Case Study: ICD003: Utility Brand Stretch
Drivers
- Desire to diversify
- Industry deregulation created new market opportunities
- New competitive market characteristics
During a period of industry deregulation, a leading Scottish utility organisation commissioned research and a report on existing brand stretch activities in the utility sector in the UK. The objective of the report was to outline diversification strategies taken by public sector electricity, gas and water suppliers during their deregulation in the mid 1990s, and also to include in depth case studies on key utility companies. The report was intended as a means of assisting decision making at board level within the business.
Inputs
- Secondary research
- Market reviews
- Marketing analysis
Consultants, using a combination of strategic marketing and industry specific skills and knowledge, identified key organisations operating in the sector and, through direct experience and secondary market research created a competitive analysis of the brand stretch activities of the industry as a whole. The in-depth case studies were compiled on a company by company basis and not only expressed the market activities of the companies concerned but were also weighted with respect to the success of their brand stretch activities.
Deliverables
- Full report & case studies on industry brand stretch activities
- Management board summary paper
- Full market and competitor analysis
Two versions of the report were presented to the client. The first, a complete report with full case studies and market analysis and the second, a management board paper which outlined the key aspects of the report and select case studies for further discussion, as identified by the client.
Outputs
- Client identified diversification options and risk factors
- Client identified need for further qualitative market research and customer validation
- New diversified services have subsequently been launched
The client was able to focus board level discussions on appropriate diversification strategies with a solid knowledge of brand stretch activities as well as competitors successes and failures. This led to further qualitative research and existing customer research to refine their diversification strategies and subsequently launch of a programme of brand stretch activities into the competitive marketplace.