You don't take on a brand portfolio out of luxury. You do it because it's a pain and because the current portfolio is obstructing the strategic ambitions of the organization. This brings us directly to the sms gateway switzerland essence of building a good brand portfolio; it must help realize the strategic ambitions.
A good brand portfolio strategy helps with strategic growth ambitions
A brand portfolio often has historical growth. Many organizations tend to 'stick a name on' a new product. This creates a new brand and gradually the portfolio grows. Mergers and acquisitions also ensure that an organization suddenly acquires a whole set of brands.
Often these are brands that overlap with brands from the existing portfolio. Time to clean up the portfolio. It also happens that the organization has set a new strategic course, which means that the current design of the brand portfolio no longer suffices.
So it makes it fun to understand what the reason is and at the same time that makes these kinds of issues always custom-made. The basic theory about portfolio branding may always be the same, but the specific situation of an organization determines how you apply that theory. So there is more to the brand portfolio and brand architecture question than you would think at first glance.
Brand portfolio vs. brand architecture
In principle, the terms are interchangeable, with a small nuance. That is in what I call the horizontal and vertical perspective. The brand portfolio question answers the question: how many brands do I need to serve the market? That is the horizontal perspective, namely how many brands exist side by side?
With brand architecture you answer the question: how do the brands relate to each other? That is the vertical perspective, because it indicates which brand is 'in charge' and which brand is supporting.
