aakerch5

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Aaker’s Chapter 5

Mary Rogers

Scott StewartJose Smart

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BrandArchitecture

Brand Portfolio

Brand-Market ContextRoles

•Endorser/Subbrands•Benefit brands•Co-brands•Driver roles

Portfolio Roles•Strategic brands•Linchpin brands•Silver bullets•Cash cow brands

Brand Portfolio Structure•Brand Groupings•Brand hierarchy trees•Brand range

Portfolio Graphics•Logo•Visual presentation

Powerfulbrands

Optimalallocationof brand

buildingresources

Synergy increating:visibility,

efficiency

Clarity of offering

Leveragedbrandassets

Platformsfor future

growth

options

Includes all the brands & subbrandsattached to product-market offerings,including co-brands with other firms.

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The Boston Consulting Group’s

Growth-Share Matrix20%-20%-18%-18%-16%-16%-14%-14%-12%-12%-10%-10%-

8%-8%-

6%-6%-4%-4%-2%-2%-

00MarketGrowth

Rate

?

Question marks

? ? ?

Cash cow

6

Dogs

10x 4x 2x 1.5x 1x10x 4x 2x 1.5x 1x

Relative Market Share.5x .4x .3x .2x .1x.5x .4x .3x .2x .1x

Stars

(Strategic Brand) (Lichpin Brand)

(Silver Bullet)

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Product-Market Context Roles

• Endorser & Subbrand Roles – A master brand is the

primary indicator of the offering, the point of reference.• Benefit Brands – The benefit brand is a branded feature.

– Examples: Ziploc sandwich bags – ColorLoc Sipper Oral-B toothbrushes – PowerTip Bristles

• Co-Brands – Occurs when brands from different organizationscombine to crate an offering in which each plays a driver role. – Examples: Eddie Bauer edition of the Ford Explorer

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Brand Portfolio Structure

• Brand Grouping: Grouping of brands that

have a meaningful characteristics in common – Segment: Men or women – Product: Clothing or products – Quality: Designer to premium – Design: classic or contemporary

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Brand Portfolio Structure• Brand Hierarchy Tress: Brand family

ColgateToothpaste

ColgateMouthrinse

Colgate

Classic

DiamondHeads

The wildones

ColgateToothbrush

ColgateDental Floss

Plus Precision

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Brand Portfolio Structure

• Brand Range:Kraft Products – Master Brand: First Brands- Cheese,

Mayonnaise, Salad dressing and BarbequeSauce

– Endorser Brands: Shake and Bake, MinuteRice, Oscar Mayer, Post,…

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Portfolio Graphics

• Visual representations across brands andcontexts: – Logo – Packages – Symbols

– Product design

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Brand Architecture Obj.

• Create effective powerful brands• Allocate brand-building resources• Create Synergy• Achieve clarity of product offering

• Leverage brand equity• Provide a platform for future growth

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Horizontal Extension

FITADDEDVALUE

ENHANCEDBRANDEQUITY

•Customers must becomfortable with the

brand in the newsetting.

•Bases: productassociates,ingredient, attribute,application, user imagery, expertise,designer image.

•The brand namealone should helpcustomersarticulate why theoffering is superior to other brands.

•The brand equityshould be enhanced

by the brand’s presence the brand’s presence in another context -- not onlyfrom increasedvisibility but alsofrom the associationsgenerated.

Aaker, David A. Brand Leadership . 2000

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Vertical Extension

To participate in a large& growing value market

Product vitality & margins A vertical stretch is particularly tricky because perceived quality is involved

and also because the use of sub brands & endorsed brandsneeds to be considered.

Risk to brand’s reputation &

customer baseCannibalization

Lack of credibility

Competitor price wars

ADVANTAGES DISADVANTAGES

Aaker, David A. Brand Leadership . 2000

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Brand Architecture Audit

• Systematic way to identify problems or issues thatmerit further analysis.

• List of questions to answer • First Stage: Business Analysis

– What are the strategic initiatives?

– What businesses and segments are importantfinancially and strategically?

• Second Stage: 5 dimensions of brand architecture

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Five Dimensions

Dimension Action Item

Brand Portfolio Inventory existing brands and subbrands.

Portfolio RolesIdentify brands playing strategic roles (cash-cow,etc.)

Product-Market Context RolesLook at use of endorsers and subbrands, branded

benefits, co-brands, and driver brands

Brand Portfolio Structure Create brand grouping or hierarchy tree.

Portfolio GraphicsLay out a sample of the way that the brands are

presented visually.

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