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1 Types of Brand Architecture

Brand architecture is the structure of brands within a company's portfolio and how they relate to and differentiate from one another. It defines the hierarchy of brands and how the corporate brand and sub-brands support each other. Decisions about brand architecture concern managing a parent brand and family of sub-brands to maximize shareholder value. Examples of brand architecture include reorganizing General Motors' portfolio to reflect its new strategy of adopting a multiple brand corporate invisible structure.

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158 views3 pages

1 Types of Brand Architecture

Brand architecture is the structure of brands within a company's portfolio and how they relate to and differentiate from one another. It defines the hierarchy of brands and how the corporate brand and sub-brands support each other. Decisions about brand architecture concern managing a parent brand and family of sub-brands to maximize shareholder value. Examples of brand architecture include reorganizing General Motors' portfolio to reflect its new strategy of adopting a multiple brand corporate invisible structure.

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Brand architecture

Brand architecture is the structure of brands within an


organizational entity. It is the way in which the brands
within a companys portfolio are related to, and dierentiated from, one another. The architecture should dene the dierent leagues of branding within the organization; how the corporate brand and sub-brands relate to
and support each other; and how the sub-brands reect
or reinforce the core purpose of the corporate brand to
which they belong. Often, decisions about Brand Architecture are concerned with how to manage a parent brand,
and a family of sub-brands - Managing brand architecture
to maximize shareholder value can often include using
brand valuation model techniques.

nence. Other stakeholders, like shareholders or partners, will know the producer by its company name.
Procter & Gamble is quoted by many authors as the antithesis of a Corporate Brand (Asberg and Uggla, Muzellec and Lambkin, Olins).[2][3] However, this situation
changed in 2012. After more than 150 years of invisibility of the organization for consumer, the brand developed corporate brand promise during the 2012 Olympic
games. Commercials are aired on television around a
message thanking all the moms. In addition, each of
their products is associated with the brand PG in advertisements for products.

Brand architecture may be dened as an integrated process of brand building through establishing brand relationships among branding options in the competitive environment. The brand architecture of an organization at
any time is, in large measure, a legacy of past management decisions as well as the competitive realities it faces
in the marketplace.[1]

A recent example of brand architecture in action [4] is


the reorganization of the General Motors brand portfolio
to reect its new strategy. Prior to bankruptcy, the company pursued a corporate-endorsed hybrid brand architecture structure, where GM underpinned every brand.
The practice of putting the GM Mark of Excellence on
every car, no matter what the brand, was discontinued in
August, 2009.[5] In the run-up to the IPO, the company
adopted a multiple brand corporate invisible brand architecture structure.[4] The companys familiar square blue
badge has been removed from the Web site and advertising, in favor of a new, subtle all-text logo treatment.[6]

Types of brand architecture

There are three key levels of branding:


Corporate brand, umbrella brand, and family brand
- Examples include Virgin Group and Heinz. These
are consumer-facing brands used across all the rms
activities, and this name is how they are known to all
their stakeholders consumers, employees, shareholders, partners, suppliers and other parties. These
brands may also be used in conjunction with product descriptions or sub-brands: for example Heinz
Cream of Tomato Soup, or Virgin Trains.

2 Types of Brands under Brand


Architecture

Ambassador Brands Those brand that reect the image


of the company are Ambassador Brands. Success or
Failure of these brands aect the favorable or unfavorable opinion respectively, of the company. E.g.: Colgate
toothpaste, the market leader in toothpaste segment in In Endorsed brands, and sub-brands - For exam- dia, can be rightly called Ambassador brand.
ple, Nestle KitKat, Cadbury Dairy Milk, Sony
Piggyback Brands The nature of these brands is to live
PlayStation or Polo by Ralph Lauren. These brands
on other brands. They are not prot generators but build
include a parent brand - which may be a corporate
their image and gain mileage by riding on the back of
brand, an umbrella brand, or a family brand - as an
these brands. E.g.: Colgate toothbrush is a piggyback
endorsement to a sub-brand or an individual, prodbrand which survives on the back of Colgate Toothpaste.
uct brand. The endorsement should add credibility
to the endorsed sub-brand in the eyes of consumers. Budget Brands These brands signify that are welcomed
in every home. They do not lower the status of the upper Individual product brand - For example, Procter & middle-class families as well as are aordable by the
Gambles Pampers or Unilever's Dove. The indi- lower-class homes too. E.g.: Cibaca toothpaste can be
vidual brands are presented to consumers, and the described as budget brand which is mainly targeted in ruparent company name is given little or no promi- ral areas of India.
1

Strategic considerations

Structuring a company brand portfolio can involve choosing a strategy based upon a number of variables.[7] Often
Marketing Mix Modeling is used to help understand the
role of brands in a portfolio, and how they support or cannibalize one another. A strong parent brand can be leveraged across multiple sub-brands to help maximize Return
on Marketing Investment. Managing brand architecture
to maximize shareholder value can often include using
brand valuation model techniques.

REFERENCES

6 References
[1] Rajagopal; Romulo Sanchez (2004). Conceptual analysis of brand architecture and relationships within product
categories. Journal of Brand Management: 233247.
[2] Asberg & Uggla (2009) The Brand Relationship Cycle:
Incorporating Co-Branding into Brand Architecture
[3] L.Muzellec, M.Lambkin (2009). Corporate Branding
And Brand Architecture: A Conceptual Framework.
Marketing Theory
[4] Approaches to Brand Architecture Merriam Associates,
Inc. Brand Strategies

Job titles

In the UK, the term brand architect is sometimes used,


but it is worth noting that the title architect is a legally
protected title controlled by the Architects Registration
Board.

[5] Woodyard, Chris (26 August 2009). General Motors to


remove its 'Mark of Excellence' logos from new cars.
USA Today.
[6] General Motors: A Reorganized Brand Architecture for a
Reorganized Company Merriam Associates, Inc. Brand
Strategies
[7] Brand Architecture: Strategic Considerations Merriam
Associates, Inc. Brand Strategies

See also
Umbrella brand
Brand valuation
Family branding
Corporate branding
Brand management
Marketing mix modeling
Brand language
Individual branding
Personal branding
Aspirational brand
Brand aversion
Brand community
Brand engagement
Brand loyalty
Brand implementation
Brand orientation
Brand Publicity

Text and image sources, contributors, and licenses

7.1

Text

Brand architecture Source: https://en.wikipedia.org/wiki/Brand_architecture?oldid=689293485 Contributors: Wmahan, Adraeus,


Woohookitty, JIP, Vegaswikian, Chromakode, IEdML, Onorem, Modernhiawatha, Eastlaw, Cydebot, Alaibot, Mattisse, Jodok, Ldmerriam, Plinkit, Warren Whyte, Martarius, Bsw123, Matthew Desjardins, Johnuniq, Dthomsen8, MrOllie, Audiotraveler, Tassedethe, Yobot,
Erikbergsagel, Kingpin13, Edo198, Citation bot 1, Fetscherin, RjwilmsiBot, Tommy2010, TimGoodyer, Cheng, Widr, Northamerica1000,
DONERUDA, Slaymaker909, Niklitov, Monkbot and Anonymous: 35

7.2

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7.3

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