Brand Extension Strategy (Case Studies of McDonalds and Budweiser) скачать в хорошем качестве

Brand Extension Strategy (Case Studies of McDonalds and Budweiser)

View all our courses and get certified on https://academy.marketing91.com The Ultimate Strategy of Brand Extension When a company uses an established brand name to market a new product, it is known as a brand extension. A sub-brand can also be formed when a new brand connects with an existing one. The parent brand here is the original source from which the sub-brand derives. Brand Extension – Example Budweiser Releases Dwyane Wade NFT to Promote Budweiser Zero, Its Non-Alc Beer. The Anheuser-Busch brewing company launched a series of Dwyane Wade NFTs to advertise its non-alcoholic Budweiser Zero beverage. The limited-edition release includes virtual tokens featuring the former basketball player's image as well as specially created bottles that can be used to receive certain advantages, including a virtual tour of a Wade jersey or a signed beer can. For others, the thrill will be an in-person meeting with Wade himself, who will be visiting the metaverse. The beer giant has long been ahead of the curve when it comes to using NFTs for marketing purposes, even filing for a trademark on the term "Budverse," which suggests long-term intentions to bring beverages into the metaverse. The company's first branded NFTs attempt was the Dwyane Wade release. Types of Brand Extensions Line Extension A marketer may launch a new product in an established product category that targets a new market with the parent brand's help. The Armani brand has expanded from Giorgio Armani and Giorgio Armani Privé to mid-range Emporio Armani goods, then down to low-cost luxury items with Armani Jeans and Armani Exchange. Category Extension Marketers use the parent brand to enter a new product category from the one it currently serves. Apple, as a brand or corporation, has entered the watch industry by combining fitness monitoring and health-oriented features with iOS and other Apple products and services. Advantages to the “Parent Brand” Enhances Parent Brand Image By strengthening the current brand connection, the image of the parent brand may be enhanced as a result of brand extensions. Example: Nike, Adidas and Reebok have extended from providing running shoes to other athletic apparels. Increases Market Coverage The brand extension maty enables consumers who may have avoided the parent brand because they did not know about its existence to sample it, expanding market coverage. Example: Nike has launched a hijab targeting Muslim female athletes while observing the traditional Islamic practice of covering the head without compromising on the performance. Revitalizing the brand Brand extensions are also used to breathe new life into dormant brands and boost their popularity and favor among customers. Example: Cadbury Dairy Milk launched a variant named Cadbury Silk to enhance the image and spark excitement for the chocolate brand Advantages to the “Extended Brand” Apple Products - Improves Brand Image Over time, consumers develop certain preconceptions about the parent brand. Customers also start to expect the product to live up to their expectations in terms of performance relative to other brands they trust. They maintain perceptions based on what they already know about the parent company. Example - Apple products Advantages to the “Extended Brand” Mondelez Products Decreases Risks Perceived by Customers The importance of the first trial of any new product is how well it is connected and relevant to the parent brand. For example, customers will try any brand extension from firms like Mondelez, Google, Apple, Samsung. The success of the product relies on its features and whether it adequately fulfills customer demands. Increases the Possibility of Expanding Distribution When new goods are introduced as an expansion to a certain brand, consumer demand for the same tends to rise. Example - Retailers are easily persuaded to stock up on items from fast-moving companies like Coca Cola, Pepsi, Mondelez International Increases Efficiency of Promotional Investments When a new product is launched as an extension to a certain brand, the process of generating awareness for the brand is totally eliminated; Example: Consumers readily try Cadbury's new brands because they are instantly recognized and accepted. Packaging or Labelling Advantages Brand extensions may be packaged and labelled in a similar style to minimize production cost, which can be utilized as a promotional tool. Example: Cadbury is recognized among other companies owing to its distinctive purple-colored packaging. This video is on The Ultimate Strategy of Brand Extension and it has the following sub-topics. Time Stamps 0:00 Introduction to Brand Extension Strategy 0:16 The Ultimate Strategy of Brand Extension 0:40 Brand Extension – Example 1:23 Types of Brand Extensions 2:13 Advantages to the “Parent Brand” 3:21 Advantages to the “Extended Brand” 5:06 Disadvantages of Brand Extensions