Brand Product Matrix

1 A 2 3 …..n


B C ….

Brand Product Relationship (brand line)

Product Brand Relationship (product line)

h Pai, Visiting Faculty, NMIMS University

Brand Portfolio
• Brand Line
– Products within a brand (original +extensions) – Brand portfolio is a set of all brand lines targeted at various segments

Product line
– Set of products with similar function – Product across brands or brand extensions

Branding strategy
– Number of common and distinct brand elements to be used – Breadth ( in terms of brand – product relationship and brand extension strategy) – Depth (in terms of product-brand relationship and brand-portfolio)

h Pai, Visiting Faculty, NMIMS University

Brand Portfolio
Aggregate Market Factors
Market Size Market Growth Stage in PLC Sales cyclicity Seasonality Profits

Environmental Factors
Technological Political Economic Regulatory Social

Breadth of a Product Mix

Category Factors
Threat of new entrants Bargaining power of buyers Bargaining power of sellers Current Category Rivalry Pressures from substitutes Category Capacity

h Pai, Visiting Faculty, NMIMS University

Depth of a brand
• • • • • • Different brands in the same product class To pursue Multiple Market Segments To increase shelf presence and retailer dependence Variety to customers Internal Competition Economies of scale in advertising, sales, merchandising and distribution

h Pai, Visiting Faculty, NMIMS University

Other Special Roles of brand in a portfolio
• • • • • Tap into untapped segment Serve as flanker and protect flagship brand Serve as cashcow and be milked for profits Low end entry level product – customer acquisition High end prestige product

h Pai, Visiting Faculty, NMIMS University

Brand Hierarchy
• • Summarizing brand strategy by usage and sharing of brand elements across brands ( MTV, VH1, Nick) Kapferer’s Branding System
– – – – – – Product Brand (Ariel, tide and Dash by P and G) Line brand.. Across different products (Chevrolet: GM) Range Brand… (maggi food range) Umbrella brand.. Across products and services (canon, HP) Source brand (Garnier.. With fruit extracts) – direct named Endorsing brand

Other Way of classifying
– – – – Corporate brand (GM) Family Brand (Chevrolet) Individual Brand (optra) Modifier (GLX)

h Pai, Visiting Faculty, NMIMS University

Brand Extensions
Current Products Current Markets New Markets Market Penetration New Products Product Development

Market Development


Ansoff’s Growth Share matrix

h Pai, Visiting Faculty, NMIMS University

New product branding choices
• • • • Develop a new brand, individually chosen for the product Apply, in some way, an existing brand Combination of the above Brand Extension ( 2 and 3 above)
– Line extension (same product category as the parent brand) – Category extension (new product category vs. the current parent brand)

h Pai, Visiting Faculty, NMIMS University

Types of extensions - Ed Tauber
• • • • • • • Same product new form Products with same taste, ingredient or component Companion products –(eveready flashlight and cells) Products relevant to the customer franchise of the brand Capitalize on firms expertise – dupont, canon, Honda lawn mowers Brands distinctive benefits Distinct imagery of the brand – Ferrari accessories

h Pai, Visiting Faculty, NMIMS University

Advantages of extensions
• Advantages
– Facilitate new product acceptance
• • • • • • • Improve brand image Reduce risk perceived by customers Increase the probability of gaining distribution and trial Reduce costs of introduction and followup marketing Avoid cost of developing a new brand Packaging and labelling efficiency Permit consumer variety seeking

– Feedback benefits to parent brand and company
• • • • Clarify brand meaning Enhance the parent brand New customers into the brand franchise Revitalize the brand

h Pai, Visiting Faculty, NMIMS University

Disadvantages of Brand Extension
• • • • • • • • Can confuse or frustrate customers Retailer resistance Failure and hurt to parent Brand Image Success and hurt to parent brand image Cannibalization of parent brand Diminish identity with any one category Dilute brand meaning Can cause the company to forego a further chance to develop a new brand

h Pai, Visiting Faculty, NMIMS University

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