Optimizing Brand Architecture: The Secret to Success

A solid brand strategy , combined with a clear brand architecture , is the foundation for building a successful brand. Brand strategy guides the path of the brand, while brand architecture creates a unified and organized system for all elements of the brand.

What is brand architecture?

Brand architecture is a blueprint for an organization, showing the relationship between the parent brand , sub-brands , and other brands . It's like an organizational chart, showing who is who, what they do, and what common goals they're all working toward.

Why is brand architecture important?

Imagine a large corporation like Unilever. They own hundreds of different brands, from Dove to Omo. Without a clear brand architecture , managing and developing these brands would be extremely complicated. Brand architecture helps Unilever clearly define which brands will play a leading role, which brands will support, and from there develop appropriate marketing strategies.

Brand architecture not only helps businesses manage their brands effectively but also brings many other benefits such as:

• Strengthen brand recognition: When customers understand the relationship between brands, they are more likely to form a stronger brand identity .
• Building and protecting a brand portfolio: A good brand architecture will help businesses protect their brands from competition and counterfeiting.
• Cost optimization: By clearly defining the role of each brand , businesses can focus resources on the most effective marketing activities .
• Increased customer loyalty: When customers understand the value of each brand within a system, they tend to be loyal to the entire system.

For example:

Take the example of P&G . P&G is a very strong parent brand , owning many famous sub-brands such as Tide, Pampers, Gillette. P&G has built a very effective brand architecture , which helps them manage and develop their brand portfolio successfully.

Brand architecture is an important tool that helps businesses build and develop their brands effectively . It is like a road map, helping businesses orient and achieve business goals.

Benefits of good brand architecture

A solid brand architecture not only helps businesses manage their brands effectively , but also brings many other business benefits. Think of brand architecture as a solid house, protecting and enhancing the value for all members of the family.

1. Enhance brand awareness

When all the brands in the system are closely linked together, they create a strong and unified brand identity in the minds of customers. Like a famous family, each member is known and respected by the common name.

• For example, when mentioning Coca-Cola , people not only think of carbonated soft drinks but also associate them with happy moments shared with friends.

2. Building and protecting brand portfolio

A clear brand architecture helps businesses easily build and protect their brand portfolio . Each brand will have a clear position and role in the system, avoiding internal competition and protecting the value of each brand .

• For example, P&G owns hundreds of different brands , but each has its own distinct positioning and target audience, helping to avoid duplication and internal competition.

3. Effective brand management

Brand architecture helps businesses manage their brands more effectively. By clearly defining the relationships between brands , businesses can focus resources on brands with growth potential and minimize risks.

• For example, Nestlé has built a flexible brand architecture that allows them to easily manage and grow the brands in their portfolio.

4. Optimize marketing costs

A good brand architecture helps businesses optimize marketing costs . By focusing on building a common brand identity and taking advantage of the halo effect, businesses can reduce advertising costs for each individual brand .

• For example, Apple has built an extremely strong brand , which helps them reduce marketing costs for new products.

5. Increase customer loyalty

When customers are satisfied with a company's product or service, they tend to look for other products from the same brand . A good brand architecture will help increase customer loyalty to the entire brand system .

• For example, Nike customers are often very loyal to the brand and are willing to buy many different Nike products.

A good brand architecture is like a solid foundation, helping businesses build and develop sustainably. By enhancing brand recognition , protecting brand portfolios , effectively managing brands and optimizing costs, brand architecture will help businesses achieve their business goals.

Popular brand architecture models

Imagine brand architecture as a house with many different rooms. Each room (brand) has its own function and style, but they all belong to one common roof (the parent brand). How these rooms are arranged will determine the harmony and efficiency of the whole house.

There are many ways to design a branded home, and each has its own pros and cons. Here are some of the most common brand architecture models :

1. Branded House Model: A Common Roof

In this model, all products and services share the same strong parent brand . Think of FedEx as a family. Whether it is shipping, delivering documents, or other related services, they all carry the FedEx brand .

• Advantage:
• Enhance brand recognition: Customers easily recognize and remember the brand.
• Cost Optimization: Save marketing costs by using a single brand.
• Building loyalty: Customers feel trust and attachment to the entire product and service system.
• Disadvantages:
• Difficult to expand: If you want to enter a new market with a completely different product, using the same parent brand can be difficult.

2. House of Brands model: Many independent houses

In contrast to the above model, in the House of Brands model , each product or service has an independent brand . P&G is a typical example with a series of brands such as Tide, Pampers, Gillette, each brand targets a different customer and market segment.

