Dual branding keeps HP on top

Dual branding keeps HP on top

Retaining the Compaq brand on PCs and notebooks has helped HP keep its number one position in the PC market as well as gaining the top spot in consumer notebooks, according to product marketing director Tony Ignatavicius.

Since the merger of the two computer giants, marketing directors have been faced with the problem of managing a range of competing products and their associated brand equity.

Ignatavicius said consumers were now that aware HP was the company and there was no confusion surrounding product lines.

HP has maintained the Compaq brand in PCs by using the sub-brand Evo and dropping the pre-merger HP Vectra brand.

“HP’s presence in the consumer market is strong because both Compaq and HP had good identities,” Ignatavicius said. “In the commercial space Compaq had more brand equity; however, in the PDA market where both companies had strength we continued with the Compaq product line and re-branded it HP.”

Regarding the PC products, Ignatavicius said consumers were clear about the Pavillion which was aimed at the lifestyle market, and Presario which was for the “bleeding-edge” user.

“The [Compaq] brand has subjective attributes and what it stands for was built up over time,” he said. “Simply cutting it was not the right thing to do. To sub-brand Compaq notebooks was to bring it to a sub-level so people could see it was Compaq technology provided by HP.”

When asked if the Compaq brand was ever likely to be dropped by HP completely, Ignatavicius declined to speculate.

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