What's up brand builder Stephen Houraghan here at BrandMasterAcademy.com and in this video
you're going to learn what an endorsed brand is including pros cons and examples so you can better
understand this brand architecture strategy which offers freedom on one side and safety on the other
now if you're new to the channel and you want to build brands that go beyond the visuals using
strategy psychology and creative thinking then you're in the right place hit that subscribe
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brand strategy blueprint it's a free download and the link is in the description now endorsed brands
or endorsed branding is a term that you may or may not have heard of before but
it is a brand architecture strategy that allows brands with an existing reputation and brand
equity to introduce new brands into the market and give them a leg up and an unfair advantage
now in order to understand endorsed brands you need to understand the world that they live in
and brand architecture is that world now brand architecture is just an organizational structure
that allows brands to organize a portfolio of products services or separate entities
into sub brands now whether these sub brands are different entities or not brand architecture
allows for distinguishing between those product services or entities from anything from the name
of the product or services right up to market segmentation and positioning strategy so what
is an endorsed brand then well an endorsed brand similar to a house of brands or a branded house is
just a simple organizational structure now what's unique about this structure is that it allows
the endorser brand which is the parent brand also known as the endorser brand
to offer the reputation and equity that it has built up while offering the independence
for that brand to go out and do its own thing so essentially an endorsed brand has a foot in
each camp it has the best of both worlds being able to go out and express itself with freedom
and independence while also having that safety net of the parent or endorser brand now when it
comes to the visual identity of the endorsed brand these are usually very unique very
independent and distinguishable from the parent brand and the reason for this is that they're
usually targeting very specific segments of the market or completely different markets altogether
so anything from the logo to the typography the color palette the image style iconography
graphics or illustrations are all unique to the endorsed brand and the only similarities that you
will see across these endorsed sister brands are the reference to that parent brand with the parent
brand's logo on there throughout the identity so why would a brand use an endorsed brand strategy
well strategies exist to navigate different problems and when it comes to brand architecture
and brands that have a portfolio of products or services or different entities they need
to decide what kind of structure is suitable for them now these structures these brand architecture
structures range from completely independent to completely dependent and the endorsed brand
strategy sits somewhere in between so they have a foot in each camp and it allows the endorsed brand
to have that freedom to go out and express itself while also having the safety of the
parent brand now some of the advantages of the endorsed brand strategy i've already covered from
that freedom and independence to that safety but when it comes to brand awareness an endorsed brand
is not trying to establish brand awareness from ground zero it is leveraging that brand equity
and that reputation to raise its awareness in the market and really get a leg up and a foothold and
an unfair advantage in the market and then when it comes to marketing as well enhanced
marketing efforts and marketing efficiency is one of the benefits for endorsed brands being
able to combine efforts with either the parent brand or any sister brands that it might have
a relationship with but the endorsed brand is not without its disadvantages having that relationship
with the parent brand and those sister brands means that any kind of negative pr from any
of those brands can hamper the growth of that particular brand also having that relationship
with the parent brand means that it only has so much freedom it has to fall in line with what
the parent or endorser brand has as its values and its beliefs it can't go off and completely do its
own thing change the values because there would be a misalignment with the parent brand and also
complicated chain of commands as well making decisions making quick decisions being able to
be nimble as an independent brand is a little bit more complicated having that relationship
with that parent brand so let's have a look at an endorsed brand strategy now nestle is
what you would call a hybrid when it comes to brand architecture because it is both a house of
brands and an endorser brand it has a portfolio of brands that is pretty broad which includes
brands that are well established in the market that it doesn't endorse in a traditional sense
which includes nescafe nespresso san pellegrino perrier and many many more now as an endorser
brand nestle is the picture-perfect example of how this strategy should be executed they bring
to the table a huge amount of brand equity and reputation but they've also established endorsed
brands in their prospective markets as big hitters in and of themselves and they include kitkat milky
way smarties nesquik and many more now when you wade into the world of brand architecture
you'll realize there are many strategies at your disposal but it's all about understanding that
market landscape the competitors that live there what your audience wants and weighing up the pros
and cons of a given strategy but certainly when it comes to the endorsed brand strategy
having a foot in each camp having that safety and independence on one side and that safety on
the other is a massive advantage now if you want to understand the world that endorsed brands live
in and what brand architecture is well then this video with world-class examples will help you out
until next time brand like a master and i'll see you in the next video
you