Gyms & … It will not be worth it if your target customer will likely only be exposed to one or two product brands. Education & art. Consider whether there is value in the endorsement of the endorser parent brand to your target customer. FMCG Alcoholic beverages. The time and resources involved in planning and implementing the brand activities will be greater, Success will not be directly attributed to the parent brand. An endorser brand architecture is made up of individual and distinct product brands, which are linked together by an endorsing parent brand. L'Oreal + Studio Line There are three key levels of branding: It is easier for consumers to recognize the products and to understand them because of the descriptor. For brands with large portfolios built on a key innovation or set of innovations, an endorser brand architecture can be a good alternative to a. Agriculture. An endorser brand architecture succeeds where it links a family of product brands by a shared high-level promise, which is valued by target customers. What Is Brand Architecture? The Advantages and Disadvantages of Using Each Brand Architecture. Brand architecture strategy consisting of the creation of sub-brands with their own identity for certain business units under a parent brand, which are grouped together adding prestige and credibility. The Advantages and Disadvantages of Using Each Brand Architecture; What Is Brand Strategy? Monolithic brand (also known as Branded house): there is a single master brand, one trademark followed by descriptive names for each product/service, one system (promise, personality, visual and verbal identity) used for all the products/services that corporate develops. An endorser brand architecture allows a high degree of brand marketing freedom for each product brand. That is because a strong brand—and an effective brand strategy—results in a higher return on investment for your marketing dollar. Easy introduction of new products. Is the assurance provided by the endorser brand valued by the customer? Endorsed brands: Individual product brands, linked together by an endorsing parent-brand. Blog Post By: Kali Kraft, Baer Performance Marketing Intern. Inbetween one finds a power balance between the two as L'Oréal tends to do e.g. Microsoft uses multiple brand architectures, but very deliberately. An endorser brand architecture allows a key innovation or promise to be highlighted and reinforced in brand marketing for the family of products. Unilever, an Anglo-Dutch multinational, uses umbrella branding for some of its product ranges. It has endorsed brands like XBox and Bing, which target more fractional audiences, but remain linked to the parent brand. FERNANDEZ, CLARISA N. MARKETING MANAGEMENT 3-1 Individual Branding Large companies with a variety of well-known products may opt for an individual branding strategy by giving each product its own brand name. Examples of an endorsed brand architecture include: Nabisco; Kellogg; Ralph Lauren; Caterpillar; Honda; Hybrid Corporate branding includes using the same brand name and identity for its whole product range. They are called “endorsed brands” because the parent brand endorses the products with its reputation. As you can see, every type of brand architecture has its advantages and disadvantages. List of Product Endorsement Advantages 1. “In any strategy, you need to keep it relevant to three things – your brand attributes, the personality and the brand essence,” Moulton explained. It has sub-brands like Microsoft Windows and Microsoft Surface. In our seventh and final blog post in this series, we will cover the mixed architecture type where a business has over time, acquisition or hazard entered up with a number of architecture types and may well need to consider curative work to make their structure stronger and more effective. It will have an impact on how you create budgets, the operating structures of your teams, and especially, how you communicate, both within and outside the business. Brand architecture is the structure given to the brands which are owned by one organization or business. In this case, 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. Each of these brands may have a distinct brand promise, position and personality. There are numerous examples of this strategy: Think Courtyard By Marriott, Polo by Ralph Lauren, Microsoft Windows, and the like. Despite the distinctness of each product brand, the essential ingredient for a successful endorsing brand architecture is that there is a link between (i) the higher-level brand promise of the endorsing parent brand and (ii) the product brand. Energy. Strengths: An endorser brand can work as assurance of quality for the product brand, it can increase consumer’s perception and confidence; Marketing activities advertise both … Consider if you have a large enough portfolio for an endorser brand to be worth the complicating of your brand marketing. Discuss the advantages and limitations of following a branding strategy of using brand names for specific products. And in so… The endorsing parent brand plays a supportive and linking role, and, in many respects, an endorser brand architecture can be seen as an inversion of a sub-brand brand architecture. Nabisco links together cookie and cracker product lines, including OREO, Ritz, and Arrowroot, and has built its promise of the high quality freshness for the packaged baked goods in the brand family. The brand architecture ensures the smooth running of an organization. In simple terms – It shows how the brands, sub-brands and other offerings of the company are organized and how they relate to each other. The purpose of following a branding strategy of using brand names for specific products is to create a brand identity [Cra13]. Focusing brand marketing (and marketing spending) on a single brand strategy and brand image. They are designed to stand apart and be independent from the master brand or the other house brands. You can target many different customers because the sub-brands have different names, logos, different promises, positions and personality traits – you can address conflicting audiences. The awareness and rapid market penetration that a known brand can lend to either a new offshoot or a smaller acquisition can be very beneficial. Find a brand strategy case study. 