PERSONAL WASH

LAUNDR Y

HAIR CARE

DEODORANT S

SKIN CARE FAIR AND LOVE LY PONDS VASELINE

ORAL CA RE PEPSO DE NT CLOSE UP

COLOUR COSME TICS

FOODS AND BEVERAG ES BROOKE BOND LIPTON KISSAN ANNAPURNA KNORR KWALITY WALLS

LUX LIFEBUOY LIRIL HAMAM BREEZE DOVE PEARS REXONA

SURX RIN WHEEL

SUNSILK CLINIC

AXE REXONA

LAKME

The branding strategy or Brand Architecture 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 defining the BA or BS is two fold: 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

There are 6 Branding Strategies:

1. 2. 3. 4. 5. 6.

The The The The The The

Product Brand Line Brand Range Brand Umbrella Brand Source Brand Endorsing Brand

Brand function: Indicator of origin The Endorsing Brand The Source Brand

The Umbrella Brand

The Range Brand

The Line Brand The Product Brand

Brand function: Product differentiation

This strategy involves assignment of a particular name to one, and only one, product. Product is not a product but aa entire product categoryphenomenon called Branduct Each new product receives its own brand name and a unique positioning. Here, the brand, the name of the product become a strict indication of identity. E.g. Procter & Gamble- ariel and HLL- Surf

Company X

Brand A

Brand B

Brand N

Product A

Product B

.etc.

Product N

Positioning A

Positioning B

Positioning N

Hair-Care

Pantene, Head & Shoulders, Rejoice Ariel, Tide

Detergents

HLLs Product Brands:

Soaps Detergents Skin Care Hair Care Oral Care Deos
Lux, Lifebuoy, Liril, Hamam, Breeze, Dove, Pears, Rexona Surf Excel, Rin, Wheel
Fair & Lovely, Ponds, Vaseline Sunsilk, Clinic Pepsodent, Closeup Axe, Rexona

Advantages

Disadvantages

Offensive strategy to occupy whole Each product launch is a brand market by offering to many launch segments

Caters to need of innovative companies who want to preempt positioning

Allows firms to take risks Freedom to move anything anywhere Failure of one no risk to another

Retailers unwilling to take risk with untested products

Hi volumes required to justify such investment

This strategy involves offering one coherent product under a single name, by proposing many complementary products. Exploiting a successful concept by extending it and staying close to the initial product. This involves offering one product, and then extension of the offer by including several related products within the same specific offer. E.g. Studio Line from L'Oreal (Shampoo, conditioner , Color, Cream , Spray , Gel) Parachute (Hair Oil, Gel, Hair-Cream) Diors Captureantiaging, eye shaper, lip shaper etc

Advantages Several extensions @ marginal costs Reinforces selling power of brand and creates strong brand image Ease in channels

Disadvantages Line has limits too Only innovations that are closely linked can be tried

Range brands bestow a single brand name and promote through a single promise a range of products belonging to same area of competence. Products guard their common names like purifying plant mask, multi tensor toning solution - Clarins Example Heinz, campbell, Green giant in food sector
BRAND Brand Concept A B C D E..N

PRODUCTS

Himalaya Herbals

Concept: To provide Quality Herbal products for various personal uses.

Baby-Care
Baby Lotion

Hair-Care
Shampoos Conditioners Hair Oils Hair Cream Hair Loss cream

Skin-Care
Face creams Body lotions Face packs Face wash Facial scrubs Toners/ Cleansing Milk

Health-Care
Pure herbs Ayurvedic medicines

Baby Cream
Baby powder Baby Oil Baby Soap Baby Shampoo Nappy Rash Cream

Foot care creams

Advantages Avoids random spread of communication by sticking to single name

Disadvantages Products names become banal, anyone can claim their recipies.

