Moving beyond fit: the role of brand portfolio characteristics in consumer evaluations of brand reliability

DelVecchios article deals with the effects of brand extensions on caller sales, especially with regard to the affected brands. Brand extension is hereby taken to mean how companies offer wholly new products under the existing brand names. The target market could be the existing customer substructure or completely new one.Companies extending their brands are especially interested in increasing sales revenue enhancement by offering more products. According to DelVecchio (2000) the extensions could be a double edged sword to the implementing companies it could summation sales to higher levels or could reduce brand the true to brands formerly dear to consumers. Marketing executives in companies intending to extend brands therefore have a hard task of investigating the level of brand inscription before thinking about extensions.Understanding the risks involved with brand extensions should therefore be taken as the archetypical step laying strong foundation for future sales. DelVe cchio (2000) has specifically stated that having many brands associated with the one cosmos extended increases the possibility of success. This in consideration that single company brands happen to have already turn up themselves in the face of competition.Extensions are therefore seen by consumers as just an new(prenominal) attempt for respective company to meet market needs and demands. Coca-Cola Company is the best example of a company that efficaciously uses its wide products to improve brand extensionality its Coke drink is available in Zero, Vanilla, and Diet extensions (Makwana 2008)all which imitate in their mission of satisfying specific market segments tastes.DelVecchios analysis leads to conclusion that brand loyalty is the foundation for successful brand extensions, which explains why companies that exceed consumer expectations succeed in their brand extension initiatives.Coca-Cola is thus far another company whose consumer loyalty has boosted its extended brands, as well as remaining as the terra firma leader in railcarbonated drinks market. Ralph Lauren is another company that has been able to use its consumer loyalty to extend its Polo brand from clothing to home decor and furnishings. Consumers highly satisfied with the clothing had confidence in the new declivity of products and immediately embarked on making purchases.Companies whose products have narrow brand loyalty are on the other hand faced with diluted popularity of products being extended. For instance, Chrysler Motor Company faced with diluting popularity of its Jeep Liberty subsequently extending this product into Jeep Patriot. Fact that Liberty had insignificant consumer base meant that extending it to Patriot would hurt it (Liberty) even save (BusinessWeek 2006). Indeed American car manufacturers current declining sales problems develop from extending unpopular products.These car assemblers go to an extent of one brands chassis for product extension purposes, much(preno minal) as Fords use of the popular F150 chassis to make more Ford brands. Unfortunately for such businesses, consumers end up understanding what is happening in the extensions and therefore feel cheated.The only solution is to honk the affected companies products altogether and start patronizing competitors products. In retaliation to a point made previously in the paper, it is vital for companies to cultivate consumer loyalty in products they could be planning to extend in the future, ruin of which result to loss of business even on well established products.ReferencesBusinessWeek, 2006, Jeeps misdirect Compass, unattached from http//www.businessweek.com/autos/content/oct2006/bw20061025_140103.htmDelVecchio, D., 2000, Moving beyond fit the role of brand portfolio characteristics in consumer evaluations of brand reliability. journal of Product and Brand Management. Vol. 9 No. 7, pp. 457-471.Makwana, B., 2008, Coca-Colas Targeting Niche Market through Brand Extension. Availa ble from http//www.ibscdc.org/Case_Studies/Marketing/Brands%20and%20Branding/MA R0089A.htm