New brand introduced into a product category by a company that already markets an existing brand in that category. The flanker may be a different size, flavor, or type of the existing product but is a logical extension within the product category, such as the addition of other flavors to cranberry-Cranapple, Crangrape-by Ocean Spray.
A flanker brand is a Line extension by the company. HUL having different varieties of washing powder detergent, e.g. Surf Excel for the Premium segment, RIN for the middle segment and Wheel for the lower segment. P&G having Ariel for the premium segment and Tide for the middle segment. A flanker brand is a new brand introduced into the market by a company that already has an established brand in the same product category. The new brand is designed to compete in the category without damaging the existing item’s market share by targeting a different group of consumers. This strategy, also called fighter branding or multibranding, is used to achieve a larger total market share than one product could garner alone. Companies with multiple brands in a single product category generally have the following types of products in their portfolios: * A premium brand that offers high quality at a higher price. * One or more “value” brands offering a slightly lower quality or a different set of benefits for a lower price. Why is flanker branding important?
Flanker branding is important because it allows a company to attract new customers from various market segments. The main brand of a company’s portfolio should target the market segment containing the most consumers. Another brand can then be positioned to convert users from other market segments by using a different set of benefits or product characteristics. For example, Proctor and Gamble’s (P&G) (worldwide) Tide is an extremely successful laundry detergent. In order to appeal to consumers who desired a lower-cost detergent, P&G introduced Cheer, which is...
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