- What are the types of brand extension?
- What are some examples of product extensions?
- How do you extend a brand?
- What is a brand extension in business?
- Why is brand extension necessary?
- What is a category extension?
- What is straight product extension?
- What does product extension mean?
- What is a product extension strategy?
- Are brand extensions good or bad for companies?
- Why do brand extensions fail?
- What is the difference between brand extension and brand stretching?
- Are brand extensions needed for brand growth strategy?
- What is brand strategy in marketing?
- Are brand extensions an important brand growth strategy?
Brand extension or brand stretching is a marketing strategy in which a firm marketing a product with a well-developed image uses the same brand name in a different product category.
The new product is called a spin-off.
An example of a brand extension is Jello-gelatin creating Jello pudding pops.
What are the types of brand extension?
Types of Brand Extensions
- Product form extension.
- Companion product extension.
- Extension of customer franchise.
- Extension of company expertise.
- Extension of Brand Distinction.
- Extension of Brand image or Prestige.
- Distinctive taste, ingredient or component Extension.
What are some examples of product extensions?
Now there are versions that come in mini, thin, mega, pumpkin spice, golden, white fudge covered, chocolate cream, mint, berry, double, heads or tails, and more. This is an example of product line extension.
How do you extend a brand?
TO LAUNCH A TRUE BRAND EXTENSION, A COMPANY MUST TAKE A WELL-KNOWN BRAND NAME AND USE IT TO LAUNCH A PRODUCT IN A DIFFERENT CATEGORY FROM THE PARENT BRAND. Change the form of an existing product by changing its method of delivery, method of preservation, or retail placement.
What is a brand extension in business?
Brand Extension. Brand extension is a marketing strategy in which an organization that markets a product or service with a well-developed image uses the same brand name but in a different business category. Brand managers use this as a strategy to increase and leverage brand equity.
Why is brand extension necessary?
Advantages of Brand Extension
Brand Extension has following advantages: It makes acceptance of new product easy. The likelihood of gaining distribution and trial increases. An established brand name increases consumer interest and willingness to try new product having the established brand name.
What is a category extension?
Definition: Category Extension
Category or Brand Extension is a strategy by which, a company uses the same brand to enter into a completely unrelated product segment. The company leverages on the brand equity and success of its existing brand to introduce the new product to increase market acceptance.
What is straight product extension?
Marketing a product in a foreign market without any change to the product sold in the home market. From: straight product extension in A Dictionary of Business and Management »
What does product extension mean?
Product extension is the strategy of placing an established product’s brand name on a new product that is in the same category. Small companies can deploy the practice in the same way that large firms have, in order to increase sales of a popular product by offering variations.
What is a product extension strategy?
An extension strategy is a practice used to increase the market share for a given product or service and thus keep it in the maturity phase of the marketing product lifecycle rather than going into decline.
Are brand extensions good or bad for companies?
The most real and marketable assets of many firms are the brand names they have developed. Worse still, the extension can succeed, or at least survive, and damage the original brand by weakening existing associations or adding new, undesirable ones.
Why do brand extensions fail?
When brand extensions fail, it’s usually because companies try to borrow or milk their brands, and/or they simply do not pay enough attention to creating sufficient new consumer benefits.
What is the difference between brand extension and brand stretching?
The term brand stretch refers to how far a business can stretch its products or services into new and unrelated markets successfully. The less extreme variation of a brand stretch is a brand extension, where an existing brand launches a new or modified product into the same broad market.
Are brand extensions needed for brand growth strategy?
When a company uses a well-known brand to introduce a new product, it is called a brand extension and Brand extensions are a core marketing strategy for most companies. When stretching the brand to a new category, the company should always be aware of consumers strong brand loyalty to an existing brand.
What is brand strategy in marketing?
By definition, brand strategy is a long-term plan for the development of a successful brand in order to achieve specific goals. A well-defined and executed brand strategy affects all aspects of a business and is directly connected to consumer needs, emotions, and competitive environments.
Are brand extensions an important brand growth strategy?
Brand extensions are an important brand growth strategy, but if marketed incorrectly they can endanger the brand and consumer perceptions of the brand. According to Parham. In some instances, brand extensions have been incredibly successful.