Throws light on products and also helps shopkeepers structure their selves

To enrich the brand to express personality and for customers to choose from mass of products on offer, intermediary stage is required between brand name and product name. This may be done with specific lines

Ease in channels

Under umbrella brand strategy, the same brand supports several different products in different markets. Each product has its own advertising tools and develops its own communication. Yet each product maintains its own generic name. E.g. Canon- Canon cameras, Canon Fax machines, Canon photocopiers, Canon printers etc.

CANON
LG YAMAHA

Photocopiers, Digital Cameras, Camcorders, Printers, Scanners, Projectors Mobile phones, TV, Refrigerator, AC, Microwave, Laptop, Monitors etc Musical Instruments, DVD players, Home theatre systems, commercial audio systems, Motorcycles, Wave-runners, boats etc.

This is similar to umbrella brand strategy with the only distinction that products are directly named. (instead of a generic name). It provides a two-tiered sense of difference and depth that is by identifying source/ parent brand while at the same time providing a distinct identity through the daughter brand.

YSL Elle, YSL Opium, YSL Baby Doll, YSL (Yves Saint Laurent) Paris, YSL M7, YSL Jazz etc

YSL

Bajaj Auto

Bajaj Pulsar, Bajaj Avenger, Bajaj Discover, Bajaj Kristal

Advantages Two tiered sense of depth and difference Parent brand offers significance and identity daughter brand modifies and enriches it Limits of source brand lie in the necessity to respect the core spirit and identity of the parent brand

Disadvantages Only names related to parent brands field of activity shld be associated with it

The endorsing brand gives its approval to a wide diversity of products. It acts as a guarantor of quality. It allows dual brand equity to develop. Brand endorsement can be indicated in a graphic manner by placing the logo/emblem of endorser next to brand name. E.g. Nestle, Polo Ralph Lauren

Nestle
Ralph Lauren

Maggi, Everyday, Nescafe, Kit Kat, Polo, Munch, clairs, Nestea, Milo, Nesquik etc
Polo Ralph Lauren, Chaps Ralph Lauren, Ralph Lauren Collection, Polo Sport etc

General Chevrolet, Pontiac, Saturn, Cadillac, Hummer Motors

Advantages One of the Least expensive way of giving substance to the company name and allowing it to achieve a minimal brand status. Greater freedom of movement Technical guarantees are assured by the endorsing brand the product brands can devote more time expressing other facets of personality

Disadvantages Greater responsibility for endorsing brand to guarantee quality, scientific expertise but also civic responsibility and environmental concerns.

In reality companies use mixed configurations hybrid Eg: LOreal is range brand for lipsticks & an endorsing brand for studio line,

Brand Cadbury Mattel Toys Benetton ITC Dettol Dabur

Strategy
Endorsed Brand House of Brands (Product Brands) Single Brand (Range Brands) House of Brands (Product Brands) Single Brand (Range Brands) Combination Strategy Product Brands + Source Brands Combination Strategy Endorsed Brands + Line Brands

Sub-Brands
Perk, 5-Star, Bournvita, clairs, etc Barbie, Fisher Price, Hot Wheels etc Benetton Womens, Mens, Kids, Accessories etc. Wills, Aashirwad, Sunfeast, WLS, John Players, Miss Players etc. Dettol Antiseptic, Dettol Soap, Dettol Hand Wash etc. PB: Real, Meswak, Odonil etc SB: Dabur Lal Tail, Red Toothpaste, Dabur Chyavanprash etc. EB: Bandaid, Savlon, Shower to Shower etc. LB: Johnson's Baby products

Johnson & Johnson

Wagon lits hotel division uses the brand name PLM Azur as an endorser used as signatures in small print after specific names of hotels it has. Reason Holidayers hotel with transparent and explicit offer, only need to reaffirm the guarantee of the endorsing brand. Pullman puts its name in bold before the specific names of its hotels as a source brand to indicate a specific level of quality which is consistent , while retaining the flexibility of location distinctiveness. Local suffix also indicates that it is open to influence from host country. The denominative policy is not based on aesthetics or formal desire but stems from role expected by customer compared with function & meaning of possible product, line or range names & other indicators

