#Seeking the balance between standardization and unique advantages

Multi-brand organizations are always trying to balance between cost-cutting through standardization and revenue-growth thanks to unique brand-specific activities and investments. On the one hand, HQs seek economies of scale (e.g. purchasing in large quantities to get volume discounts) and economies of speed (e.g. applying changes much faster, benefiting from shared learning and best practices), on the other they want to protect the identity of their brands that makes them profitable.

#MACH - a natural fit for multi-brand organizations

MACH Technologies (Microservices;API-first, Cloud-native; and Headless) are a natural fit for multi-brand organizations. The inherent modularity of this software architectural approach allows for selecting the appropriate areas of standardization without compromising unique customer experiences or brands-specific internal workflows. As an example, an eCommerce conglomerate can use the same headless CMS and the same headless eCommerce system to power multiple stores catering to different audiences in different markets with completely different design and UX. The backend is standardized  and powered by the same technologies, whereas the frontend is unique.

Economies of speed can also be achieved by leveraging MACH and Composable Architectures. Any website changes can be applied much faster. The run rate can be the same without always needing to build new systems from scratch.

• Frontend and backend are separated, allowing independent operation. Microservices divide the application into smaller components, making it easier to customize and scale.

• Fully flexible and customizable, letting developers modify the frontend or backend without impacting the other. Different brands can have a unique frontend but depend on the same “hidden” backend. Built for scalability, with each component scalable independently and on demand. “Smaller traffic” brands will be way more cost-effective than “big” ones.

• As an API-first, microservice-based system, headless simplifies integrating tools, systems, and customizing or extending the platform depending on the specific brand’s needs.

#The right MACH roll-out strategy depends on centralization and brand strength

Multi-brand organizations should consider the appropriate MACH roll-out strategy depending on the centralization degree of their organization and the strength of their respective brands. 

• Highly centralized organizations would generally benefit from more aggressive and uniform standardization. 

• Organizations with very strong unique brands would generally need to accommodate different timelines for any standardization projects (e.g. migrating to a new headless content management system)

The matrix below highlights the appropriate strategy for each organization type.

#High Centralization, lower brand strength: One-Size-Fits-All Strategy, Migration at the same time → operational efficiencies and foundation for growing weaker brands

Organizations with a strongly centralized decision-making process, budgeting and technology strategy would gain the most from a “one-size-fits-all” transformation strategy. Rolling  out MACH-technologies without delays and across all brands replacing incumbent monoliths or varying technologies  will be comparably easy: both politically, and technologically.

Organizations must  rapidly deploy MACH technologies to improve operational efficiency and lay the groundwork for weaker brands to differentiate and thus grow over time.

An organization like famous Apple-supplier Foxconn is an example of an organization in this category. Grown both organically, and via multiple vertical and horizontal acquisitions, Foxconn would reap the benefits of a MACH migration for all of its subsidiaries.

Standardization would deliver way more benefits to the organization than overspending on brand-specific digital strategies. The organization will benefit from:

• better commercial terms with each MACH vendor (e.g. volume discounts, access to features in higher tiers),

• shared learning and know-how throughout all information technology and commercial teams, 

• consistent government and control practices throughout the portfolio,  and the opportunity to adapt best practices across brands.

• potential brand-specific needs could still be addressed in the implementation process or at a later stage: frontend changes, accommodating higher traffic for a specific brand, etc.

What does this strategy look like?

Core standardization to drive operational efficiency

The MACH roll-out strategy should focus on creating a standardized core platform to improve operational efficiency and scalability. Begin by implementing centralized microservices for shared functions like product information management (PIM), order processing, and content management and delivery. This shared infrastructure minimizes duplication of efforts across brands while creating a solid foundation for scaling weaker brands. The focus should be on efficiency gains that free up resources for reinvesting in building brand identity and improving customer experiences. 

Engineering and product talent can way more productively, creatively and happily invest their time in customer facing functionality, more user friendly frontends and new products. Data and data processing backends are commodities and are not a core asset for eCommerce businesses. 

Prioritization of high-impact digital capabilities

Because the focus is not on protecting established brand equity, MACH implementations should focus on delivering immediate business value, such as enhanced eCommerce features, faster time-to-market for digital campaigns, and improved customer experience through personalization.

