Monday, May 18, 2009

Brand Update : Horlicks

Yet again , another brand extension from Horlicks. Horlicks has recently launched a ready to drink flavored milk product branded Horlicks Chill Dood.

The product category is reported to be worth around Rs 250 crore. Dairy based products are now seeing more action these days owing to the shift of consumers to healthier products. Amul is the most visible in this segment with its Kool drink.

Horlicks ChillDood comes in attractive flavors like chocolate and the product is targeting kids. Animated ads are now on air to promote this product.

2009 has seen this brand undertaking aggressive extensions into un/related categories like energy bars and now dairy products.
Horlicks is one of my favorite brands. I liked it because the brand was very flexible in adopting to changing competitive environment and proactive in launching new products in new segments .
But one gets jittery when the brand becomes too ambitious. Horlicks has always been associated with health drinks and it was highly focused on that category.The result was obvious, the brand has been a market leader for long time.
The current extension gave me a feeling that the brand is taking too much far by extending itself into categories like energy bar and milk. All these new launches will get a positive initial acceptance by the consumers because of the huge brand equity of Horlicks but all these launches has the potential to dilute the core brand.
The silver lining is that all these launches are in the health related products and thus cater to the emerging trend among the consumers.

Related Brand

Horlicks


1 comment:

  1. You are very right in your assessment Harish! I guess they are diluting the brand too much. Recently I bought a packet of Horlicks biscuit and to tell you the truth, it tasted awful (probably not to my liking) and the immediate thought process in my mind was, not to buy any Horlicks branded products anymore. And also, once you dilute a brand too much, the ubiquitous way of relating a brand name to a product instead of its generic name is lost. Case in point - even today people say "Xerox" for a copier machine. God only knows how people will relate to Horlicks tomorrow - Horlicks powder, Horlicks biscuit, Horlicks chocolate, Horlicks energy drink and what not!

    ReplyDelete

Your Views are Important. Please share your views as comments.