Saipa Group, Iran – using strategic brand extensions to build relationships

Purpose – The purpose of this paper is to provide insight into how branding is used in an innovative manner, when looking to generate equity and strengthen stakeholder relations – by a global car manufacturing company, governed by Iranian Islamic law. Following this, suggested areas of discussion are offered, in the interests of stimulating new thinking and further knowledge – surrounding marketing and branding in a Muslim context; Iranian culture; and the differences between Arab and Persian‐centric approaches, towards an adherence to Islamic ethic. Design/methodology/approach – Inductive reasoning and syllogisms, as a basis for conceptual metaphor theory and critical discourse analysis. Evidence was gathered via in‐depth interviews, personal observations and experiences; as a result of meetings and the in‐house training of senior decision makers, over a three‐year period. This is further supported by anecdotal evidence; systematic literature reviews; and existing empirical data. Findings – In the face of strict regulations from the Iranian Government, Iranian religious clergy and wider socio‐political factors, the Saipa Group has developed an innovative approach to generate commercial gains and brand equity. This has been achieved through a brand‐extension strategy, which seeks to engage a wide spectrum of stakeholders, through activities which permeate their working and social lives. From this, a platform is created which enables Saipa to market their core offering of vehicles. Originality/value – Currently, there exists little academic material examining marketing theory, within the context of organisations seeking to comply with Islamic law and Muslim customs. Furthermore, analysis which is reflective of examining the nuances among different Muslim nations remains scarce. To this end, the following case attempts to highlight and address some of these issues.