Mid-autumn festival has passed. It's a bit late but let me talk about the launch of mooncake by Starbucks. In every mid-autumn festival, we see launches of new mooncakes by different brands, brands that are related or unrelated with cake-making. Even 修身堂 launches mooncakes. The market is big and quite profitable. Why not ? Brand extension ! In the case of Starbucks, the brand means coffee, a life-style and a place to chill out. Is Starbucks a cake shop or a bakery ? Brand management is about managing what the brand should or should not do. In many cases, brand extension in the wrong way may give us short term return but if we do it too often, we will destroy the brand by diluting what it stands for in the long run. It's always tempting : we launch mooncake this time, maybe we can launch a chewing gum next and how about a Lingzhi tea to follow ?
Mid-autumn festival has passed. It's a bit late but let me talk about the launch of mooncake by Starbucks. In every mid-autumn festival, we see launches of new mooncakes by different brands, brands that are related or unrelated with cake-making. Even 修身堂 launches mooncakes. The market is big and quite profitable. Why not ? Brand extension ! In the case of Starbucks, the brand means coffee, a life-style and a place to chill out. Is Starbucks a cake shop or a bakery ? Brand management is about managing what the brand should or should not do. In many cases, brand extension in the wrong way may give us short term return but if we do it too often, we will destroy the brand by diluting what it stands for in the long run. It's always tempting : we launch mooncake this time, maybe we can launch a chewing gum next and how about a Lingzhi tea to follow ?
Comments
Maxim's is the master franchisee of Starbucks in HK and Mainland, and not sure if their management uses Starbuck to expand their market share of the product this year....u probably know how profitable the mooncake business is to Maxim's...
by the way, the taste of the mooncake was TERRIBLE~
neither here nor there...