Skip to main content

How to Extend Your Brand

In a MarketingProfs.com article, "How Far Will Brand Extensions Stretch?", Ted Mininni argues that you should attempt to extend your brand only after conducting some careful market research.

Money quotes:

"While there can be significant benefits in brand extension strategies, there can also be significant risks, resulting in a diluted or severely damaged brand."

"The most common brand stretches include line extensions within the same category."

"Yet, a large number of brand extensions into new categories have proven to be dismal failures."

"Many marketing managers think that it makes sense to 'transfer' the promise and equity of their established brand. But that isn't always true. Companies sometimes go too far trying to extend into categories that are not a good fit, and they risk losing credibility in their flagship brands."

"If consumer perception, based on research, does not corroborate that the proposed extension is a fit with the brand's values, it will not be a success, no matter how needed or exciting the new product is."

"Once a brand extension is executed, it is still important to identify any changes, positive or negative, in perceived core brand values, using the consumer as the barometer for these measurements."
Extending a brand is not something you should take lightly, and doing it effectively requires market research and strategy expertise. Read the article to get more specifc tips on how to extend your brand - if you dare.

Comments

Popular posts from this blog

Why Spreadsheets Suck for Prioritizing

The Goal As a company executive, you want confidence that your product team (which includes all the people, from all departments, responsible for product success) has a sound basis for deciding which items are on the product roadmap. You also want confidence the team is prioritizing the items in a smart way. What Should We Prioritize? The items the team prioritizes could be features, user stories, epics, market problems, themes, or experiments. Melissa Perri  makes an excellent case for a " problem roadmap ", and, in general, I recommend focusing on the latter types of items. However, the topic of what types of items you should prioritize - and in what situations - is interesting and important but beyond the scope of this blog entry. A Sad but Familiar Story If there is significant controversy about priorities, then almost inevitably, a product manager or other member of the team decides to put together The Spreadsheet. I've done it. Some of the mos

Henry Ford's "Faster Horse" Quote

You may have heard the ( apocryphal ) Henry Ford quote: If I'd asked customers what they wanted, they would have said "a faster horse". Over at the On Product Management blog , Saeed gives his take on this infamous quote. He "hates" it, and gives some compelling reasons. Saeed is spot on in his explanations. Personally, I think the quote is great, but it's a matter of interpretation. The valid point of the quote is not that it's a bad idea to facilitate a conversation with your market to better understand it. The valid points are: You must ask the right questions to get valuable answers. You must interpret the answers thoughtfully - often outside their direct meaning - to glean reliable information. Asking questions is not always the best way to "listen" to your market. (E.g., sometimes pure observational studies are more reliable.) Nonetheless, I find the quote is helpful to combat "armchair product management" in the

Stop Validating and Start Falsifying

The product management and startup worlds are buzzing about the importance of "validation". In this entry, I'll explain how this idea originated and why it's leading organizations astray. Why Validate? In lean startup circles, you constantly hear about "validated learning" and "validating" product ideas: The assumption is that you have a great product idea and seek validation from customers before expending vast resources to build and bring it to market. Indeed, it makes sense to transcend conventional approaches to making product decisions . Intuition, sales anecdotes, feature requests from customers, backward industry thinking, and spreadsheets don't form the basis for sound product decisions. Incorporating lean startup concepts , and a more scientific approach to learning markets, is undoubtedly a sounder approach. Moreover, in larger organizations, sometimes further in the product life-cycle, everyone seems to have an opinio