Famous brands operating in the Houte Couture and ready-to-wear sector started to operate in different sectors or expand their product range by using their brand awareness. This is called the 'Brand Stretching Strategy'. It can be done as a category expansion, such as expanding the product range by introducing different variants of a popular product of the brand, or entering a different industry or sub-branding using the brand's awareness.
According to a study published in the Harvard Business Review, the cost of successfully launching a new brand in the United States; 6 times more than it costs to launch new products with an existing brand's yawning strategy. For this reason, brand stretching strategy is a strategy applied by world-famous fashion brands to grow the brand and go global. Expands the Ralph Lauren brand and establishes the Polo brand; The way Louis Vuitton progressed from luggage making to bags and from there to ready-to-wear is one of the brand stretching strategies seen in history. Today, among the brands that implement the brand stretching strategy, there are brands such as Gucci, Giorgio Armani, Christian Dior, Adidas, and Crocs. For example, Gucci implemented a brand stretching strategy under the creative directorship of Alessandro Michele and launched the Gucci patterned home products, which were very popular at the time, under the name Gucci Decor. Opening a restaurant called Gucci Osteria in the same period, the brand managed to appeal to the five senses of Gucci lovers. Looking at all these examples, it can be said that the 'Brand Extension Strategy' is one of the strategies that brings high success when successfully implemented in the fashion industry.
Reference:
https://vogue.com.tr/moda/moda-markalarının-esnetme-stratejisi
