During a pandemic might not seem to be a good time to create a brand extension. However, creating a brand extension in uncertain times is a smart move. Some say that brand extensions weaken brands. This is wrong. Well-managed brand extensions strengthen brands.
In a study of more than 300 brand extensions it was determined, and now widely accepted that there are eight types, each with its own unique leverage.
We live in a time when consumers are in control. With greater access to information, choice in products and services, brands have found themselves shifting rapidly to adapt to what this new consumer not just wants but expects a brand to deliver.
A brand may enter new product categories, new product formats within a category (line extensions), or new markets or market segments.
In the search for more revenue, many brands seem keen to broaden their mandate or redefine the sector they see themselves as now being part of.
