Will Extension Strengthen La Casera?

One of the advantages of brand extension is that the new product benefits instantly from the name recognition, distribution, and built-in product appeal of the mother brand. The recently introduced La Casera extensions, Spanish Pear and Classic Cocktail, started making noticeable shelf presence in the Nigerian nonalcoholic beverage market even before their official launch. Ralph Tathagata takes a look at the promises of the new entrants and asks if they will increase or reduce the market share of La Casera Apple.

It is like a badge of honour, wearing one’s family name. A known brand name can also stand for an established set of values and lend new products more credibility.

In different markets, it is very common for brand owners to use existing names of their successful brands as umbrella brands because powerful names and heritage are considered important in marketing and marketing communications.

But branding is a complex and dynamic business. One company can have brand systems and tactics which can be a combination of family brands, corporate brands, independent brands and extensions. Whichever route or combination of routes a company chooses, more often than not, depends on factors unique to the brand and the business environment.

Introduction of La Casera Apple

La Casera Apple claims to be the first carbonated soft drink in apple flavour introduced in a pet bottle into the Nigerian nonalcoholic beverage market. Since its introduction, the brand has conquered market territories, carving a remarkable niche for itself in the process.

It seems glaring that as a result of the marked market triumph, Classic Beverages Nigeria, makers of the popular drink, decided to leverage on the heritage and success of their flagship brand.

Introduction of the New Variants

La Casera Classic Cocktail and La Casera Spanish Pear were recently ushered in into the nonalcoholic beverage market under the market influence of their mother brand, La Casera, the frontline Apple drink in Nigeria. In addition, Cocktail and Pear were employed as descriptors to distinguish the new variants.

Gopakomar Aniyan, general manager, sales, Classic Beverages Nigeria, had at the official launch of the new products said the decision to introduce additional flavours was informed by the huge patronage and loyalty the company had enjoyed from consumers of the mother brand.

He noted that such a huge market project was embarked upon to reciprocate and show appreciation to consumers and give them a wider range of La Casera variants to choose from. He also claimed the new entrants are aimed at giving consumers value for their money.

But some market watchers observe that consumers/customers buy brands because they stand for a certain set of values and not because of the heritage of their mother brands.

USP of the New Variants

As part of the products’ Unique Selling Proposition (USP), Raspberry, Red Grape and even Apple were flaunted as the unique offerings instilled in the Classic flavour, reminding consumers of the popular Nigerian cocktail Chapman, while Spanish Pear was also presented as a real fruit based flavour that can only come from La Casera.

Marketing Strategy

According to Aniyan, one of the marketing strategies of the company for the new flavours would be to achieve a target of 80 per cent distribution level in no time, coupled with mass media support.

Can the Extension Strengthen La Casera Brand?

Industry experts keep asking incisive questions like: “Will the brand system deployed by Classic Beverages create confusion amongst loyalists of the mother brand (La Casera Apple)? Does the present branding scheme pose any limitations on the future market growth and opportunities of the said brand? Will the siblings or sub-brands lead to cannibalization? Will the extensions strengthen the mother brand and/or company name?

M2 presented these concerns to Aniyan. His response that these are not issues he would like to discuss on the telephone seems to be a calculated attempt to end the discussion as other efforts made to reach him proved abortive.

On the same hand, Julius Agenmonmen, CEO, BrandLife and one of the custodians of the La Casera brands was requested to respond to some of the issues but he said that he was on his way to the airport and could thereafter not be reached as at press time.

If these questions were raised by the brand owners and adequately addressed before embarking on La Casera Apple extensions, chances are that they will definitely get it right.

The critical difference between a known brand and its extension(s) is that the latter never stands on its own as it has the name of an established brand to lean on. However, if not done well, or if it was a bad brand extension, the new product(s) not only does poorly but hinders the market progress of the existing brand as well.