B-brand
Also called price brand.
A B-brand is a product brand with lower brand awareness and a more competitive price than an A-brand. It sits exactly in between the premium A-brand and the low-cost C-brand in terms of reputation, marketing budget and pricing.
how to recognize a b-brand
B-brands hardly spend any budget on large, national advertising campaigns. As a result, the retail price is on average about 20% lower than the well-known market leaders. Often the products are strongly inspired by the A-brand in terms of packaging and functionality, while in practice the quality is hardly inferior.
Not infrequently, B-brands even roll out of the same factory as the more expensive variants, but with a slightly different composition. When such a brand is sold exclusively by one retail chain, we also call it a private label or own brand.
why b-brands are important in marketing
For manufacturers and retailers, B-brands are a strategic means of reaching a price-conscious target group that finds the A-brand too expensive. This allows you as a company to claim a larger market share and turn volume, without damaging the exclusivity of your premium brand.
The biggest challenge within the marketing of a B-brand is customer loyalty. Because consumers choose primarily on the basis of their wallet, they are more likely to switch to the competitor as soon as the competitor has a better offer. Good marketing for B-brands therefore always focuses on the rock-solid price-quality ratio.