What does monobrand mean? How to create an effective multi-brand online store. What is a monobrand

Multi-brand store… Monobrand store… How do they differ from each other? Is there any difference between them at all? And how important is this difference?

Multi is not mono

Of course, there is a difference between these concepts, and it is very, very big. A mono-brand boutique sells clothes, shoes, accessories of only one brand. Most often, in order to impress the buyer, the store is designed in a certain way, creating the appropriate atmosphere.

The multi-brand store sells products from a variety of brands and brands. As you might guess, this means that its design is in no way connected with the symbols of these brands, moreover, it can have its own recognizable symbols, corporate colors, etc.

Profitability of a multi-brand store

Multi-brand is convenient for the owner outlet, and the buyer. For the owner, it means elasticity, the ability to flexibly adjust the assortment: there are no sales of any brand - you can replace it with another one and thereby compensate for losses. A buyer in a multi-brand store is good because he also gets the opportunity not to go in cycles in the goods of one brand: something does not fit - no problem, look at the clothes of another manufacturer.

All of the above does not mean that a mono-brand boutique is doomed from the start. It just works with a clearly defined target audience.

A multi-brand store is not the same as a mall

Perhaps someone has now read everything that is written above and said: everything is clear, a multi-brand store is a shopping center with many boutiques. And that's not true! A shopping center is a shopping center in itself. Multibranding in this case implies that goods of different brands are sold within the same store, lie side by side on the shelves owned by the same seller, and are not distributed among many boutiques.

For many, shopping is an art. Girls can spend hours discussing new collections, seasonal discounts and who “grabbed” a wonderful top for ridiculous money where. That is why before going shopping, the question arises sharply - where to?

There is more than enough choice of places now: both mono-boutiques, and multi-brand stores, and shopping centers(where, in addition to clothing stores, you can find furniture stores or grocery hypermarkets). But still, let's consider the pros and cons of mono-brand and multi-brand stores, highlighting the main criteria by which we will evaluate:

Range
- collections update
- shop concept
- style decision (looks)
- promotions, discounts and discount system

In multi-brand stores, first of all, 5 or 6 (or maybe more) brands are represented.

The main advantage of a multi-brand store over a mono-brand is diversity. But often it is a positive quality that becomes a disadvantage, and the store turns into a dump of various things, although all of them can be interesting and beautiful, but they cannot be seen at all. In addition, do not forget that the collections and size range in a multi-brand store are most often incomplete, unlike monobrands. And jumping from store to store is tiring ...

Undoubtedly, the owners always follow the tastes of their customers and adapt to them when choosing brands, so it is not surprising that over time some leave and new ones come in their place. But the only negative in changing collections in the store is that it happens only 2 times a year.

As for the concept, multi-brand stores are much more mobile and creative, as they do not depend on the decisions of brand head offices. This is a great advantage, since commerce, by its very nature, must be easily adjusted to the needs of the market.

Although today some stores reject any concept for a multi-brand in principle, that can also become a pretty strong concept. Here, much depends on the marketing of the store itself and on how intelligibly and tasty this idea will be conveyed to the consumer. Thus, Dover Street Market in London is rightfully considered an independent brand and plays with traditional concepts, thus attracting new customers. Although for the most part the stores adhere to their concepts: here are a couple of examples, the UK Style store buys only British clothes, Kickbox is a store for young people, TSUM is designed for wealthy buyers, therefore the brands are appropriate, only concept brands are presented in Leform, Euro Fashion is positioned as store of impeccable style.

The attractiveness of the multi-brand is provided by the variety and wide range of products. Mix is ​​in fashion today. Many famous people easily wear a Chanel top, and a skirt and accessories from Topshop. Therefore, you need to mix wisely - so that it is not noticeable that it is carefully thought out and calculated. This requires experienced buyers with very good taste, practically these are the designers of their store.

Of course, multi-brand stores arrange seasonal sales, as well as various promotions, which is very nice. But the conditions of these promotions are not always “convenient”: a discount is provided when buying 2 or more items or at certain times of the day. Therefore, if you look, for example, for shoes or boots in some other store, you may not buy them just because you buy shoes and clothes in a multi-brand store and this gives you a bonus. The same situation is with the discount system.

