👉 Background: Arnott’s is the 160-year-old Aussie food icon and the market leader in biscuits in Australia. It’s the maker of all your childhood (and adulthood) favourites like Shapes, Tiny Teddies and Scotch Fingers (Bless those Pizza shapes!).

👉 What happened: One of Arnotts' iconic brands, Tim Tams, is really having a moment right now. In fact, Tim Tams now make up 41% of the chocolate biscuit market in Australia, with its market share growing by 5.8% in the past year alone. So now, Arnott’s has announced plans for international domination with its trusty Tim Tams, with plans to grow its Tim Tam business in the UK, US, Canada and even Japan.

👉 What else: Arnott’s has been leaning on hype to expand overseas and also been pushing brand extensions with other brands within the Arnott’s stable, like its release of Jatz Tim Tams. Throw on top of that, its brand extensions with its gluten-free range too.

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What's the key learning?

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💡Product line extensions are when a company introduces new products within an existing brand. The goal is to offer their well known products new customers and cater to shifting preferences.

💡Product line extensions typically reduce the risk associated with new product launches because its piggybacking off familiar brands, like Tim Tam or Shapes and hey just adjust the flavour or format.

💡Take the Arnott’s gluten-free range - it leveraged its existing brands but changed the ingredients to make them appealing to an under-appreciated demographic. In fact, Arnott’s gluten-free range is driving about 80% of the growth in the gluten free biscuit market. Long live the Tim Tam!