Use metrics to predict brand portfolio outcomes

Nick Cooper with Anastasia Kourovskala
Millward Brown Optimor

An optimal brand architecture can be created through the evaluation of six critical brand characteristics

Most companies own multiple brands, and while this has undoubted advantages, there are also pitfalls that come with the territory. The use of metrics to help measure, manage and model brand architecture outcomes can be a valuable tool in optimising the use of brand portfolios.

It is increasingly common for companies to own portfolios of brands, even in the same category. This approach has the obvious advantages of increasing market share, maximising appeal to consumers, enhancing bargaining power with retailers and blocking potential positioning to competitors. However, there are also a number of problems that come with portfolios – in particular, cannibalisation of your own sales, complexities in production, ensuring discrete positionings and allocating marketing investment.