Every line extension feels like growth. You add a flavour, a format, a size, a "good for you" version, and the spreadsheet shows another row of potential revenue. The team feels momentum. The retailer is happy. Innovation is, on paper, happening.
When you take a closer look though, the pattern that surfaces more often than not is this: the more a brand extends its range, the less clearly it stands for anything. A brand that stands for less is a brand that sells less per unit of effort no matter how many SKUs it's pushing.
This is the line extension trap. It looks like expansion but often functions as erosion.
Line extensions are the easiest "yes" in CPG, and that's exactly the problem.
They feel low-risk because you're leveraging an existing brand. They feel responsive because a buyer asked for them, or a competitor launched one. They feel productive because they generate activity such as briefs, packaging rounds, launch decks. They show up as a num...
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