The document discusses brand extensions, which is using a well-known brand name in one category to launch a new product in a different category. It notes that traditional views see brands as just logos or marketing, but they are really about character. The document outlines the components, types, benefits and risks of brand extensions. It specifically asks how the Ma Chung brand could be extended to new product lines or services while communicating the parent brand identity. Suggestions include starting extensions gradually, building appropriate consumer perceptions of both the parent brand and extensions, and having one campaign management system if using Ma Chung as the parent brand.

1. BRAND EXTENSIONS:
Beyond Risk & Benefit
Presented on
Science Communication Forum at Li Zhen Dao

2. About Me
The young ​ protégé, Marketer & Business Scholar
www.ekak-hardianto.com

3. BRAND EXTENSION
What is Brand Extensions?
Brand is a misunderstood term
Most companies confuse between high name
awareness and patent registration with the real
benefits of loyalty and advocacy that come
from a strong brand
©2009

4. BRAND EXTENSION
What is Brand Extensions?
Traditional people mindset about
brand……
A nice visualization?
A good marketing communication?
A logo?
©2009

5. BRAND EXTENSION
What is Brand Extensions?
Traditional people mindset about
brand……
A brand is not just distinguishing name
and/or symbol intended to identify a
product or producer but also something
about CHARACTER
©2009

6. BRAND EXTENSION
What is Brand Extensions?
What is Brand Extensions?
Brand extension is using the leverage
of a well known brand name in one
category to launch a new product in a
different category
©2009

7. BRAND EXTENSION
Brand extension component
should be?
What is Brand Extensions?
It is a new product
It should use a well known brand
The brand should have leverage with customers of
the new category
©2009

8. BRAND EXTENSION
Type of Brand Extensions?
1.
2.
3.
Similar product in a different form
from the original parent product.
Distinctive
flavor/ingredient/component in the
new item
Benefit/attribute/feature owned.
Type Of Brand Extensions
4.
5.
6.
7.
Expertise
Companion
products
Vertical extensions
Designer
image/status
©2009

9. BRAND EXTENSION
Benefit
Risk & Benefit
1. Brand extensions can be successful if the position of the parent
brand is strong enough in the consumer’s perception
2. Enable a company to enter new categories at significantly lower
cost
3. Create a positive synergistic effect with the efficiencies of
umbrella branding and advertising
4. Reinforce the consumers’ perceptions of the parent brand name
5. Bring news to existing brands when there is otherwise nothing
new to say about them
©2009

10. BRAND EXTENSION
Risk
Risk & Benefit
1.
2.
3.
4.
5.
the high cost of requisite
require different promotional costs
confuse consumers if the slim difference
There can be real damage to the parent brand, if a brand
extension is so off target or lacks fit and or leverage
Lost of valuable quality
©2009

11. BRAND EXTENSION
So, How about Ma Chung
Brand?
1. is necessary use Ma Chung matter?(Mac or ”M”) in
some of product or service line(event/activities/community)
2. How the role of PR/marketer in communicating the
parent brand and individual brand?
case
©2009

12. BRAND EXTENSION
©2009

13. BRAND EXTENSION
©2009

14. BRAND EXTENSION
Universitas Ma Chung
Technopreneur Brainstorm
NH
N
N
HN
Ma Chung Research Center
for Photosynthetic Pigments
Ma Chung Research center for
photosynthetic
Ma Chung Open Source
Ma Chung Technopreneur Days
AND MORE

15. BRAND EXTENSION
What is Brand Extensions?
Alternative suggestion
Type Of Brand Extensions
Risk & Benefit
1. Starting gradually
2. Build the appropriate consumer perceptions of parent brand and
case
its extensions
3. Assessing the presence of brand extensions on parent brand
4. Continue to build both of parent brand and brand extension)
5. Build one gate campaign management system (if consider using
Ma Chung parent brand)
©2009

16. BRAND EXTENSION
THANK YOU
@2009