Harrods Hotel ?

So what could be a good brand extension ?

After analyzing Harrods DNA aswell as its emotional qualities (legendary, opulent, reliable)
We naturally thought about a Hotel brand extension...

Researches show that 2 elements are essential for a successful brand extension :

http://www.financialpost.com/Stretching+luxury+brand/906076/story.html

Firstly, the brand must have a high premium degree, which means being one of the top brands in its category. « The more the brand is coveted by consumers to begin with, the greater its cachet, and the higher its Premium Degree. »
(Leyland P. and Parent M., 2008)

And we can say that YES Harrods definitely enjoys that.

But this is not enough, secondly and most importantly, there needs to be a strong brand adjacency, or « the extent to which a luxury brand extension is symbolically consistent with the values embodied by the core brand. »

And YES again, "Hotel" and "Harrods" are matching.
Two main elements confirm a strong brand adjacency.

Firstly, as Harrods is famous for attracting tourists.
Secondly, as Harrods is famous for its service quality.