Marketing Management, 16th Edition

Brand Hierarchy

Brand hierarchy reflects the way in which a company’s brands are related to a company’s products and services, as well as to one another. Developing a meaningful brand hierarchy is particularly important for companies that are managing diverse brand portfolios.

Managing Brand Portfolios

A brand can be stretched only so far, and it is possible that not all segments that the firm would like to target view the brand in an equally favorable light. Marketers often need multiple brands in order to pursue multiple consumer segments. Other reasons for introducing multiple brands in a category include increasing shelf presence and retailer dependence in the store, retaining variety-seeking consumers who may otherwise switch to another ...