Should we do line extension?

What’s the difference between line extension and brand extension?

Let’s take a broader view on the consumer side, as the examples are easier to understand.

Line extension is changing the original product slightly to fill consumer demand, in the hopes of preventing them from going to the competition for the same thing.

The easiest example to cite is Coca-Cola, because it is so well known, and so long established. The original product, Coca-Cola, has been** line extended** greatly. Diet Coke, Coke Zero, Cherry Coke, Vanilla Coke, and other flavor variations are offered, but they are all still sodas.

The Coca-Cola company also does brand extension. Maryland Club coffee, Minute Maid juices, Dasani, Smartwater, Vitaminwater, Powerade, Honest Tea, Gold Peak Tea, and Georgia Coffee were at one time all brand extensions. Some were sold years ago. The point is, even though these are all beverages, they are NOT sodas.

The aim of both line extension and brand extension is essentially the same—capture more market share by leveraging the primary brand.

Notice if you buy a line-extended item, you know exactly who produces the product. Typically, the identity is in the name. However, back in the day, when Maryland Club was owned by Coca-Cola, it was named and branded in a completely different way. But if you looked on the blue can at the bottom, you would see a tiny black Coca-Cola logo. What’s the point in that? It tells the consumer who feels favorable to Coca-Cola, that this product should have the same quality and attributes of the primary brand.

If your company has good brand equity (see my related article) then, line and/or brand extension makes sense, and should produce an edge over unknown brands.

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Editor’s note: I applaud and respect the protections of intellectual property laws, and any company represented above who makes a request for deletion will have that request honored.

The image was found on the Brandmarketingblog.com website2.

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2 https://brandmarketingblog.com/articles/good-branding/line-extension-examples/