how can companies combine products to create strong co-brands and ingredient brands
TRANSCRIPT
Setting Product Strategy
How can companies combine produc t s to c rea te s t rong co -brands or ingred ien t
b rands?
Presentation byDivyasree P K
IIT Madras
Co-Branding
N. Process by which di f f erent products are combined together in to a jo in t product or marketed together in a jo in t fash ion
TypesSame company co-brandingJoint venture co-brandingRetai l co-brandingRetai l co-branding
Same company co-branding
Two or more products from the same company are promoted togethercompany are promoted together
Same company co-branding
Aquaguard Eurocleanpromoted together by Eureka Forbes
Same company co-branding
Promoted by Oriental Cuisines Private Limited
Joint venture co-branding
Two or more products from different companies are promoted togethercompanies are promoted together
2 in 1 transit credit cards
Citi bank credit card
Joint venture co-branding
DMRC
Citi bank credit cardMetro transit card
Additionalcustomers
Increased reach
Retail co-branding
Two retail establishments use same location to optimize space and profitslocation to optimize space and profits
Pizza Hut & KFC
co-branding?
Easy positioning
Visibility due to multiple brands&
Existing market
New channelsPLUS
New channels
INCREASED SALES
Reduced cost of product introduction
Speeds up the adoption process!
MOST importantly,
Provides opportunity to understand how other brands approach the customerother brands approach the customer
co-branding?
BRAND EQUITYEQUITY
Brand awareness
PLUS
Brand image
1Ensure separate brand equity exists
2Ensure a logical fit between the brands
CO-BRANDS....must be
complementary and unique..
..to ensure favorable perception by customers
3Adopt due diligence before entering co-branding ventures
FIT ofValuesCapabilityGoals essential
INGREDIENTBrandingBranding
N. Process which creates brand equi ty for products that are contained wi th in o ther branded products
Carl Zeiss lens in Sony digital camera
Success story of Intel
Ingredient brand became the preliminary cutoff for the selection of host product!!
Successful Ingredient Branding
Requirements
1Ingredient is integral to the success of host
2Ingredient offers tangible quality differentiation
3Host must display a visible marker of the ingredient
4Concerted efforts to make the customer understand the value of the ingredient