June 19, 2012

Reasons For Not Branding Products

Consumers, sellers and producers can get different benefits and advantages from branding of products. So, most of the products are branded. However, some producers do not give brand name to their products.

There are main two reasons for not branding their products. They are as follows:
1. To give brand is impractical due to nature of products and
2. To avoid responsibility of their products

1. Nature Of Products

Branding of some products is impossible due to their nature. The products are sold without branding them for the following reasons:

Difficult to differentiate products

Some products are difficult to recognize and differentiate them from the products of other companies. Nails, clothe-pins, coal, raw petroleum, raw materials etc. are impractical to give brand name. Their producers cannot be differentiate. So, they are sold without brand.

Agricultural products

Different agricultural products, especially vegetables are sold without branding because they are quick perishables.

Lack of standard quality

Lack of standard quality is also one reason for not branding products. If any products are not of standard quality, the producers do not give brand name to them.

2. Responsibility factors

The other reasons for not branding products is to avoid responsibility or remain indifferent towards the products. There are mainly two types of such responsibilities as follows:

Demand stimulation and promotion

Some producers do not like to take responsibility to create demand of goods through personal selling, advertisement and other promotional activities. Due to lack of financial resources, some producers become unable to advertise their products and conduct promotional activities. So they sell their products without any brand name through middlemen or directly to consumers. In some conditions, wholesalers buy large quantity of unbranded products fro producers and sell them by giving brand name and symbol of their own.

      Also Read:

Maintaining consistency and adequate quality

If producers or sellers are unable to maintain adequate quality, uniformity and rationality, they do not use brand in their products. If customers find differences in weight, quality, consistency, uniformity etc. in the same products, they do not buy such products again.

Because of the nature, some products cannot be branded. Some producers sell their products without giving brand name for they do not like to take responsibility towards their products.