A Sparkling Success: Extending a Product Line to Increase Market Share
A European producer of sparkling water asked Millward Brown to help them identify a growth strategy for their brand in their own country. Our client’s product was fifth in overall sales—less than half the market share of the leading brand—and the sparkling water category itself had stopped growing.
However, our analysis showed that despite its low market share the brand had a distinct image among consumers as modern and innovative when compared with other brands in the category. This positive image inspired strong brand loyalty and suggested there was good potential for growth, so we recommended that the client capitalize on their brand’s positive position by creating new opportunities for consumption. One such opportunity was the then immature flavored water market into which our client launched a new product line. The novelty of this line caught the attention of new users, while also supporting the brand’s existing image as modern and innovative. It went on to be the leading brand in the flavored water market and was so popular that our client had to increase production to meet demand. The new product’s popularity also influenced sales of the original non-flavored water, which increased its market share by 50 percent to be third place in the overall market.