V8 has been among Campbell Soup Company’s best products. The company specializes in canned fruits and vegetables. The product in its diversified form gives nutrients to the body and has won the hearts of many customers.
Campbell Company wishes to carry out brand extension on V8 V-Fusion. Since it has been acceptable before, the preparation to make it have a better taste and look smoothie is on course.
The management of Campbell assigned the Research and Development a task to find out how they can improve on it so that they can use it in fitness centers like the LA fitness.
The results proved positive. A healthy person requires a healthy diet. Campbell Soup Company has specialized in healthy fruits and vegetables that have positively influenced customer decision. It has become well known for its adherence to the best practice in business and health.
The new product’s name would be V8 V-Fitness Fusion. The researchers did conduct market interviews to ensure that the customers were prepared to receive the new product.
The spin-off can provide healthier diet to one’s body and enhance the athletic experience. The strength that the company has is that customers have a positive experience with and knowledge of the other products.
The new product will also ride on the strong brand that Campbell has built over the years. If the previous products have immensely benefited customers, then there is a firm conviction that this will do more than wonders to their health. It will boost the company’s image too and increase its presence in the retail stores.
They conducted a field research and confirmed that there were strong desires and anticipation for the new product. The product at its best was in the right category. The target customers were eagerly awaiting the launch.
The samples would be presented to the market one day to the start. They are meant to provide the client with the curious mindset as they prepare for the launch which would include billboards.
The marketing department would use the radio and television to create awareness of the product. The social media and the company website will be of great use since many online customers give their feedback faster.
During the launch, customers will have free samples to taste. All the fitness centers managers would receive the invitation since fitness centers are the primary target market for the product. Health practitioners would also have so much to benefit from the product by recommending it to their patients.
Another health benefit is that it can be used to boost the immune system. The carefully incorporated ingredients can help the people to improve their health. Concerns raised previously about health benefits would now be answered by V8 V-Fitness Fusion.
After the launch, there would be consistent marketing support programs. The distribution channel is supposed to remain the same as that of sister products, but more would go towards health centers and fitness centers. The product also has a better taste and comes into the market with a variety of flavors to suit everyone’s taste.
The sales department would send the sales team into the stores to be able to respond to customer queries. They would also provide promotional activities.
Customers who would buy five products and above could also benefit from one-day free fitness training in LA fitness center. The first ten clients that had a positive experience by using the product could benefit from company vouchers for shopping at any desirable supermarket store.
In order to reduce the cost of production, the company would use the same cans used for other V-8s but with a few adjustments to the color and the benefits list. The product would increase the potential for making more profit. The anticipation is that it would take two to three months for the product to reach its peak and start making profit.
It would be quite a short time since not so much would be set aside in terms of costs of production (Kotler & Keller, 2009).
The design and all the work employed give it a very high standing among other competitive products. It would be appealing and acceptable. The competitive advantage that other products have would increase because of the fitness product.
The organization would do its best to get all the legal requirements and be able to contact the competition authorities. Since the business has good relations with the authorities concerned due to meeting all previous parameters, there would be no problem in all the activities involved (Martínez & De Chernatony, 2002)
Brand extension is one of the best strategies a company can have. It enables the company to expand its operation and gain acceptability. It helps to recognize innovation and development for the long term. Majority of the products that have become famous in the modern world are as a result of brand extensions.
It has become the way to go in marketing. Very few have failed because of poor planning (Coderre & Lafrance, 1994). But the number of those that succeeded far outweighs the number of the failures.
Every business seeks to expand and make a niche in the market. Being innovative and employing enough resources in the research and development is the way to succeed.
References
Coderre, F., & Lafrance, S. (1994). The negative impact of brand extension. Sherbrooke: Faculté d’administration, Université de Sherbrooke.
Kotler, P., & Keller, K. (2009). Marketing management. Beijing: Qing hua da xue chu ban she.
Martínez, E., & De Chernatony, L. (2002). The effect of brand extension strategies upon brand image. Birmingham: Birmingham Business School.