- Brand managers often must limit themselves to setting financial and market performance objectives. They may not question strategic objectives if they feel this is the responsibility of senior management.
- Most product level or brand managers limit themselves to setting short-term objectives because their compensation packages are designed to reward short-term behavior. Short-term objectives should be seen as milestones towards long-term objectives.
- Often product level managers are not given enough information to construct strategic objectives.
- It is sometimes difficult to translate corporate level objectives into brand- or product-level objectives. Changes in shareholders' equity are easy for a company to calculate. It is not so easy to calculate the change in shareholders' equity that can be attributed to a product or category. More complex metrics like changes in the net present value of shareholders' equity are even more difficult for the product manager to assess.
- In a diversified company, the objectives of some brands may conflict with those of other brands. Or worse, corporate objectives may conflict with the specific needs of your brand. This is particularly true in regard to the trade-off between stability and riskiness. Corporate objectives must be broad enough that brands with high-risk products are not constrained by objectives set with cash cows in mind (see B.C.G. Analysis). The brand manager also needs to know senior management's harvesting strategy. If corporate management intends to invest in brand equity and take a long-term position in the market (i.e. penetration and growth strategy), it would be a mistake for the product manager to use short-term cash flow objectives (ie. price skimming strategy). Only when these conflicts and tradeoffs are made explicit, is it possible for all levels of objectives to fit together in a coherent and mutually supportive manner.
- Brand managers sometimes set objectives that optimize the performance of their unit rather than optimize overall corporate performance. This is particularly true where compensation is based primarily on unit performance. Managers tend to ignore potential synergies and inter-unit joint processes.
- Overall organisation alignment behind the brand to achieve Integrated Marketing is complex.
- Brands are sometimes criticized within social media web sites and this must be monitored and managed (if possible)
Online brand management
Companies are embracing brand reputation management as a strategic imperative and are increasingly turning to online monitoring in their efforts to prevent their public image from becoming tarnished. Online brand reputation protection can mean monitoring for the misappropriation of a brand trademark by fraudsters intent on confusing consumers for monetary gain. It can also mean monitoring for less malicious, although perhaps equally damaging, infractions, such as the unauthorized use of a brand logo or even for negative brand information (and misinformation) from online consumers that appears in online communities and other social media platforms. The red flag can be something as benign as a blog rant about a bad hotel experience or an electronic gadget that functions below expectations.