunsilk Knorr Taaza Pepsodent Fair &
Lovely
Surf Excel Rexona Dove Annapurna Lipton
Sunlight Lifebuoy
Dove
Hamam