In today's hyper-competitive talent market, attracting and retaining top talent goes beyond offering attractive perks or winning "Employer of Choice" awards. It’s about understanding the nuances of the employment relationship and effectively communicating the entire employment experience. The power of a strong employer brand lies in its ability to resonate deeply with your target talent audience, drawing in those who will thrive within your organization. 

But what happens when your organization is made up of lots of smaller organizations or a portfolio of individual brands? How do you craft an authentic and compelling story that accurately represents what it’s like to work at your organization that has many unique cultures, products, and employment relationships? The answer lies in understanding and strategically applying the principles of brand hierarchy.

What is brand hierarchy? Brand hierarchy refers to the structured framework that defines how brands within a business are organized and how they relate to each other. A clear and well-defined brand hierarchy not only enhances brand recognition but also provides clarity in the marketplace, fostering brand loyalty.  

The Intersection of Brand Hierarchy and Employer Branding 

While often employer brands can be most successful when it sits in Human Resources, there are many lessons employer branding can learn from consumer branding like the importance of brand hierarchy. This kind of structure can be pivotal in shaping how your organization is perceived, engaged with, and recognized by your audience. 

For employer branding, a well-structured hierarchy can prevent internal talent competition among brands or divisions, streamline recruitment marketing efforts, and help communicate the variety and breadth of employment experiences available within your organization. For instance, a chef might be attracted to a company that offers a portfolio of culinary brands where they can explore various culinary roles—from farm-to-table to fine dining—over an organization that offers only a single dining experience. Candidates might not be aware that such internal mobility exists if they only engage with one brand or division. A clear brand hierarchy can paint a holistic picture of career growth, and other benefits, at your organization. It can also help the chef recognize which brands in the hierarchy might not be the right opportunity at a certain point in their career track. 

Types of Brand Hierarchies and Their Application in Employer Branding 

Brand hierarchy can take on many different models and structures depending on your overarching company strategy, brand guidelines, industry, and market position. Here are five common types of brand hierarchies: 

1. Monolithic Brand: This strategy markets all products and services under one corporate brand, leveraging its market equity. Companies like Apple employ this strategy, offering clarity and consistency under a single brand name. For employer branding, this approach can simplify the communication of career opportunities and the employment experience across the organization. 
2. Endorsed Brand: Here, individual brands have their own visual identity but still benefit from the recognition of the corporate brand. Nestlé is a prime example, with its varied brands like Purina and KitKat, which cater to different audiences while still being tied to the parent company. This approach allows employer branding efforts to be both broad and specific, catering to niche audiences while still maintaining a connection to the larger corporate entity. As an employee you can have an affinity working on the product brand while still valuing what the endorsed brand relationship offers as your employer. 
3. Branded House: In this hierarchy, the corporate brand is closely associated with all individual brands, often sharing the same name and visual identity. FedEx and Virgin are great examples of branded houses. Employer branding under this structure can leverage the corporate brand's strong identity while clearly differentiating the employment experience across various divisions or departments. Branded houses often offer a great deal of mobility across different experiences while still leveraging the same brand principles.
4. House of Brands: In this approach, each brand operates independently, with its own distinct identity, target audience, and brand elements. LVMH Moët Hennessy Louis Vuitton, with brands like Sephora, Louis Vuitton, and Tiffany & Co, is a classic example. Each of the individual brands stand on their own and build distinct relationships with their target audiences, whether it’s candidates searching for jobs or customers searching for products. For employer branding, this approach allows each brand or division to build distinct relationships that attract the talent that aligns with its specific culture and employment experience. A house of brands often offers a great deal of mobility across brands, while remaining employed with a single parent company.
5. Hybrid Brand: This approach combines elements of both the branded house and house of brands strategies. It provides the flexibility to connect to the brand equity of a corporate brand while maintaining the freedom and distinctiveness of an independent brand. Marriott International, for instance, uses a hybrid approach with brands like Marriott Hotels, Ritz-Carlton, and Sheraton. In employer brand, the hybrid brand hierarchy offers the flexibility to connect with the corporate brand’s equity while tailoring the messaging to distinct talent pools.

Defining Employer Brand within Corporate Brand Hierarchy

Building an employer brand requires understanding your organization, your leaders, your coworkers, and the work you do at a granular level within the larger brand structure. It requires understanding perceptions and expectations of candidates of your employment experience and how they perceive the brand hierarchy. 

To determine what brand hierarchy approach will work best for your organization’s employer brand, put yourself in the shoes of candidates and employees. Ask yourself:

• What does my organization want to be known for as an employer?
• What is the level of awareness candidates and employees have with the corporate brand and the other brands, products, or divisions?
• How is my talent acquisition and onboarding process structured? 
• What is the authentic experience like working at the organization? Do employees only identify with the product, service, or brand they work on or is there a corporate identity that unifies them?  

It’s important to note that the brand hierarchy of the employer brand does not have to mirror that of the consumer brand. Procter & Gamble (P&G), with brands like Tide, Pampers, and Gillette, uses a house of brands hierarchy approach from a consumer perspective. However, P&G operates as a monolithic brand approach for its employer brand, providing a single careers site for all its brands.  

Conclusion: The Power of Consistency in Employer Branding

A well-defined brand hierarchy provides the framework for consistency, clarity, and trust within the market. For HR and Talent Acquisition professionals, understanding where your employer brand fits into this hierarchy is crucial for creating a compelling, authentic, and consistent story that resonates with your talent audience. Whatever brand hierarchy you choose, turn your employer brand into a beacon of clarity and consistency in the talent marketplace. Successfully doing so will transform your employer brand from a mere recruitment tool into a strategic approach that enhances brand equity, increases awareness, and strengthens the employment relationship.