MGMC11H3 Chapter 12: Ansoff's growth share matrix, brand extensions, 9 reasons for product failure
Document Summary
Brand extension: use established brand name to introduce a new product. Family brand: parent brand that s associated with multiple products through brand extension. Line extension: apply parent brand to new product that targets a new market segment within a product category the parent brand currently service. Adds different flavor, different form or size, or different application of the brand. Category extension: apply parent brand to enter a different product category from the one it currently serves. Inferences may improve strength, favorability, and uniqueness of the extension s brand associations. Most important factor to predict trial of a new product was the extent to which it s connected to a known family brand. Established reputation of the brand is an important risk reducer for consumers over the new product. Corporate credibility facilitates adoption of brand extensions. Potentially increased consumer demand for the new product as an extension can make things easier to convince retailers to stock and promote it.
