Sub-branding: A Breakthrough Strategy for Your Brand
In today’s fiercely competitive branding world, building a strong brand is essential to survival and growth. However, sometimes a parent brand alone is not enough. This is where the Sub-branding strategy – the secret trump card of many large corporations – comes into play.
Decoding Sub-branding: Its Nature and Role in Brand Strategy
So what is Sub-branding? Simply put, Sub-branding is the strategy of creating smaller, more independent brands under the umbrella of an established parent brand. Each sub-brand will target a specific market segment, possess its own distinct identity, but still maintain connections and benefit from the reputation of the parent brand.
Why is sub-branding important in brand strategy? Here are a few key reasons:
- Expand your reach: With a sub-brand, you can reach new market segments, potential customers that your parent brand has not yet reached. This helps increase brand awareness and expand market share.
- Strengthening brand position: The success of sub-brands will contribute to strengthening the leading position and reputation of the parent brand, affirming its diverse capacity to meet different market needs.
- Effective market segmentation: Each sub-brand can be positioned and built to target a specific market segment. This helps you better understand your customers, personalize your products/services, and increase the effectiveness of your marketing communications.
- Optimize marketing costs: Instead of building a completely new brand, leveraging the reputation of the parent brand will help save costs on marketing campaigns for the sub-brand.
In short, Sub-branding is a smart strategy that helps businesses expand their scope of operations, increase brand awareness and consolidate their position in the market.
Now, let's dive deeper into two core elements of Sub-branding: Sub-brand Development and Sub-brand Strategy.
1. Sub-brand development:
Sub-brand development is the process of planning, building and managing sub-brands so that they operate effectively, support each other and contribute to the overall success of the parent brand.
Why is developing a sub-brand important? Because this is the first step that determines the success or failure of a Sub-branding strategy. A well-built sub-brand will:
- Identify a distinct brand identity: Each sub-brand needs to have its own personality, core values and brand message to attract the right target audience.
- Develop a unique brand identity: The logo, colors, fonts, slogans... of the sub-brand need to be designed consistently, reflecting its own identity while maintaining a connection with the parent brand.
- Plan effective marketing: Identify appropriate communication channels, create engaging content and implement marketing campaigns to bring your sub-brand closer to customers.
Developing a sub-brand is a process that requires careful research, detailed planning, and consistent execution. By investing properly at this stage, businesses can lay a solid foundation for the long-term success of their sub-brands.
2. Sub-branding strategy:
Sub-branding strategy is the "compass" that guides the entire process of developing and managing sub-brands. An effective Sub-branding strategy will include the following steps:
Define your goals: What do you want to achieve with your Sub-branding strategy? Expand your market, increase your revenue, or strengthen your brand image? Defining your goals clearly will help you guide your strategy and evaluate its effectiveness later.
- Market Analysis: Research target markets, competitors and market trends to identify opportunities and challenges for sub-brands.
- Choosing the right Sub-branding model: There are three popular Sub-branding models: House of brands , Endorsement brands , and Sub-brands . Each model has its own advantages and disadvantages, suitable for different goals and strategies.
- Develop sub-brand identity: Define core values, brand message and distinct personality for each sub-brand.
- Marketing planning: Identify appropriate communication channels, create engaging content and implement marketing campaigns to bring the sub-brand closer to customers.
- Performance Management and Measurement: Monitor the performance of sub-brands through key performance indicators (KPIs) and adjust strategies as needed.
Some important factors to keep in mind when building a Sub-branding strategy:
- Consistency: Maintain consistency in the use of logos, colors, fonts, brand messages... between the parent brand and sub-brands.
- Differentiation: Each sub-brand needs to have its own distinct identity to attract the right target audience.
- Support: The parent brand needs to support the sub-brands in marketing, communication and product/service development activities.
Sub-branding is an effective strategy to help businesses expand their market, increase revenue and strengthen their brand position. However, to be successful, businesses need to build a systematic Sub-branding strategy that is suitable for their goals and capabilities.
By carefully considering the benefits and risks, businesses can make an informed decision about adopting a Sub-branding strategy for their brand.
Benefits of Sub-branding: Elevate your brand and expand your market
Sub-branding is not simply creating more sub-brands, but also a smart strategy that brings countless benefits to businesses, helping to enhance the brand and expand the market effectively. Below are some outstanding benefits of Sub-branding :
1. Expand brand awareness:
Sub-branding helps businesses reach new market segments that the parent brand has not yet reached. Each sub-brand can be positioned and developed to specifically target a distinct group of customers with different needs and preferences.
