Harley-Davidson's cake decorating kit tried to appeal to the brand's unparalleled consumer loyalty, but it was considered too tame by their consumer base. This is an example of

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The situation described in the question is an example of brand dilution. Brand dilution occurs when a brand extends its reach too far beyond its core products or values, causing the brand's meaning and distinctive qualities to become less clear and diluted in the minds of consumers. In this case, the cake decorating kit was considered too tame, which may have caused consumers to question the authenticity of the Harley-Davidson brand in relation to their core values of ruggedness and rebellion.

Harley-Davidson's Cake Decorating Kit Tried to Appeal to the Brand's