How can a parent brand leverage theirstrong position to launch and package asuccessful new sub-brand?2The Question?
3New Brand developmentThe goal is to evaluate, define and deliver apackaged new sub-brand platform.
4Brand & PositioningExploring brand Insights to define the brand, anddevelop a robust brand Strategy to propose whatAttributes are needed to build a winning Valueproposition.
5Brand OfferingCreating a unique “thinking out of the box” brandIdentity and Personality. Valuing this throughConcept Validation and Market Testing againstCommercial and Customer Drivers.Concept Validation
6DeliveryA Brand platform, validated, and rolled out inunison with operations, packaged up and ready tosell on. With a Strategic Communications Plan,Internal Engineering, and a Brand Book and aBrand ID kit.
Main areas of opportunity for a sub-brand…• Additional revenue stream.• Reduced cost of sales through buyers shifting channels.• New customer base.• Shift in brand architecture to multi-brand – spreading therisk with the ups and downs of business.• Package and export the concept to other countries to belaunched in.• Leverage the brand heritage of the parent.7
What are the potential risks …• Impact on the parent brand if used as an endorser.• Customer confusion.• Limited resources available to execute the sub-brand launch.• Temptation to cluster resources and reduce edginess if you are todistance from the parent brand.• Build up costs too quickly.• Oversell the potential revenue impact internally.• Over complicate the concept definition, so nobody understandshow to sell it or what it stands for.8
The Approach (example of thescience to be applied).9
Generate Brand Values using the Pyramid exerciseBrand emotional benefits?Brand cross over analysisKey words describing the brand?Brand definition?Brand personality?Brand voice & manner?Brand proposition?
Assess Brand Extensions using the Pyramid exerciseWhat does the parent stand for at home and abroad?Is there a brand systems be adopted?Potential impact on parent visual identity?Perceived fit with parent brand?Imagery & value associationsIs parent brand a risk taker?Benchmark analysis
Assess Brand Distribution strategy using the Pyramid exerciseCompetitor or benchmark strategy?Company or brand Commercial objectives?Where do customers expect to find the product?Costs per channel?Customer segment by mostprofitable channel(s)?Ease of influencing a channel?Forward looking factorsthat affect channel mix?