Exploring branding strategies of FMCG, services and durables brands: evidence from India

Abstract

PurposeThe paper aims to analyze and compare the branding strategies used in the three sectors namely FMCG, services and durables.Design/methodology/approachBased on the literature review, a more comprehensive list of branding strategies is proposed. A content analysis of 600 randomly selected brands, 200 from each sector, is performed. The branding strategies used in the three sectors are explained and MANOVA is conducted to test the hypotheses about differences in the branding strategies across the three sectors.FindingsThe results reveal that the branding strategies vary across the three sectors. Single corporate brand strategy is predominantly used for durables and credence services. On the other hand, in case of FMCG and experience services, individual brand type endorsed by the corporate brand type is the most frequently used branding strategy. Thus, there is a trend towards corporate branding as corporate brand type is popular in all the sectors. Also, other than the single corporate brand strategy, as in case of durables and credence services, single brand type strategy is rarely used. For FMCG brands and experience services brands, companies are trying to leverage brand equity of two or more brand types.Practical implicationsThe paper offers insights for designing branding strategies when branding a product/service. Brand managers may rely on corporate brand type when risk associated with a purchase is high, as in case of durables and credence services. However, when the risk associated is low, as in case of FMCG and experience services, individual brand type may be preferred, but at the same time, it should be endorsed by corporate brand type.Originality/valueThis study adds value to the growing body of literature on branding strategies by identifying a more comprehensive and simplistic list of branding strategies which is a major contribution of the paper. Further, this is one of a very few empirical studies on branding strategies and is a pioneering attempt to evaluate the branding strategies in the FMCG vis‐à‐vis services vis‐à‐vis durables sectors. It empirically substantiates that the three sectors are heterogeneous among themselves and homogeneous within themselves with respect to their branding strategies.