You’ve already mapped out your process, and it’s working well. You know that your Komax CO2 injector is making beautiful soft drinks customers can enjoy. You know your tank heater is functioning perfectly so your yogurt tubes have the market edge. No matter what the product is you’re manufacturing, now you’re ready to take one big step forward and extend your line. Are you ready? This guide might be able to help you do it.
Why Line Extension?
Once consumers are aware of your brand, the power to expand your product line is immeasurable. The goal is to introduce new products that are related to, but slightly different from, your current product line. For small food-based businesses, that means the ability to sell more to current customers without a big new marketing campaign. For example, if you currently offer a type of soft drink, you might add a new flavor to your line. The equipment is in place. The brand recognition is in place. Extending it successfully is just a matter of time at that point.
Start by looking at trends and changes within customer preferences. That should spark a few ideas. Remember that you want to stick with something you’re already ready to handle. In the case of the fictional soft drink company above, you might look at a healthier option for customers who love your drink, but not the calorie content. The idea here is that you already have a brand built around an idea. A line extension isn’t much of a leap for your customers. It’s not a big leap for you either because you can use all of your existing equipment. This research will help you prevent any potential pitfalls with your new line extension. Making certain they want and need that new yogurt flavor or carbonated beverage means no company resources will be wasted and you won’t cannibalize your current sales.
Should you discover it’s a bigger success than you thought, you’re not only going to have a beefier bottom line, but you might also discover yet another twist you never thought your company might achieve!