More Brand per Brand

I happen to read an interesting article in the ET today. It had a curious title “ More Brand per Brand”.

I think it is creating market the MARKET. While technically we can say its bundling offer, which works and working well in India. We are very lazy people and want everything in one place so in this prospect it works to offer the double-edged sword.

Simple examples of brands extending into adjacent categories make complex dynamics in the mind of the buyer. Yes flip side has to be there but in a huge MARKET like India there is always a passenger for each bus.

I think its perfect to extend the product offering, also one should understand that the other brand is selling because of the original brand image and the original brand image is getting re-branded with new customers coming for that "new" offer and buys the original product in return (actually its the other way).

However the core competencies should not be diluted as this is the reason other products are getting sold not because it’s getting diluted but the original brand value is pushing the "new" products in the market making more n new customers to get in.

Taking the Crossword example , 70% sale of books and 30% from the rest I think it is a Retail concept which is catching up and yet to stay. As mentioned earlier people "Love all when you have all" in the same place.

I could find another example of TATA car showrooms /dealers name any in any city we find there not only car but the Accessories for car so you more in the total bill and get more margin and we don't have to go a special car Accessories shop if we don't want to. Also we getting the TATA value added services via the dealers. There are other examples.

Ok let me give some local example from a small town like Ranchi. Renowned Tailors in Ranchi enjoys the customer satisfaction benefits and have Clientele which includes top ministers and businessmen. These Tailors not only make pants and shirts over the counter but keep Textile for sale. Ya it works sometime. Here you will not only get better service instead you could get the best service.