Dr. Glenn Gearhart CEO of World Market Vendor Services, Inc. provides News and Commentary

Multi-Brand Marketing Approach to Increased Sales

Using Multiple Brand Marketing to maximize product appeal and increase average transaction amounts



Multiple brad marketing
In a few Blogs we have briefly addressed a few business approaches and market strategies designed to increase your eCommerce sales and revenues. The topics have included: (a) high end selling, (b) low price leader selling, (c) great sales image, and (d) overstock selling.

The multiple brand market strategy is what I like to refer to as: “Divide and Conquer.” That is dividing your business image into two, three or more brand images. The general public does not need to know all the brand images or business names are a part of a single entity. You can create “Multiple Brands” with just band names, or go as far as to setup separate and unique businesses as affiliates of the original entity for each brand.

For example, using a single business entity, create two or more business names, or “doing business as” (DBA) names. To proceed, setup one business name, trade name or brand name to support and sell as the high end seller, another as the low price leader seller, another business name, trade name or brand name as the great sales seller, and another as the overstocked seller.

If you desire, and it is advantageous to you goals and mission of increasing market coverage (the market footprint), you can setup two or more of these entities or multiple brand names in the same product category.

However you approach this, the objective is to have the same business entity create and operate multiple customer images and multiple market strategies all operated by a single business team. This approach saves operating costs, while assuring you can cater to the needs of one or more customer segments of the market footprint you are addressing.

You do not need to be a big box store to use Multiple Brand Marketing. It can work just as great for a one man or one women vendor, as for a very large multi-national organization.

In the US, an example of a large entity using Multiple Brand Marketing is Sears stores. The Sears holding company operates a number of band names and business entities. In some cases the entities are actually affiliated operating companies, and in others, they are uniquely identified by a band name.

For example, Sears has a brand of tools, “Craftsman,” that is sold not only by Sears but by other resellers. It is known as a fair priced high quality tool that if it ever breaks, in your life time, you can exchange it for a new one FREE!

Sears operate Sears.com as a quality product mid-priced retail online store with many products. Sears operates Kmart.com as a low price leader competing against Walmart.com. Sears operates Sears Parts Direct as the place to find the original part you need. Sears also operates as separate brands: Mygofer.com, Lands’ End, Sears Home Services, Kenmore Appliances, The Great Indoors, and Sears Outlet.

In this example of Multiple Brand Marketing you will find Overstocked Marketing (Sears Outlet), Low Price Leader (Kmart), High End Marketing (Land’s End and Sears Home Services), and Great Sales Image (Sears). Also, within this Sears mix are some multiple brand marketing concepts and topics we have not yet addressed.

Low price leader Sears is not the most successful entity at utilizing the Multiple Brand Marketing approach. There are a number of reasons for their less than stellar performance. However, they are a great example of the structuring and the deployment of a Multiple Brand Marketing strategy.

Although the Sears group is experimenting with cross-border sales, it has, to date, limited the scope of it’s global foot print coverage. In my opinion, Sears would benefit greatly from utilization of World Market as a supplemental distribution channel for many of their multiple brands. Use of World Market with direct, simple and effective access to 2.4 billion potential consumers, who pay in cash, could jump start their lagging sales growth.


The same is true for your business! Whether you chose to begin to use Multiple Brand Marketing or some other market strategy, using World Market as an additional distribution channel to your business is a wise move and successful decision.

We welcome the opportunity to help you grow. To learn more about Multiple Brand Marketing, Established Markets, Emerged Markets, Emerging Markets, and Seedling Markets continue to monitor this Blog.

References:
http://www.sears.com/?sid=ISx20070515x00001a&psid=13x31421
http://www.businessdictionary.com/definition/multi-brand-strategy.html
http://www.faltos.com/multi-brand-marketing-strategy-to-differentiate-the-different-survival-loreal-cosmetics-l3/
http://design-marketing-dictionary.blogspot.com/2009/10/multibrand-strategy.html