Brandeo is an online marketing resource that cuts through the clutter to update you on the need-to-know marketing ideas and insights that help build brands and increase sales.
National brands are those product/service names that are promoted nationally, or even globally. Because national brands are generally owned by companies with significant resources, marketing of national brands typically focuses on brand differentiation rather than feature or price positioning. This enables most national brands to achieve premium pricing compared to store brands, private labels or commodity products in the same category.
Historically, nationally branded products were better quality, and more likely to perform to the customer’s satisfaction than store brands or private labels. In many cases the national brand benefited from the ability to invest in research and development, better manufacturing practices and facilities, etc. However, the quality of store brands and private labels has improved in many categories, rivaling the quality of national brands and chipping away at their market share.
Another threat to national brand market share are captive brands. Captive brands are store brands, but marketed based on brand differentiation rather than the typical store brand or private positioning based on price.
See also:
brand defined
captive brand
store brand, private label
positioning statement
point of difference
pain point
target audience
frame of reference
reason to believe
brand essence
portfolio architecture
commoditization
brand architecture
Subscribe to Brandeo’s free weekly newsletter or RSS feed
