A firm must pick a brand name to use, presuming that it decides to brand its products or services.
Three general strategies that are popular while branding a product are:
- Individual Brands
- Umbrella Brand Name
- Sub Brand
A marketing strategy under which every product sold by a company has its own unique brand name is called individual branding. This policy helps in setting up a distinctive image and identity.
It also helps in making a brand establish a well-defined and recognisable position in relation to its adversary brands. This Phenomenon can also be called positioning. Companies frequently use different brand names for separate quality lines within the same class of products.
Having different brand names in a firm’s family has a huge benefit. If any product fails or seems to be of inferior quality, the company remains untarnished as it has not tied its reputation to it.
Individual Brands Examples
- Nestle- Nestle has individual brands like Polo, Nescafe, Maggi and KitKat.
- Ferrero- Ferrero Group has known brands like Nutella, Ferrero Rocher, Kinder Joy and Tic Tac under them.
- Mar- Mars family has famous names like Bounty, Doublemint, Galaxy, M&M’s, Mars, Milky Way, Orbit, Pedigree, Skittles and Snickers.
Umbrella Brand Name
The concept of Umbrella branding represents a marketing practice that necessitates selling several related products under the name of a single brand. Umbrella Branding or umbrella brand is also known as family branding. It involves creating good brand value for a single brand.
As there’s no need to research a name, Development costs are considerably lower with umbrella names. It also avoids spending heavily on advertising to create brand recognition. The goodwill of a Manufacturers name can help in the strong sales of the new product.
Corporates have an image of expertise, innovativeness and trustworthiness. An association with this corporate image have been proven to influence the evaluations of customers directly.
Umbrella Brand Name Examples
- Virgin Group has various business under its umbrella. For example, Virgin Media, Virgin Trains, Virgin Active, Virgin Money, Virgin Atlantic and Virgin Holidays,
- Honda family has brands like Honda Accord, Honda Civic, Honda CRV, Honda City, and Honda Jazz under the same umbrella.
A brand within a brand is called a sub-brand. Under the tutelage of the leading brand, a sub-brand can use a different name for a product or service. It can also be further developed into its own well-recognised brand name.
The sub-brand fuses two or more of the corporate brand, family brand, or individual product brand names. The company or the corporate name legitimises the new product. At the same time, its own individual name individualises the new product.
- Dairy Milk, Cadbury Bournvita, Cadbury Five Star, Cadbury Gems, Cadbury 5 Star are all sub-brands of Cadbury.
- Apple has various well-known sub-brands like MacBook, iPhone, Air Pods, Apple Watch, iMac.