Running through the term, family brand

A family brand can be recognized as a category of non-identical products belonging to an individual brand sold and promoted under the parent brand.These non-identical products with unique images are devised under the parent brand.For example, L’Oreal uses its name to promote shampoos, lotions, and other beauty products.Umbrella brand is another term used for a family brand.

The strategy of family branding leads to remarkable savings and low promotional costs. It helps in reducing the overall costs involved in advertisements.It aids in floating new products in the market and increases their acceptance among consumers.The strategy is an effective way to build customer loyalty, ultimately increasing the company’s equity.Apple and its products are prominent family branding examples. Apple’s products are sold and promoted under the brand name Apple. The brand name and logo help its consumers identify its products and infuse faith in them for its services.

Formula to create a family brand

If you are curious to know what family branding is, we can also expect your next question: What are the steps to create one for yourself? Of course, the exact strategy used to develop a family brand might differ considering the consumers, but there are three primary steps to create a well-built family brand, and they are:

Core value: A well-built core value forms the foundation of the brand and supports its structuring.A brand can work in the market when it has strong values on which its customers can rely.These core values must be non-negotiable to help the family brand build a reputation in the market.The organization must respect and admire its values and work accordingly to increase its sustainability in the market.

Creativity: If an organization wants to sustain itself in the market, it is vital to possess unbeaten creativity, which can help it to outdo its competitors. Having a grand vision helps to frame a perfect image of the organization in the minds of the consumers.In addition, it helps establish the extent of the success that rests on the organization’s potential.

Mission statement: The prime goal of an organization can be better understood and achieved when the mission statement is clear. The mission statement consists of factors like the priorities, focus areas and strategies related to maintaining the brand’s sustainability. The owner of the family brand plays an essential role in building the impact of the brand on the consumers and the market. The brand legacy will continue once the owner leaves the organization.

How do family branding function?

Family branding functions on marketing several products and services covered under a single parent brand name. By using the family branding technique, it is vital to comprehend the quality of the parent brand before promoting any product or service.If the parent brand is popular in the market, it will positively influence the sale and purchase of its products or services. Therefore, there is a huge difference between family and individual branding, where the latter solely promotes its products and services. It has no previous product or service to refer to as a sign to show its quality and dependability.The family branding technique focuses on promoting family goods or services under one umbrella brand.

The intention of using a family brand is not limited to supporting the parent brand name but to developing unvarying products that add to the brand image. By doing this, the overall brand and its products are easily identified, increasing its total marketability.Moreover, once the customer gets familiar with a new product, he tries to accredit the product and the whole brand.A few customer-centric decision-based theoretical concepts explain why family branding strategy works well.

Categorization theory: The theory claims that consumers try to classify the products and relate them with the brands.They try to apply their previous experiences to all the specific brand’s products.It is done to get over the previous confusion and hesitation while deciding to purchase a new product.Therefore, the customers try to make a choice using their previous history with the brand. Brand equity and past experiences both influence a consumer’s decision.

Confirmation bias: The theory claims that consumers try to find evidence from statistics to ascertain their current beliefs about a brand. When a consumer has developed a certain belief in a specific brand, they tend to relate the belief with all the products being released under the same brand name. Thereby reinforcing their initially developed beliefs. Therefore, if a positive belief has been created for a particular family brand, it will tend to create positive results due to confirmation bias.

Schema congruity theory: The theory establishes how people process information by classifying and assessing their past experiences.Hence, consumers cognitively process their present information depending on their past experiences. Their decisions are enabled by their previous experiences. Coming across new information about the product might change the consumer’s perception, but still, they will rely on their past history with the product.

Organizational examples of family branding

Some real-life examples can clarify your doubts if you are still unsure about the basics of family branding. To better understand the notion of family branding, we are here using some organizational examples of parent brands:

Procter & Gamble (P&G):The organization is an American MNC producing various consumer products.P&G being a parent brand, P&G also produces single products like Pampers and family branding is applied within the individual brands. Some popular individual brands falling under its umbrella branding are Oral-B, Vicks, Pantene and Gillette.Procter & Gamble is an example of successful family branding known to produce several products of individual brands covered by its umbrella branding.Applying this strategy helps P&G to negate the risk of deteriorationof its brand image in case of the release of failed products.

