Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 1

Launching a brand is not only time consuming but also needs a big budget to create awareness and to

promote a product’s benefits. Brand extension research mainly focuses on the consumer evaluation of
extension and attitude of the parent brand. From the line extension to brand extension, however, there
are many different way of extension such as brand alliance, co-branding or brand franchise extension.
Brand extension can be one of the new product development strategies which can reduce financial risk
by using the parent company’s marketing communications. As it s a new brand, my opinion is to start
with a big bang.

Brand equity is defined as the main concern in brand management and IMC campaign. Every marketer
should pursue the long term equity and pay attention to every strategy in detail. Because a small
message dissonance would create failure of brand extension. On the other hand, consumer has his
psychology process in mind. The moderating variable is a useful indication to evaluate consumer
evaluation of brand extension. Consumer does have the ability to process information into useful
knowledge for them. They would measure and compare the difference between core brand and
extension product through quality of core brand, fit in category, former experience and knowledge, and
difficulty of making. A successful brand message strategy relies on a congruent communication and a
clear brand image.From a manager and marketer’s perspective ,an operation of branding should
maintain brand messages and associations within a consistency and continuum in the long way.Because
the effects of negative impact from brand extension are tremendous and permanent.Every message or
brand extension can dilute the brand in nature.

Many new products will emerge from irrational process and the rational development process may be
used(if at all) to screen out the worst non-runners. The design of the advertising and the packaging, will
be the output of the creative minds employed; which management will then screen, often by ‘gut-
reaction’ ,to ensure that it is reasonable. For most of their time, marketing managers use intuition and
experience to analyze and handle the complex, and unique, situations being faced; without easy
reference to theory. This will often be ‘flying by the seat of the pants’, or ,gut-reaction, where the
overall strategy, coupled with the knowledge of the customers which has been absorbed almost by a
process of osmosis, will determine the quality of the marketing employed. This, almost instinctive
management, is what sometimes called ‘coarse marketing’; to distinguish it from the refined,
aesthetically pleasing, from favored by the theorists. The lure of higher margins and consumer demand
for better value has led to a recent acceleration in private label initiatives among many retailers.
However, achieving higher margins on private label initiatives is not always easy, especially when
sourcing from companies located in developing countries and considering the complexity of current
manufacturing processes. A stretched supply chain increases cost, so the shift in trend should be
towards reduced supply chain which involves removing intermediaries and spread of franchises. The
P&G store may have franchise with the name “The power of Blue”.

Sales strategies should, in my opinion, begin to look for the next economy to take upon consumer goods
we all love. This could be regions that are providing strategies with significant attractions or it could be
other parts of the world that are looking to blow very soon. So to conclude, as we are learning from the
trends it is vitally important we take that to the next level and understand our markets for the next 5-15
years to maintain our sales growth!

You might also like