Communicus - Advertising Research
The Line Extension Advertising Dilemma
Launching any new product is a challenge, but the dynamics of introducing a line extension to a well-established brand are in some ways even more complex. What consumers take away from line extension advertising is colored by what they already know about the base brand; this pre-existing belief set can cause both mis-communications about the line extension and potential deterioration of base brand values. Below, we examine several different advertising strategies that can be used to introduce line extensions, including potential strengths and pitfalls of each.

What is the best strategy for advertising a line extension?

Option 1: Utilize the base brand campaign
Incorporating the line extension into the existing brand campaign enables an advertiser to capitalize on pre-existing campaign equities. The tradeoff: with this strategy, there is a serious risk of failing to communicate either the identity of the line extension or its unique benefits. Across the Communicus database of line extension advertising, this strategy has the lowest chance of generating trial of the line extension because consumers tend to link a familiar campaign with the base brand and not the line extension.

Option 2: Execute a completely new campaign
In general, creating a completely new campaign for the line extension offers the strongest way to communicate and differentiate the new product's benefits. However, because base brand equities are not being exploited, new campaigns for line extensions are at a clear disadvantage in generating brand linkage, as is true with advertising for new campaigns and new brands in general.

Option 3: Develop a new creative approach, but build in key equities from the base brand campaign
The third option is a blended approach: employing specific brand equities from the base brand advertising, while creating a new campaign that focuses on the unique benefits of the line extension. When well-executed, this strategy has the ability to both capitalize on pre-existing equities and differentiate the distinct characteristics of the line extension. However, striking the right balance is critical, as our experience indicates that a significant risk of mis-associations with the base brand is also present for this type of campaign.

While general patterns can suggest the overall chances of success, averages cannot predict the outcome of a specific creative approach for any particular line extension launch. However, the most common failings in launch advertising for line extensions include:
  • Failure to generate engagement with a new campaign
  • Failure to make the identity and unique benefits of the line extension the focus of attention
    • Instead, selling the base brand and reinforcing base brand benefits, or
    • Wasting money on unbranded creative
  • Blurring or diminishing the base brand strengths through use of creative that:
    • Doesn't differentiate, or
    • Detracts from base brand equities

For more information view the Communicus white paper:
'Brands, Sub-brands, and Line Extensions... oh, What a Tangled Web We Weave!'

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