brand extensions

Brand extensions refer to the strategy of a company using its established brand name to launch new products or services in different categories. For example, if a popular snack brand starts selling beverages under the same name, that's a brand extension. This approach leverages the existing brand's recognition and reputation, making it easier to gain consumer trust and boost sales. Successful brand extensions can enhance the overall brand value, while unsuccessful ones may dilute the brand's identity or lead to confusion among consumers.