MNM3710 Brand Management

Assignment 02

Bio-Strath Brand extensions

Kefiloe Moatshe 42360854

Unique number:605824

Date of submission
08.05.2020

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DECLARATION BY STATEMENT
I Kefiloe Gladys Nanisi Moatshe, student number 42360854 understand the
consequences of plagiarism and collusion and hereby declare that the work submitted
for this report for MNM3710 is my own work.

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 TABLE CONTENTS
1 INTRODUCTION ………………………………………………………….4
2 BRAND EXTENSION……………………………………………………...5
2.1 BIO-STRATH

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 Introduction

Bio-strath a swiss nutritional supplement was produced 60 years ago by a German biochemist
Walter Strathmeyer. The nutritional supplement was invented over a two-month period by
feeding “friendly yeast cells with a mixture of other herbs” Bio-Strath is made from
saccharomyces circuses myen a good yeast harvested from fresh fruits as it ripens. Dr Walter
Strathmayer formulated the supplement to serve each organ and body system providing a 100%
natural source of nutrition for people.
According to (Drotsky :25) “Dr Walter Strathmayer gave the marketing rights and product
formulation to his Swiss friend ,Fred Pestalozzi” who sold it to 67 countries around the word
and still owns the original formula which has been preserved by his family .Clinical trials were
undertaken by Bio-Strath over the years which indicated that Bio-Strath is good for memory
,focus and concentration in young and old people it can also build up resistance to colds and
infections.
Bio-Strath was introduced and sold in South Africa in the early 70s, but because no marketing
activity took place only a few pharmacists sold the product. Bio-Strath Marketing and distribution
were only given to SA Natural Products (Pty) Ltd in 2002 that’s when Bio-Strath made its
presence felt into South African customers. The company immediately identified the numerous
benefits the product can offer to its unrealized market with the local complementary health
market.
In 2011 Bio-Strath marked its 50 th year since it was made commercially available in some
countries this milestone was incorporated by SA Natural products (SANP) as part of the
marketing campaign which could be used to increase penetration into the market by targeting
new consumers with in the core target market was women aged 25-49 in the LSM groups of 7-
10 with emphasis on white ,colored and Indian customers .
The company’s objective was to increase average monthly sales by 40% during and
immediately after the campaign, with a realistic settling to new monthly average 25-30%higher
than the 12 month prior to the campaign .The Bio-Strath campaign was viewed as a brand
building exercise that would deliver a return on investment over the longer term because more
people would be aware of the product .
The purpose of this assignment is to review the ways that Bio-Strath can improve the chances
of success while extending their brand. we need to identify the elements which are key success
while extending Bio-Strath brand. With the present markets, where life span of variants products
is very short, a strong brand is essential to retain customer confidence and recognition.

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1.Brand Extension

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