Brand extension is described as the process when a business, that becomes known for making a singular product grows into making other products under the same brand name. Brand extension can be thought of as what the iPod or iPhone is to Apple, a company that made its name and built its brand in personal computers.Brands who are successful at extending into new markets have one thing in common: a strong brand identity and high brand awareness. To do this, let’s review how a brand’s ethos can be effectively used to in threading together a successful brand extension strategy.
Brand extension example: Dove
The 63-year-old Dove brand, a subsidiary of Unilever, started their brand out by producing personal care goods for women like deodorant, soaps, and lotions.
The brand extended into a new market and line of gender-specific products when it launched Dove Men + Care and then into baby-specific products.
While Dove made its name in a niche market focusing on a specific demographic, it’s extension into different demographics like men and babies are perfect examples of how Dove successfully executed a brand extension strategy.
The reason why this extension was so successful was that Dove carved out their own niche space for men in a similar way it did for women, despite the brand being built upon a suite women's products. Dove recognized a market need for men at the right time and used their successful brand awareness and reputation to tap into a new market and reach a different audience.
Is a brand extension right for you?
As a brand have you considered extending in different ways outside of your foundational business? A brand extension may not be ideal for every brand from budget to timing, but it may just be the momentum you need to keep your bottom line healthy and your audience engaged.
Consider extending your brand with promotional items to increase engagement, satisfaction, and loyalty
Three Ways Promo Items Can Help Extend Your Brand
Improves Employee Satisfaction
Branded merchandise allows your employees to feel apart of the business. Merchandise creates a culture of care in your work environment and makes your employees proud to represent your business. It gives your employees something that they want to keep for months and years to come. Personalized quality merchandise makes your employees and their work feel appreciated. Upon my arrival at Anthem, I received a quality, awesome hoodie.
Connect with your employees this holiday season and embrace value-based gift giving with a copy of your very own Holiday Gift Guide to learn more about satisfying all of your employees.
CTA BUTTON: Get more ideas like these in our 2018 Holiday Gift Guide.
Improves Customer Loyalty
Maintaining customer loyalty is essential in positioning your business as a recognizable and trusted brand within the market. Once you have developed a strong relationship and linkage to a customer, over time, they can be the best brand advocates using the number one form of marketing: word of mouth.
Well made and high-quality promotional products translate your brand ethos to customers and establish exposure to potential customers.
Increases Brand Recognition
Using brand items that make the most sense for your brand and target audience can increase sales and have a faster return on investment than other long-term brand strategy tactics. Thanks to the inherent exposure a well-made and high quality down vest, for example, your brand receives "free" advertising wherever it's worn.
Whether you decide to extend your brand with new products or services, quality promotional products can keep your employees satisfied longer and more productive. On the customer side, promotional items help retain customer loyalty and in turn, you increase brand recognition.
Brand Extension Must-Haves:
Custom Water Bottles
Custom Backpacks & Totes
Custom Notebooks & Zip Pouches