Misplaced Pages

#872127

39-562: In 1993, Canadian-American entrepreneur Richard Simtob and his friend Tyrone Pereira were researching business ideas, when they stumbled upon an article in Entrepreneur magazine discussing audiobooks, then an emerging market. The two decided to enter the market, founding Talking Book World on August 19, 1993, and opening the chain's first store, in West Bloomfield, Michigan , that October. Franchised locations began to open in 1995, allowing

78-424: A backlist of over 200 titles on business and entrepreneurship. In April 2017, Reid Hoffman announced the launch of a new podcast called " Masters of Scale ", with Entrepreneur magazine as its media partner. In each episode, Reid acts as the host, introducing a counterintuitive business theory and proving it out through the episode through a series of conversations with successful entrepreneurs. Masters of Scale

117-525: A blog managed by a dedicated online staff. It is also published in digital editions through its mobile apps . In 1999, the website YoungEntrepreneur.com was created as a spin-off of Entrepreneur.com. It is an online forum for young entrepreneurs. In 2010, Entrepreneur launched the website SecondAct.com , which is targeted at an older audience. When launched, the site used advertising as its sole source of revenue. Entrepreneur also publishes books through its Entrepreneur Press division. The company has

156-434: A lack of similarity and familiarity and inconsistent IMC messages. "Equity of an integrated oriented brand can be diluted significantly from both functional and non-functional attributes-base variables", which means dilution does occur across the brand extension to the parent brand. These failures of extension make consumers create a negative or new association relate to parent brand even brand family or to disturb and confuse

195-554: A larger share in the market in which it competes. Brand extension research mainly focuses on consumer evaluation of extension and attitude toward the parent brand. In their 1990 model, Aaker and Keller provide a sufficient depth and breadth proposition to examine consumer behaviour and a conceptual framework. The authors use three dimensions to measure the fit of extension. First, the "Complement" refers to consumers taking two product classes (extension and parent brand product) as complementary in satisfying their specific needs. Secondly,

234-402: A new brand but sales of the original flavour also decreased. Coca-Cola had to make considerable efforts to regain customers who had turned to Pepsi cola. Although there are few works about the failure of extensions, literature provides sufficient in-depth research into this issue. Studies also suggest that brand extension is a risky strategy to increase sales or brand equity. It should consider

273-576: A notice stating that the company had discontinued operations in the United States. The notice directed customers to the Audio To Go website for online rentals, and to a separate website for the Canadian division. A different entity, Talking Book World Investments, Inc., was created in 2007, and relaunched the U.S. website at a different address in 2008. There are limited sources detailing the ultimate fate of

312-488: A record label that has extended its brand successfully many times; from transportation (aeroplanes, trains) to games stores and video stores such as Virgin Megastores . Product extensions are versions of the same parent product that serve a segment of the target market and increase the variety of an offering. An example of a product extension is Coke vs. Diet Coke in the same product category of soft drinks . This tactic

351-459: A similar consumer function of comfort and hominess. Arm & Hammer leveraged its brand equity from basic baking soda into the oral care and laundry care categories. By emphasizing its key attributes, the cleaning and deodorizing properties of its core product, Arm & Hammer was able to leverage those attributes into new categories with success. Another example is Virgin Group , which was initially

390-457: Is a marketing strategy in which a firm marketing a product with a well-developed image uses the same brand name in a different product category. The new product is called a spin-off . Organizations use this strategy to increase and leverage brand equity (definition: the net worth and long-term sustainability just from the renowned name). An example of a brand extension is Jello -gelatin creating Jello pudding pops. It increases awareness of

429-444: Is a licensed brand extension. In this scenario, the brand-owner works with a partner (sometimes a competitor), who takes on the responsibility of manufacturing and sales of the new products, paying a royalty every time a product is sold. Brand extension can also be done through marketing strategies such as guerrilla marketing , where brands can promote their goods or services through unconventional means such as emotional connections to

SECTION 10

#1732883673873

468-472: Is a useful indication to evaluate consumer evaluation of brand extension . Throughout the categorisation theory and associative network theory , a consumer has the ability to process information into useful knowledge for them. They would measure and compare the difference between core brand and extension product through quality of core brand, fit in category, former experience and knowledge, and difficulty of making. Consequently, in this article, we may conclude

507-533: Is an American magazine and website that carries news stories about entrepreneurship , small business management, and business . First published in 1977. it is published by Entrepreneur Media Inc ., headquartered in Irvine, California . The magazine publishes 10 issues annually, available through subscription and on newsstands. It has been published under license internationally in Mexico , Russia , India , Hungary ,

