BRAND EXTENSION
What is it: Brand extension is when a company had positive results with a brand they previously used, and wants to extend that same brand name to other products such as clothing, home décor, and/ or jewelry. Extending brands allows for variation and higher interest; being that it develops a new growth from a popular selling brand name customers had great experience with. This type of method is vital in the retail industry, keeping designers and customers up with the new and improved. Allowing a brand to extend it's name past their strength is smart, for the simple fact that customers will trust the quality and assurance of the product.
The wait for brand extensions is basically short, being that the brand has been introduced previously before it was extended. The importance of this in retailing it that it keeps interest in the industry and trust within the customers. The motive of this strategy is to gain a larger profit by expanding its customer variety. For example, only having women's apparel will be a good profit. However, extending the brand into children's wear will be very great, especially for days like mommy and me.