The RACV has provided us with a perfect example of a brand extension with a product that leverages all the good work they’ve done building a reputation based on simple products you can trust and a great service ethic. The product is RACV home cover. It must be good because so far I’ve only heard it promoted on radio and yet it stuck in my mind.
For $142 per annum you get eight call outs for emergencies in the home and they’ve picked a few goodies — the sort of things that sneak up on you, and strike when you are least prepared, like the heating not working, smelling gas or a gutter flooding the lounge room. Of course they’ve also included being locked out — so now the same organisation that you trust not to snigger at you when you lock your keys in the car can help you when the front door slams behind you as you rush out in your jim jams to get the post.
This is really smart marketing, showing a keen understanding of their brand image it adds to the RACV’s credibility and enhances its brand reputation.
Brand extension works best if :
(1) It builds upon your existing brand essence, value and personality;
(2) It has a creative connection to what you’ve done before in the use of language, imagery, colour;
(3) It appeals to the same audience that you have served before
(4) and meets a need of that audience
Malcolm Harvey
Tags: Brand, Brand Agency, Brand Design, Brand Experience, Brand Strategy, brand-extension, car-insurance, Corporate Image, extension, Graphic Design Melbourne, house-insurance, Interior Design, Melbourne Brand Strategy, RACV
Mal, clear and concise article. It’s funny how when you look at it through those criteria, the RACV example stands out as such a strong brand extension.
I agree Malcolm, a great brand extension for a great brand. Having a car that always breaks down, I love the RACV and wouldn’t hesitate to look into the home cover that they offer.
how funny, I always thought that the RACV had Home Cover.
A great read Mal. As both of our cars are insured with the RACV it makes me wonder now whether we should swap our home insurance over!
A great read Mal. As both of our cars are insured with the RACV it makes me wonder now whether we should swap our home insurance over!