Multiple Brands instead of Multiple Levels of Service
SwellJoe: Counterpoint:It took millions of dollars to launch the Lexus brand.  Probably hundreds of millions.When you divide your brand awareness efforts into two distinct parts, you'll effectively cut your marketing budget in half.  One of the biggest hurdles new companies face is getting people to know and trust a new brand. Getting them to give you money is even harder.Admittedly, like Toyota and their existing dealer/repair network, you get some of the "brand split" at no significant extra cost (servers, bandwidth), but the most expensive thing is reaching customers and making them aware of you.