Flanker brand
| Flanker brand |
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| See also |
Flanker brand it is a new brand which is being launched on the market by a company which already has a stable brand in the same product category. The new brand competes with the old brand in the same category. Its offer is directed to other consumers so it does not damage the market share of the already existing brand. This strategy can be also called fighter branding or multibranding. One product can garner a much lower overall market share than multiple brands. A flanker branding strategy can be very effective if implemented correctly[1]. Companies with flanker brands in a single product category usually have the below types of products in their portfolios[2]:
- A premium brand which offers high prices and high quality
- One or more “value” brand which offers a lower price for a variety of benefits or for a bit lower quality
Advantages of flanker brand
The development of flanker brands is a challenge but is worth considering. There are a lot of different advantages of flanker brand[3]:
- Allows a company to interest new customers from various market segments.
- Monitors the sales results of various brands.
- Gains more space for the company resulting in a much greater dependence of the retailer on the company's brands.
- Makes it possible to offer several brands.
- Protects the company through giving a product its own unique name.
- Companies with a high-quality existing product can introduce lower-quality brands without weakening the high quality of their brands.
Brand portfolio
There are four basic types of brands in brand portfolio: bastion brand, prestige brand, fighter brand, and flanker brand. According to Riezebos R. "The essence of a brand portfolio is to use other brands to protect an organization's most profitable brand from possible competitive attacks"[4]. Flankers brands is a type of sub-brand introduced into the market by a company that has a stable brand in the same product category[5]. The most profitable brand is the bastion brand. However, it is worth noting that the flanker brand has a lot of strategic advantages. In terms of brand-added value, a flanker brand is characterized by a high level of psychosocial meaning and a high level of performance. Flankers brands have the same price-profit ratio as the bastion brand but bastion brand offers different needs and desires of customers[6].
References
- Aaker D.A. (2004), Brand Portfolio Strategy: Creating Relevance, Differentiation, Energy, Leverage, and Clarity Simon and Schuster, New York
- Eagle L. (2015), Marketing Communications Routledge, New York
- Frydenberg M. (2016), Impact of branding on public awareness of healthcare-related governing bodies: a pilot study of the Urological Society of Australia and New Zealand brand John Wiley & Sons, Australia
- Giddens N. (2015), Building your brand with Flanker Brands Vol. 6: Iss. 7, Article 3, Iowa State University
- Riezebos R. (2003), Brand Management: A Theoretical and Practical Approach Pearson Education Limited, England
Footnotes
Author: Aleksandra Majcher
