Brand strategy, positioning & brand portfolio: two sides of the...

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Brand strategy, positioning & brand portfolio: two sides of the same coin

Brand strategy is the long-term plan for how an organisation builds, positions and manages its brand to achieve a sustainable competitive advantage. Who are you, for whom, and why would anyone choose you? In a market clamouring for attention, a clear brand strategy is the difference between staying relevant and disappearing. A strong brand strategy guides everything an organisation does: from product development and recruitment to communication and customer contact.

What is brand strategy and why is it indispensable?

But brand strategy is not a monolithic concept. It has two sides — two sides of the same coin:

Two different questions. One coherent approach. And both rooted in the same foundation: the brand purpose and culture of the organisation.

  • Side one: brand positioning — how do you position your brand in the market relative to competitors?
  • Side two: brand portfolio & brand architecture — how do the (sub-)brands within your organisation relate to one another?

What is brand positioning and why does it matter?

Positioning is the art of choosing. It is the answer to the question: "Why you?" It's not about what you shout in an advertising campaign, but about the sum of all experiences that lead to a specific place in the heads and hearts of people.

The scientific debate. Within marketing science, a fascinating debate is raging — one we follow with great interest, and a perspective of our own:

Our view? Fame (Sharp) is essential, but emotional resonance (Trout/Ritson) creates loyalty and margin. A brand must not only be recognisable — it must stand for something. We combine the best of both worlds: broad recognition with deep emotional resonance.

The three conditions for strong positioning:

Research by Kantar's BrandZ confirms the commercial impact: brands with a clear and meaningful positioning grow their brand value 2.5 times faster than those without. McKinsey's research on brand-led growth shows that strong brands outperform the market by 73% over a 20-year period.

In times of media fragmentation, culture, customer contact, innovation and distribution are at least as important as communication. All touchpoints together define your brand today. Positioning is therefore not a communication exercise, but a strategic choice that affects the entire organisation.

  • The Classics: Al Ries and Jack Trout laid the groundwork with Positioning: The Battle for Your Mind (1981). Their credo: "Be first or be different." A brand must claim one unique, defensible concept in the consumer's mind.
  • The Modernists: Professor Byron Sharp (Ehrenberg-Bass Institute) argues in How Brands Grow that classic differentiation is overrated. According to him, everything revolves around distinctiveness (standing out) and growing mental and physical availability — or mental availability.
  • The Pragmatists: Professor Mark Ritson defends the classic strategic trinity: segmenting, targeting, positioning (STP).
  • Relevant — the brand resonates with the target audience, addressing a genuine need or aspiration
  • Distinctive — a unique place relative to competitors, recognisable and memorable
  • Authentic — an honest reflection of who the organisation truly is, rooted in purpose and culture

What is brand portfolio strategy and why does it matter?

As an organisation grows, complexity emerges. New products are launched, companies acquired, sub-labels created. Without a clear brand portfolio strategy, uncontrolled growth follows. This leads to customer confusion, wasted resources and internal battles for attention and budget. Brand architecture and portfolio strategy give that structure deliberate form.

In brand architecture, we recognise a spectrum:

The reality is that the optimal position on this spectrum shifts as the organisation grows, merges or enters new markets.

Kim Cramer, partner at BR-ND People, completed her PhD at the University of Amsterdam on "Under mother's umbrella" — an academic study of brand portfolio strategies and the effects of brand hierarchy on consumer perception. Since 2005 we have been helping organisations navigate complex portfolio challenges.

Download our whitepaper 10 Things you need to know about brand portfolio.

  • Branded House — one strong master brand (e.g. Google or Virgin) under which all services fall. This offers maximum synergy and efficiency.
  • House of Brands — a portfolio of independent brands (e.g. Unilever with Dove and Ben & Jerry's). This offers flexibility and risk diversification.
  • Hybrid / Endorsed — most modern organisations sit somewhere in between, where a parent brand lends credibility to sub-brands.

Brand naming: the name as a strategic choice

Between positioning and visual identity lies a step that is often underestimated: the brand name. A name is the most compact carrier of your brand identity. It is the first thing people hear, the first thing they type, and — when done right — the last thing they forget.

Brand naming is not a creative impulse or a post-it brainstorm. It is a strategic discipline that touches positioning, portfolio strategy, legal protectability and emotional resonance with your target audience.

Three levels of brand naming:

Why a name is so decisive:

A name steers associations before any visual expression. Professor Adam Alter (NYU Stern) demonstrated that names with fluent pronunciation (processing fluency) generate trust more quickly. Conversely, a name that is difficult to remember can structurally hinder your distribution and word-of-mouth — regardless of the quality of the product.

Brand naming also has legal dimensions: a name must be protectable through trademark registration. Descriptive names (that simply describe what you do) are rarely registrable; distinctive names are. We evaluate every name against five criteria: distinctiveness, emotional resonance, pronunciation-friendliness, international usability and legal protectability.

Our approach:

We develop names from within the brand strategy and the outcomes of the 23plusone method. The drives we uncover during research form the emotional foundation for the naming choice. From there we generate a longlist of candidates, test for availability and resonance, and deliver an evidenced shortlist with a recommendation.

Start a good conversation. Get in touch with Ivo Grupping — our naming specialist would love to think with you about the right name for your brand, product or proposition.