• Advantage:
• Easy to penetrate multiple markets: Each brand can be tailored to suit different customer segments.
• Risk Reduction: If one brand has a problem, it won't affect other brands.
• Disadvantages:
• High marketing costs: Must invest heavily in building brand recognition for each brand.
• Difficulty in building common brand recognition: It is difficult for customers to associate different brands of the same company.

3. Endorsed Brands Model: The Perfect Combination

The Sponsored Brand model combines the best of both worlds. Sub-brands remain independent but are sponsored by a strong parent brand . Heinz is a great example, with many different products such as ketchup and chili sauce, but all carry the Heinz logo.

• Advantage:
• Leverage the prestige of the parent brand: Help sub-brands easily penetrate the market.
• Building a diverse brand portfolio: Meeting the needs of many different customer segments.
• Disadvantages:
• Can overshadow sub-brands: If the parent brand is too strong, it can overshadow the sub-brands.

4. Hybrid Brand Model: Flexible and diverse

The Mixed Branding model is a flexible combination of the above models, depending on the product or service. Nestlé is a typical example, with products such as Nescafé, Milo using the parent brand, while other products such as Purina use independent brands.

• Advantage:
• Flexible: Can be applied to many different situations.
• Optimizing benefits: Combining the advantages of other models.
• Disadvantages:
• Complexity in management: Need to have a very clear and consistent marketing strategy.

Choosing the right brand architecture model depends on many factors such as business size, business goals, product characteristics and target market. No model is perfect for all cases. Businesses need to consider carefully to make the most appropriate decision.

Factors influencing the choice of brand architecture model

Choosing the right brand architecture model is not simply a technical decision, but involves many different factors, from corporate culture to business strategy.

Imagine you are building a house, the choice of style, materials and design will depend on many factors such as land area, climate, homeowner preferences and budget. Similarly, choosing a brand architecture model also needs to carefully consider the following factors:

1. Corporate culture: The soul of the brand

Corporate culture is the "soul" of an organization. It includes the values, beliefs, codes of conduct and common working methods of all members. Corporate culture will shape the way the business interacts with customers, partners and other stakeholders.

• Businesses with strong cultures: Often choose the Branded House model to focus on building a unified and strong brand.
• Businesses with multiple segments: Consider the House of Brands model to differentiate each segment.

2. Business goals: Future orientation

Business goals will determine whether the brand architecture needs to be flexible, diverse, or focused.

• Rapid growth target: House of Brands or Hybrid model will help businesses easily penetrate many new markets.
• Goal of strengthening market position: The Branded House model will help businesses focus on building a strong and lasting brand.

3. Target market: Understand customers

The target market is the people that the business wants to reach. Understanding the customers will help the business choose the right brand architecture model .

• Diverse customers: The House of Brands or Hybrid model will help businesses meet the needs of different customer groups.
• Loyal customers: The Branded House model will help businesses build high brand loyalty.

4. Organizational size: Balancing resources

The size of the organization directly affects the ability to manage and operate brand architecture .

• Small and medium enterprises: Should choose the Branded House or Endorsed Brands model to focus resources on building a few key brands.
• Large Enterprises: Can apply House of Brands or Hybrid model to manage a diverse brand portfolio.

5. Finance: Investing for the future

Finance is an important factor in determining the ability to invest in building and developing brand architecture .

• Limited budget: Choose the Branded House or Endorsed Brands model to save costs.
• Abundant budget: Can invest in House of Brands or Hybrid model to build a diverse brand system.

Choosing a brand architecture model is an important and complex decision. There is no one-size-fits-all formula. Businesses need to carefully consider the above factors and choose the model that best fits their business strategy.

Steps to building brand architecture

Building a solid brand architecture is like building a house. We need to have a detailed design, choose the right materials, and build it piece by piece. Here are the basic steps to building an effective brand architecture :

1. Analyze the current situation

Before we start building, we need to understand the current state of the business. This includes:

• Evaluate existing brand portfolio: Evaluate the company's existing brands , identify the strengths, weaknesses and growth potential of each brand.
• Brand identity: Analyze current brand identity , including logo, slogan, colors, images... to assess customer recognition and impression.
• Market Analysis: Research the market, competitors, and customer behavior to identify opportunities and threats.

2. Define goals

Objectives are the guiding principles for all business activities. When building a brand architecture , we need to clearly define the following objectives:

• Short-term goals: Increase revenue, expand market, improve brand image...
• Long-term goal: Build a strong, sustainable brand with a leading position in the market.

