Mona Sandal asks this necessary Question Assignment concerning the distinction between product line extension and model extension. For a lot of the advertising and marketing college students, these phrases are complicated. The completely different definitions within the textual content books makes it extra complicated. Curiously the definitions of PLEA and BE are completely different in two editions ( 11 & 12 ) of Jostler’s Advertising Administration textual content e-book.Within the eleventh version of Jostler’s Advertising Administration, Product line is outlined as a bunch of merchandise with In a product class which might be carefully elated as a result of they carry out related perform, are bought to the identical buyer teams, are marketed by means of the identical channels, or fall inside given value ranges.
Line extensions include Introducing further Objects In the identical product class underneath the identical model identify , comparable to new flavors, kinds, colour, added Components, bundle sizes and so on.For instance Lug cleaning soap comes In numerous variants like Lug Crystal Shine, Lug Worldwide and so on. So when Lug comes with a brand new variant, It Is a line extension.
Brand extension occurs when an organization makes use of Its current model identify to launch reduces in different classes. For instance, Woodlands which Is a shoe model extends Itself to readmes and equipment. This definition has sure ambulates as a result of the time period class will be Interpreted In numerous methods.For instance , when Lug model Is prolonged to Shampoos , Is It a product line extension or model extension ? The reply Is : If we take private care as a class, then the extension Is a product line extension since cleaning soap and shampoos belong to the identical class.
However If we take cleaning soap and shampoos as completely different classes, then the extension Is a model extension.