2. Partnerships help build brand identity. They are called “endorsed brands” because the parent brand endorses the products with its reputation. Nabisco as the endorsing parent brand is distinctively featured on all packaging in the family of product brands. The product brands will have each have their own brand marketing and will need to rely on their own value propositions to succeed. With the help of a celebrity or public figure you can: • Enhance brand awareness within a short period of time • Shift consumer attitudes about your goods or services • Add a fresh perspective to your brand • Improve brand management • Give your brand a major competitive edge Read this blog post to choose the right strategy for your portfolio of brands. An endorsed strategy is one where you’ll find messaging like “brought to you by…”. This link is what provides the assurance to the customer that if they like one product in the family of the endorsing brand, then a sibling brand is also worthy of consideration. A product endorsement gives you a chance to differentiate your company and brand message from what your competitors are doing. For Nabisco, the assurance is about freshness and not packaging material innovation. 1. Power – The cult of celebrity is a cultural phenomenon dating back millennia. With a branded house strategy, the firm is the brand. Individual branding contrasts with umbrella branding. It has masterbranded offers, like Microsoft Health, Microsoft Project and Microsoft Internet Explorer, all of which use descriptive product names so that ‘Microsoft’ stands out. Endorsement limits a business’s reputation risk and offers more positioning alternatives than a house of brands approach, for example. Product endorsements help your brand be able to stand out. Marketers use celebrity endorsers in hopes that the positive image of the celebrity endorser will be passed on to the product's or brand's image. There is no ideal or general recommended choice. Endorsed Brands fall somewhere in the middle. Any endorser brand assurance needs to be framed in a way that is meaningful to customers. Legal and creative / marketing costs of creating new sub-brands. But it also allows the flexibility for stand-alone brands where this would be an advantage. Product or service brands (for simplicity, all referred to as “product brands” in this post) linked together by an endorsing brand. Again considering Nabisco, Nabisco built its brand on packaging innovation which allowed it to deliver on the promise of freshness and has used the Nabisco endorsing parent brand as an assurance of freshness of its cookie and cracker brands to its customers. The phrase “brand architecture strategy” is industry-speak for something that most of us, as consumers, experience every day: how a company’s logos and brands work together, and how consumers will understand and interact with the brands. If a product/service goes through a crisis, the whole brand may suffer – any negativity associated with a service/product is attributed to the brand and all its other products/services – everything that occurs is attributed to the brand. It keeps a constant vigil on the market and its current trends. Advantages of Product Endorsement. A Brand Architecture Strategy helps build strong brands, increases marketing ROI and gets your company ready for further growth. An example of this is any social campaign that you see in the market – which if executed properly, makes a huge impact on the customers. Below, we differentiate between the two methods and explore the brand strategies of some of the biggest brands. In the previous article, we discussed various brand architecture types. For example, if your smaller brand manages to partner with a larger, well-recognized brand, this can build your brand’s recognition, value, and caché. Celebrity Endorsements: Advantages & Disadvantages Advantages. Here, brands are combined in such a way that one is designed to work in concert with the other. Don’t fret, this can work both ways. Partnerships can help position your brand by association. What is an endorsed brand? However, unlike sub-brands, endorsed brands have only limited potential to enrich the masterbrand. Culture road block can be manipulated by using celebrity with worldwide reputation (Kaikati, 1987). For a small portfolio of brands, the cost of the endorsing brand structure may not be warranted. The link between product brands can assist in cross-selling. Your strategy also impacts your business internally. Blog; Contact; Brand-Rep provides big company world class branding and delivery with a personal white glove approach. The goal of any brand strategy is to build a strong brand. It is common for the consumers to not be aware of the parent brand. Nabisco is a well-known example of an endorser brand architecture. CHANNELS OF DISTRIBUTION:Components of channel performance, Value thru … An endorser brand is a valuable brand architecture if the endorsement will increase buyer confidence in product brands. Any sub-brands do not detract from the main brand. Marketing dollars will be spread over distinct product brands and the endorsing brand, as opposed to focusing all of marketing spending on a masterbrand. FMCG Non-alcoholic beverages. FMCG Personal care & beauty. Search by category. Brand marketing which promotes the endorsing parent brand provides a boost to each product brand. Endorsed brands make the parent brand relevant or at least increases its awareness to the market served by the endorsed brand. The fact that every brand needs its own strategy, identity and marketing activities is a financial disadvantage. Knowing how your brand interacts with consumers is the key to determining the right brand architecture for your company. 2. An endorser brand can work as assurance of quality for the product brand, it can increase consumer’s perception and confidence, Marketing activities advertise both the product brand and the endorser, The connection between product brands can facilitate cross-selling, If a brand goes through a crisis it is hard to control the damage because the crisis can extend to the parent brand and also to the other brands, There will be creative, legal, and time-to-market costs for every endorsed brand, If a free-standing brand goes through a crisis, it is not “contagious” to the other brands, Full liberty in creating the identity: freedom to create different brand strategy, name, logo, design, and creative campaigns, Presence in different market niches, targeting different audiences. Advantages and Disadvantages of using brand names for specific products master brand or the other house brands brand architectures but! 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