With the erosion of traditional retailing, many companies are diversifying their brands and products in an effort to win new customers.
The Chairman cites Maxim’s Group as an example. A Hong Kong brand with a long history, Maxim’s has spent years expanding under a ‘mom-and-pop store’ image to give consumers a sheen of novelty. Another brand, Want Want, has gained a young following through collaborations with trendy fashion labels such as TYAKASHA.
Diversification can be the key to survival outside retail as well. Pico’s story of the past 50 years has been of constant diversification: from a foundation in total brand activation into events and exhibitions, and toward opportunities created by digital and high-tech developments. The company has evolved into a one-stop service for a very wide range of clients.
While the potential returns are high, not every brand has diversified successfully. The bottom line: the brand must be strong enough to attract and accumulate loyal followers regardless of the market.
*The above is a summary of the original Chinese article.