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賦能網(wǎng) 2023-06-05 115

To: Mario Cumino (Caferoma’s Managing Director) From: Jane Fang (Member of PEFD’s European marketing team)Date: Dec 21,2005Subject: Stretching the brandAs you know, in the last two years, Caferoma’s share of the European quality ground coffee market has declined by almost 25%. There are several reasons for this. The great problem of the decrease in my view is that the “Brand image”. Caferoma was the brand to focus on being an Italian-style coffee. Caferoma just sell only coffee albeit high quality coffee, at outrageously high prices served in an excitement and enthusiasm feeling. It has been a fantastic recipe for success. But in recent years too many “copycat” producer duplicated from our products. So I propose to hold a meeting to talk about the “Stretching the brand” on this Thursday.I suggest that we can roll out a plan to expand our coffee bean into coffee equipments. To preventing a line extension often undermines what the brand stands for, we must strictly select manufacturers of coffee equipment to use our brand on their goods. Caferoma needs to give birth to some beautiful and profitable offspring, the brand extension has the potential to create explosive growth for our business. When done successfully, brand stretching can have several advantages:? Distributors may perceive there is less risk with a new product if it carries a familiar brand name. If a new product carries the Caferoma brand, it is likely customers will buy it.? Customers will associate the quality of the established brand name with the new product. They will be more likely to trust the new product.? The new product will attract quicker customer awareness and willingness to trial or sample the new product. ? Promotional launch costs (particularly advertising) are likely to be substantially lower. We can discuss the details on Thursday’s meeting; it will be grateful if you can join us to have this meeting.

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