Sep 17, 2009

Brand Architecture

Think of Brand architecture (or Brand Structure) as a brand's family tree or its hierarchy. It is how a firm organizes the various named entities within its portfolio, how they relate to each other. Ideally, brand structure is simple and easy, with no more than two levels: brand and subbrands. But some organizations add a third level too: named products.
The four general types of architecture are:
1. Master brand
2. Brand/subbrand
3. Endorsed brand
4. Separate brands: (stand-alone or independent)
Corporate Brand:
Corporate brand is a brand bearing the company name. It is always the highestin a brand hierarchy. Examples are Nestle, Hewlett-Packard, Coca-cola, Pepsi, IBM, Ford and etc.
Master Brand:
Master brand is the dominant, highest level brand in a brand hierarchy. Typically, it is also the only brand in the system. Historically, many corporate brands were also master brands. Today, there are fewer master brands left. E.g. Nestle is the master brand which is dominant and so called corporate brand of the Nestle company. 
Parent Brand:
Parent brand is a brand that is extended into more that one product category. Itmay or may not be the same as the corporate brand. Examples are Honda, PEL, LG, Orient. It is also called family brand because all the products are lie within one brand name. Parent brands offer the following advantages:
- Less expensive new product launches
- Trust & assurance
- Economies of scale
A subbrand is a new brand that is combined with a parent or corporate brand in the brand identity system. The subbrand can make the parent brand more vital and relevent to a new consumer segment or within a new product category. E.g. Cerelac is the subbrand of Nestle, similarly Milkpak, Nido and Pure life, all are the subbrands of corporate brand Nestle.
Endorsed Brand:
Endorsed brand is the primary name the consumer is intended to use to refer to a product. It is a brand that is endorsed by the parent or corporate brand in the brand identity system. The parent brand is also identified with the product; however, the endorsed brand is given much greater visual weight that parent brand. In this situation, parent or corporate brand lends credibility or assurance to the endorsed brand without overpowering it with its own associations. An example is Lays (chips) that is endorsed by Pepsi and similarly Minute Maid from Coca-cola.
Separate Brand:
Separate brands are the brands that either are independent or stand-alone. These brands have no influence of the corporate or parent brand. A good example of separate brands are Olper's milk, Omore icecream, brands of Angro Foods and Olper's milk has no influence on Omore and both lauched as independently and both are successful too.
Trade Dress (trademark)
Trade dress refers to aesthetic elements that provide legal protection for a brand's identity. For example, Coca-Cola's bottle shape is a part of its trade dress.

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