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

DelVecchios article deals with the effects of dishonor appendixs on company gross revenue, especially with regard to the affected flaws. Brand extension is herewith taken to mean how companies offer completely new products under the be brand names. The target food market could be the existing customer rack or completely new one.Companies carry oning their brands are especially interested in increasing sales revenue by offering more products. gibe to DelVecchio (2000) the extensions could be a double edged sword to the implementing companies it could increase sales to higher levels or could reduce brand loyalty to brands formerly dearest to consumers. Marketing executives in companies intending to extend brands therefore save a gravid task of investigating the level of brand loyalty before opinion about extensions.Understanding the risks involved with brand extensions should therefore be taken as the first step laying strong foundation for future sales. DelVecchio (2000) h as specifically stated that having many brands associated with the one being extended increases the possibility of success. This in consideration that respective company brands happen to have already turn up themselves in the face of competition.Extensions are therefore seen by consumers as meet another attempt for respective company to meet market unavoidably and demands. Coca-Cola Company is the best example of a company that effectively drops its childlike products to improve brand extensionality its Coke drink is available in Zero, Vanilla, and nourishment extensions (Makwana 2008)all which succeed in their mission of satisfying specific market segments tastes.DelVecchios analysis leads to conclusion that brand loyalty is the foundation for undefeated brand extensions, which explains why companies that exceed consumer expectations succeed in their brand extension initiatives.Coca-Cola is yet another company whose consumer loyalty has boosted its extended brands, as rise as remaining as the world leader in change 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 self-assurance in the new line of products and immediately embarked on making purchases.Companies whose products have narrow brand loyalty are on the other go on faced with diluted popularity of products being extended. For instance, Chrysler Motor Company faced with diluting popularity of its landrover Liberty after extending this product into Jeep Patriot. Fact that Liberty had insignificant consumer base meant that extending it to Patriot would hurt it (Liberty) even further (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 signifier for product extension purposes, such(prenominal) 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 flavor cheated.The only solution is to ditch the affected companies products altogether and start condescending 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, failure of which result to loss of business even on well established products.ReferencesBusinessWeek, 2006, Jeeps Misguided Compass, Available from http//www.businessweek.com/autos/ means/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 box Market through Brand Extension. Available from http//ww w.ibscdc.org/Case_Studies/Marketing/Brands%20and%20Branding/MA R0089A.htm