Expanding into a new category or product line is never the perfect path. There will be hurdles and challenges you’ll need to overcome but reaching your goal will come with a big reward.
Whatever the new vertical you’re looking to expand is, you need a clear strategy.
So, let’s explore the key factors that you need to consider when you’re thinking of expanding your brand. And, let’s keep a sharp focus on what you need to do to break into established markets and stand out in competitive industries.
Identify Your Unique Selling Proposition
In highly competitive markets just matching the status quo won’t cut it. You need to offer something unique that resonates with your target audience.
Ways you can do this is by developing standout features. This can mean you focus on the fit of your apparel, the materials (making them eco-friendly), or in specialized design elements.
Your brand story can also be your differentiating factor. Share a compelling background or brand ethos that appeals to your customers’ lifestyles and values.
Or you can stand out with the people promoting your brand. Partner with influencers, athletes, or other brands to create limited-edition releases that boost exclusivity.
L*Space, for example, needed to find its niche when it decided to expand into the athleisure market, which is highly competitive and dominated by brands like Vuori and Lululemon.
Understand Your Target Audience
It goes without saying, but you need to do your research when you’re thinking of entering a new vertical or industry. So, make sure to dive deep into consumer preferences, shopping habits, and pain points to determine how your brand can fulfill their needs.
You’ll want to identify demographics, interests, and behaviors to shape product design and marketing strategies.
Stay informed about emerging trends. For example, the continued growth of home workouts could influence your athleisure offerings.
And, lastly, evaluate how established players (let’s keep rolling with athleisure examples) like Lululemon or Gap perform. Then, pinpoint gaps in their offerings that your brand can fill.
Recognize the Competitive Landscape
We’ve been using athleisure in our examples so let’s continue this. Athleisure is a heavily saturated market, brimming with established brands. To carve out your share, focus on finding your niche and leveraging your existing brand loyalists.
Showcase how your new items complement your current collection. If you’re known for beachwear, highlight how your jackets or leggings seamlessly pair with your existing swim line.
Communicate clearly why someone should choose your leggings instead of Lululemon’s or Vuori’s.
Target retail partners and environments where your customers are already shopping or working out. Think places like gyms, sports stores, and action sports retailers.
Place Your Brand Where it Best Belongs
To effectively expand into your target vertical or industry, you need the right retail partners.
Again, in our example of trying to break out into the athleisure space, you’d want to target places like athletic stores, gyms, fitness centers, or boutiques.
You want to offer direct exposure to your target demographic. People who go to these kind of places are more than likely to want to wear this kind of apparel.
Potentially partner with workout facilities, where product interest is organically high.
The idea is to think of stores that can work if your brand has a lifestyle appeal that resonates with niche audiences.
By placing your products in relevant retail locations, you increase your odds of reaching customers who are already seeking the type of apparel (or product line) you’re trying to expand into.
Develop a Cohesive Brand Expansion Strategy
Many successful lifestyle brands broaden their lines by tapping into a complementary category.
L*Space, for example, began to expand into apparel that made sense to customers who were going to the beach, since their swimwear offerings were already appealing to that demographic.
The move into athleisure also started by trying to appeal to that same demographic.
Just make sure that your new products align with your brand identity, aesthetic, and messaging.
If your brand is known for exceptional fit, ensure that it remains a priority in your expansion line.
And it doesn’t hurt to encourage your existing retailers to carry your new pieces alongside your established products to reinforce brand loyalty among your shoppers.
By focusing on differentiation, staying true to your brand’s core values, and meeting customers where they already shop, you’ll be better equipped to establish a foothold in any competitive industry.
Looking to expand your brand? Start by assessing what makes you uniquely relevant, build from there, and watch your brand’s impact grow.
You can also connect with us and we can help provide information on how RepSpark can assist you in your expansion.
