Brand Extension of Dove: Product Diversification Strategy
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This presentation discusses the brand extension of Dove through product diversification strategy. It covers the evolution of Dove, Kapferer's brand identity prism, current brand identity, tagline, and possible products. It also explains the market demand and how brand extension through product diversification can be advantageous.
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BRAND EXTENSION OF
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INTRODUCTION •Doveis a brand owned by Unilever limited which primarily deals in toiletries . The brand was introduced in the United Kingdom in the year 1955 . •The products of Dove are manufactured in many countries such as Indonesia, Japan, Pakistan, Australia , Argentina ,Poland , Turkey and many others. The products of the company are sold in almost 80different countries around the world. •The products of the company include beauty bars, facial care, lotions, antiperspirants and many others(Dove UK 2019).The products of Dove are made ofvegetable oils, animal fats , surfactants.Since the year 2010, the company has also launched men’s care products
BRAND EXTENSION •The brand extension can be defined as using the existing brand name to introduce new products in the product category . •It is a popular brand strategy which helps to enter the new category of products. •The strategy of brand extension is advantageous as it reduced the expenses ofnew product introduction and enhances the profitability of the new product. •It is one of the most influential areas in the marketing and is directly related with the parentbrand . •Ex-There are various brands which extends itself by the product diversification . The existing brand works as a marketing tool for the newbrands .
EVOLUTION OF BRAND DOVE 1.1957- The brand launched in the market for the first time by Unilever 2.1970s- The popularity increased as a milder soap 3.1980s- It started its global rollout 4.1990s- The famous litmus test started 5.1994- Expansion in 80 countries 6.1995-2001-The extension in the product range 7.2002- The real beauty campaign 8.2005- The self esteem campaign(Dove UK 2019).
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KAPFERER’S BRAND IDENTITY PRISM •In the year 1986 , the brand term brand identity was mentioned for the first time in Europe by Kapferer. •It can be defined as an outward expression of the brand which includes its name , communications , trademark and visual appearance too (Essamri , McKechnie and Winklhofer 2018). •The identity of a brand is the fundamental means of the consumer recognition and at the same time symbolizes the differentiation strategy of the brand from various competitors.
THE CURRENT BRAND IDENTITY •The main feature of the brand is that it is not a soap but a moisturizing bar . •The Dove soaps are in various colors such as while , light green and pink . •The benefits of the soap bar is thatit leaves milder effect on skin and reliable for daily usage . •The users f the products are highly satisfied •The brand personalityis thatit represents femininity , self-acceptance and confidence (Dove UK 2019). •The brand elaborates the commitmentto breakingdown the stereotypesand encourageswomen to celebrate inner beauty (Urde and Greyser 2016)
TAGLINE OFDOVE •The early tagline of the brand was“One –quarter cleansing cream” . After few years it changed and became“ one –quarter moisturizing cream “ .The advertising campaigns of the company shows moisturizing milk being poured into the bar which supports the tagline so far . •The connecting strategy of the brand with the customers is amazing. The products f the company aredifferentiated with thenormal products by making the users feel pampered. •The target market of the companyconsists of basically womenof all ages. Theteenagers are much attracted by the products as well as women above the age group of 55 (Lee,Monroe and Rosa 2015). •The product rangesof the company are designed
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WHAT IS PRODUCT DIVERSIFICATION •In any business diversification connotes the branching out of the brand into innovative an new product categories , marketplaces or industries. •It is often viewed as a safety method against the industry downturns . It works as a protect9ve shield for the bra when the industry suffers from immense downturn (Ambrose and Harris 2017). •The company becomes saved through having diversified products.For example, any fashion retailers are seen to expand to new type of store formats in order to diversify. •Product diversification when based on the demands of the market provides competitive advantage to the company and establishes itself as a top provider (Wheeler 2017).
POSSIBLE PRODUCTS Dove can extend to products like – •Hand-wash- The current market of hand wash products is dominated by brands like Dettol and Lifebuoy.Dove can have a try. •Foot care – The foot care product market is run by the brands like Amway, Oriflame and many others. Dove can beat them with its cost –effective strategy(Ambrose and Harris 2017).. •Tooth paste –The conversion into the tooth paste would be a little difficult but Dove can try to reach the heights pepsodent and colgate has reached. •Floor Cleaners – Floor cleaning market is a vast area to extend to as the target market is basically women/ housewives.
MARKET DEMAND •The market demand can be easily defined as the number of units which is demanded by the total number of customers in themarket. •The more popular a company is , the more demands for its productsincreases. For example -In winters, the market demands for umbrellas decreases but in the summer or rainy season , increases(Black and Veloutsou 2017). Current market demand in toiletries •Studies and surveys have found that the current market demand for the toiletries are product variations.According to Burmann et al.(2017), customers want herbal based products which contains,basil, neem, turmeric ,chamomile ,lavender and many other beneficial components. •People are becoming more health conscious and can be driven by such product variations.Various people own various skin types and every product does not suit that skin type. •Hence ,most of them are turning to the herbal base products made up of natural components.Researches have even found that the age group of the people of this kind of market demand is 25-40 (de Ruyter and Wetzels 2015).
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BRAND EXTENSION BY PRODUCT DIVERSIFICATION •Hence, after going through much research, it can be concluded that Dove should bring in such products which serves both the function of preserving the beauty of people as well as solving their dermatological other hair related problems. •The target market of the brand will accept it to the most and the brand will gain the competitive advantage too (Urde and Greyser 2016).The name of the new product can be“ Dove Herbal “and the taglinecan be like “Dove : the Doctor’s choice“. •It is likely to catch the attention of the market and serve as the best option for the market demand.
REFERENCE Ambrose, G. and Harris, P., 2017. Packaging the brand: the relationship between packaging design and brand identity. Bloomsbury Publishing. Black, I. and Veloutsou, C., 2017. Working consumers: Co-creation of brand identity, consumer identity and brand community identity. Journal of Business Research, 70, pp.416-429. Burmann, C., Riley, N.M., Halaszovich, T. and Schade, M., 2017. The Foundations of Identity-Based Brand Management. In Identity-Based Brand Management (pp. 1-16). Springer Gabler, Wiesbaden. de Ruyter, K. and Wetzels, M., 2015. Service Brand Extensions the Role of Corporate Image and Extension Similarity. In Global Perspectives in Marketing for the 21st Century (pp. 39-43). Springer, Cham. Dove UK (2019). Welcome to Dove. [online] Dove UK. Available at: https://www.dove.com/uk/home.html [Accessed 27 Jan. 2019]. Essamri, A., McKechnie, S. and Winklhofer, H., 2018. Co-creating corporate brand identity with online brand communities: A managerial perspective. Journal of Business Research. Lee, S., Monroe, K.B. and Rosa, J.A., 2015. Consumer Evaluations of Brand Extensions Positioned by Attribute Information. In Global Perspectives in Marketing for the 21st Century (pp. 361-361). Springer, Cham. Urde, M. and Greyser, S.A., 2016. The corporate brand identity and reputation matrix–The case of the nobel prize. Journal of Brand Management, 23(1), pp.89-117. Wheeler, A., 2017. Designing brand identity: an essential guide for the whole branding team. John Wiley & Sons.