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Company may use one branding strategy, multiproduct branding, where a single brand name is used for all products, leveraging its existing brand equity and consumer perception. This approach allows for product-line extensions, using an established brand to enter new market segments within the same product class, which can help capture market share from competitors without cannibalizing existing sales.

Deciding under which brand a new product will be marketed is critical. For example, Black & Decker uses its main brand for power tools aimed at general consumers, and a sub-brand, DeWalt, for professional-grade tools. When Black & Decker considers adding accessories like coolers or radios to the DeWalt line, it engages in brand extension—using an existing brand to introduce a new product category. The rationale is that DeWalt’s strong reputation for durability and high performance among professionals will transfer to these new offerings.

However, companies must consider cannibalization—the risk that new products might replace sales of existing products within the company's own portfolio. For instance, if Black & Decker already sold coolers and radios under its main brand, introducing similar products under DeWalt could cannibalize those sales. Some argue cannibalization can be beneficial because it signals the development of better offerings and keeps competitors at bay. Conversely, excessive cannibalization may dilute the brand’s value and consumer perception, especially if overused across numerous product categories, as seen in Arm & Hammer’s diverse product lineup.

In addition to multiproduct branding, firms may pursue sub-branding, which involves combining the corporate brand with a secondary brand (e.g., Lamborghini Murcielago). Similarly, brand extensions involve using a well-established brand to enter different product classes, such as Suzuki from motorcycles to cars and outboard motors. Nonetheless, overexpansion of a brand name can dilute brand equity and consumer trust, highlighting the importance of strategic brand management (Kerin & Hartley, 2017).

Multibranding is another strategic approach where companies assign distinct names to each product to target different market segments. For example, Procter & Gamble markets its flagship detergent Tide as a low-tier product, while Ariel targets a different segment. Though multibranding incurs higher promotional costs, it minimizes risks of failure across brands because each brand operates independently. This strategy is particularly relevant when a firm seeks to diversify its offerings and reduce market risk through brand differentiation (Kerin & Hartley, 2017).

Private branding, or private label branding, involves manufacturers producing products sold under retailer brands. For instance, Rayovac manufactures batteries for Walmart. This strategy benefits both manufacturers and retailers, generating significant profit margins—around 20 percent of products sold under private labels are found in drugstores and supermarkets. The partnership allows retailers to offer exclusive products and enhances manufacturer sales volume, illustrating the competitive advantage of private branding in retail (Kerin & Hartley, 2017).

Mixed branding combines elements of manufacturer branding and private branding, allowing companies to market products under their own name as well as private labels across different market segments. This flexibility helps companies respond to market demands effectively and maximize their reach across diverse consumer bases (Kerin & Hartley, 2017).

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Branding strategies are fundamental to a company's marketing and product management, with multiproduct branding standing out as a prevalent approach. This strategy involves using a single brand name across multiple products, capitalizing on the existing brand equity to facilitate entry into new markets and expand product lines. Companies like Sony, GE, and Microsoft exemplify this approach, where their brand names serve as a hallmark of quality and reliability that customers trust, enabling easier acceptance of new products.

One prominent application of multiproduct branding is product-line extension, where a firm introduces new products under the same brand within related categories. For instance, Black & Decker employs its brand for power tools, and under this umbrella, it might extend to accessories or supplementary products like radios or coolers targeted at professionals. The main advantage of such extensions is leveraging consumer trust and reputation associated with the parent brand, which can lead to quicker acceptance and sales. However, these extensions are fraught with strategic considerations, especially regarding cannibalization—the risk that newly introduced products may diminish the sales of existing ones.

Cannibalization presents both a risk and an opportunity. If the new product takes sales away from existing offerings, it can ultimately weaken the overall brand profitability. Yet, some marketers see it as a positive signal indicating product improvements and market development, making room for better offerings to replace older ones. Companies such as Black & Decker must weigh these risks when deciding whether to introduce products under their main brand or different specialist brands like DeWalt, which targets professionals rather than consumers.

In cases where the same brand name is used across multiple categories, there is a danger of diluting the brand's meaning and reducing its distinctiveness—Arm & Hammer’s diverse usage in toothpaste, deodorants, and cleaning products exemplifies this risk. Therefore, organizations must carefully balance the benefits of brand extensions with the potential for erosion of brand equity. Proper management ensures that each extension reinforces the corporate image while maintaining clarity for consumers (Kerin & Hartley, 2017).

Sub-branding, where the corporate brand is combined with another brand name, is also prevalent in luxury automobile markets, exemplified by Porsche Boxster or Lamborghini Murcielago. These sub-brands target specific segments, emphasizing performance, luxury, or exclusivity. This approach allows companies to target specific niches without risking the entire corporate brand’s image due to failures or negative perceptions of individual products.

Alternatively, multibranding involves offering multiple brands within the same product category, each targeting different customer segments. For example, P&G offers Tide as a premium brand and Ariel for the budget-conscious segment. Although this approach entails higher promotional costs, it provides complete market coverage and reduces risk because the failure of one brand does not impact others. This method caters to diverse consumer preferences and enhances market penetration (Kerin & Hartley, 2017).

Private branding strategies involve manufacturers producing products that are sold under retailer brands, such as Rayovac batteries made for Walmart. This approach benefits manufacturers through increased sales volume and profitability while also allowing retailers to offer exclusive, often lower-cost alternatives. Private labels have gained significant market share, particularly in food and household goods, reflecting the shifting power dynamics in retail (Kerin & Hartley, 2017).

Lastly, a mixed branding strategy combines manufacturer branding with private labels, enabling companies to diversify their offerings across different market segments. This strategy maximizes market coverage and leverages the strengths of both approaches, providing flexibility to adapt to market dynamics and consumer preferences.

Understanding these various branding strategies—multiproduct branding, multibranding, private branding, and mixed branding—is essential in crafting a competitive branding portfolio. Each approach offers distinct advantages and challenges, and selecting appropriate strategies depends on brand strength, market positioning, consumer perception, and long-term business goals.

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