546-655: Is committed to a 50-50 gender balance. The official podcast launched on 5 May 2017, and was featured on the Entrepreneur Magazine website, but it is now exclusively hosted at mastersofscale.com. Episodes so far feature guests such as Mark Zuckerberg , Brian Chesky , Sheryl Sandberg , Stewart Butterfield , Diane Greene , John Elkann , and Nancy Lublin . In 2006, unusual web traffic measurements led to allegations that Entrepreneur.com used pop-ups to artificially boost its number of readers. The company has been involved in many lawsuits regarding its trademark on

585-559: Is highly effective for brands Researchers tend to use "categorization theory" as their fundamental theory to explore the effects of brand extension. When consumers are faced with thousands of products to choose amongst, they are not only initially confused, but try to categorise by brand association or image given their knowledge and previous experience. A consumer can judge or evaluate the extension product with his or her category memory. Consumers categorise new information into specific brand or product class label and store it. This process

624-438: Is limited and the findings are revealed as incongruent. The early works of Aaker and Keller (1990) find no significant evidence that brand name can be diluted by unsuccessful brand extensions. Conversely, Loken and Roedder-John (1993) indicate that dilution effect do occur when the extension across inconsistency of product category and brand beliefs. The failure of extension may come from difficulty of connecting with parent brand,

663-467: Is not only related to consumer's experience and knowledge, but also involvement and choice of brand. If the brand association is highly related to extension, consumer can perceive the fit among brand extension. Some studies suggest that consumer may ignore or overcome the dissonance from extension i.e. perceived misfit with parent brand is ignored, and does not cause dilution of parent's brand equity. Literature related to negative effect of brand extension

702-403: Is undertaken due to the brand loyalty and brand awareness associated with an existing product. Consumers are more likely to buy a new product that has a reputable brand name on it than buy a similar product from a competitor without a reputable brand name. Consumers receive a product from a brand they trust, and the company offering the product can increase its product portfolio and potentially gain

741-547: The Philippines , South Africa , and others. Its editor-in-chief is Jason Feifer and its owner is Peter Shea. Since 1979, Entrepreneur has annually published a list of its top 500 franchise companies. The magazine also published many other lists and awards, one of the most prominent being the Entrepreneur 360 formed to identify businesses mastering the art and science of growing a business. Companies are evaluated based on

780-400: The "Substitute" indicates two products have the same user situation and satisfy the same needs, which means the product classes are very similar and that the products can act to replace each other. Lastly, the "Transfer" describes the relationship between extension product and manufacturer which "reflects the perceived ability of any firm operating in the first product class to make a product in

819-405: The analysis of 50-plus data points organized into five pillars; Revenue and Customers, Management Efficiency, Innovation, Financial Evaluation, and Business Valuation. In 1996, the magazine launched its website, Entrepreneur.com, which expanded to include features, contests, and other publications and spin-offs . It is recognised as one of America's leading business publications, competing with

SECTION 20

#1732883673873

858-566: The attributes and feelings about parent brand, however their study does show that "brand extension dilutes the brand image, changing the beliefs and association in consumers' mind". The flagship product is a money-spinner to a firm. Marketers spend time and money to maximise exposure and awareness of the product. In theory, a flagship product has the top sales and highest awareness in its product category. In spite of Aaker and Keller's (1990) research, which reports that prestigious brands are not harmed from failure of extensions, some evidence shows that

897-427: The brand by tackling social problems/dilemmas. These emotional connections are generally done through social experiments where brands express their concern and offer small solutions thereby making the brand standout and seem righteous. Guerilla marketing is a very effective way of connecting with the target market and reaching out to different markets, this extension into the vast demographic while creating brand awareness

936-442: The brand name and increases profitability from offerings in more than one product category. In the 1990s, 81 percent of new products used brand extension to introduce new brands and to create sales. Launching a new product is time-consuming but also needs a big budget to create brand awareness and to promote a product's benefits. Brand extension is one of the new product development strategies which can reduce financial risk by using

975-602: The chain to begin national and international expansion, starting with stores in California and Ontario . By 1999, the chain had 33 locations, of which 16 were franchised. That year, the company was named by Inc. as one of the fastest-growing private companies in the United States. The chain sought to establish 100 locations by 2000, and 1000 by 2005. Its growth was aided by the closure of its largest national competitor, Austin -based Earful of Books, in April 2002. Simtob resigned from

1014-448: The company in June 2001. He then joined cellphone retailer Wireless Toyz as an executive, among other franchising ventures. Through the mid-2000s, many of the chain's stores closed, while some franchised locations left the chain and became independent retailers. The company's mail-order rental business was rebranded as Audio To Go in April 2003. In 2007, the chain's website was replaced with

