Single brand strategy, also known as unified brand strategy, means that all products produced by an enterprise use one brand at the same time. For example, "Midea" is a representative of the single brand strategy. Midea Group integrates the development and sales of home appliances and commercial air conditioners. Commercial air conditioners are more famous, but no matter what these products are, all products under Midea Group are branded Midea. This is the single-brand strategy.

So what are the advantages and disadvantages of a single-brand strategy?

1. Advantages

Take "Midea" as an example. Its commercial air conditioners are sold in all its market products. It has the largest name in China and has a good reputation. Midea Group is also focusing on the research and development of commercial air conditioners. It is said that getting rich first drives wealth later. Consumers have a good feeling about the use of Midea air conditioners. They may also like other products of Midea Group, that is, by-products. Generating a good impression is a subtle influence. For the group, this will virtually increase a large number of potential customers for the group.

Another point is that if you focus on one product, the cost of publicity will be relatively low. After a product has achieved good reputation and sales in the market, it can then positively affect the sales of other products under the brand through the product's reputation, which can save a lot of publicity costs. At this point, Xiaomi has a strong say. As we all know, Xiaomi's products are divided into categories, ranging from mobile phones to thermos cups, covering a wide range of products. Among them, Xiaomi mobile phone is still the most famous among Xiaomi products. With Xiaomi mobile phone The increase in popularity will make consumers pay attention to its other products, so driving consumption through natural traffic is one of the marketing priorities of single-brand strategic enterprises.

2. Disadvantages

The advantages of a single brand strategy are obvious, and its disadvantages are also obvious. The reputation of a single brand strategy is directly linked to the reputation of the company, and both prosper and lose. If there is a problem with Xiaomi's mobile phone, the impact on Xiaomi's other products will be immediate, and if the mistake is huge, it will make it difficult for the entire company to stand out for a period of time, not to mention how many customers will be lost during this period. In the competition In today's fierce society, even if it is only depressed for a few months, other brands will take over at any time. Enterprises are actually very passive in the market.

To sum up, the key point in the development of a single brand strategy is unification. Single-brand companies pay more attention to corporate image and market reputation than multi-brand companies.