You want to introduce a new product. You already have a successful brand in a different product category than the new product you plan to introduce. You are contemplating using the same brand name (brand extension) for the new product. What factors should you consider before making this decision?
Make sure the products are compatible. In creating a second brand, you will need to be able to relate quality of the current brand to assured continuing quality of the new one. A company with a reputation for excellence in tool and die will not necessarily translate to quality in wood based products. However in a new container product made of metal it would be compatible.
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A discussion on the viability of using a brand extension for a new product in a new and different category from current brand product.