Brand-building stands as a multibillion-dollar enterprise, with companies channeling significant portions of their profits to establish themselves as household names—a strategy that pays off handsomely.
The crucial role of branding becomes evident when considering that many globally recognized companies, initially associated with one product, ventured into entirely different industries at the start. Explore the intriguing world of corporate evolution as we unveil some captivating instances of renowned companies taking unexpected turns in their product lines
1. Lamborghini
It may surprise you that Ferruccio Lamborghini started selling tractors contrary to their fast cars and unique vertical doors. His farm equipment was so well-received that he could play with other interests. In 1962, he launched Automobili Ferruccio Lamborghini to create a sports car rivaling Enzo Ferrari’s.
2. IKEA
Ingvar Kamprad was an exceptional child. He bought and sold watches at only five years old for a profit. At 17, he expanded to jewelry, watches, and pens, which he sold through a mail-order business. In 1951, Kamprad introduced his first pieces of furniture, which became so popular he dropped his other products to focus on furniture and released his first IKEA catalog. Kamprad made a name for himself by selling flat-packed packaging that requires assembly from the buyer.
3. Samsung
While Samsung initially sold noodles and produce, they released their first electronic, a 12-inch black and white television, in 1970. In 2016, Samsung teamed up with Six Flags to create new virtual reality rollercoasters that saw nine new ride offerings across nine different parks in the United States.
4. DuPont
Pharmaceutical and Biotech giant DuPont didn’t start as the chemical overlord it is today, but its history dates back to the Civil War. During the early 1860s, when America was at war with itself, DuPont provided gunpowder and other explosive materials to the Union Army. In 2017, they expanded their prowess in the industry by merging with Dow Chemical Company.
5. Toyota
Toyota, one of the largest and most successful global car brands, was founded by Sakichi Toyoda, who started the Toyoda Motor Company from funds he made in the 1920s with an automatic loom that allowed the user to change the shuttle while the machine continued working. In Japan, the loom Toyoda created is considered a historical object because of its innovation and the fact that it led to the Toyota Group.
6. Abercrombie & Fitch
If Abercrombie & Fitch had continued with their original product offering, they’d be a well-known sporting goods outlet today. However, despite its initial sports-centered contributions to outdoor lifestyles, Limited Brands bought the company in 1988 and transformed it into the mall anchor store you know it as today.
7. Colgate
Before Colgate was known for keeping teeth clean, the company, founded by William Colgate in the 1800s, sold candles and soap. In 1820, the Colgate Company opened a starch factory in New Jersey. It didn’t sell its first toothpaste product until 1873, sixteen years after William’s death. Their first tubed toothpaste offering came in 1896, and in the 1920s, Colgate moved into the international market.
8. Wrigley
William Wrigley Jr. sold baking powder before Wrigley’s became known for its “double mint” gum. A firm believer in ‘premiums,’ he started adding chewing gum to his sales pitch and noticed that the gum was more popular than the powder. In 1893, Juicy Fruit and Spearmint became his first best-sellers and are still famous for being a billion-dollar company.
9. Taco Bell
If Glen Bell had continued with his original food pairings, Taco Bell would be known for hot dogs and hamburgers. But in 1950, he opened Taco-Tia, having noticed how popular Mexican fare was. By 1962, Taco Bell transitioned to Mexican cuisine, and the company went public in 1970, having amassed more than 100 restaurants across the country.
10. Marriott Hotels
You’d be wrong if you thought Marriott Hotels were always about a safe place to sleep and stay over. When John Willard Marriott opened his first business in 1927, his focus was selling tasty root beer. Within a few months, the spot was so popular that he named it The Hot Shoppe, and in 1957, he expanded into the motel business. In 1967, the company became Marriott, Inc., and when Mr. Marriott died in 1985, his company operated 1,400 restaurants and 143 hotels and resorts worldwide.
11. Tiffany & Co.
This luxury jewelry maker wasn’t always about the bling. Charles Lewis Tiffany and John B. Young initially focused on stationary and fancy goods. Their first store in Lower Manhattan was all about those products. But in 1853, Charles took control of the company, renamed it Tiffany & Co., and began focusing on the lush jewelry the business is known for today.
Credit went to him for the modern-day engagement ring and the much sought-after ‘Tiffany setting,’ which raised the diamond off the solid band. In 2021, Moët Hennessy Louis Vuitton (LVMH) bought a majority stake in the business and delisted Tiffany & Co. from the New York Stock Exchange. The Manhattan branch still operates as an independent subsidiary.
12. Avon
In 1886, door-to-door book salesman David H. McConnell decided to start selling perfume instead and created the “California Perfume Company.” 1916, he made the company’s first lipstick, offering two shades and the popular Cupid’s bow application technique. Avon, the name the company is globally recognized as today, came from the birthplace of McConnell’s favorite playwright, William Shakespeare.
Avon was the first beauty company to invest in an e-commerce site (1999) and boasts a 90% global brand recognition as of 2021.
13. Nintendo
Before video games were a thing, Fusijiro Yamauchi founded Nintendo Koppai as a playing cards company. In 1970, he transitioned to video games and released Duck Hunt in 1976. Still, Mario Brothers 1984 bundled Duck Hunt with its revolutionary light gun and put the NES (Nintendo Entertainment System) on the video game radar for others to follow.
14. Nokia
In 1865, decades before telecommunications, Nokia started as a paper production company in Finland. They eventually moved on to tires, rubber, boots, and televisions. You can still purchase their classic rubber boots, although they’re no longer in production.
