Know-How Exchange : Branding

You can take the approach of the Good, Better, Best marketing strategy and position them based on the percieved value through your pricing structure. This way the one with the lower quality/taste is a value price target, the middle of the road product is priced in line with a competitor in the category, and finally the upscale/best product commands a premium price that is positions above the competitors.

Given the size of the store and the section, you might only be able to get placement on 1-2 items. So target the most profitable segment as the category leader. This way you are making more revenue and you are generating funds to help support the brand(s)..

I've worked for companies with similar products in the same category that had to deal with portfolio management issues and can tell you that you have a couple of options – elaborating on the above posts:

1) Focus in on different aspects of the products with all consumer touchpoints: flavor, target, price, usage occasion, price, attributes - i.e., make one a “pull” / premium brand (if you can afford the marketing), one a regular/mid-priced brand, with moderate/limited marketing, and one a price brand with no marketing and a push strategy (or make it a private label entry).

2) Alternatively, having marketed to up to seven different distribution channels with basically the same product simultaneously I can tell you to, target the three products to different channels so that each has a unique distribution brand and point – regardless of the marketing dollars available. This avoids retailer markup/pricing-comparison issues, and creates some exclusivity, etc. (this is common in consumer durables like mattresses and electronics).

3) Better yet, research the consumer targets' needs and try to formulate the products to truly differentiate them and get to meaningful points of difference! If nothing else - create different features/attributes like product or package size, product shape or appearance, etc., to differentiate!

-Steve

If even you can't differentiate between the products ("almost identical"), you're going to have a hard time convincing the marketplace.

If the products are so similar, why are there three different products?

Based on the information you've given, I would assume it's because they have differing levels of profitability for you. Here's a question for you: Are the three "different" products intended to look like 3 versions of the same thing or are you trying to make them look like 3 unique products? Without knowing that there's no way to give an informed answer.