For your personal favorite brand: Generate an idea for a new vertical brand extension (your favorite brand is, therefore, the \”parent\” brand). Your new vertical brand extension idea should be either an upward brand extension (i.e., using a higher price range to target customers in higher income brackets than the parent brand\’s customers) OR a downward brand extension (i.e., using a lower price range to target customers in lower income brackets than the parent brand\’s customers).
In what specific ways will the products of the new brand be different from those of the parent brand to justify the price difference? In other words, how will the new brandâs products satisfy the needs of the new target market who are either higher-or lower-income customers (depending on whether the new brand idea is an upward or downward extension, respectively)? Explain.
What would you name the new brand? Type the name here: __________. Also, assess this name by answering the following questions:Does the new brand\’s name clearly signal to consumers that the new brand is a higher- or lower-tier brand compared to the parent brand (depending on whether the new brand idea is an upward or downward extension, respectively)?
Does the new brand\’s name make any reference to the parent brand\’s name? If so, what are the pros and cons of having the two brand names connected? If not, what are the pros and cons of not connecting the two brand names?
In what stores is the parent brand currently selling, and where would you sell the new brand? Mention both direct and indirect channels if applicable.List the stores through which the parent brand is being sold:
List the stores through which the new brand will be sold:For the new brand, how would the stores typed above meet the needs and shopping patterns of consumers who belong in higher or lower income brackets (depending on whether the new brand idea is an upward or downward extension, respectively)?
Identify competitors of the parent brand vs. the new brand. Keep in mind that the competitors of these two brands should be different, since the parent brand and the new brand are targeting consumers with different income levels.
List parent brand\’s competitors:
List new brand\’s competitors:
For your personal favorite brand: Generate an idea for a new vertical brand exte
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