Product Line

A product line is a group of related products sold under a single brand that share common characteristics such as function, price range, target customer, or quality. Companies use product lines to organize offerings, build brand recognition, and encourage repeat purchases: customers who like one product in a line are likelier to try others.

Key takeaways

• A product line groups related products marketed under one brand to a shared audience.
• Companies expand with product-line extensions to reach new customers or market segments.
• The product mix (product portfolio) is the full set of product lines a company offers.
• Unprofitable lines may be revised, abandoned, or used strategically as loss leaders.
• Product line strategies include filling gaps, pricing tiers, repositioning, and new-product introductions.

How product lines work

Product lines are a marketing and product-management strategy. By leveraging an established brand and customer trust, companies introduce variations or additions that appeal to existing buyers and attract new ones. Variations can include differences in:
* quality or materials
* price points (economy to luxury)
* target demographics (age, ethnicity, lifestyle)
* product features or packaging

Example: A cosmetics brand may offer a premium makeup line and later introduce a lower-priced line under the same brand to broaden appeal.

Growth and extensions

Companies grow product lines through extensions that introduce new items related to an existing line. Extensions can:
* reach customers who wouldn’t buy the core line (e.g., energy bars from a sporting-goods brand)
* increase share-of-wallet among existing customers
* allow entry into adjacent markets with lower risk than launching a wholly new brand

The automotive industry exemplifies this approach: manufacturers produce economy, eco-friendly, and luxury vehicle lines to cover diverse market segments.

Product line vs. product mix

• Product line: a specific group of related products (e.g., a chip flavor line or a footwear line).
• Product mix (product portfolio): the combination of all product lines a company sells.

Analyzing the product mix helps identify trends, reallocate resources, rebrand underperformers, and decide where to introduce innovation or riskier offerings.

Special considerations

Product line reach
* Lines can be tailored by geography, culture, or income, with multinational companies often localizing offerings to regional tastes.

Unprofitable lines
* Not all unprofitable lines should be immediately cut. A loss leader can attract new customers who later buy profitable products.
* Persistent underperformance, however, may justify revamping or discontinuing the line.

Brand focus vs. diversification
* Some firms focus on a single product line to dominate a niche (e.g., Michelin — tires; Crocs — rubber footwear; Gorilla Glue — adhesives).
* Others diversify widely to spread risk and capture multiple markets (e.g., PepsiCo, Apple).

Examples

• Microsoft: Windows, Office, Xbox.
• Nike: footwear, apparel, sports equipment across multiple sports.
• PepsiCo: Frito-Lay, Gatorade, Quaker, Tropicana.
• Starbucks: coffee beverages, packaged goods, accessories.
• Single-line specialists: Michelin (tires), Crocs (footwear).

Main types of product line initiatives

• New-to-world: entirely new inventions created via R&D.
• New additions: entries that expand a company’s offerings but aren’t novel to the market.
• Product revision: upgrades or new generations of existing products (e.g., new smartphone models).
• Reposition: marketing an existing product to a different audience or for a new use.

Product line filling and pricing

Product line filling
* Adding items to fill gaps in size, features, or price to better match customer needs (e.g., adding plus sizes to a clothing line).

Product line pricing
* Offering multiple versions of the same core product at different price points (e.g., base, mid, and premium trim levels in cars) to capture customers across budgets.

How to create a product line

1. Define target customer segments and unmet needs.
2. Conduct market research and testing.
3. Develop product concepts and perform R&D.
4. Position the line within the brand and product mix (price, quality, features).
5. Launch with coordinated marketing, distribution, and support.
6. Monitor performance and iterate (expand, revise, reposition, or discontinue as needed).

Bottom line

A product line groups similar products under one brand to drive customer loyalty, increase sales, and enter adjacent markets with lower risk. Thoughtful management—through extensions, pricing tiers, geographic adaptations, and performance monitoring—ensures product lines support long-term growth and align with overall business strategy.