Product extensions involve creating new products that are variations of existing products. For example, if a company already sells a popular candy bar, it may decide to create different flavors or sizes of that candy bar, to appeal to consumers who prefer different tastes or who want a different sized product.
What is a product extension in marketing
What is a product line extension? Line extensions refers to the process of expanding an existing product line.
This is when a company with an established brand introduces additional items in a product category.
The company uses the value of the existing product to market and introduce new choices to consumers.
What are examples of product extension?
- Colgate with Hemp Seed Oil
- Coca-Cola Cinnamon
- Lux White Impress
- Honda Civic Si
- Hellmann’s Mayonaise with Olive Oil
- Mr
- Nissan Leaf
What is product extension and brand extension
Brand extension is the use of the same brand name to launch a new product in a different product line.
On the other hand, Line extension is the use of the same brand to launch and market a new product in the same product line.
Line extension only represents an increase in a product’s line’s depth.
What is product/brand extension
A brand extension is when a company uses one of its established brand names on a new product or new product category.
It’s sometimes known as brand stretching. The strategy behind a brand extension is to use the company’s already established brand equity to help it launch its newest product.
Why is product extension important
Product line extensions increase the variety of its existing products so that the products can appeal to a wider and more diversified audience.
They also entice the current customers to make more purchases.
Can you give an example of a product with an extension strategy
There are many examples of brands who have used product extensions as part of their brand extension strategy.
Carlsberg is one examplethe multinational brewery group offers their standard Danish pilsner in bottles, cans, on tap, and in many more forms.
It’s the same product, just in different variations.
What is product life extension
“Product life extension” is a concept developed as one of the multifaceted solutions to create a circular economy.
The basic concept describes how long a product or item can be used for, with the ultimate goal of maximizing any given product’s “utilization” rate and duration.
What is an example of product extension merger
An example of a product-extension merger would be the merger between Mobilink Telecom Inc. and Broadcom.
Product Extension merger involves companies that offer related products in the same market place.
It takes place between two business organizations that deal in related products within the same market.
Why do companies use product line extensions
Product line extension can help small businesses stay relevant to existing clients, bring in new ones, and increase their sales revenues.
What’s the difference between a product line and brand extension
Product Line Extension vs Brand Extension A product line extension refers to adding new features to products in a particular category.
On the other hand, brand extension is using an established brand name in new product categories.
What are types of brand extension
Basically, a brand extension is leveraging an existing brand to promote a product in a different category.
There are various types of brand extension such as product form, companion product, expertise, customer franchise and brand image type.
What are the types of brand extension?
- Product extension
- Line extension
- Customer franchise extension
- Company expertise extension
- Brand distinction extension
- Transfer of component extension
- Leveraging a lifestyle extension
Which is the best example of brand extension
A brand extension (some times called a category extension) is when a brand is known for one type of product starts selling a different type of product.
Some example of brand extension are: Apple: from personal computers into MP3 players. Callaway: from golf clubs into footwear, apparel and golf accessories.
What do you mean by market extension
A market extension merger refers to the coming together of two companies that produce or sell the same type of product but to different markets.
The main benefit of this type of merger is to give the companies that merge a larger market reach and client base as a result of its new capacity.
What should I consider in product line extension?
- Product Line Extension versus Brand Extension
- 5 Things to Consider for Product Line Extension
- Actively Monitor the Progress of Existing Product Lines
- Generate Customer Feedback
- Assess Competition
- Evaluate Finances and Available Resources
- Consider Product Exclusivity
What are the components of brand extension
A comprehensive literature review identifies six elements which are crucial to the success of brand extension.
These elements are Parent Brand Image, Parent Brand Fit, Parent Brand Strength, Marketing Support, Quality of Parent Brand and Parent Brand Consumer Experience.
How can extension strategies prolong the life of a product
Extension strategies: Change price– Price can be lowered to allow new customers to buy it.
Change place– Products can be sold in different countries or territories to gain more sales.
Change promotion– Different advertising or sales promotion techniques can prolong the life of the product, giving it a new image.
What companies use extension strategies?
- Reese’s Puffs Cereal
- Food Network’s Kitchen Items
- Star Wars Action Figures
- Colgate’s Toothbrush
- Honda’s Lawn Mowers
- Sunkist’s Vitamin C Tablets
What is an example of brand extension strategy
Definition brand extension strategy Perhaps one of the most well-known giants of brand extension is Amazon.
In 1995, Amazon began as an online bookseller. Since then, the brand has extended into everything from music, grocery delivery, consumer goods, movies and more.
How does Apple use brand extension
Apple (AAPL) is an example of a company that has a history of effectively using a brand extension strategy to propel growth.
Starting with its popular Mac computers, the company has leveraged its brand to sell products in new categories, as can be seen with the iPod, the iPad, and the iPhone.
What are the advantages of brand extension
Advantages of Brand Extension It increases brand image. The risk perceived by the customers reduces.
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.
When should a company go for product line extension
Overview. Line extensions occur when a company introduces additional items in the same product category under the same brand name such as new flavors, forms, colors, added ingredients, package sizes.
This is as opposed to brand extension which is a new product in a totally different product category.
What are product life cycle extension strategies
An extension strategy is usually introduced between the maturity and saturation stages of the product life cycle, before a real decline takes place.
The aim is to continue to maintain a steady rate of revenue from a product.
What is the difference between brand extension and brand stretching
Brand stretching involves introducing a new product into the market that is similar to an existing product in terms of functional benefits, but different in terms of price or branding.
Brand extension involves introducing a new product that has little or no relationship with the original brand and its customers.
What is product adaptation with example
Product Adaptation and refers to modifying the company’s existing product in a way that makes it fit better with local needs.
For example, when Procter & Gamble (P&G) introduced Tide laundry detergent in emerging markets like India, it changed the formulation to remove softeners.
What is an example of extension strategy
Repositioning the product – This extension strategy involves exploring new markets for a product.
It is possible to revive a product by testing new uses for it or adding value so that it appeals to a different audience.
For example, a business could try introducing a different sized version of the product.
What would be a product example of addition to existing products
Additions to existing product lines occur when a company adds a new product that solidifies its area of product offerings.
For example, Ninja Tech recently showcased a new martial arts gadget that allows consumers to monitor their health during physical workouts.
What is extend in corporate strategy
The 4 E’s to Addressing Corporate Strategy Extend. It means extending the business by going beyond its current business model by adopting a new business model or entering into new business.
What is product modification give examples
Product modification is enhancing existing products by making essential modifications to their qualities. Be it nature, size, packaging, and color, among other things, to respond effectively to changes in market demand.
What is an example of a failed brand extension
Colgate Kitchen Entrees. The idea was that after a delightful Colgate meal, you could then brush your teeth afterwards using, yes, Colgate toothpaste.
This brand extension was such a disaster that it never left US soil. The problem Colgate is not a brand name one would associate with a hot meal after work.
Citations
https://en.wikipedia.org/wiki/Umbrella_brand
https://www.figadvertising.com/news/brand-extension-amazonfresh
https://zipinventory.com/supply-chain-strategy/product-line-extension.html
