Business experts Fruiting League have highlighted a major oversight in the business world – a failure to understand the importance of brand architecture. Even many branding agencies are confused by the concept, which is much more than just a buzzword.
Kershen Teo, a prominent brand strategist, explains that brand architecture is like a house blueprint – it ensures a smooth and pleasant experience for anyone who enters. In a world of choices, it is a roadmap for businesses to navigate the complexities of their brand portfolio, and to evaluate potential acquisitions or disposals.
Brand architecture is a strategic framework that determines how a company’s brands intersect the market for strategic advantage. It clarifies brand relationships, eliminating confusion, and builds customer understanding by simplifying the customer journey. It also reinforces brand equity, creating a halo effect for the brand ecosystem.
Teo highlights that choosing the right model for your business’s nature and goals is key. This could be a monolithic model (GE, IBM), branded house model (Virgin, Google), house of brands model (Procter & Gamble), endorsed brands model (FMCG) or hybrid model (Nestlé Group, The Walt Disney Company).
He notes that getting brand architecture right is essential for better business, and neglecting it can result in lower operational yields. Teo emphasizes the need for strategic management, adaptability, consistent execution, minimising complexity, and using customer insight effectively.
Paul Vinogradoff and Kershen Teo, co-founders of Fruiting League, have worked with some of the largest companies on several continents. They have also helped small start-ups and SMEs to create strong brands with clear strategic principles.
Teo concludes that brand architecture should be a dynamic process, continuously evolving with the business and market needs. He states that “it’s a journey, not a single destination”. With the help of experts like Teo, organisations can create and maintain a strong, coherent brand narrative that resonates with customers, leading to success.