B RAND NAME SE LEC TIO N

PRESENTATION BY LOVELLE JAO

BSBA 3 MM
INTRODUCTION
Brand names should be chosen carefully since names convey images. A good brand name should evoke
positive associations, be easy to pronounce and remember, suggest product benefits, be distinctive, use
numerals when emphasizing technology and should not infringe on an existing registered brand name.
Brand names should be chosen with a lot of foresight. Brand promoters should expect their brand to last
for eternity. They should have a clear idea about how they want the brand to evolve and what they want it to
become. Allowing the brand name to reflect themes which are in vogue now but which cannot be expected to
be popular forever is a bad idea.
If a brand name strongly reflects its association with a product category, the brand promoter will find it
difficult to extend the brand name to a different category in future. Similarly if the name strongly reflects a
product’s characteristics, it will be difficult to reposition the brand if such needs arise.
INTRODUCTION
The idea is that the name should not become a constraint in the brand’s evolution or its
planned life cycle. If the promoter is not clear about how the brand will evolve, such a
brand name should be chosen which does not evoke any meaning related to either the
product category it is currently part of, or its current customers.

Having ‘XYZ’ as a brand name is really not a bad idea if the promoter is undecided
about the brand’s future. But if the promoter has definite plans for the brand, then he can
commit the brand name to something more definitive, either reflecting product’s
characteristics or customers’ unfulfilled needs.
3 S T R AT E G I E S
FOR
CHOOSING A
BRAND NAME
1. INDIVIDUAL
BRAND NAME
Under this strategy, different brand names are used for
different products offered by a single company in the market.
This strategy does not identify a brand with a particular
company. The company uses different names for its offerings
in different product categories. It may also use different names
for different offerings in the same product category.
* Reckitt Benckiser Brands

This helps in creating a distinct image for every product. However, the main limitation of this strategy is that it is very
costly. Only few firms follow this strategy. For example, Reckitt Benckiser has given different brand names to its products like
Cherry Blossom, Robin, Lizol, Colin etc.
This is necessary when it is believed that each brand requires a separate, unrelated identity. Sometimes the use of a family
brand name when moving into a new market segment may harm the image of new product line since the family name may
carry pre-existing, undesirable associations for the new segment.
 However, the lack of company association can prove to be risky and each time the company launches a new
brand it has to establish its credentials afresh. Establishing an individual brand name is an expensive and time
consuming exercise.

In spite of the expenses involved in establishing a brand name each time the company launches a new
product, the strategy of having individual brand names for all company’s offerings has some irrefutable merits.

The brand manager is not constrained by the brand’s association with some other categories. The brand can
go ahead and establish strong points of parity with the category it is a part of, and then differentiate sharply from
its competitors.

The company need not dilute its brand positioning to make it compatible with its positioning in other
product categories which it would have to do if a family brand name was being used. The brand can afford to be
enmeshed with its category. An individual brand name can become a synonym for the category it belongs to if it
becomes very strong. This is the most enviable state for any brand manager.
2. BLANKET
FAMILY
BRAND NAME
Blanket family branding refers to the use of same brand name for all the products. The goodwill attached to the family
brand name benefits all brands and the use of the name in advertisement of one brand helps the promotion of all the brands
carrying the family name. For example, Samsung, BPL, LG etc. This strategy is very simple and economical. A new product is
easily recognized in the market because it enters with an established name.
Umbrella branding (also known as family branding) is a marketing practice involving the use of a single brand name for
the sale of two or more related products. Umbrella branding is mainly used by companies with a positive brand equity (value
of a brand in a certain marketplace). All products use the same means of identification and lack additional brand names or
symbols etc.
 Thus, huge amounts are not required to be spent to built brand recognition. For example, when Sony
entered the mobile market, it got instant recognition because of already established name in the market.
The advantage to family branding is that the new product benefits from the good will and equity built up by
the family and umbrella brand.
The risk in this strategy is that if one of the brands receives unfavourable publicity or is unsuccessful, the
reputation of the entire range of products containing the brand name can be tarnished.
3. COMPANY NAME COMBINED
WITH INDIVIDUAL NAME
Under this strategy, the advantages of family branding and individual branding are joined together. For example, Tata
follows this strategy such as Tata salt, Tata Indicom, Tata Safari, Tata Tea, Tata Indica etc. Similarly, same strategy is used by
Britannia such as Britannia Marie, Britannia Bread, Britannia Fifty Fifty etc.
A combination of family and individual brand names capitalize on the reputation of the company while allowing
individual brands to be distinguished and identified. This strategy entails using the family brand name first followed by
individual names for every brand in every product category that the company operates in.
This strategy is helpful if everything is well with the company and customers are generally happy with the company’s
offerings in various categories. Each brand will benefit from the other doing well. But the situation may start to get bad if a few
offerings in some product categories start receiving bad vibes from customers.
 If the situation is not rectified, customers will get suspicious about all the brands that have the family brand
name attached to them. A few more failures and the initial skepticism of customers will snowball into a disaster
with customers shying away from products bearing the family brand name.
A company using family brand names or combination brand names should exercise caution. If the company
is entering a category which is very different from the ones that it is currently serving, or the company is not
very sure of succeeding in the new category, it should use an individual brand name instead of the family brand
name or combination brand names.
Because the family brand name is associated with so many businesses, too much may be at stake to risk its
associations with any business which has reasonable chance of failing.
 Thank you
for listening!