How can brand portfolio synergies be leveraged without cannibalization?

1 Define your brand portfolio strategy

The first step to leverage brand portfolio synergies without cannibalization is to define your brand portfolio strategy. This is the overarching framework that guides how you organize, position, and communicate your different brands in relation to each other and the market. There are different models of brand portfolio strategy, such as house of brands, branded house, endorsed brands, and sub-brands. Each model has its own advantages and disadvantages, depending on your objectives, resources, and competitive environment. You need to choose the model that best fits your situation and aligns with your vision and values.

2 Segment your target markets and customers

The second step to leverage brand portfolio synergies without cannibalization is to segment your target markets and customers. This is the process of dividing your potential and existing customers into groups based on their needs, preferences, behaviors, and characteristics. Segmentation helps you identify the gaps and opportunities in the market, as well as the specific value propositions and benefits that each segment expects from your brands. By segmenting your markets and customers, you can avoid overlapping or competing with your own brands, and instead focus on creating distinct and relevant offerings for each segment.

4 Coordinate your brand portfolio management

The fourth step to leverage brand portfolio synergies without cannibalization is to coordinate your brand portfolio management. This is the process of planning, executing, and monitoring the activities and resources that affect your brand portfolio performance and health. Coordination helps you optimize your brand portfolio efficiency, effectiveness, and synergy, as well as manage the risks and challenges that may arise from internal or external factors. By coordinating your brand portfolio management, you can avoid conflicting or inconsistent actions or decisions, and instead align your brand portfolio goals and strategies.

6 Evaluate your brand portfolio performance and potential

The sixth and final step to leverage brand portfolio synergies without cannibalization is to evaluate your brand portfolio performance and potential. This is the process of measuring and analyzing the results and outcomes of your brand portfolio activities and strategies, as well as identifying the strengths, weaknesses, opportunities, and threats of your brand portfolio. Evaluation helps you assess your brand portfolio value, growth, and sustainability, as well as make informed and data-driven decisions and adjustments. By evaluating your brand portfolio performance and potential, you can avoid complacency or stagnation, and instead pursue continuous improvement and excellence.