Brand Hierarchy

Smart Principles for Designing a Brand Hierarchy We all know the recession has drastically force consumer behaviors, but we may often overlook its direct impact on labels themselves. The recession has changed the way marketers manage their nock portfolios as they try to do to a greater extent with less. As such, marketers are taking a closer look at how then can stretch existing brand equity across a greater number of products, often taking a name brand/sub-brand approach. We generally see four different sub-brand approaches, each with their own benefits and risks 1.Driver Sub-BrandsA driver sub-brand encourages purchase decisions by representing the value proposition central to the user determine. The parent brand endorses the sub-brandbut its the sub-brand that defines the consumers perceptions of the product or service experience and proves the primary driver motivating consumer purchase. Take the Gillette Fusion razor. Customers primarily buy the technology and performance represented by the Fusion name. Fusion is the driver brand while Gillette creates a strong identity and clear visibility for the Fusion name on the package, retail rack, and in consumers minds.As you might guess, if a company is passage to take a driver sub-branding approach, then the sub-brand must generate real response to its entrance in the marketplace to succeed. 2. Co-Driver Sub-BrandsIn this case both the parent brand and the sub-brand play majorand often equalroles in driving the consumer toward purchase. Cadillacs Escalade sub-brand serves as a co-driver, as both the Cadillac and Escalade brand names influence consumers purchase decisions.While consumers associate the Cadillac name with top of the line performance, quality, and style, the Escalade brand compounds that image with the slightly rugged, more versatile associations of a sports emolument vehicle. Cadillac marketers leverage the associations of both driver brands to command market share in the luxury sports util ity vehicle category, as well as generating significant hire for the car among Hollywood celebrities attracted to the brands image of luxury, spaciousness, and high performance versatility.In co-driver situations, both the parent brands image and the sub-brands image unitedly influence the consumers decision to purchase the product. 3. Descriptor Sub-BrandsAs implied by the name, descriptor brands communicate a distinct facet of the parent brande. g. , class, feature, scar segment, or function. For example, Purina Dog Food maintains the following descriptive brands Dog chuck, Beneful, Hi-Pro, Fit & Trim, Puppy Chow, Moist & Meaty.Purina Brand Dog Food uses these descriptor sub-brands to more accurately meet the needs of individual dog breeds and the specific demands of dog owners. While all dogs could potentially thrive off of the standard Puppy and Dog Chow offerings, developing specialized offerings for overweight, high-energy, and performance dogs defined by a unique descript or sub-brand enables owners to better address their dogs perceived needs. This is the riskiest category of sub-brands, as the sub-brand may cannibalize the parent brand if insufficient differentiation among the varieties exists. . Endorsed Sub-BrandsIn an endorsed sub-brand relationship, the parent brand often provides support and credibility to the sub-brands claims in a more explicit fashion than co-drivers (for example, Rugby by Ralph Lauren). Endorsed sub-brands provide consumers with assurance that the sub-brand will deliver on the same value propositions as the parent offering, enabling the parent brand to expand into new markets while retaining its established brand position.