THE BUSINESS TRIBE

A BRANDED HOUSE OR A HOUSE OF BRANDS…THAT IS THE QUESTION

Many CEOs and marketing managers struggle with the problem of whether to apply a strategy based on a Branded House or a strategy based on a House of Brands?

But is this question well addressed at all?

The most important issue here is not whether to apply one strategy or the other, because both brand strategies could work very well under the right circumstances, depending on your organization´s ability to cope with the different possibilities/problems that are associated with the two brand strategies.

In my opinion the decision to choose the one strategy or the other should be based on core conditions within your business. The most important conditions/metrics that you need to analyze are:

Which one of the two strategies is best suited for the type of products/servicesthat you market?

Which one of the two strategies will make it possible for you to gain market share?

Which one of the two strategies will generate most profits?

Which one of the two strategies will be accepted most by your customers?

Which one of the two strategies is best handled by your organization?

It is not easy to answer these questions, but possible and worth the efforts. Once you have done that, then there will be no doubt wich one of the two strategies that is best suited for your company.