For example, Coca-Cola has successfully expanded its market share into the energy drink segment with the Fanta brand , mineral water with Dasani , fruit juice with Minute Maid , etc. Thanks to its effective Sub-branding strategy, Coca-Cola has asserted its dominant position in the beverage market, reaching and attracting a huge customer base globally.
2. Strengthen brand position:
Sub-branding helps businesses strengthen their leading position and brand reputation in the market. When owning many successful sub-brands, businesses will be highly appreciated for their diverse capabilities, ability to meet diverse market needs and outstanding competitiveness.
3. Effective market segmentation:
Each sub-brand can be built and developed with a distinct identity, suitable for the tastes and needs of each target market segment. Thanks to that, businesses can optimize marketing, communication and product/service effectiveness, attract customers more effectively and increase conversion rates.
4. Optimize marketing effectiveness:
Instead of building a completely new brand, Sub-branding helps businesses take advantage of the parent brand, saving costs on marketing and communication activities for the sub-brand. Businesses can share the distribution system, sales system, and existing marketing channels, thereby optimizing costs and increasing return on investment (ROI) for marketing campaigns.
Overall, Sub-branding is a smart strategy that brings countless benefits to businesses, helping to enhance the brand, expand the market and increase profits. By applying an effective Sub-branding strategy, businesses can affirm their leading position in the market and achieve sustainable success.
Popular Sub-branding Models: Choosing the Right Strategy
An effective Sub-branding strategy depends largely on choosing the right Sub-branding model . Each model has its own advantages and disadvantages, and is suitable for different business goals and strategies. Below are the three most popular Sub-branding models today:
1. House of brands model:
The House of brands model is the most popular model in the Sub-branding strategy. In this model, sub-brands are built and developed independently of each other, possessing separate brand identities, targeting different market segments. The connection between sub-brands and the parent brand is often not emphasized too much.
Advantage:
- Wide market access: This model helps businesses expand their market and attract more customers.
- Optimize marketing effectiveness: Each sub-brand can build its own marketing strategy, suitable for the target market segment.
- Risk mitigation: If one sub-brand has a problem, the other sub-brands and the parent brand will be less affected.
Defect:
- Complex management: Managing multiple independent sub-brands requires large resources and costs.
- Branding is expensive: Each sub-brand needs to build its own brand identity, leading to expensive marketing costs.
- Little advantage from parent brand: Customers may not recognize the connection between sub-brands and the parent brand.
For example, Unilever Group is a typical example of a family business model. Unilever owns a series of independent sub-brands such as Dove (personal care), Lipton (tea), Knorr (food), Omo (detergents), etc. Each sub-brand has its own identity and targets a specific market segment.
2. Canopy model (Endorsement brands):
The Endorsement Brands model is a model that utilizes the prestige and reputation of the parent brand to support the sub-brands. In this model, the parent brand is used as an "umbrella" to protect and guarantee the quality of the sub-brands.
Advantage:
- Save on branding costs: Sub-brands can take advantage of the parent brand, save on marketing costs and build brand recognition quickly.
- Increase customer trust: The reputation of the parent brand will help customers trust and choose sub-brands.
- Easy management: Businesses only need to focus on building and managing the parent brand, the sub-brands will benefit from it.
Defect:
- Market limitations: Sub-brands are dependent on the image of the parent brand, making it difficult to target new market segments.
- Risk of cross-influence: If the parent brand has problems, the sub-brands can also be affected.
- Less creative room: Sub-brand identity can be limited due to the need to maintain consistency with the parent brand.
For example, Procter & Gamble (P&G) is a typical example of the tent model. P&G uses its prestigious parent brand to support its famous sub-brands such as Head & Shoulders (shampoo), Pantene (shampoo), Crest (toothpaste), etc. As a result, P&G's sub-brands quickly gain the trust and choice of customers.
3. Support model (Sub-brands):
The Sub-brands model is a model in which sub-brands are built to support and complement the parent brand, together creating a complete product/service ecosystem. In this model, the connection and consistency between brands are emphasized, creating a unified and strong image for the parent brand.
Advantage:
- Creating a complete product/service ecosystem: Sub-brands support each other, meeting diverse customer needs.
- Strengthening brand power: Consistency between brands creates a strong and professional parent brand image.
- Increased customer loyalty: Customers can easily choose different products/services of the same brand.