Nevertheless same data may not necessarily result in identical policies of nominal identities by two different companies as their strategies may differ. Eg: calvet - bordeaux relationship

Lancome uses mono product policy with only a small range derived from a leading product eg. Progress for face, eye liner & anti wrinkle cream, Purpose to give each product a name to reflect a function Nutrix nurtures, Hydrix moisturizes and Forte- Vital makes it firmer, niosome contains niosomes. Sales pitch becomes clearer. Lancome remains a source brand as creator of clear vision that of French elegance.

Clarins uses lines : Self concept is different. Sees itself as beauty institute. Concept implies many products belonging to same line as in prescription as mono- products cant do everything. Prefers objective product promises rather than plethora of slogans.

Trend: to capitalise on few brands and nurture them with innovations and line and/or range extensions. 3M realised it and reduced from 244 brands launched in 1981 to just 4 new launches in 1991. Reason: 29th rank in fortune 500, 60000 products but remains relatively unknown. Corporate branding policy committee was hence formed.

Companys brand policy capitalized on few key brands (primary or power brands) Filter question: Ask if the innovation satisfies any of the following criteria? a. Is the product a top priority innovation b. Does it create new price /quality relationship? c. Does it create new category which doesnt exist till then? d. Is it the outcome of an acquisition?
3M Medical Division Scotch OHP & cameras Post it Video cassettes Extra magic Scotch Brite

Raccoon

3M + generic Existing primary name generic product name+ 3M logo N 3M + generic

Is new primary brand justified

Filter question

there Y N
Is there usable primary brands

Is there usable primary brands

New primary name , generic product name+ 3M logo

Existing primary name generic product name+ 3M logo Existing primary name, New secondary brand generic product name+ 3M logo

there
Y

Is new secondary brand justified

Dilemma brought about by Brands two concomitant but scarcely compatible, aims of creating distinction between products with restoring the notions about their origin. Examples Fiat- Panda, Uno, Tipo, Regatta. Renault- R-5, R-19, R-21, etc. then Clio, Safrane, Laguna etc.

BMW- 3, 5, 7 series.
Dior: Diorella, Diorissmo, Miss Dior, and then Poison and Fahrenheit.

Dior cosmetics: Capture, Resultante, Hydra Dior .

Clarins: Multi- reducing, Multi- Restoring

1. For very strong brands products may not have or need names. The brand transforms everything it embraces. Eg: Lacoste, M&S, Sony. 2. The brand name dominates the product eg:Mercedes A B C D E or S class. The customer will discover subjective and objective attributes which go up to forming a brand identity. 3. Rising brand may find it handy to express its identity and system of values through little touches of association between product and Brand Eg: Diorissimo, Miss DiorDiorella. Caution should be used sparingly as the source brand may become just a technical name. 4. Brand may not serve products but may serve itself . It takes products under its wings and helps them express innovating qualities.Eg: Niosome and Noctosome by Lancome

5. Brands identity and vision: Clarins uses Multi before its products. Multi is part & parcel of Clarins Identity. Even though Multi cant be patented. 6. The penultimate stage- loss of affiliation. Diors Capture and poison. The product - brand relationship is bottom up one. New meaning rises to the heart of the brand and brand accepts this new lifeblood. Good for exhausted or weak brands. Hence from Renault R1 R5 etc to Cleo and Twingo. 7. Final stage full autonomy . Ariel, Dash Tide etc.

Extensive policy to capture market share: not desirable to present products as part of range hence distinct products with specific names.Eg P&G Intensive policy for existing clients: products should resemble each other or appear to belong to the same group.Eg Mac Strength of brand: product through brand or brand through products? Fiats image was not that great so Tipo, Ritmo, Panda.