5.10: Branding Strategies
Brand development strategies are systematic plans businesses use to establish and enhance their brand's presence in the market.
Line extensions, brand extensions, multibranding, new brands, and rebranding are essential strategies in brand development.
Line extensions introduce new variations of an existing product under the same brand. This strategy can strengthen the brand by catering to diverse consumer needs and fortifying its value proposition.
Brand extensions refer to leveraging a well-known brand name for a new product or service category. This strategy can help companies capitalize on brand equity and expand into new markets.
Multibranding involves marketing several distinct brands within the same product category. This strategy allows firms to target different market segments and benefit from the unique appeal of each brand.
Creating new brands is often necessary when entering a different product category or market segment that does not align with the existing brand image. It helps to avoid confusion and dilution of the existing brand.
Lastly, rebranding involves changing the corporate image of an existing brand. It is typically used when a brand needs to shed a negative image, realign itself with changing market conditions, or signify a significant change, such as mergers and acquisitions.
