We’ve noticed a few trends recently. Leaders with brands are abandoning these largely successful, recognized, and valued cash cows for newer, shinier toys. First, brand extension or new concepts are vital to organizational growth; don’t leave the boardroom without said strategy. However, many managers are abandoning these brands not because they lack value or growth; these brands are ignored because leadership is not certain how to revitalize them toward higher heights. Instead of innovating new models to address the marketing conditions, they run to new offerings for customers, geographies and channels.
To avoid any misunderstanding – we are advocates of a sound strategy, which employs innovative offerings for new customers in different channels via global distribution. We are not, however, fans of running from opportunity because it makes management uncomfortable and stretches everyone’s skill set.
The lack of vision, which inhibits the legacy brand’s growth, will ultimately hinder the new project success.