Streamlined governance with focus on brand development

A centralized governance framework should emphasize consistency and efficiency while enabling opportunities for brand differentiation. For example, the provision of shared tools, templates, and GraphQL APIs will help brands develop unique customer experiences without fragmenting the core infrastructure. Shared best practices, guides and self-documenting APIs will make the work of engineers much more pleasant, faster and with lower overall mistakes. Simultaneously, resources are freed for brand-building initiatives, such as optimizing local content or experimenting with new digital touchpoints. Regular monitoring of brand performance across the MACH architecture and sharing of insights to refine strategies will strengthenweaker brands.

The strategy in action

Vision Healthcare, a European nutrition and health eCommerce group, has followed an acquisition growth strategy over the last decade. Over 13 brands throughout Europe have been brought under the same umbrella but retained their unique identity.

Since the operational model and the business model of all of these is comparable, a strategy of standardization of non-core operations has been embraced.

Every sub-brand of Vision Healthcare used to have its own development team. To stay ahead of the competition in the eCommerce space, the Vision Healthcare team wanted to unify the system stack and improve it faster. The team chose a headless setup to allow quick technical adaption, which means if any of the components are outdated or there's a better component available, they can replace just that part instead of redoing the entire platform. 

More can be found under the customer report: Vision Healthcare offers omnichannel experiences to enhance consumer wellbeing with Hygraph.

#High centralization, high brand strength: One-stack, different timelines strategy for migration

Large multi-brand organizations in this category have a strong headquarters office but also very recognizable, strong brands in their portfolio. Examples include Unilever, Tesla, Dr. Oetker. These companies often grow large in a very specific product segment e.g. mobility, personal care, food and beverages. Products are not necessarily complimentary, brands are powerful and sometimes require a very different technological strategy.

To reap the benefits of a MACH digital transformation, eCommerce organizations have to accommodate the different business cycles and market forces their companies are exposed to. While one technology stack would still make sense in terms of economies of scale, economies of speed and learning, the central HQ should not demand a simultaneous migration to a new stack. For a time, brands may delay moving to the new stack and rather start adopting specific services from the chosen MACH stack.  A brand may start just with replacing their current analytics tool and only later move their search engine or CMS. 

What does this strategy look like?

Unified platform deployment for consistency 

For highly centralized organizations with strong global brands, the MACH roll-out strategy should prioritize a unified platform deployment to ensure brand consistency across all markets. Start by building a robust central architecture leveraging microservices and APIs for core functionalities such as content management, eCommerce, and personalization. This centralized platform should enable seamless integration across all digital touchpoints while maintaining strict control over the brand’s look, feel, and messaging. By standardizing the core technology stack, the organization can ensure that global brand equity remains intact, regardless of market or channel.

Phased implementation based on centralized control and market priorities

A phased approach will be required to accommodate the varied timelines and capabilities of individual brands. Brands more closely controlled by the headquarters and brands that can experience immediate benefits are the best candidates for the initial rollout of MACH technologies. These early roll-outs will act as both success stories and as a chance to gather insights and to gain battle-tested organizational skills.

These factors will convince the leaders of other brands to more promptly and painlessly migrate to the MACH stack. This phased approach minimizes disruption and helps local teams adapt to new technologies. It also creates a feedback loop for continuous improvement, enabling the organization to address unique challenges in subsequent phases.

Scalability with controlled customization

While the platform remains centralized, allow for controlled customization to account for minor regional variations or market-specific needs. For example, the central team can provide pre-approved templates, API libraries, and composable components that enable regional teams to localize experiences without deviating from global standards. Regular communication between the central team and regional teams ensures alignment while allowing flexibility where necessary. Additionally, a robust analytics layer within the MACH architecture can provide centralized visibility into performance, enabling data-driven adjustments that enhance global and regional effectiveness.

The strategy in action

Food and beverage group, Dr. Oetker adopted a MACH technology stack back in 2022. It only started with its core website and mobile app (oetker.com), continuing with its mineral water brand Paneangeli.it and other drinks subsidiaries in the years to come. 

More can be found under the customer report: Dr. Oetker harmonizes platform infrastructure with a microservice-based architecture.

#Low centralization, low brand strength: Recommended stack, franchise approach to migrations

These companies often face challenges in aligning digital transformation strategies across brands, as less centralized operations and weaker brand equity make uniform rollouts less feasible.

This strategy ensures a gradual yet cohesive shift to MACH, aligning with the organization's decentralized structure and the unique needs of its lower-strength brands.

VF Corporation and, partially, Unilever fall in this group. VF Corporation owns several smaller, niche brands like Dickies (workwear) and Eagle Creek (travel gear) in addition to more prominent names like The North Face or Vans. These niche brands often operate semi-independently in their respective markets, with lower emphasis on global brand recognition compared to VF’s flagship labels. 

