A line is too long if the manager can increase profits by dropping items From a

A line is too long if the manager can increase

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A line is too long if the manager can increase profits by dropping items.From a branding perspective, longer product lines may decrease the consistency of theassociated brand image if the same brand is used the proper branding strategy must bedecided upon in terms of which brand elements should be used for which products.Depth of a Branding Strategy:The depth of a branding strategy concerns the number and nature of different brandsmarketed in the product class sold by a firm.The main reason to adopt multiple brands is to pursue multiple market segments. Thesedifferent market segments may be based on –different price segmentsdifferent channels of distributiondifferent geographic boundariesSome other reason for introducing multiple brands in a category include thefollowing:74
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1.To attract a particular market segment not currently being covered by other brandsof the firm.2.To serve as a flanker and product flagship brands.3.To serve as a cow and be milked for profits4.To serve as a low and entry-level product to attract new customers to the brandfranchise.5.To serve as a high-end prestige product to add prestige and credibility to the entirebrand portfolio.6.To increase shelf presence and retailer dependence in the store.7.To attract consumers seeking variety who may otherwise have switched to anotherbrand.8.To increase internal completion within the firm.9.To yield economics to scale in advertising sales, merchandising and physicaldistribution.Brand HierarchyA brand hierarchy is a means of summarizing the branding strategy by displaying thenumber and nature of common and distinctive brand elements across the firms products.There are different ways to define brand elements and levels of the hierarchy. Forexample:1Product brand: Assign an exclusive name to a single product to accord the brandits own individual positioning (e.g. Procter & Gamble's Article, Tide and DashLaundry detergents)2.Line brand: Extend the specific concept across different products allowing forcross branding (e.g. Renault automobiles).3.Range brand: Bestow a single name and promise on a group of products havingthe same ability (e.g. Green Giant foods)4.Umbrella brand: Support products in different markets each with its owncommunication and individual promise (e.g. canon canners, photocopies andoffice equipment).5.Source brand: Similar to an umbrella brand but the products are directly named.75
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6.Endorsing brand: Give approved to a wide directly of products grouped underproduct brand, line brands or range brands (e.g. General Motors Cars)The simplest representation of possible brand elements and thus political levels of abrand hierarchy from to bottom might be as follows:1.Corporate (or company) brand (e.g. General Motors)2.Family brand (e.g. Buick)3.Individual brand (e.g. Park Avenue)4.Modifier (designating item or model (e.g. Ultra)1.Corporate brand: The highest level of the hierarchy technically always involvesone brand.
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