Apple Inc.: The organization is globally recognized for its high-end, reliable and premium electronic products.It is one of the leaders in this industry that develops and sells various products under its umbrella brand.Every new product developed and produced by the organization is marketed under its corporate brand name. As a result, people associate Apple Inc. with quality and dependability, which is considered a status symbol by many. A few of its products are iPhone, iPod, iPad, and Apple watch.

Starbucks Corporation: The organization is a famous multinational coffeehouse and roaster.Initially, it only served good quality coffee, but over the years, it has included several products and seasonal cuisines that its consumers love.A few of its products are Starbucks tea, Starbucks coffee mugs, Starbucks instant coffee blends, Starbucks tumblers, etc. The organization included these items in its menu due to the huge success it gained in this field. All the products of Starbucks are marketed under one parent brand.

Advantages and disadvantages of family branding

There are several advantages accompanying family branding. When designing a new product or a service under a family brand, there is no need to start a campaign from scratch. The family brand has already created a consistent image in the minds of its consumers, so every time the company launches a new product in the market, there is no requirement for any new campaign.

Brands falling under one family aids in minimizing the costs accompanied by creating brand equity and identity for new products. In addition, it further helps in reaching out to wider consumers.

However, there are drawbacks to this strategy as well.

When a single name connects multiple products under its umbrella, the strategy can be compromised if one product fails to make a mark for itself. The poor performance of a product may disrupt the strategy and be risky for the company’s brand image. In addition, negative connotations about a particular product of the family brand may largely affect the perception of its consumers about the other products.

Advantages:
• Same brand guidelines are used for easy and quick promotion of all products or services
• Instant recognition of new products
• Improved sales
• Boosting brand loyalty
• Access to more consumers with a diverse range of products or services
• Involvement of lesser time in developing trust while introducing new items

Disadvantages:

• A low-quality product damaging the brand identity
• Confusing the consumers and challenging their loyalty by introducing senseless products

Family branding vs. mixed branding strategy

Mixed brand strategy is another commonly used branding strategy similar to the family branding strategy.In mixed branding strategy, companies produce similar products but targetdivergent sections of consumers. But in the family branding strategy, companies do not intentionally produce similar products instead, using the identity of the parent company; it launches its varied products in the market more effectively.

Family branding vs.brandextension

Brand extension and family branding are little different concepts.In the case of brand extension, a company with a recognized product or service uses its existence to launch a new product or service in a different field. Virgin Company is an instance of a brand extension where it produces almost everything from international travel, broadband services and television channels.
A brand extension permits a company to venture into different fields where a family branding campaign may not fit. For example, if Virgin had focused only on being a music company instead of an innovative brand, the decision to venture into air travel would have been senseless.

Family branding vs. umbrella branding

Questions related to family branding and umbrella branding go hand-in-hand. At the same time, many presume that the two concepts refer to two branding structures, but they actually mean the same.Family branding is termed umbrella branding, as it includes selling several products under the same company name. It differs from a house of brands structure, where several sub-brands operate below a bigger parent brand. Every product or service in a family branding creates a consistent theme.

With an individual branding strategy or house of brands, a company can create products or services having no connection with each other. Instead, it uses distinct images and identities for all the products or services.

How can TotalAssignment.com help with topics related to family branding?

Is your peace of mind missing thinking about the pending assignments? It is commonly found in students pursuing higher studies in a college or university. Countless assignments are making students feel stressed out. In addition, the competition to survive and be number one contributes to the unending stress. To save students from pressurizing situations, there are several online writing service providers. TotalAssignment.com is one of them trying to benefit the students with its quality and timely services.
A major part of our success is due to our qualified subject matter experts and proficient writers. The writers are well-versed in the subjects like marketing and economics, which helps them to solve assignments related to family branding. The writers work throughout the day to make your assignment worth the price. They look through different resources to incorporate facts that can enhance the assignment’s quality.