While Unilever manages globally recognized brands like Dove and Axe, many of its smaller personal care and food brands (e.g., Marmite in the UK or Sunlight in Southeast Asia) have weaker global brand strength and are often managed with greater local or regional autonomy, reflecting a lower degree of centralization.

What does this strategy look like?

Tailored technology adoption

For organizations with lower centralization and weaker brand strength, the MACH roll-out strategy should focus on modular adoption. Start by deploying microservices and APIs for common backend functionalities (e.g., product information management, order processing) that can be shared across brands. Allow each brand to maintain autonomy by enabling them to integrate these shared services with front-end systems that meet their unique needs. This approach reduces overhead and ensures scalability while allowing local teams to innovate based on regional preferences and market conditions.

Phased implementation based on market priorities

A phased approach is critical for accommodating the varied timelines and capabilities of individual brands. Begin with a pilot deployment on a low-risk or mid-tier brand to validate the MACH architecture and gather insights. Gradually expand the rollout to other brands, prioritizing markets with higher digital maturity or business needs. This phased approach minimizes disruption and helps local teams adapt to new technologies. It also creates a feedback loop for continuous improvement, enabling the organization to address unique challenges in subsequent phases.

Empowering local teams within a governance framework

To balance decentralization with standardization, establish a governance framework that provides guidelines for MACH adoption while empowering local teams. Define clear principles for API usage, composable components, and headless software selection to ensure compatibility across the ecosystem. Simultaneously, provide local teams with flexibility to customize front-end experiences and workflows to suit their brand identity and customer expectations. Regular cross-brand knowledge sharing, supported by a central MACH enablement team, can foster collaboration and ensure consistent progress without stifling innovation at the local level.

#Low centralization, high brand strength: Recommended commodity software and Infrastructure

These companies have often grown by gradually acquiring or creating market-leading products  that are usually enjoyed by the same customer segment but do  not necessarily belong to the same vertical or product category.

Luxury goods company LVMH with brands like Louis Vuitton (clothing), Moët (wines) and Henesse (cognac) dominates its space and is a primary example of this category.

This strategy prioritizes autonomy and flexibility to accommodate varying brand strategies and identities while benefiting from shared efficiencies and a scalable  foundation.

What does this strategy look like?

Flexible architecture for brand autonomy

For decentralized organizations with strong, distinct brands, the MACH rollout should prioritize flexibility to accommodate varying brand strategies and identities.A shared, modular backend architecture that provides reusable microservices and APIs for core functionalities such as a recommended cloud provider, payment processing, inventory management, and analytics.  Each brand can independently select and customize front-end frameworks and composable components that align with their unique brand identity.

Brand-specific rollouts with strategic coordination

Given the strong, unique positioning of each brand, rollouts should be tailored to the specific needs and readiness of individual brands rather than following a uniform timeline. Digitally mature early adopters among brands can be strategically prioritized, so their deployment can be used as a proof of concept for others. Central guidance and resources, such as pre-configured APIs or templates, can be provided, but each brand should lead its own implementation process and align it with its market strategy. A centralized oversight mechanism should be maintained to ensure compliance with core technical standards without dictating the pace of each rollout.

Decentralized innovation with shared best practices

Multiple autonomous prioritizing different MACH tools and  tactics on a different timeline are increasing the number of experiments exponentially. A centralized governance and enablement team can facilitate cross-brand collaboration, sharing experiment results and  best practices. Cross-brand analytics and reporting tools that feed into a central dashboard can give visibility into the performance of MACH solutions across all brands. This ensures alignment with organizational goals while enabling each brand to innovate and maintain its competitive edge. Regular workshops or forums can further strengthen knowledge sharing, ensuring the organization maximizes value from its decentralized MACH implementation.

#About Hygraph

Hygraph is the first GraphQL-native Headless Content Platform, enabling teams across the world to rapidly build and deliver tomorrow’s multi-channel digital experiences at scale.

It was designed for removing traditional content management pain points by using the power of GraphQL, and take the idea of a Headless CMS to the next level. Hygraph integrates with any frontend technology, such as React, Vue and Svelte.

Get started with Hygraph by creating a free account, learn how our customers are solving real-world problems, gather information about next-generation CMS from our resources or academy, or learn more about the applications of Hygraph.

To discuss how Hygraph can help you transform your digital projects, reach out to us.