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How do vertical product line extensions influence a retailer s price image Conventional wisdom suggests that adding an upscale or downscale item to a product line has a directionally consistent impact on price image such that upscale extensions increase price image and downscale extensions decrease price
A line extension is a product that incorporates a slight twist on an established brand It utilizes the older brand s name and imagery and is usually in the same general product category More than 50 percent of all new product launches each year are for line extensions that simply have a new flavor size or nutritional content according to
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Whether or not to extend a product line is above all a matter of common sense At a bare minimum an extension must pass the simple tests of consumer benefit share of requirements growth brand
Building Your Brand with Brand Line Extensions This file is third in a five part series on building and developing a brand in the market The first file outlined the importance of branding and the process of creating a brand for a new product while the second file examined flanker branding strategies This series continues with discussion of brand line extensions
A line extension is an important extension of an existing marketing authorisation which is why a separate application for a marketing authorisation is needed for a line extension pursuant to article 12 or 13 of Directive 2001/82/EC The holder of this marketing authorisation is the same as for the other products in the line
The goal of product line pricing is to maximize profits by positioning new products with the highest number of features or with the most cutting edge individual features at the highest price point At the same time you ll be keeping a base product i e one with fewer or older features with lower performance expectations on sale as a lower
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The concept of Product Line Extension can be defined as a business strategy where the firm plans to expand its established product brand name with the new range of items in the product category The Product Line Extension can be in the form of new colors forms shapes sizes flavors packaging and ingredients The main idea and agenda behind the same are to increase the sales and reach of
2 Product form extension Line extension is when the brand is launched in a different form from the present form If the different product formed is an entirely new product category it will be termed as a brand extension rather than a product from the extension For example Google is extended now to mobile phones industry and called as
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A line extension strategy should only be considered when the producer is certain that the capability exists to efficiently manufacture a product that compares well with the base product Line filling strategies occur when a void in the existing product line has not been filled or a new void has developed due to the activities of competitors or
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You will learn about the types of new product categories such as new product lines or repositioned products and the new product development process from idea generation to commercialization
The price you choose for your product or service can be one of the most critical decisions affecting the success or failure of your business venture Many factors will influence your pricing strategy including the intended market for the product and how you choose to position the product
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Product Line Extension Strategy A product line extension strategy is an approach to developing new products for your existing customers or for prospects who do not currently buy from you Extending a product line involves adding new features to existing products rather than developing completely new products This
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According to him line extension means any addition in the existing product line of a company in a given category On the other hand Ries and Trout 1996 had treated line extension and brand extension as same Desai and Keller 2002 gave following classifications of line extension 2 4 Effect of Brand extension on Brand Equity
Extension and Contraction in Demand for Goods In economics the extension and contraction in demand are used when the quantity demanded rises or falls as a result of changes in price and we move along a given demand curve When the quantity demanded of a good rises due to the fall in price it is called extension of demand and when the
Product line Product MIX Product line pricing Product line pricing refers to the practice of reviewing and setting prices for multiple products in coordination with one another It is the process that retailers use to separate goods into various cost categories creating
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Up market Stretch The release of premium versions of a product designed to appeal to customers who are willing to pay more For example a sunscreen brand that releases a product that is made with organic ingredients that are all perceived as healthy that have less impact on the environment at a much higher price than products in the line that use standard chemical ingredients commonly
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Product Line Extensions A product line extension is the use of an established product s brand name for a new item in the same product category Line extensions occur when a company introduces additional items in the same product category under the same brand name such as new flavors forms colors added ingredients or package sizes
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