Alcohol (6): Brand Stretch

Question 1

What is brand stretching?

Answer 1

Strategy where liquor companies extend their brand to non-alcoholic products to:
1. Increase visibility
2. Bypass advertising restrictions

Question 2

Why do companies want young people, who are not of age, to be able to recognize their brand? What’s an example?

Answer 2

When they do turn of age, they will reach for familiar brands that they already know.
Guinness sold chips to children, which didn’t break any codes.

Question 3

What are the two means of achieving brand stretching?

Answer 3

1. Line extensions (e.g. low-calorie Budlight)
2. Category extensions (e.g. Yamaha providing music and motorcycles)

Question 4

What are some historical and modern trends of branding?

Answer 4

Post WWII: Alcohol brands embedded in society.
Modern: Focus on SNS, PPL, and sponsorships.

Question 5

What are two marketing techniques that liquor brands use?

Answer 5

1. Alcohol Branded Merch (clothes)
2. Alcohol-Flavoured Foods: (ex: Jim Beam chips)

Question 6

What are some pros and cons of brand stretching?

Answer 6

Pros: Consumer awareness, revenue streams
Cons: Erode core brand’s image

Question 7

What’s an example of brand stretching?

Answer 7

India’s alcohol bans created Kingfisher Airlines and Bacardi CDs.