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Launching a new line, more beautiful, but identity chaos

Many local cosmetic brands expand their portfolios and then look back: the product lines look like they belong to four different brands.

Sinh Vũ · Creative DirectorCosmetics industry

Quick summary

The most common trap when a local cosmetics brand launches a new line is designing each line individually, not following a system. Each product looks better than the previous version, but the portfolio becomes increasingly disjointed. The solution is to establish portfolio architecture before designing. First, identify the core identity assets that must remain invariant. Then define the tiered language so that each line is both distinct and belongs to the same brand.

In this article · 5 sections

Local cosmetics brands often face a very specific issue. When launching a second or third product line, each time the design is better than the last. However, when placed together on the shelf, they look like products from four different companies. No one intends to do this. It happens because each expansion is approached as an independent design project, not as a portfolio architecture decision.

Why does new design break equity

When a first product line has been on the market long enough, it gradually acquires what is called distinctive brand assets. These can be colors, typography, packaging layout, or sometimes a specific image. Customers do not consciously remember these things; they just recognize them at a glance. This is how memory works at a visual level.

When a new line launches with a different design language, even if it is technically more beautiful, it does not inherit the assets already built. Customers have to learn from scratch. Worse, if the new line looks too different, it can drag down perception of the old line: “What is this company doing?” This is not an aesthetic problem. It is a problem of brand equity being eroded.

A brand is the gut feeling of the customer. And that feeling is built from each recognition, each instance of consistency.

Marty Neumeier, The Brand Gap

Portfolio architecture: framework before design

Portfolio architecture is a map that answers a core question. How do the product lines in your portfolio relate to each other? And how do they relate to the parent brand? Without this map, each new product line is a design in a vacuum.

There are three common models. A branded house, meaning a single-brand architecture, is when the whole portfolio carries the same name and parent identity, distinguished only by suffixes or secondary colors for each line. A house of brands, meaning a multi-brand architecture, is when each line has its own completely separate name and identity, with the parent brand behind the scenes. An endorsed brand, meaning an endorsement architecture, is when the new line has its own name but still carries “by” or “from” the parent brand to borrow credibility.

Local cosmetics brands in Vietnam mostly fit into a branded house or endorsed brand model in the early stages, as they do not have enough resources to build equity for each sub-brand. The problem is that many brands choose this model in name but execute it like a house of brands: each line has different colors, fonts, and layouts. The result is that they do not benefit from either model.

85% / ~30%85% of organizations have brand guidelines, but only about 30% implement them consistently in practice. Source: Marq/Demand Metric, Brand Consistency Report, 2021.

The immutable layer and the layer allowed to change

The core of portfolio architecture in design is clear layering: what is immutable, and what is allowed to change by line.

The immutable layer consists of core identity assets: the logo and its placement, the primary color palette of the parent brand, the main typeface, and the principles of packaging layout structure. These elements must not be altered, regardless of how different the new product line's positioning may be.

The layer that may change covers the elements that distinguish each line: the secondary color tied to that line, a distinctive illustration or texture, the level of information on the packaging, and the copy tone for each tier. When these two layers are defined in advance, designers have enough creative room. They still do not break the overall identity.

+23% doanh thuAccording to a survey by Marq/Demand Metric (2019, n unpublished, self-reported), brand consistency correlates with an average revenue increase of 23%. This figure reflects a general trend, not a controlled causal relationship.
The +23% figure comes from a self-reported survey by Marq/Demand Metric, not independent experimental research. Use it to illustrate a trend, not to cite as a constant. Stronger evidence comes from McKinsey Business Value of Design (2018). A study of over 300 companies shows that companies investing in design in a disciplined way had total shareholder returns 56 percentage points higher than the rest over 5 years.

The “premium line” trap that scrambles positioning

A common situation: a brand with a successful mainstream line decides to launch a more premium line to target the masstige segment. The design team wants the new line to look more upscale, so they change almost the entire visual language. As a result, customers of the old line do not recognize it as the same brand. Meanwhile, customers in the premium segment see the mainstream line next to it on the shelf and feel it is not upscale enough to justify a higher price.

Price-tier positioning should be solved through portfolio architecture, not a completely new design. If the positioning gap is large, an endorsed brand is the better solution. The premium line has its own name, with “by [parent brand]” in a secondary position to borrow credibility without causing confusion. If the gap is moderate, a branded house can still work. The condition is that the invariant layer is kept, and the variable layer is distinct enough to convey “more premium” without denying the origin.

50msThe time it takes for users to form their first visual impression when looking at an interface or packaging. Source: Lindgaard et al., Behaviour & Information Technology, 2006.

Document the system before you scale

The principle of tiering is only valuable if documented in an operational manner. A good brand system is a set of rules clear enough that a new designer or printing supplier can produce the next line without needing to ask each step. It should not just be a PDF presentation of attractive colors stored away in a drawer.

For a cosmetics portfolio, this document needs at least three parts. Part one defines the invariant assets: exact color values in Pantone/CMYK/RGB, the minimum clear space around the logo, and the primary typeface with usage rules. Part two is the secondary color system for each existing line, along with principles for adding new colors without conflict. Part three is real application examples on three-dimensional packaging, using real photographs instead of rendered illustrations.

When this system exists, each new product line does not have to start from a blank slate. Designers work within a defined framework, allowing for creativity in the right places. More importantly, customers still see a brand on the shelf, not an exhibition of random styles.

Consistency and repetition are the conditions for accumulating equity. There is no other shortcut.

Jenni Romaniuk, Building Distinctive Brand Assets (2018)

References

Marty Neumeier, The Brand Gap (2003). Byron Sharp, How Brands Grow (2010). Jenni Romaniuk, Building Distinctive Brand Assets (2018). David Aaker, Managing Brand Equity (1991). Jean-Noël Kapferer, The New Strategic Brand Management (2012). McKinsey & Company, The Business Value of Design (2018). Marq/Demand Metric, Brand Consistency Report (2019). Kantar BrandZ Global Report (~2020).

Frequently asked questions

What are the core identity assets of a cosmetics brand?

Core identity assets typically include: the primary color palette, distinctive typography, packaging layout structure, and consistent visual language. These are the elements customers use to recognize the brand within seconds of glancing at the shelf, without needing to read the name. Each new product line should retain at least two to three of these elements to ensure it belongs to the same family.

When should you use a branded house architecture and when should you separate into individual sub-brands?

A branded house is suitable when product lines serve the same price segment and target customer group, differing only in function or ingredients. Consider separating into an independent sub-brand when a new line targets a significantly different price segment or completely different customer group. Keeping them together in that case may dilute the positioning of the premium line or confuse regular customers of the mainstream line. This decision should be based on positioning analysis before starting the design.

Can you refresh packaging design without losing loyal customers?

Yes, but you need clear principles: decide in advance which elements are identity assets that must not be touched, and which ones may be modernized. The 2009 Tropicana case is the classic example. The company changed its entire packaging identity and removed the orange and straw imagery that had become iconic. Sales dropped sharply within weeks, forcing the company to return to the old design. Controlled, step-by-step change is far safer than a full refresh all at once.