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Brand Extension - Page 6 of 7 - Branding Strategy Insider

Brand extension is a marketing strategy in which an organization that markets a product or service with a well-developed image uses the same brand name but in a different business category. Brand managers use this as a strategy to increase and leverage brand equity. Product extensions, on the other hand, are versions of the same parent product that serve a segment of the target market and increase the variety of an offering.
Dangers Of Extending The Brand

One of the biggest dangers is a brand extension that repositions the parent brand in a negative light (like Bayer “aspirin-free” products or “Fat Free” Fig Newtons). One of the trickiest extensions is creating a “value” version of the parent brand. Extending your brand up to a premium segment or down to a value segment has the greatest potential for negative impact, as a brand’s quality and value perceptions are often central to its positioning. ...

Brand Extension: A Closer Look

Earlier this year we looked at some successful and not so successful brand extensions. Today, let’s get closer to the topic. A brand may enter new product categories, new product formats within a category (line extension), or new markets or market segments. Examples of the latter include taking a brand currently targeted to women and extending it to the male market or taking a brand that currently appeals to adults and extending it to the...

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Branding Strategy Insider is published by The Blake Project, an independently owned, strategic brand consultancy with extensive experience helping businesses and brands gain an emotional advantage, a distinctive advantage and a connective advantage.

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