Monobrand stores is one brand designed by designer. Their features:

They always differ in their own style, which is created by the brand designer, which, on the one hand, is both a plus and a minus, because the interest and taste of a person is so unstable that today he likes one brand, and tomorrow is completely different. And then you can't guess...

Of course, unlike multi-brand stores, in mono-brands the collection can change up to 40% during the season. Many famous brands updated almost every week. An interesting fact that reflects the concept of fast fashion can be cited as an example: at a concert in Barcelona, ​​the singer Madonna performed in a bright skirt. After 5 days, the same skirt was in all stores of one well-known Spanish brand. And after just one day, all the skirts were sold out.

The concept of the store, as already mentioned, is due to the ideas of the designer. But time does not stand still: mono- or global brands are highly competitive, they are active and succeed in conquering various market segments: in addition to clothing, they can develop cosmetics, underwear, accessories, and shoes. Although everyone is well aware that the company will not be able to keep track of the quality of the entire range. So the company Davidoff, which produces cigars, cigarettes and perfumes, has developed, according to experts, an absolutely unsuccessful direction in its execution - coffee.

And lastly, unlike multi-brands, promotions and discounts happen faster because they don't have to coordinate their marketing plans with anyone. Although many mass market brands do not provide a discount system at all! And so I would like to replenish my "collection" with another card !!

Of course, the choice of store is always up to the buyer. What do you prefer?

• Anastasia Yarchuk
• 02.08.2010, 12:42
• 2889 views

Multibrands and monobrands: pros and cons

The brand is a strategic asset of the company and its key competitive weapon. There are many branding strategies, each with its own advantages and disadvantages. It is necessary to choose a brand management strategy in such a way as to create a strong brand that expresses the status and values ​​of the consumer. A company that skillfully implements a brand development strategy ensures growth in revenue and market share, customer loyalty and a sustainable advantage over competitors.

The main task of the company when choosing a branding strategy is to determine such a strategy that will be optimal for a particular brand in the current market conditions. Such a choice is very complex and specific, because there are no universal brand management strategies.

One of the existing classifications divides the strategies and, accordingly, the company's trademarks into multibrands and monobrands.

Multibrands

When a manufacturer's products are highly differentiated, the company may adopt a multi-branding strategy.

Definition 1

Multi-branding is the development of several individual brands that exist independently of each other and from the main brand of the company.

The main advantage of a multi-brand strategy is that stand-alone brands do not associate buyers with the parent company and do not dilute the main brand. This is especially important when a company produces products for different markets that are not related to each other. A multi-brand avoids the transfer of negative associations from one company product to another.

The disadvantage of multi-branding is its high cost. Companies require significant funds to maintain and develop each brand. Another negative side multi-branding can be called the likelihood of branded cannibalism.

Definition 2

Brand cannibalism is a situation in the market when the volume of sales of products under a certain brand is increased at the expense of brands owned by the same company.

In order to prevent this situation from occurring, a company can produce products under individual brands for different market segments, clearly separated from each other.

Example 1

Exist successful examples using a multi-branding strategy in various industries. The most popular example of a company with a multi-brand architecture is Procter, which owns brands such as:

• Always,
• gillette,
• Wella,
• Ariel,
• Fairy,
• Pampers
• and others,

each of which is a leader in its product category. At the same time, none of the brands is directly related to the brand of the owner P&G.

Monobrands

Definition 3

Monobrand (corporate brand) is the only brand under which all the company's products are produced.

A company using a mono-branding strategy focuses on the history and name of the brand, its strength and the stability of consumer preferences. To do this, the company needs to have a brand with an appropriate reputation and history that can be extended to all the company's products. The company's monobrand should not only be a signal of the appropriate quality of the product, but also have an emotional connection with customers. It is this emotional connection that will draw the attention of consumers to products under a monobrand.

Example 2

Mercedes and Samsung are examples of the successful implementation of a mono-branding strategy.

