Caribou Coffee Company Introduces New Granola Bars

What marketing strategy did Caribou Coffee Company use when they introduced the new granola bars?

Is it a brand extension or a product diversification strategy?

Answer:

The marketing strategy that Caribou Coffee Company used when they introduced the new granola bars is a product diversification strategy.

Product diversification is a business strategy that involves a company entering into new markets with new products. In the case of Caribou Coffee Company, which was previously known for their coffee products, introducing the Caribou Granola Bars is a move to expand their product offerings and reach a larger or new consumer base. It allows the company to leverage their brand and establish a presence in the granola bar market segment.

By diversifying their product offerings, Caribou Coffee Company can attract new customers who may not have been interested in their coffee products before. This strategy also helps the company to adapt to changing consumer preferences and stay competitive in the market.

Overall, product diversification can be a successful strategy for companies looking to expand their market share and appeal to a wider range of customers.