Brand loyalty drops in an economic crisis. And brands battle to maintain or increase market share.
Some are launching new brands. Others are bringing established brands from different countries.
Colgate-Palmolive for example brings brands that are strong in Mexico into the United States. Apart from being sharply priced, they sell well among the big Hispanic population.
The company already had success with this strategy. It has been importing Suavitel fabric softener for over 10 years. Today that brand's market share is at 12%.
Now Palmolive does the same for shampoo brand Caprice on the US market.
The shampoo market is already heavily contested, so why might this be a good idea?
Isabel Valdes says the following in an article on AdAge: "I call this the bounty of brand heritage. If it's a brand you grew up with and liked, if you missed that brand and that brand comes to you, you have a marketing advantage."
Emotions can play a significant role in brand loyalty, especially when you are far from home!
More story on AdAge.