The main advantage of the monobranding strategy is the ability to transfer the positive consumer experience from one product to another sold under the same brand. This allows the company to reduce marketing budgets and focus on promoting a single brand.

The main advantage of monobranding can be its disadvantage if consumers have a negative experience with the brand - then this impression can be transferred to the entire range of the company and have a serious impact on its market results.

Another disadvantage of monobranding is brand conservatism. Typically, companies operating under a single brand do not dare to make global changes, as this can greatly damage the image and even become a threat to the existence of the company. That is why monobrands are forced to maintain their image, familiar to consumers and loved by them, without making drastic changes to it.

Let's say you decide to start your own business. And it so happened that you chose the trade in clothes or accessories as the business of your life. In addition to calculating the budget, finding investors and other worries of a young entrepreneur, you will definitely have one important question. Is it worth selling goods of one brand or offering customers a mix of brands? Do mono-brand stores have advantages over multi-brand stores? Or vice versa? In this article, we will analyze some of the features of the two options that will help you decide.

Features of a mono-brand store in comparison with a multi-brand store

1. The emphasis is completely given to one brand, which makes it possible to adjust the entire design of the store to the philosophy of a particular brand and, if necessary, quickly change it.
2. Products of the same brand, as a rule, are easier for buyers to combine. Clothing from different manufacturers will need to be chosen more carefully.
3. It is easier to organize promotions, since there is no need to coordinate marketing plans separately with each brand representative.
4. Easier to negotiate with partners. Everything is trite here - simply because you will have only one.
5. The design of a mono-brand store, as a rule, is created in accordance with the brand book, so you can save on the services of an interior designer.
6. It is possible to cooperate with the owner of the trademark on a franchise, which is especially attractive for young business, as it allows a startup to use the experience and authority of an “experienced” player in the market. However, you need to be prepared for serious requirements from the franchisor both to the premises of the store and directly to its owner.

Features of a multi-brand store

1. The variety of brands and products of various styles forms a wide coverage of customers.
2. A simplified legal registration is possible, since with the correct preparation of documents for wholesale trade the seller will not need the written permission of the brand owners.
3. It is possible to change the presented brands depending on their popularity among buyers. Do some shelves empty quickly, while others are rarely approached by customers? You know what to do: increase purchases of a popular brand, and you can completely refuse to cooperate with an unclaimed one.
4. It is possible to create your own concept with a unique assortment (for example, sell only youth clothes or handbags from different brands).
5. It is possible to give the store a creative name of "own composition".
6. It is important to ensure that goods of different brands are harmoniously combined, otherwise the store may turn into a colorful bazaar. Plus, each brand needs a “prominent” place: they should not obscure each other.
7. It is advisable to hire an experienced buyer who would form the assortment of the store in such a way that customers can easily combine items from different manufacturers.

Multi-brand stores, as a rule, have their own buyers - professional buyers who form the assortment. Based on the analysis target audience they purchase products in a certain price range, maintain contacts with suppliers, visit exhibitions and fashion shows, determine the volume of purchases and the size range of goods. In a large network, buyers specialize in a narrow category of items (for example, only in women's dresses), in a small one they are responsible for a wide range of goods.

Higher consumer interest, according to analysts, is represented by multi-brand stores. This fact is explained simply: such stores promise visitors a wide range, and hence the opportunity to choose, for example, a black dress, firstly, in different styles, and secondly, at different prices. However, do not rush to draw an unambiguous conclusion. A store offering clothes of a popular brand that has earned the love and trust of customers will compete in terms of customer flow and monthly revenue. And by the way, the same analysts say that more than 60% of the revenue in most multi-brand stores comes from products of one brand.

We examined the main differences between the two types of stores, which will help you get only general idea. In general, if you are facing a difficult choice, you should focus not only on theoretical knowledge, but also on the regional features of the future store, and also take into account your financial capabilities and business development plans.

Experts from WIN & WOOL, a trade mark specializing in the production of knitwear, have identified the pros and cons of mono-brand and multi-brand stores. The results are in our article.

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