In 1960, they moved to electronics and once produced 6.5 phones per second to keep up with demand. In 2006, Nokia was voted the 20th Most Admirable company, going so far as to not put the number four on their phones for the Asian market as the number is often unlucky in that region of the world.
15. 3M
Perhaps best known for its Scotch tape, especially during the holidays, 3M stands for Minnesota Mining and Manufacturing. They are also well-known for their Post-It Notes and have sales of $32.8 billion outside the U.S.
Their first product was a wet or dry sandpaper when they tried to mine for corundum and instead found anorthosite. Today, 3M has products for several industries, including healthcare, worker safety, and vehicle manufacturing.
16. Hasbro
As the second largest toy maker in the world, Hasbro owns the trademarks for Kenner, Milton Bradley, Parker Brothers, and Wizards of the Coast brands. Before they became a global toy brand, Hasbro was the Hassenfeld Brothers, known for their textile remnants, hat liners, and school supplies.
Eventually, they moved to toys like modeling clay and medical kits for children. The company also moved into plastics to support its production, using the new product to create many of its later product lines.
17. Raytheon
Best known as a defense contractor for the United States Government, Raytheon was once the American Appliance Company. Their primary focus initially was electronic devices, and they created their radio tube under the Raytheon name.
In 1925, they changed their name to Raytheon Manufacturing Company and eventually began producing surface-to-air missiles like Lark, Sparrow, and Hawk missiles. Interestingly, they continued to keep up with electronics development, acquiring the Amana Refrigeration brand in 1965.
18. Xerox
Before Xeroxing became synonymous with copying a document, Chester F. Carlson was turned down by more than 20 companies when he tried to get them to invest in his idea. Initially frustrated by attempting to copy patent documents, he eventually caught the interest of the Haloid Company. They bought the rights to his xerographic process in 1947 and, in 1958, developed the first Xerox office copier. Carlson’s royalties and stock in the Xerox Company made him a multimillionaire.
19. John Deere
Deere and Company, widely known as John Deere, might be known for their line of green and yellow tractors, but the first invention was a steel plow Deere developed to help farmers with the hampering effects of sticky soil. His days as a blacksmith lent themselves to this new plow and set Deere up for success. His plows were so successful that by 1856, he sold 13,000 a year. The mix of cast steel for the plow and polished wrought iron created the first successful product for the farm equipment manufacturer.
20. Reading Entertainment
Before movie theaters occupied the bulk of Reading Entertainment’s time and consideration, they were the Reading Company. Their main focus was railroads, which they left in 1976, but not before Monopoly enshrined them as Reading Railroad on their original Monopoly board game.
21. Berkshire Hathaway
Before Berkshire Hathaway became the sixth-largest public company in the world, it was a textile manufacturer. In 1964, Warren Buffet bought the company and promptly fired its CEO. While the holding company owns 53 businesses and has smaller stakes in several others, Buffet considers the purchase a mistake that cost him more than $200 billion in compounded returns.
22. Coleco
While the electronics store Coleco isn’t a functioning company anymore, it started as a leather goods brand known as the Connecticut Leather Company. Interestingly enough, fellow defunct computer marketer Tandy also started as a leather goods company that switched to electronics after buying RadioShack in 1963.
Coleco went out of business in 1988, but the brand revived in 2005 and is still around as of 2022. In 2000, Tandy dropped its personal computer brand and converted itself wholly to RadioShack, but by 2015, the electronics store also couldn’t hold up to the e-commerce market and shut down.
23. Flickr
Originally meant to be a peripheral feature for an online video game from Ludicorp, spouses Stewart Butterfield and Catarina Fake dropped the game and debuted Flickr solo in 2004. The online photo-sharing site, owned by SmugMug, generates around 60 million monthly users. Big players like Yahoo! and Getty Images have also linked to Flickr.
24. American Express
Mostly known for offering credit cards, American Express is a global credit company. However, before getting into credit cards, the company handled everything from mail delivery to money orders and traveler’s cheques. This world-renowned company was founded in 1850 by Henry Wells, William G. Fargo, and John Butterfield. If their names sound familiar, they also founded Wells Fargo Bank, the fourth-largest bank in America.
25. Nike
One time, accountant Phil Knight, founder of Nike, wasn’t looking to start a global enterprise when he wrote a thesis for his graduate degree about Japanese shoes and bought the rights to sell Onitsuka Tiger shoes in America. As a middle-distance runner, he wanted to know if Japanese shoes could transform Germany’s shoe market much like their Japanese cameras had done to Germany’s camera market.
He eventually became the U.S. distributor for Onitsuka Tiger shoes. After forming Blue Ribbon Sports with his friend, Bill Bowerman, the two eventually developed a running shoe called the Tiger Cortez. It rivaled Adidas’ Azteca Gold and was a hugely successful collaboration with Onitsuka.
The Power of Branding
Branding, the section of advertising specifically allocated to ensure consumers relate a product to the company, is so vital that in 2003, McDonald’s paid Justin Timberlake $6 million and another $500,000 to rapper Pusha T to help them with their “I’m Lovin’ It” jingle. And it worked out pretty well for the fast-food chain because 20 years later, a simple “Bada bopa-ba, I’m lovin’ it” is all you have to hear to know it’s a McDonald’s ad, right?
That’s the power of a brand and why companies invest so much to ensure everything they create, from products to ad spots, reflects their name and image to a T.
