Stretch don't jump
Although Colgate’s attempt at brand extension crashed and burned, this doesn’t mean manufacturers should be afraid to “stretch” their category, says Jago.
UK cereal manufacturer Weetabix expanded into cereal bars, which worked well, and then decided to move into drinks. It worked because they stayed very close to the breakfast occasion – a Weetabix milk and cereal drink for an on-the-go morning meal.
“A cereal milk drink may seem quite radical and unusual for the consumer but it worked." It was a product for the same time of day with the same basic ingredients, just in a different format.”
The food and drink consumer in any market is quite conservative and even young millennials, who are seen as more adventurous, still stay relatively close to their comfort zone. Try a new flavour combined with a well-known one, or a similar product in a new format, he says.
“You can stretch things a bit but not too far.”