4°) On what basis should the branding decision be made? Would market research be useful? Would it help to talk to consumers?
The main aim of a brand is to create a differentiation in consumers mind. A line extension means advantages and risks. On the one hand, an old brand enjoys celebrity beside consumers and distributors, and an extension provides evolution and new occasions to be closer to potential clients. On the other hand, it could kill the brand if the product is too far from the original corporate image.
The strategic decision has to be taken with a good evaluation of the brand “Diesel”.
° Basis of the decision
Today Diesel is placed as a denim and casual wear, and has a wide range of products, from Kids Division to StyleLab, and we have to notice that each branch contains words or letters from “Diesel”.
After many years in the fashion industry, Diesel well installed his name and his spirit in people’s mind, thanks to original advertising campaign, non-media communication and Internet.
To introduce StyleLab, we need to wonder who are going to be targeted by this extension. Are they already clients of Diesel? Are they sensitive to Diesel current communication?
Secondly, it is important to link Diesel’s image and StyleLab. Does the name, the spirit, the price and the design fit with the firm Diesel?
In order to extend up market line, we have to consider the image of the whole brand Diesel, first for customers, then for prospects.
° Purpose of a market survey
Market research should be very useful, especially qualitative survey, in order to better control the perception of Diesel, and finally to estimate the future market.
This study could be organized by group meeting, with different work b ...