The day the IHOP/IHOb story broke, Emma messaged me that her son, Luke, wanted to discuss branding strategy with me. I wasn't sure what to expect. Twelve-year-old Luke Gibson's insight on the dangers of brand extensions was intriguing. We had quite the conversation about when brand extensions do or don't make sense. Luke clearly saw fewer opportunities for smart brand extensions than I did.
His strong perspective on what would likely be a family restaurant decision underscores how consumers outside the intended target are forming opinions and influencing purchase decisions. And, since Luke and I didn't exactly agree on brand extensions, I asked him to share his thoughts with Brainzooming readers. - Mike Brown
Luke Gibson on Branding Strategy: Change is Good. Greed is Not.
If you’re good at one thing, then most likely the right thing to do is stick to that one thing. For example, if you’re really amazing at pottery, you do that as your job, and people know you for your pottery business, then why would you suddenly switch to supply chain and logistics, with little to no experience in that? Don’t be selfish.
So yes, what I’m hinting at is IHOP, or should I say, “IHOb.” I’m sure that all of you knew IHOP, or “IHOb,” for their pancakes, and have gone to eat their pancakes at least once. Most likely you ate them during the day.
In an article for Business Insider, Darren Rebelez, president of IHOP, said, "We had to make a bold move to get people to be willing to talk about us for something other than breakfast food.”
Why? Your brand name is still about breakfast food. Might I add, what’s wrong with this picture?
Sam and Pam were walking to the International House of Pancakes. Sam asked, “What are you going to get at the the International House of Pancakes, Pam? Pam said, “I am going to get a hamburger from the the International House of Pancakes, Sam.” Sam said, “That is a good idea, Pam. I think I will have a hamburger, too,” said Sam.
Exactly. And yes, while the burgers at IHOb might be okay, you know what would taste even better? Their pancakes.
I’ve noticed that California-based Foster’s Freeze has done this as well. They have added burgers to their menu. What’s more is that it’s one little burger poster among thousands of ice cream stickers, so it’s also kind of hard to notice. And yes, hamburgers and ice cream are delicious together, but I would like to assume that the better place to get that would be at your local greasy spoon. It’s probable that most people don’t even order the hamburger! As many times as I’ve driven past, there is not one person holding a hamburger! (That Foster’s Freeze happens to be located across the street from a grocery store and surrounded with hot food places, so…) Yes, while their burgers probably taste okay, you know what would taste even better? Their ice cream.
To tie it up, brands should stick to the one thing that they are good at, and can branch off into other related areas. Leave the completely different opportunities for other brands. Your customers see you as greedy when you do this. - Luke Gibson