3. Choosing a brand architecture model

Based on the analysis results in the previous steps, we will choose the most suitable brand architecture model . As mentioned in the previous sections, there are many different models such as Branded House , House of Brands , Endorsed Brands and Hybrid .

4. Building a brand system

This is the most important stage, in which we will create a unified and professional branding system .

• Logo design: Logo is a symbol representing the brand , it needs to be designed to be unique, memorable and consistent with the brand positioning.
• Building a slogan: A slogan is a short, concise sentence that conveys the core message of the brand .
• Brand identity design: Includes elements such as color, font, image, sound... to create a unified and professional identity.
• Build a brand story: Create a compelling and meaningful brand story to connect with customers.

5. Brand implementation and management

After building a brand system , we need to deploy and manage it effectively.

• Build a marketing plan: Create a detailed marketing plan to introduce your brand to your target customers.
• Brand Portfolio Management: Track and evaluate the performance of each brand in the portfolio.
• Employee Training: Train employees on the brand to ensure that everyone understands and communicates the brand message consistently.

Building a brand architecture is a process that requires an investment of time, effort, and resources. However, if done correctly, it can bring long-term benefits to the business.

Brand Architecture Services Price List

Brand architecture services are a professional field that helps businesses build and develop their brands . The cost of these services can vary depending on many factors such as the size of the business, the scope of work, and the experience of the service provider.

Below is a reference price list for popular brand architecture services:

Service	Average price
Current Brand Analysis	5,000,000 - 10,000,000 VND
Building a brand strategy	10,000,000 - 20,000,000 VND
Logo design and brand identity	5,000,000 - 15,000,000 VND
Building a brand story	5,000,000 - 10,000,000 VND
Brand consulting and training	3,000,000 - 5,000,000 VND/day
Brand management and development	10,000,000 - 20,000,000 VND/month

 

Note: These are average prices only and may vary depending on each business and specific requirements. For an accurate quote, you should contact the companies providing brand architecture services directly.

Factors affecting the price of brand architecture services

• Business size: The larger the business, the more complex the brand architecture service requirements, resulting in higher costs.
• Scope of work: The number of services required and the complexity of each service will affect the price.
• Service provider experience and reputation: Companies with more experience and reputation usually have higher prices.
• Geographic location: The cost of living and labor costs in big cities are often higher than in small provinces.

How to choose a brand architecture service provider

• Research and Compare: Find out information about companies that provide branding architecture services, compare prices, service quality and experience.
• Read reviews and feedback: Look at reviews and feedback from previous customers to gauge the quality of service of companies.
• Request a detailed quote: Ask companies to provide a detailed quote for each service, including labor, materials, and other costs.
• Meet and discuss: Meet directly with companies to better understand their services and discuss your business needs.

Brand architecture services are an important investment in the growth of your business. By choosing the right service provider and understanding the factors that affect pricing, you can find quality services at a reasonable price.

Brand Manager Specializes in Providing Brand Architecture Consulting Services

Brand Manager is an important position in any business, especially in today's fiercely competitive era. A good Brand Manager not only helps build and develop the brand but also plays an important role in establishing and managing the brand architecture .

The Role of Brand Manager in Brand Architecture

A professional Brand Manager can add a lot of value to a business’s brand architecture . Here are some of the key roles:

• Analysis and evaluation: The Brand Manager will analyze the current brand situation , evaluate the brand portfolio and brand identity to identify strengths, weaknesses and opportunities for growth.
• Strategy Development: The Brand Manager will develop the overall brand strategy , including goals, positioning, messaging and necessary marketing activities.
• Brand system design and management: Brand Manager will design and manage the brand system , including logo, slogan, brand identity and other elements.
• Brand Portfolio Management: The Brand Manager will manage and develop the business's brand portfolio , ensuring that each brand has a clear position and role within the system.
• Consulting and training: The Brand Manager will advise and train other employees on the brand and how to effectively communicate the brand message .

Why do we need a specialized Brand Manager?

A professional Brand Manager can bring many benefits to a business, including:

• Enhance brand recognition: A good Brand Manager will help build a strong and memorable brand in the minds of customers.
• Building Customer Loyalty: The Brand Manager will help create positive customer experiences and build brand loyalty .
• Optimize marketing costs: Brand Manager will help businesses use marketing resources effectively and avoid waste.
• Risk Mitigation: A professional Brand Manager will help businesses mitigate brand- related risks , such as copyright infringement or negative customer reactions.
• Revenue Growth: A strong and well-managed brand will help increase revenue and profits for the business.

A professional Brand Manager is a valuable asset to any business. They play a vital role in building and developing brand architecture , helping businesses achieve their business goals.