Family branding or umbrella branding marketing essay

CMA Jul 16 2: Both of these companies market their products as individual and unique brands. Each product has its own personality and its own marketing campaign designed to appeal to the right target market in a memorable way.

Family branding or umbrella branding marketing essay

In the article by Howard Pong Yuen LAM and other co-authors, they report the successful case of using two brand names--dual branding strategy--by practitioners in China for the Minute Maid Orange Pulp juice drink launch.

A suggestive parent brand name communicates the benefits of the product category. A dual branding strategy addresses the problem of using only one brand name for a new product launch.

After the successful launch of the first new product by a parent brand, marketers are able to launch other new products under other sub-brand names in the future to meet different consumer needs.

Marketers may use the same parent brand to introduce different products to build scale for the brand, and are able to clearly differentiate the different product offerings under different subbrand names. If a company acquires a brand from another company, a marketer may position the acquired brand as a sub-brand under the parent brand if the marketer has defined the business scope of the parent brand broadly enough and with a suggestive parent brand name.

All products under the same corporate umbrella masterbrand providing structure and credibility to other products of the corporation are expected to have uniform quality and user experience e. All products carrying the parent brand must be of the same high quality standards.

The degree of commonality among the products falling under the corporate umbrella e. Whether the products may act as substitutes for each other. The brand equity of a corporation e. Whether the brand is known in its product market.

Family branding or umbrella branding marketing essay

Theories[ edit ] Various theories attempt to explain a consumer's decisions and judgements during product purchasing that cause umbrella branding to be a successful marketing strategy.

Categorisation theory[ edit ] The categorisation theory is based upon the notion that consumers tend to categorise products by associating them to brands and their past experiences with those particular brands stored in their category memory in order to evade the initial confusion caused by the extensive choice of products they are presented with.

New information on certain products are categorised into various sections such as product class e.

Dictionary

Coca-Cola and then stored. Afterwards, consumers evaluate the product quality through past experiences with the brand's products as well as the brand equity.

Consumers tend to evaluate new products not only by positive brand equity but also if the brand's concept is consistent with their extended products.

Schema congruity theory[ edit ] The schema congruity theory suggests that the storage of new information and retrieval of memory is majorly influenced by past expectations. Nonetheless, the new information is firstly evaluated on the basis of existing schemas.

Relating the theory to consumer evaluation of products, a consumer already possesses pre-existing schemas from past experiences with certain brands and therefore new products are evaluated based on the existing schema the consumer has with the certain brand.

This theory is quite similar to the categorisation theory; however, the schema congruity theory places emphasis on the consumer's past experiences with the brand which is influenced by the surrounding environment. Confirmation bias Confirmation bias is a form of statistical bias, describing the tendency to seek for or interpret evidence in ways that support one's existing beliefs.

Benefits[ edit ] Umbrella branding has become a popular marketing practice utilised by companies due to its various potential benefits.

Family branding or umbrella branding marketing essay

Such marketing practice may create advertising efficiencies through the reduced costs of brand development. Furthermore, a company benefits from advertising efficiencies since umbrella branding focuses on the promotion of a single brand rather, than multiple ones. For instance, Apple Inc.

Advantages

Macbook ProApple Watch to their line and benefits from past marketing since consumers use previous information to make an inference about a product with the same brand name, allowing Apple to focus on promoting the corporate brand, rather than multiple individual brands.

Additionally, the use of umbrella branding does not prevent companies from implementing other methods of brand extension, enabling them to remain flexible with marketing strategies.Umbrella branding (also known as family branding) is a marketing practice involving the use of a single brand name for the sale of two or more related products.

Umbrella branding is mainly used by companies with a positive brand equity (value of a brand in a certain marketplace). Jun 29,  · Family branding refers to a marketing strategy that promotes a family of products or services under an umbrella brand.

This is different from individual branding that promotes each product in . Umbrella positioning, better known as umbrella- or family-branding, offers an alternative approach. Umbrella Positioning Umbrella positioning refers to the practice of bringing an entire line of products under one brand for marketing and messaging purposes.

Centrica Plc. effectively disputes the above stated theoretical propositions on consumer resistance to umbrella brands as an outcome of corporate practices or the poor performance of other products sharing the same brand name.

A family brand may be referred to a group of different products belonging to a single brand that are marketed under their parent brand. The different products with different images are put under the major brand or the parent brand. The family brand is also referred to as an umbrella brand.

In Umbrella branding, a common name is leveraged across a variety of products. Advantages or merits, disadvantages or demerits of umbrella branding are listed out in .

What Is Umbrella Positioning? | Your Business