Brand Extensions – Cascade & Electrasol Spring 2011 Session ✓ Solved

BRAND EXTENSIONS – CASCADE & ELECTRASOL Spring 2011 Session

The purpose of this report is to compare two competing brands that do not have other brand extensions. For this report, Cascade and Electrasol are the chosen competing brands. This report contains findings and analysis from a consumer poll regarding the brand value and other products customers would purchase.

10 consumers were polled regarding Cascade and Electrasol dishwasher soap. All of the results can be found in the Appendix. 9 of the 10 consumers that were polled used Cascade versus Electrasol which is in line with the market share. However, the brand selected was not as important as the possible product extensions that customers would like to see developed and to see if the brand name would be relevant to the purchase of these product extensions. The majority of those polled listed dishwashing liquid soap and laundry detergent as their choice of other products made under either the Cascade or Electrasol brand name. Also popular were multi-purpose cleaner and window cleaner. With the success of each brand in the dishwasher detergent category, these brand extensions make sense.

The majority of those polled also indicated that they believe the same quality of the new products would exist as with the original dishwasher detergent product and they would recommend the product to friends and family.

All of the product extension suggestions remained in the household cleanser category. Both Cascade and Electrasol have built good brand value and recognition in offering a high-quality product that cleans and sanitizes dishes in the dishwasher. With this kind of brand recognition, it makes sense that loyal customers would also purchase other products made by the same brand. Consumers that were polled seem to believe that other kitchen cleaners should be developed, and if developed, they would purchase them because of the brand name.

There were only two product extensions mentioned that were outside the kitchen but still in the cleaner category. Those were grill cleaner and bathroom cleaner. So the question is why hasn’t Cascade or Electrasol made any other products other than a dishwasher detergent? Taking a closer look at all of the brands offered by each parent brand may help answer this question. Procter and Gamble distributes Cascade and Reckitt Benckiser distributes Electrasol.

Both parent brands offer many other household products, especially in the cleanser category. Since Cascade was the most popular, Procter and Gamble’s individual brands will be analyzed. The majority of those polled stated that they would like to see a dishwashing liquid soap or laundry detergent made under the Cascade brand. However, Procter and Gamble already distributes those types of products; Dawn and Joy dishwashing soaps and Tide, Bold, Ariel, Cheer, Dreft, Era, and Gain laundry detergents are examples. Almost all of Procter and Gamble’s brand extensions are individual brands – brands that only offer one product or a version of the product.

For example, Tide is offered in various scents, consistencies, and package sizes but they are all still laundry detergents. Positioning Cascade as a family brand would be contrary to their current business model. Another disadvantage of producing a product extension is sales cannibalization between the brands already in those categories.

The possible brand extensions that would be the most successful, in my opinion, would be a product for cleaning and sanitizing dishwashers and a specialty brand for cleaning outdoor grills. Currently, Procter and Gamble does not have any other brands for these two products, eliminating the effects of cannibalizing sales. The dishwasher cleanser and sanitizer would tie closely to the existing product, and customers would believe that this product would be as good as the original. The grill cleaner may be more of a stretch for the brand, but if positioned as part of a trusted brand family like Cascade, customers would make the connection because both are cleaning products.

Paper For Above Instructions

Brand extensions play a crucial role in shaping consumer perception and influencing purchasing decisions. In the case of Cascade and Electrasol, both brands occupy significant space in the dishwasher detergent market, but they have yet to capitalize on consumer interest in expanding their product lines. The insights derived from the consumer poll conducted reveal several key points regarding potential brand extensions and consumer expectations that can be leveraged for strategic brand growth.

The data from the consumer poll indicates that while Cascade leads in current market usage, there is a clear appetite among consumers for additional products under both brand names. Specifically, the desire for dishwashing liquid soap and laundry detergent reflects an established trust in the Cascade brand's quality, suggesting that extensions in these categories could be well-received. Additionally, products like multi-purpose cleaners and window cleaners could fit seamlessly into the lifestyle of current customers who appreciate the efficiency and reliability of Cascade and Electrasol products.

The analysis further reveals that most consumers believe the quality of brand extensions would maintain the same high standards associated with the original products. This is a vital insight that highlights the importance of leveraging existing brand equity when introducing new products. The correlation between quality perception and brand loyalty underpins the rationale for developing extensions that align closely with the core offerings.

In considering potential extensions, it is essential to recognize the existing product portfolio of Procter and Gamble and Reckitt Benckiser. For Cascade, Procter and Gamble has already invested heavily in personalizing its product offerings within individual brands, such as Tide and Dawn. This strategy creates a challenge for Cascade as it seeks to diversify its product line without conflicting with established products that may cannibalize sales.

However, by focusing on product extensions that do not directly compete with existing offerings, Cascade could successfully launch cleaners specifically designed for dishwashers and outdoor grills, which currently lack representation in Procter and Gamble's product lineup. This approach avoids the pitfalls of brand cannibalization while fulfilling consumer demands based on the poll results. Furthermore, tapping into the specialty cleaning market with these additions could reinforce Cascade’s image as a trusted quality brand.

Strategically, it would also be prudent for Cascade to think about integration and cross-promotion opportunities between its products. For instance, offering bundle deals that include dishwasher detergent alongside a newly introduced dishwasher cleanser could incentivize purchases and strengthen brand loyalty. Clear and effective marketing communication will be vital in establishing a connection between the existing cascade of dishwashing products and any new entrants into the market.

On the other hand, Electrasol must equally assess the landscape regarding potential brand extensions. The results of the consumer poll provide relevant insights that Electrasol can utilize to carve a niche for itself in the market. The popularity of Electrasol among certain consumer segments suggests that there may be room for complementary cleaning products under its branding. As consumers have expressed interest in additional products such as kitchen cleaners, extending the Electrasol brand into complementary cleaning categories may fulfill an existing gap.

Notably, consumer perceptions of Electrasol may allow it to explore extensions into the bathroom cleaner segment, where convenience and quality can drive purchase decisions. Engaging with consumers through targeted surveys and focus groups can refine understanding of their needs and preferences, ensuring that any product extensions align with market expectations.

Overall, the brand extension potential for both Cascade and Electrasol is significant. They have robust market foundations and consumer goodwill, which can be turned into tangible product offerings that reflect the desires expressed in the consumer poll. By leveraging brand reputation, focusing on quality, and avoiding cannibalization with strategically selected product lines, both brands can enhance their competitive positions in the market.

References

• Procter and Gamble. (n.d.). Retrieved from Procter and Gamble website.
• Reckitt Benckiser Group. (n.d.). Retrieved from Reckitt Benckiser website.
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