The single brand extension strategy facilitates the unification of corporate image, the concentration of capital and technology, reduces marketing costs, and is easy to be accepted by customers. However, a single brand is not conducive to the extension and expansion of products, and a single brand will prosper and lose. Although multi-brands have high operating costs and high risks, they are flexible and conducive to market segmentation. Procter & gamble company P& p&; G Procter & Gamble has not become any kind of product or trademark, but according to the market segmentation, shampoo, skin care, oral cavity and other major categories, each brand-centered operation. In the China market, there are three brands of shampoo: Shufujia for soap, Crest for toothpaste, Hushubao for sanitary stickers and Rejoice, Pan Ting and Head & Shoulders. There are 9 brands of washing powder, such as Tide, Bilang, Wash Well, Ouxiduo, Porter and Century. If you want to ask which company has the most brands in the world, I'm afraid it must be Procter & Gamble. The frequent attacks of multi-brands have enabled the company to establish a strong image in the eyes of customers.
Differentiated marketing: The multi-brand strategy operated by Procter & Gamble is not to simply label a product with several trademarks, but to pursue the differences between different brands of similar products, including functions, packaging, publicity and other aspects, thus forming the distinctive personality of each brand. In this way, each brand has its own development space, and the market will not overlap. Different customers hope to get different benefit combinations from the products. Some people think that the washing and rinsing ability is the most important, some people think that it is the most important to make the fabric soft, and some people hope that the washing powder has the characteristics of fragrant smell and mild alkalinity. So P&G designed nine different brands by using nine market segments of washing powder. Using one product and many brands to divide multiple markets from functions, prices, packaging and other aspects to meet the needs of customers of different levels and needs, so as to cultivate consumers' preference for a certain brand of the enterprise and improve their loyalty. Due to the diminishing marginal income, it is difficult to increase the market share of a single brand from 3% to 4%, but it is relatively easy to get a certain market share if you set up another brand, which is beyond the reach of a single brand.
Advertising is highly targeted: toothpaste and soap mostly choose children who are susceptible to bacterial infection, need protection and like to imitate, which makes many advertising words become social buzzwords. The washing powder is a killer for smart housewives. The advertising strategy of "Head & Shoulders" is an all-star cast in order to attract groupies. "Sassoon" chooses cool and unknown blondes, emphasizes style and personality, and what it wants is to pursue fashionable and alternative teenagers. Rejoice is smoothness, Head & Shoulders is dandruff removal, Pan Ting is nutrition, Sassoon is professional hairdressing, and clairol is a brand purchased by P&G from Bristol-Myers Squibb Company at a huge cost, mainly focusing on hair dyeing, in order to build a complete product line of hair care and dyeing. Procter & Gamble's market segmentation does not depend on function and price to a great extent, but gives consumers different psychological hints through advertising appeals.
The principle of P&G's internal competition law is: If there is still room in a certain kind of market, it is best for those "other brands" to be P&G's products. Therefore, we not only set up brands in different kinds of products, but also fight brand wars in the same product types. Shampoos sold in China include Rejoice, Head & Shoulders, Pan Ting, clairol, Runyan and Sassoon. "Rejoice", "Head & Shoulders" and "Pan Ting" have similar effects and functions, and the demands and prices of advertisements are basically the same. Ordinary consumers can't tell them apart from colors, so it is not necessary to consider them from market segments. However, the fierce competition among several major brands has made other companies daunting. Its new brand "Icarus" takes herbs as its signboard, and its advertisement does not emphasize that it is a product of P&G, and it does not take advantage of the advantages of P&G brand, because the targeted market has never been involved, which is risky. If something goes wrong, it can be discarded without affecting the whole P&G.
Brand under the brand
Top brands: SK-II, Maxfactor (second-line brands: Olay (Olay), Inami (), Always, Zest men's brands: Boss Skin, Make-up brand: Cover girl
No.1 make-up brand in Asia: ANNA SUI perfume brand: Hugo boss, LACOSTE, ANNA SUI, Escada, Dunhill, Valentino, Lanvin, Paul Smith's care brands: Rejoice, Head & Shoulders, Jishuang (just eliminated), Pan Ting, Runyan, Sassoon, Clairol, Shufujia and Wella.