Brand stretch is a strategy in which new brands are created in new categories.
Snickers brand stretched with Snickers Aircraft enters aircraft manufacturing category shared by Airbus and Boeing:
When asked if they would fly across the ocean in a Snickers made airplane most people reply NO. But when asked again to choose between airplane made by North Korea and airplane made by Snickers, they choose the Snickers airplane. Snickers brand offers more value to customers than North Korea.
Exercise proves that brand stretching is not limited by “style” or “logic”, but by competition in new categories. Some ways of looking at brands do not really work in business reality and can be very misleading, although they seem right. In case of brand stretching, only thing that matters is competition.