multibrand

Multibrand is a branding strategy in which a company markets multiple distinct brands within the same product category or across categories, with each brand possessing its own positioning, identity, and audience. The goal is to appeal to different consumer needs, preferences, and price points while reducing the risk that a single brand’s failure will affect the company’s entire product line.

In practice, multibrand often corresponds to a house of brands approach, where brands function independently rather than under a single corporate umbrella. Brands may be created from new launches or through acquisitions. Effective multibrand requires clear brand governance to avoid overlapping positioning and to manage allocation of marketing resources, distribution, and consumer perception. It can help avoid cannibalization between products and enable targeted messaging for diverse segments.

Advantages include broader market coverage, risk diversification, and the ability to price discriminate across consumer groups. Disadvantages include higher development and marketing costs, potential internal competition, and greater managerial complexity, which can dilute overall brand equity if not well coordinated.

Common contexts for multibrand include consumer packaged goods, automotive, and media, where firms offer a family of brands to capture different distinct segments. Examples include Unilever’s Dove and Axe, Procter & Gamble’s Tide and Gain, Toyota with Toyota and Lexus, and Ford with Ford and Lincoln.

See also: house of brands, branded house, brand portfolio, brand management.