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Research Findings Concerning Line Extensions

Research Findings Concerning Line Extensions. LineExtensions. Line Extensions of strong brands are more successul than extensions of weak brands Line extensions of symbolic brands enjoy greater market success that those of less symbolic brands.

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Research Findings Concerning Line Extensions

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  1. Research Findings Concerning Line Extensions

  2. LineExtensions • Line Extensions of strong brands are more successul than extensions of weak brands • Line extensions of symbolic brands enjoy greater market success that those of less symbolic brands. • Line extensions entering earlier into a product sub-category are more successful than extensions entering later, but only if they are extensions of strong brands. • Firm size and marketing competencies also play a part in an extension’s success. Extracted from S.R. Reddy, S. Holak and S. Bhat, “To Extend or Not Extend: Success Determinants of Line Extensions”, (May 1994)

  3. Line Extensions • Earlier line extensions have helped in the market expansion of the parent brand. • Incremental sales generated by line extesions may more than compensate for the loss in sales due to cannibalization. Extracted from S.R. Reddy, S. Holak and S. Bhat, “To Extend or Not Extend: Success Determinants of Line Extensions”, (May 1994)

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