Brands simplify people’s decisions. It may be a strong statement, but it refers to the fact that behind every brand there must be a meaning that facilitates the emotional connection with customers, achieving their preference. In this sense, coherence and consistency in what the brand stands for is really important. When a brand, consistent with its values, consistently communicates throughout its offering and at all touchpoints how and why it is different from its competition, it is making it easier for consumers to choose it and remain loyal to it. But what happens when other sub-brands hang underneath one brand? How can each of them be affected?

The answer lies in brand architecture, which is responsible for defining clear roles and relationships across brand portfolios, aligning business objectives with brand objectives. It is a strategic tool that facilitates the organization of the business to make your offer easily understandable by people, making it easier for them to choose. Internally, it defines the relationships between different brands, products and services. Externally, it culminates in the way consumers organize those products and services in their minds.

Every company should review its brand architecture periodically to ensure that it maintains its portfolio so that the best results are obtained, cutting back those brands that need it to strengthen those that deserve it. Often these reviews are motivated by a series of common situations that I detail below.

10 Reasons for Brand Architecture Review

  1. New Product Launches, Brand Extensions
  2. Expansion into new markets
  3. Mergers or acquisitions
  4. Positioning Review
  5. Loss of relevance or meanings
  6. Growth of sub-brands
  7. Master-brands that require greater differentiation from sub-brands
  8. Product features that invite to be treated as trademarks
  9. Mismatches in brand names
  10. Overly large and complex portfolios

 

To solve this problem, there is no single model, each company must choose between the various options that best suit its needs. Independent brands, monolithic model, endorsed model… They must obey a specific business strategy.

Companies must consider brand architecture from a perspective that facilitates decision-making and helps them achieve their challenges and objectives. When it is developed methodologically, its result is automatically translated into value for the brand and with it, for the business.

 

Carlos Puig Falcó

President of Branward®

Photos: Shutterstock


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