A Hard Rating for Solo’s brand extension?
Establishing a new brand is hard work. In categories where people already have a repertoire of brands they happily and easily buy from, these new brands start from zero for the fight for attention in category buyers’ minds, let alone for precious shelf space in retailers.
But what if a brand isn’t exactly new? What does this mean for likely success? Dr. Kirsten Victory and Dr. Will Caruso, senior marketing scientists at the Ehrenberg-Bass Institute for Marketing Science, explain.
Hard Solo made its debut in the middle of 2023, introducing a new product that retained the familiar Solo taste but with an added twist – alcohol. Unlike brands that simply borrow elements of their identity to enter a new category, Hard Solo made a bold entrance, sparking controversy from the start. The instant familiarity of almost exactly the same elements on the packaging allowed the brand to be noticed and recognised on the shelf.
Research from the Ehrenberg-Bass Institute finds around one in four new products fail to last even a year after launch. However, another Institute study suggests that consumers who buy a brand in one category are slightly more likely to buy the same brand in a second category. This makes it unsurprising that brands like Solo might look to repurpose such an established brand name and distinct brand identity in a new and growing category.
Many of us would have had or at least seen Solo soft drinks at some point in our lives. Although it might have fallen out of your repertoire (or maybe not), the brand probably still has some of its memories floating around in your head. These might include what Solo tasted like, when it was good to drink, or even what the Solo brand looked like.
Solo is certainly not the first brand to extend their brand name into a new category. Extensions are widespread and are often used in the hope of tapping into the brand’s existing customer base and assets to provide an extra boost in trial straight after launch. This might give the brand a head start, but in itself it does not guarantee success. The product still has to leave consumers content with their purchase.
