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Multi-dimension Benefits Lead to Brand Extension
The traditional view of marketing is that marketers used to succeed by providing superior products and other distinctive functional benefits. But today for such benefits can readily be imitated. Marketers must therefore find new ways of differentiating their products and services by identifying new customer benefits from the customer’s view. Basing on this background, some companies emphasize process benefits and relationship benefits or integrate them with functional benefits to reshape the three benefits combination to attract the consumers who value these new types of benefits as highly as functional ones. The basis for creating successful marketing strategies has expanded to three dimensions and consequently leads to brand extension.
This essay aims at make a brief discussion on these issues. Process benefits and relationship benefits are critically analyzed firstly. Then maximizing value creation by identifying new customer benefits from the customer’s cognitive space will be evaluated. Additionally, relevant brand differentiation and brand extension, the key to competitive advantage, will be assessed. In general, brand benefits deriving from adding dimensions to single functional benefits and resulting in strong brand ripple effect, are running through the whole article as a main clue.
Today’s marketplace is fundamentally different as a result of major societal forces that have resulted in many new consumer and company capabilities (Kotler and Kevin, 2009). Consumers now tend to pursuit more convenience, pleasantness in consumption process except for high quality products and service. Their needs and wants, also says the consumers value, have expanded and updated to multi-dimensions including process benefits which make transactions between buyers and sellers easier, quicker, cheaper, and more pleasant and relationship benefits which reward the willingness of consumers to identify themselves and to reveal
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