Defect:
- Slow Development: Building and developing consistent sub-brands takes time and resources.
- Less flexibility: Sub-brands can be limited in creativity and innovation due to the need to maintain consistency.
- Contagion risk: If one sub-brand has a problem, other sub-brands and the parent brand can also be affected.
For example, Samsung Group is a typical example of the support model. Samsung uses sub-brands such as Galaxy (smartphones), SmartThings (smart home), Tizen (operating system), etc. to support each other, together creating a complete product/service ecosystem for the Samsung brand.
In addition, businesses also need to pay attention to some important factors after applying the Sub-branding strategy:
- Maintain consistency: Ensure consistency in the use of logos, colors, fonts, brand messages... between the parent brand and sub-brands.
- Clear differentiation: Each sub-brand needs to have its own distinct identity to attract the right target audience.
- Support and cooperation: The parent brand needs to support the sub-brands in marketing, communication and product/service development activities.
- Measure and evaluate performance: Monitor the performance of sub-brands through key performance indicators (KPIs) and adjust strategies as needed.
Sub-branding is an effective strategy to help businesses expand their market, increase revenue and strengthen their brand position. However, to be successful, businesses need to build a systematic Sub-branding strategy that is suitable for their goals and capabilities.
Building a successful sub-brand: Secrets from the top names
Sub-branding is a smart strategy to help businesses expand their market, increase revenue and strengthen their brand position. However, to be successful in building a sub-brand, businesses need to have a systematic strategy and learn from the experiences of famous brands. Here are some tips to help you build a successful sub-brand:
1. Market research and competitor analysis:
Before you start building your sub-brand, the first thing you need to do is conduct thorough market research to identify the needs, preferences, and behaviors of your target customers. At the same time, you also need to analyze your competitors to assess their position in the market and identify their strengths and weaknesses.
By researching the market and analyzing your competitors, you can:
- Identify market opportunities: Identify potential market segments that the parent brand has not yet reached.
- Identify the challenges: Understand the barriers and difficulties you may encounter when entering a new market.
- Choose the right strategy: Develop a sub-brand strategy that fits your target market and competitors.
For example:
- Unilever Group carefully researched the market before launching its sub-brand Dove for women. Unilever realized that women were increasingly interested in health and natural beauty, so they created the Dove brand with the message of "real beauty" and focused on safe, healthy skin care products.
2. Building a unique sub-brand identity:
Sub-brand identity is an important element that helps differentiate a sub-brand from its parent brand and competitors. Sub-brand identity includes elements such as brand name, logo, tagline, core values, and brand message.
To build a unique sub-brand identity, you need to:
- Define core values: Identify the values that your sub-brand will represent and convey to customers.
- Create a brand story: Tell a compelling story about your sub-brand, explaining its reason for being and its mission.
- Develop brand design: Create logos, colors, fonts, and other design elements that match your sub-brand identity.
- Define your brand voice: Determine how you want to communicate with your customers through your sub-brand.
For example:
- Virgin Group has successfully built many unique sub-brands such as Virgin Atlantic (aviation), Virgin Mobile (mobile), Virgin Galactic (space tourism). Each sub-brand has its own distinct identity, but they all share the same core values of boldness, innovation and passion.
3. Develop an effective marketing strategy:
Marketing strategy plays an important role in introducing your sub-brand to your target customers and driving sales. Your marketing strategy needs to be effectively integrated into your overall business marketing strategy.
To develop an effective marketing strategy for your sub-brand, you need to:
- Define your marketing goals: Identify what you want to achieve with your marketing strategy, such as increasing brand awareness, attracting leads, or increasing sales.
- Choose the right marketing channels: Choose the right marketing channels to reach your target customers, such as social media, online advertising, public relations or content marketing.
- Develop Engaging Content: Create content that is engaging and relevant to your target audience.
- Track and measure performance: Track the effectiveness of your marketing campaigns and adjust strategies as needed.
For example:
- P&G Corporation has used an effective multi-channel marketing strategy to promote its Crest (toothpaste) sub-brand. P&G has combined television advertising, online advertising, social media marketing and celebrity endorsements to reach its target customers and drive sales for Crest.
4. Measure and optimize performance:
Measuring performance is an important step in helping you evaluate the effectiveness of your sub-brand strategy and adjust your strategy as needed. You need to identify key performance indicators (KPIs) that align with your marketing goals, such as brand awareness, website traffic, conversion rates, or sales.
