Brand portfolio strategy and M&As

While the recession may have put a halt on many mergers and acquisitions, it has also put more pressure to succeed on the M&As that are getting completed. Both domestically and internationally through our BBN (Business Branding Network) partners, we develop effective brand portfolio strategies for clients going through M&As. Analyzing a company’s brand portfolio strategy is a critical, yet often overlooked part of the M&A process. It provides the structure to manage and leverage a valuable asset beyond buildings, machines, technology, logos and people. A brand portfolio strategy provides the structure to leverage the brand.

It is important to ensure the business strategy, executed through an M&A, is supported and advanced by an effective brand portfolio strategy. A brand is only as valuable as how it is leveraged. In other words, to make the most of M&As, one needs to make the most of brands.

In our experience, there are six critical steps in brand portfolio management that arise through the M&A process, each with one central question:

6 Critical steps in brand portfolio management

1. Current structure: What is the current portfolio situation?
2. Options exploration: What could be done with the brands?
3. Future Strategy: What is the best brand portfolio strategy?
4. Implementation: How is the brand portfolio strategy activated?
5. Rules: How is the brand portfolio managed and controlled?
6. Performance: How effective is the brand portfolio strategy?

An effective M&A must not occur solely within the companies and financial institutions. In most cases, it must also occur out in the open with a well-articulated, expertly executed brand portfolio strategy. It also requires supporting communications for both internal and external audiences. This can help mitigate risk and foster success to help ensure that one plus one makes three.