How to Avoid Spreading Your Brand Too Thin
My GIFT to You https://howtocomeoutofnowhere.com/tbt1/ If you have a successful brand, a brand extension makes a lot of sense, right? Yes, it does, but you also run the risk of spreading your brand too thin, explains namer and branding expert Canon Wing. In this episode, she looks at case studies of brand extension fails from Harley Davidson, Colgate, Dettol, and more, while contrasting these with successful brand extensions like Michelin, Uber & IKEA. Listen now! Top Tips
- Brand extensions are five times more likely to succeed than new launches. However, there is the risk of spreading a brand too thin.
- A lot of companies got it wrong. Even Virgin, a brand that usually does brand extensions brilliantly, slipped up with Virgin Brides.
- When a brand extension is able to build on the reputation, authority, and trustworthiness of the brand, it will succeed. However, off-brand extensions and incongruous attempts to cash in on the latest fad or trend will be much less likely to succeed.
- The dilution of a brand happens when Harley Davidson goes off-brand and launches a cake decoration kit or Colgate launches frozen dinners. However, when Uber launches Uber Eats this is a much more logical brand extension and it works.
- For a brand extension to work, a brand must examine whether there is a demand for it. It can also be something new or ingenious that will make customers go, "I wanted that and I didn't even know it!"
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