Designing and Implementing
Branding Strategies
Iin Mayasari
Branding strategy or Brand Architecture
◼Branding strategy of the firm can help
consumers understand its products and services and organize them in their minds.
◼The branding strategy for a firm reflects the number and nature of common or distinctive
brand elements applied to the different products sold by the firm.
The Role of Brand
Strategy/ Architecture
◼Clarify: brand awareness
◼Improve consumer understanding and
communicate similarity and differences between individual products
◼Motivate: brand image
◼Maximize transfer of equity to/from the brand to individual products to improve trial and repeat purchase similarities
◼Two important strategic tools: The brand- product matrix and the brand hierarchy.
◼It helps to characterize and formulate branding strategies by defining various
relationships among brands and products.
Branding strategy or Brand
Architecture tools
Tools:
Brand-Product Matrix
◼Must define:
◼Brand-Product relationships (rows)
◼Line and category extensions
◼Product-Brand relationships (columns)
◼Brand portfolio
1 2 3 4
A B C
Products
Brands
Brand-Product Matrix
◼Brand-Product relationships
◼Line and category extensions
1 2 3 4
A B C
Products
Brands
Brand-Product Matrix
◼Product-Brand relationships
◼Brand portfolio
1 2 3 4
A B C
Products
Brands
Product Matrix - Mixpanel
PC Tablet Smartphone Music player
Software Watch
Mac/
iMac
Macbook, Macbook pro
iPad Air,
Mini
iPhone from 2G to 6+
iPod Shuffle,
Touch, Classic, Nano
iTune Last version
12.1.2
iWatch Classic,
Sport
PRODUCT
BRAN D
Designing a Brand Portfolio
◼Basic principles:
◼Maximize market coverage so that no potential customers are being ignored
◼Minimize brand overlap so that brands aren’t competing among themselves to gain the
same customer’s approval
Important Definitions
◼Product line
◼A group of products within a product category that are closely related
◼Product mix (product assortment)
◼The set of all product lines and items that a particular seller makes available to buyers
◼Brand mix (brand assortment)
◼The set of all brand lines that a particular seller makes available to buyers
◼Breadth product mix
Breadth of the set of all product lines and items that a particular seller makes available to buyers)
◼Aggregate market factors
The aggregate market refers to the overall supply and demand for all goods and services in an economy
◼Category factors
Category management involves grouping goods and services into categories based on similar characteristics (such as type, value, supplier, risk, location, or department)
◼Environmental factors
cultural norms, political climate, legal requirements, and the overall environment in which the project operates
Breadth of a Branding
Strategy
◼Depth of product mix
Depth of the set of all product lines and items that a particular seller makes available to buyers)
◼Examining the percentage of sales and profits contributed by each item in the product line
◼Deciding to increase the length of the product line by adding new variants or items typically expands market coverage and therefore market share but also increases costs
Breadth of a Branding
Strategy
Contoh Brand Portfolio
https://www.toyota.astra.co.id/home
https://www.hyundai.com/id/id
Brands roles in the Brand Portfolio
◼Flankers brand
These support and protect the main brand by targeting specific market segments
◼Cash cows brand
These are established and profitable brands that generate consistent revenue
◼Low-end entry-level brands
These cater to price-sensitive consumers and serve as an entry point to the brand
◼High-end prestige brands
These enhance the brand's image and appeal to luxury consumers
◼A means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firm’s products, revealing the explicit ordering of brand elements
Tools:
Brand Hierarchy
The highest level of the brand hierarchy technically always involves one brand–the corporate or company brand. For legal
reasons, the company or corporate brand is almost always present
somewhere on the product or package, although it may be the case that the name of a company subsidiary may appear instead of the corporate name.
For example, Fortune Brands owns many different companies, such as Titleist, Footjoy, Jim Beam, Master Lock, and Moen, but does not use its corporate name in any of its lines of business.
At the next-lower level, a range / family brand is defined as a brand that is used in more than one product category but is not necessarily the name of the company or corporation itself.
An individual/ product line brand is defined as a brand that has been restricted to essentially one product category.
A modifier is a means to designate a specific item or model type or a particular version or configuration of the product.
Brand Hierarchy - MBA Knowledge Base (mbaknol.com)
Brand Hierarchy Levels
Family Brand (Buick)
Corporate Brand (General Motors)
Modifier: Item or Model (Ultra)
Individual Brand (Park Avenue)
What is Brand Architecture? (vase.ai)
CORPORATE BRAND
FAMILY BRAND FAMILY BRAND
INDIVIDUAL BRAND
INDIVIDUAL BRAND
INDIVIDUAL BRAND
INDIVIDUAL BRAND
MODIFIER (item/model)
MODIFIER (item/model)
MODIFIER (item/model)
MODIFIER (item/model)
MODIFIER (item/model)
hwh 2024
Brand Hierarchy Levels
Company/Corporate
Company/Corporate/Product
Corporate Brand Equity
◼Occurs when relevant constituents hold strong, favorable, and unique associations about the corporate brand in memory
◼Encompasses a much wider range of associations than a product brand
Family Brands
◼Brands applied across a range of product categories
◼An efficient means to link common associations to multiple but distinct products
Individual Brands
◼Restricted to essentially one product category
◼There may be multiple product types offered on the basis of different models, package sizes,
flavors, etc.
Brand Hierarchy Decisions
◼The number of levels of the hierarchy to use in general
◼How brand elements from different levels of the hierarchy are combined, if at all, for any one
particular product
◼How any one brand element is linked, if at all, to multiple products
◼Desired brand awareness and image at each level
Managing Brand Hierarchy
◼Three strategies:
◼Branded-house strategy
◼Sub-brand strategy
◼House-of-brands strategy
Brand architecture, House of brand, branded house, brand portfolio - Remo Luzi Coach (themarketingis.com)
Tahun 1994
◼Branded-house strategy
Branded House or House of Brands? - IDeas BIG
Tahun
2000
◼Branded-house strategy
Branded (inspiredpencil.com)
◼Branded-house strategy
Branded House Strategy + Examples To Inspire Your Arch itecture (brandmasteracademy.com)
◼ House-of-brands strategy
Branding Strategy Source: Branded House vs. House of Brands
what-is-omnichannel-retailing-updated.png (1920×1080) (vaimo.com)
◼Sub-brand strategy
◼Sub-brand strategy
◼Sub-brand strategy
◼Sub-brand strategy
Brand Architecture Guidelines
◼ Adopt a strong customer focus
◼ Avoid over-branding
◼ Establish rules and conventions and be disciplined
◼ Create broad, robust brand platforms
◼ Selectively employ sub-brands as means of complementing and strengthening brands
◼ Selectively extend brands to establish new brand equity and enhance existing brand equity