What Is a Hybrid Brand?

This model of brand architecture is called hybrid simply because it is a combination of all the other brand architecture models. A brand may endorse some subsidiaries which makes them linked to the parent brand while other subsidiaries remain independent. This happens when a brand has multiple services or products. In short, a hybrid brand architecture is the combination of two or more of the other brand architecture models. 

Pros of a Hybrid Brand

Best of Both Worlds

With a hybrid brand architecture, a company gets to combine brands from different industries or markets while endorsing brands that are also aligned with the parent brand. This strikes a balance between maintaining a consistent brand identity while also allowing individual subsidiaries to remain independent. The duality of this strategy helps maintain customer loyalty as it caters to the unique preferences of different consumer groups.

Flexible Brand Strategy

Based on the previous point, having the flexibility to combine two or more brand architectures allows a brand to bend and shape its brand strategy to specific markets and consumer segments. As mentioned earlier, this is particularly beneficial when a brand offers multiple diverse products or services with different target markets.

Adaptable to Market Changes

When a brand has a flexible brand strategy and a diverse target market, it makes it easier for them to adapt to changes in the market. For instance, when consumers’ preferences or trends change, the brand may modify or alter the branding of specific products or services without making too many changes to the overall brand identity.

Cons of a Hybrid Brand

Difficulty to Implement

Creating a hybrid brand can be quite complex and requires detailed planning and execution. There will be difficulty balancing brand consistency and independence. On top of that, there will be the possibility of brand misalignment or the dilution of the overall brand message.

More Resources Needed

It’s a given that creating a hybrid brand architecture is going to take more resources than usual. This is due to the diversity of products and services while having to manage those diverse products and services. Without proper resources, a brand may not be able to efficiently build a hybrid brand architecture.

Possible Consumer Confusion

Being a brand that manages multiple different products and services can always cause a bit of confusion. Especially if this brand architecture isn’t executed properly. This is because inefficiently building a hybrid system may lead to consumers struggling to understand the relationships between different brand identities, thus, this leaves a negative impression on the brand.

Hybrid Brand Examples

1. Microsoft

Microsoft is one of the largest multi-billion dollar companies that provide software products that help people in their everyday life. They have subsidiaries that align with their main brand identity such as all the Microsoft 365 products while also managing separate brands such as Skype and Xbox.

2. Amazon

Amazon is also a large American multinational company that mainly focuses on e-commerce while managing other brands that cater to other target markets and industries. Their subsidiaries such as Amazon Prime Video and Amazon Kindle obviously align with the parent brand’s identity, image and purpose. On the other hand, they also manage brands such as Twitch and Whole Foods Market that look completely different and serve different target markets.

When Should You Consider a Hybrid Brand

Deciding what brand architecture to apply to your brand may be a confusing and time-consuming process. However, to give you a little nudge, a brand may consider the hybrid brand architecture when:

Their existing brand strategy needs a mixture of architectures:

Not all brands can utilize just one brand architecture. When you’re a brand that manages multiple subsidiaries that both serve the same purpose and serve different purposes, you need some sort of organization that puts everything in its place to make brand strategizing much easier and cleaner.

They want a diverse portfolio of products and services:

As per the previous statement, if a brand wants to grow and expand its target market, it’d require multiple architectures that will allow this to happen efficiently.

They want to balance brand consistency and independent brands:

When you have a diverse line of subsidiaries, not all of them may suit the main brand identity of the parent brand. Thus, implementing a hybrid brand strategy allows you to have different brand identities.

How to Create a Hybrid Brand

Understand Your Target Market:

A brand needs to fully analyse and understand its goals, products or services and target markets to efficiently determine which architecture, or combination of architectures, suits the brand the best.

Choose the Right Combination:

When the goals and target market have been comprehended, decide which combination of architectures best aligns with the layout of subsidiaries.

Invest in the Right Resources:

To efficiently carry out a hybrid strategy, the proper amount of resources should be allocated to promote and support the chosen brand architecture. Consistent efforts shall result in strong brand recognition while reinforcing the hybrid strategy.

Conclusion

Hybrid brand strategies are no easy feat but can be highly profitable when planned out right. Combining the suitable brand architectures that suit a brand’s unique preferences may even increase profitability and provide many other benefits. With detailed planning and execution of a hybrid brand model, a brand can achieve a stronger brand identity and a largely diverse target market. It also helps the brand stand out in the market competition and build an overall stronger brand. However, if you as a brand are unsure of what brand architecture suits you, CR8 Consultancy is always on standby to provide our expertise and help you build your brand architecture.

Enhance your brand by building your brand architecture! Give us a call.

At CR8 Consultancy, we offer services such as branding, SEO, social media marketing, web design, UIUX design, digital marketing & more. Request a free consultation with us today and start growing your brand!

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