Question

Jake developed a toothpaste using only natural ingredients, and he has been quite successful selling the product in health food stores and some grocery stores. He has recently developed a toothbrush using bamboo and natural components. Jake is considering a __________, giving the toothbrush the same brand name as the toothpaste in order to create greater brand awareness.

Answer 1

Answer:

Brand extension.

Explanation:

The exercise presents us Jake, who has developed a toothpaste using only natural ingredients, and he has been quite successful selling the product in health food stores and some grocery stores. Let's say the brand's name for toothpaste is Jakey's magic toothpaste. Now he has developed a toothbrush using bamboo and other natural components. If he wants to give the toothbrush the brand name as the toothpaste, in order to create greater brand awareness, he is then considering a brand extension, which is the use of an already established brand name for a new product or a new product category. For example, when Microsoft developed Windows, and later developed computers or other products, they extended their brand to sell them under the same name.