Necessary Brand Extension
- Bridgette Arnold
- Apr 19, 2019
- 1 min read
Brand extension is extraordinarily important for a successful business and allows for the greatest amount of profit. However, it’s also very important for that business to be careful to not “spread themselves too thin” and put their name on products that the consumers in their target market would not be interested in purchasing. A good strategy is including limited edition items or slowly extending your brand and including new and different items to make sure the consumers are interested and satisfied with the newer part of the brand. Recently, Kate Spade has planned on including outerwear in their stores. They licensed the name Kate Spade to the Amerex Group Inc to make outerwear for the brand including leathers, faux furs, downs, wools, rainwear and quilted styles. This will allow for Kate Spade to expand their product base, and naturally increase their revenue. Amax includes licensed lines for London Fog, Nicole Miller, Seven for All Mankind and more. This means that Kate Spade has licensed their name to a trustworthy company and they are aware they will receive a quality product that will be sold to their own customers.
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