Types of Brands in Retail

By “Retail concentration” we mean the market-share belonging to generally the top 4 or 5 firms
of the Great distribution present in a regional market, as a percentage on the total.
A number of different types of brands are recognized. A “premium brand” typically costs more than other products in
the same category.

An “economy brand” is a brand targeted to a high price elasticity market segment.

A “fighting brand” is a brand created specifically to counter a competitive threat.

When a company’s name is used as a product brand name, this is referred to as corporate branding.

When one brand name is used for several related products, this is referred to as family branding.

When all a company’s products are given different brand names, this is referred to as individual branding.

When a company uses the brand equity associated with an existing brand name to introduce a new product or product line, this is referred to as “brand leveraging.”

When large retailers buy products in bulk from manufacturers and put their own brand name on them, this is called private branding, store brand, white labeling, private labelor own brand (UK). Private brands can be differentiated from “manufacturers’ brands” (also referred to as “national brands”).

When two or more brands work together to market their products, this is referred to as “co -branding”.

When a company sells the rights to use a brand name to another company for use on a non -competing product or in another geographical area, this is referred to as “brand licensing.”

An “employment brand” is created when a company wants to build awareness with potential candidates. In many cases, such as Google, this brand is an integrated extension of their consumer.

Brand Architecture
The different brands owned by a company are related to each other via brand architecture. In product brand
architecture, the company supports many different product brands each having its own name and style of expression
but the company itself remains invisible to consumers. Procter & Gamble, considered by many to have created
product branding, is a choice example with its many unrelated consumer brands such as Tide, Pampers, Ivory and
Pantene. With endorsed brand architecture, a mother brand is tied to product brands, such as The Courtyard Hotels
(product brand name) by Marriott (mother brand name). Endorsed brands benefit from the standing of their mother
brand and thus save a company some marketing expense by virtue promoting all the linked brands whenever the
mother brand is advertised.

In the third model only the mother brand is used and all products carry this name and allĀ advertising speaks with the same voice. A good example of this brand architecture, most often known as corporate branding, is the UK -based conglomerate Virgin. Virgin brands all its businesses with its name (e.g., Virgin Mega store,
Virgin Atlantic, Virgin Brides) and uses one style and logo to support each of them.
There are several challenges associated with setting objectives for a brand or product category.
Brand managers sometimes limit themselves to setting financial and market performance objectives. They
may not question strategic objectives if they feel this is the responsibility of senior management.
Most product level or brand managers limit themselves to setting short term objectives because their
compensation packages are designed to reward short term behavior. Short term objectives should be seen asĀ Retail Institutions By Ownership
There are several challenges associated with setting objectives for a brand or product category.
Brand managers sometimes limit themselves to setting financial and market performance objectives. They
may not question strategic objectives if they feel this is the responsibility of senior management.
Most product level or brand managers limit themselves to setting short term objectives because their
compensation packages are designed to reward short term behavior. Short term objectives should be seen as
milestones towards long term objectives.
Often product level managers are not given enough information to construct strategic objectives.
It is sometimes difficult to translate corporate level objectives into brand or product level objectives. Changes
in shareholders’ equity are easy for a company to calculate. It is not so easy to calculate the change in
shareholders’ equity that can be attributed to a product or category. More complex metrics like changes in the
net present value of shareholders’ equity are even more difficult for the product manager to assess.
In a diversified company, the objectives of some brands may conflict with those of other brands. Or worse,
corporate objectives may conflict with the specific needs of your brand. This is particularly true in regard to the
trade -off between stability and riskiness. Corporate objectives must be broad enough that brands with high risk
products are not constrained by objectives set with cash cows in mind. The brand manager also needs to know
senior management’s harvesting strategy. If corporate management intends to invest in brand equity and take a
long term position in the market (i.e. penetration and growth strategy), it would be a mistake for the product
manager to use short term cash flow objectives ( i.e. price skimming strategy). Only when these conflicts and
trade offs are made explicit, is it possible for all levels of objectives to fit together in a coherent and mutually
supportive manner.
Brand managers sometimes set objectives that optimize the performance of their unit rather than optimize
overall corporate performance. This is particularly true where compensation is based primarily on unit
performance. Managers tend to ignore potential synergies and inter-unit joint processes.
Brands are sometimes criticized within social media web sites and this must be monitored and managed (if
possible)

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