Let’s take a look at brand strategy, the starting point of marketing.
1. Understanding Brand Hierarchy
Brand naming goes beyond simply creating a name—it defines the company’s brand architecture and clarifies the role each brand plays within the organization. Brand architecture systematically organizes the relationships among a company’s products, services, and sub-brands. This helps deliver a clear message to consumers and reduces confusion.
Brand naming is generally divided into the following hierarchy (though the structure and criteria may vary by company): Corporate Brand, Master Brand, Sub-Brand, Endorsed Brand, and Feature Naming. Each has its own role and purpose, and is chosen according to the company’s strategic goals and market situation.
2. Main Brand Naming Hierarchies
1) Corporate Brand
The Corporate Brand is the highest-level brand representing the entire company. It reflects the company’s core values and identity, influencing all sub-brands and product lines. For example, Samsung Electronics and Hyundai Motor Company have each established strong trust and recognition as their respective Corporate Brands in the global market. The Corporate Brand usually focuses more on managing the company’s image and reputation than on direct consumer interaction.
2) Master Brand
The Master Brand is similar to the Corporate Brand but plays a more direct role with consumers. The Master Brand maintains a consistent image across multiple product lines or services, delivering reliability and quality to consumers. For example, Google serves as a Master Brand for Google Maps, Google Drive, Google Chrome, and other services, maintaining strong brand recognition. Similarly, Samsung’s Galaxy is a Master Brand for its mobile product line.
3) Sub-Brand
A Sub-Brand sits under the Master Brand and represents a specific product line or service. Sub-Brands leverage the trust and image of the Master Brand while building their own independent identity to target specific consumer segments. For example, Toyota Prius has a unique eco-friendly identity under the Toyota Master Brand. Sub-Brands often share visual elements with the Master Brand but are differentiated by their own names and designs.
4) Endorsed Brand
An Endorsed Brand is similar to a Sub-Brand but has a weaker connection to the Master Brand. It emphasizes its independent identity while still leveraging the credibility and quality assurance of the Master Brand. For instance, Kellogg’s uses an Endorsed Brand structure to market various cereal products, providing consumers with a guarantee of quality.
5) Feature Naming
Feature Naming refers to assigning names to specific features within a product or service. This highlights particular characteristics or enhances the consumer experience. For example, within Microsoft Office, names like Word and Excel represent specific features and are intuitive for consumers. In Samsung’s case, the UI of Galaxy phones is branded as “One UI”—Feature Naming is one of the most frequent brand-related tasks for practical marketers.
3. Brand Architecture Models and Examples
Brand naming hierarchies are generally operated under two main models: Branded House and House of Brands.
1) Branded House
In a Branded House model, a single Master Brand encompasses all Sub-Brands, providing a consistent image. Apple is a representative example: all product lines such as iPhone, iPad, and Apple Watch are managed under the Apple Master Brand. This model helps maintain brand consistency and reduce marketing costs, but if a specific Sub-Brand fails, it can affect the entire Master Brand.
2) House of Brands
In a House of Brands model, each Sub-Brand operates with its own independent identity and has little connection to the Master Brand. Procter & Gamble (P&G) is an example, owning a variety of independent brands like Tide, Pampers, and Gillette. This model allows each brand to be competitive in its own market but can increase management costs.
4. Strategic Use of Hierarchy
A well-structured brand naming hierarchy helps companies approach the market effectively and communicate with consumers. Each level, from Corporate Brand to Feature Naming, has its own role and purpose. By utilizing them strategically, companies can strengthen their competitiveness and secure a differentiated position in the market. Successful brand naming is not just about creating a creative name—it must be linked to the company’s overall marketing strategy, contributing to long-term growth.
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