What helps new brands grow the most?
Launching a new brand is harrrd. And most new brands fail.
But of all the things you can do, what drives growth the most?
Ataman, Mela, and van Heerde dissected how the 4 P’s of the Marketing Mix impact brand launches (not line extensions).
How Does Market Share Influence Profits?
First of all, share and profit don’t link all the time. They can move quite independently.
But when they do link, ‘market power’ is HALF of the connection. This is primarily the ability to charge a higher price — thus increase profits (natch). But it’s also from getting better prices from suppliers.