  • Organisation names & master names — the name of the organisation itself, or the parent brand. A name like 'Patagonia' or 'Coolblue' does the heavy lifting long before you have explained the rest of your brand identity.
  • Product names & sub-brand names — how do you name a service, product or division so that it strengthens rather than weakens its position in the portfolio? This connects directly to your Brand Fan architecture.
  • Campaign names & proposition names — temporary or programmatic names that give an initiative weight without diluting the master brand.

The BR-ND Brand Fan: making portfolio strategy visible

The Brand Fan is our own visual model that maps brand portfolio and architecture. It makes complex relationships transparent and helps leadership teams make well-founded decisions — fast — about adding, merging or removing brand names. The model is based on the dynamic relationship between (sub-)brands, category names and propositions.

The Brand Fan has been selected by SWOCC (Foundation for Scientific Research in Commercial Communication) as a strategic instrument and included in the academic reference work Brand Management Models: The SWOCC Selection. Read more about the Brand Fan.

Our approach: strategy rooted in human behaviour

We believe the best brand strategy does not start with the competition, but with people. Through the 23plusone method we map what customers and employees are truly driven by — not what they say, but what they feel. This model is also included in Brand Management Models: The SWOCC Selection.

That deep knowledge of human drives forms the foundation for both positioning choices and portfolio decisions. Because ultimately, both sides of the coin come down to the same question: what moves people, and how do you build a brand on that foundation that truly lasts?

Our strategic process:

  • Insight — uncovering the emotional and rational drives of customers, employees and stakeholders via 23plusone
  • Positioning — choosing a distinctive, relevant and authentic position rooted in the organisation's purpose
  • Architecture — determining the optimal structure and hierarchy of the brand portfolio
  • Activation — translating the strategy into brand expression, storytelling and digital experience

Brand strategy examples: what good looks like

What does a well-executed brand strategy look like at scale? These globally recognised organisations show how positioning and portfolio decisions create lasting competitive advantage:

Notice the pattern: every successful brand strategy starts with a clear choice. The organisations that try to be everything to everyone end up being nothing to anyone.

  • Apple — Apple's brand strategy is a masterclass in positioning through simplicity and premium experience. By owning the intersection of technology and design, Apple occupies a mental space no competitor can touch. Their portfolio strategy is equally deliberate: a branded house where every product (iPhone, Mac, Watch) benefits from the master brand's equity.
  • Unilever — Unilever demonstrates the power of a house of brands strategy. With over 400 brands across food, beauty and home care, each brand has its own positioning while the parent brand provides operational scale. Their decision to divest non-core brands and invest in purpose-led positioning (Dove, Ben & Jerry's) shows portfolio strategy in action.
  • Coolblue — Coolblue proves that even in a commoditised market (consumer electronics), a sharp brand positioning can be your biggest differentiator. By positioning around "Everything for a smile" and investing relentlessly in customer experience, Coolblue built a brand that competes on feeling, not just on price. A branded house strategy where every touchpoint reinforces the same personality.
  • Santeon — Seven top clinical hospitals that both compete and collaborate. Santeon's brand architecture challenge — making the network visible without overshadowing individual hospital identities — is a textbook example of an endorsed brand model. Our Brand Fan helped make the portfolio relationships transparent for the leadership teams involved.

Frequently asked questions

Think of brand strategy as the entire blueprint for your house (including who lives there and how many rooms there are). Positioning is the way you furnish and present that house to your neighbours, so they understand precisely who you are and what you stand for. Strategy is the framework; positioning is the choice within it.
Usually after a period of rapid growth, after a merger or acquisition, or when you notice that customers no longer understand what you offer. If sub-brands are fighting internally for budget instead of conquering the market, it's time for a Brand Fan session.
In a branded house, one master brand is central (like Google or FedEx). In a house of brands, the individual brands lead (like Unilever with Dove, Axe, Ola). In between sit hybrid models where a parent brand lends credibility to sub-brands. We help determine the optimal position on this spectrum.
Crucial. Without grounding, strategy is merely opinion. By using models recognised by bodies such as SWOCC, we offer the assurance that choices are based on human behaviour and proven effectiveness — not gut feeling.
Purpose is the foundation; strategy is the translation. A brand strategy without purpose lacks soul. A purpose without strategy lacks direction. Together they form the DNA of a brand that is not only visible, but meaningful.
No. A positioning that tries to please everyone ends up grey and meaningless. A strong positioning dares to choose. That means being highly relevant to some people — and not to others.
Brand strategy defines who you are and what you stand for; marketing strategy defines how you reach people and what you offer them. Brand strategy is long-term, identity-driven and rooted in purpose. Marketing strategy is tactical, campaign-driven and rooted in market opportunity. A brand strategy without marketing stays invisible; marketing without brand strategy has no soul.
The decision depends on three factors: the degree of overlap between your target audiences, the transferability of trust between categories, and the risk of brand damage. When audiences overlap and trust transfers easily (like Google or Virgin), a branded house is efficient. When audiences differ and brand damage could spread (like Unilever's diverse categories), a house of brands offers protection. Kim Cramer's PhD research Under mother's umbrella addresses precisely this question.
A brand name is the most compact carrier of your positioning. It steers associations before any visual expression. Professor Adam Alter (NYU Stern) demonstrated that names with fluent pronunciation generate trust more quickly. A name must balance five criteria: distinctiveness, emotional resonance, pronunciation-friendliness, international usability and legal protectability. Get this wrong, and even the best strategy struggles to gain traction.

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Start a good conversation.

Get in touch with Kim Cramer or Alexander Koene - we'd love to think with you about your brand strategy and positioning.