1053-427: The company's sales came from rentals. In a manner similar to Netflix , the chain offered a subscription-based model, in which a member paid a monthly charge for unlimited rentals. Basic plans allowed subscribers to borrow one title at a time, with no set due dates or late fees, while upgraded tiers permitted up to six titles to be borrowed at once. The chain offered rentals in its brick-and-mortar stores and by mail, with

1092-515: The company. By 2008, only two Talking Book World locations remained in the United States, both in Metro Detroit . The U.S. retail chain's website went offline in 2010, as did the Audio To Go website in 2013. The Canadian retail chain continued to operate in Toronto through October 2014, when its website also went offline. While Talking Book World's stores offered audiobooks for purchase, the majority of

1131-421: The damage of parent brand no matter what types of extension are used. Brand equity is defined as the main concern in brand management and IMC campaign. Every marketer should pursue the long term equity and pay attention to every strategy in detail. Because a small message dissonance would cause great failure of brand extension. On the other hand, consumer has his psychology process in mind. The moderating variable

1170-410: The dilution effect has great and instant damage to the flagship product and brand family. Still, some studies suggest that even though overall parent belief is diluted; the flagship product would not be harmed. In addition, brand extension also "diminish[es] consumer's feelings and beliefs about brand name." To establish a strong brand, it is necessary to build up a "brand ladder". Marketers may follow

1209-583: The failures of brand extension are at higher rate than the successes. Some studies show that negative impact may dilute brand image and equity. In spite of the positive impact of brand extension, negative association and wrong communication strategy do harm to the parent brand even brand family. A brand's "extendibility" depends on how strong consumer's associations are to the brand's values and goals. Ralph Lauren 's Polo brand successfully extended from clothing to home furnishings such as bedding and towels. Both clothing and bedding are made of linen and fulfill

Talking Book World - Misplaced Pages Continue

1248-423: The following points about consumer evaluation of brand extension: A successful brand message strategy relies on a congruent communication and a clear brand image . The negative impact of brand extension would cause a great damage to parent brand and brand family. From a manager and marketer's perspective, an operation of branding should maintain brand messages and associations within a consistency and continuum in

1287-430: The latter business later known as Audio To Go. Talking Book World's business model was cited in patent litigation between Blockbuster and Netflix in 2007. In addition to retail sales, Talking Book World also supplied libraries with its audiobooks. The company also served corporate libraries, with claimed clients including Comerica , Xerox , and DaimlerChrysler . Entrepreneur (magazine) Entrepreneur

1326-540: The likes of Forbes Magazine , Fortune , and Fast Company . The Franchise 500 is an annual list compiled and published by Entrepreneur that ranks 500 of the most prominent American franchising companies through a submission and review process. The Franchise 500 first began in 1979 and has been published every year since. Entrepreneur publishes the Entrepreneur StartUps magazine, available through subscription and on newsstands. The magazine publishes

1365-419: The order and model created by Aaker and Keller who are authorities on brand management, but branding does not always follow a rational line. One mistake can damage all brand equity. A classic extension failure example would be Coca-Cola launching " New Coke " in 1985. Although it was initially accepted, a backlash against "New Coke" soon emerged among consumers. Not only did Coca-Cola not succeed in developing

1404-470: The original brand identity and meaning. In addition, Martinez and de Chernatony (2004) classify the brand image in two types: the general brand image and the product brand image. They suggest that if the brand name is strong enough as Nike or Sony , the negative impact has no specific damage on general brand image and "the dilution effect is greater on product brand image than on general brand image". Consequently, consumers may maintain their belief about

1443-473: The parent brand name to enhance consumers' perception due to the core brand equity. While there can be significant benefits in brand extension strategies, there can also be significant risks, resulting in a diluted or severely damaged brand image. Poor choices for brand extension may dilute and deteriorate the core brand and damage the brand equity. Most of the literature focuses on the consumer evaluation and positive impact on parent brand. In practical cases,

1482-652: The second class" The first two measures focus on the consumer's demand and the last one focuses on the firm's perceived ability. From the line extension to brand extension, however, there are many different types of extension such as "brand alliance", co-branding or "brand franchise extension". Tauber (1988) suggests seven strategies to identify extension cases such as product with parent brand's benefit, same product with different price or quality, etc. In his suggestion, it can be classified into two category of extension; extension of product-related association and non-product related association. Another form of brand extension

1521-451: The word entrepreneur , suing a wide variety of entities for using the word. The trademark has generally attracted criticism for being on a commonly used word for which there is no substitute, and the aggressiveness with which it is applied has been noted as somewhat ironic; Business Week asked, "Why would the publisher of Entrepreneur magazine be bullying entrepreneurs?" Spin-off product Brand extension or brand stretching

#872127