BRANDING STRATEGY PRODUCT STRATEGY NATIONAL BRANDS INDIVIDUAL BRAND

BRANDING STRATEGY PRODUCT STRATEGY

NATIONAL BRANDS: INDIVIDUAL BRAND STRATEGY • A National Brand Organization has two brand name options – An individual brand strategy – A family brand strategy • An Individual Brand is a means of identifying each product in a company’s product mix with its own name • This brand name strategy is common among large grocery product manufacturers such as Proctor & Gamble and Kraft Canada • While these companies make a number of different products, they give each product line an individual brand

NATIONAL BRANDS: INDIVIDUAL BRAND STRATEGY • Kraft Individual Brands – Rice: Minute Rice – Whipped Cream: Dream Whip – Breading: Shake and Bake – Gelatin: Jell-O • Proctor and Gamble Individual Brands – Mouthwash: Scope – Deodorant: Secret – Toothpaste: Crest

NATIONAL BRANDS: INDIVIDUAL BRAND STRATEGY • Often, a marketing organization operates in several market segments of a product category • This strategy is known as the multibrand strategy • In this strategy, each brand must advertise to create its own individual image and can sometimes compete against itself even though all the money goes to the same place • Example: Unilever and Tea – Unilever has many tea brands despite being the same company – Brands include Red Rose, PG Tips, Salada, and Lipton Tea – Although these brands compete with one another, all the money goes to the same place

NATIONAL BRANDS: FAMILY BRAND STRATEGY • A family brand exists when the same brand is used for a group of related products • Family brands are often used as they are usually steeped in tradition and quickly come to mind as they have been in the market for a long time • Examples – Heinz – Campbell – Quaker – Christie

NATIONAL BRANDS: FAMILY BRAND STRATEGY • Product Family – In this case, a group of products holds its own family name – Examples: Jell-O, Post Cereal, Tylenol… • Company Family – Here, the brand name is also the company name – Examples: Heinz (Ketchup, juice, sauce…), Nike (Footwear, Hockey Equipment, Clothes, …), Sony (Walkman, Erikson, Play. Station…) • Company and Product Family – In this case the marketing organization combines both the company and the name – Examples: • Company: Campbell's Product: Chunky Soup = Campbell’s Chunky Soup (Flavour) • Company: Ford Product: Focus = Ford Focus (Type)

NATIONAL BRANDS: FAMILY BRAND STRATEGY • Advantages – When a promotional expenditure is done for one product, all companies get exposure due to the shared brand name – New products get a reputation immediately as they carry the brand name that comes with a existing reputation – Example: Pfizer Healthcare created a white strip to compete with other dental companies, in order to give the company more credit they used their existing company Crest to give it more credibility • Disadvantages – Failure or poor quality of a single product brings down the credibility of the whole family brand

CO-BRANDING • Co-Branding occurs when a company uses another brand to benefit both of the companies • Example: Wendy’s and Tim Hortons – Started in 1995 – Both companies need same utilities – Shared cost, but got more customers from one another • Example: Nestle and Breyers – By creating ice-cream flavors using Nestle brand flavors, Breyers sold more ice cream and Nestle sold more candy as Breyers needed it to make their dessert