Here are some ways to measure sub-brand effectiveness:
- Use web analytics: Track website traffic, conversion rates, and user behavior on your website.
- Track social media activity: Track your followers, engagement, and customer responses across your social media channels.
- Conduct customer surveys: Conduct customer surveys to gauge their perceptions of your sub-brand and their satisfaction with your products or services.
- Sales Data Analysis: Track your sub-brand's sales over time and compare them to your marketing goals.
By measuring performance and adjusting your strategy as needed, you can ensure that your sub-brand is growing effectively and achieving your marketing goals.
Creating a successful sub-brand requires investment, effort, and persistence. However, if you apply the above tips effectively, you can increase the chances of your sub-brand’s success and strengthen your overall brand position.
Sub-branding Service Price List
Businesses can choose to use professional Sub-branding services from brand consulting companies to save time, effort and increase efficiency.
Sub-branding service prices may vary depending on the scale of the project, the client’s requirements, and the reputation of the branding consultancy. However, branding consultancy firms typically offer Sub-branding service packages at specific prices for clients to choose from.
For example:
Basic service package: Includes services such as market research, brand identity building, marketing strategy development. Prices range from 100 million to 300 million VND.
Advanced service package: Includes the above services + logo design, website, marketing publications. Prices range from 300 million to
Note: Prices are for reference only and may vary depending on project scale, customer requirements and reputation of the branding consulting company.
Service pack |
Describe |
Price |
Basic |
Market Research, Brand Identity Building, Marketing Strategy Development |
100 - 300 million VND |
Advanced |
Basic package + Logo design, website, marketing publications |
300 - 500 million VND |
All in one |
All Sub-branding services from A to Z |
500 million VND or more |
In addition, brand consulting firms also provide additional services such as:
- Sub-brand management
- Measuring Sub-branding Effectiveness
- Sub-branding Consulting and Training
For specific advice on service prices and choosing the right service package, please contact reputable brand consulting companies.
Brand Manager Specializing in Providing Sub-branding Services
In today's fiercely competitive branding world, building and developing sub-brands plays an important role in helping businesses expand their markets, increase revenue and strengthen their brand position. However, to successfully build a sub- brand, businesses need a team of specialized and experienced staff. This is when the position of Brand Manager specializing in providing sub-brand creation services plays a key role.
So what is Brand Manager - Specializing in Providing Sub-Brand Creation Services?
Brand Managers are brand consultants with in-depth knowledge of Sub-branding . They work at brand consulting firms , helping businesses build and develop sub-brands effectively.
Main tasks of Brand Manager specializing in providing sub-brand creation services:
- Market research and competitor analysis: Research the needs, preferences and behaviors of target customers, and analyze competitors in the market.
- Build a unique sub-brand identity: Develop a brand name, logo, slogan, brand message and other elements to differentiate the sub-brand from the parent brand and competitors.
- Develop marketing strategy: Plan overall marketing for sub-brands, select appropriate communication channels, create engaging content and measure the effectiveness of marketing campaigns.
- Sub-brand management: Monitor sub-brand performance, analyze data and adjust marketing strategies as needed.
Necessary skills of a Brand Manager specializing in providing sub-brand creation services:
- Marketing and branding knowledge: Understand the principles of branding, effective marketing strategies and different Sub-branding models .
- Research skills: Ability to research the market, analyze data and make accurate assessments.
- Creative skills: Ability to generate new, unique ideas to build sub-brand identity.
- Communication Skills: Ability to communicate effectively with customers, partners and other team members.
- Project management skills: Ability to plan, organize, implement and control Sub-branding projects .
Why should you choose Brand Manager who specializes in providing sub-brand creation services?
- Save time and effort: Businesses do not need to train their own staff or spend time looking for Sub-branding experts .
- Increase efficiency: Brand Manager specializes in providing Sub-branding services with high experience and expertise, helping businesses build effective Sub-branding strategies , thereby increasing brand awareness, attracting customers and increasing revenue.
- Risk Mitigation: Brand Managers specializing in Sub-branding can help businesses avoid common mistakes in Sub-branding , thereby minimizing risks and optimizing investment efficiency.
If you are planning to build a sub-brand, look for Brand Manager - update the latest and reputable news to get the best advice and support.
Brand Manager - Specializing in Providing Sub-Branding Services is an indispensable companion for businesses in the journey of building a successful sub-brand. With the support of a reputable Brand Manager , businesses can be assured of the effectiveness of the Sub-branding strategy and achieve their business goals.