Legitimately luxurious: Creating authentic luxury brands

In recent years, greater disparities in incomes and growth in wealthy consumers have fueled new opportunities in luxury markets. As firms launched luxury brands, some have thrived as others stumbled. One important difference between those who succeed and those who struggle, we suggest, is brand authenticity. Scholars have studied authenticity extensively, and research has isolated different sources of authenticity. How firms draw on these sources to create legitimate luxury brands has, however, received surprisingly little attention. In this article, we discuss the research on the sources of brand authenticity, and we explore how brands rely on those sources to craft authentic luxury brands. Using the examples of Canada Goose and Shinola, we illustrate how one firm drew on multiple sources of authenticity and, through the symbolism of its actions, successfully created an authentic luxury brand. We conclude with a discussion of the implications for other firms seeking to enter the luxury market.     

The effects of service brand dimensions on brand loyalty

The present paper uses a modified version of the Service Brand Verdict (SBV) model. The objective of the study is to incorporate service brand loyalty as an ultimate dependent measure seen as the outcome of consumers' evaluation of various service brand dimensions and communication, and test the generalizability of the modified SBV model in two different service sectors and cultural settings. Two studies using on-line survey data were conducted in Denmark and Norway in two different service industries (airlines and banks respectively). Previous findings suggesting that brand evidence significantly influences consumer satisfaction, attitude and behavioural loyalty towards service brands were confirmed. Moreover, contrary to previous findings, controlled communication elements (i.e. advertising and promotions) did not have any influence on customer satisfaction with service brands. However, the same communication elements directly and significantly shaped customers' perceptions of the various brand dimensions and their overall attitude towards the brand.     

“New and old”: Consumer evaluations of co-branding between new brands and Chinese time-honored brands

Nowadays, rejuvenation of Chinese time-honored brands, a symbol of Chinese traditional culture, is manifested in their co-branding with new brands. With focus on sincerity and excitement, two fundamental dimensions of brand personality, the authors explore this co-branding strategy which remains unexplored by the extant literature. Based on the integration of brand personality and Stereotype Content Model, a new mechanism is constructed from the perspective of consumers, with brand admiration being the underlying mechanism, as well as product category—hedonic vs. utilitarian—being a boundary condition. Through three experimental studies, the results show that the exciting (vs. sincere) personality of new brands increases consumers’ admiration for both allied brands, which in turn enhances co-branding evaluations, and that the advantage of the exciting personality holds for the hedonic co-branded product, but disappears for the utilitarian one. The research contributes to the co-branding literature and provides implications for brand partner selection and co-branded product design.     

The new wave of AI-powered luxury brands online shopping experience: The role of digital multisensory cues and customers’ engagement

Academic literature retains a dearth of empirical evidence of the cutting-edge aspect of artificial intelligence (AI)-powered digital assistance and digital multisensory cues, despite the prospect of these factors on real-life customers' luxury brand online shopping experience. Thus, the aim of this study is to examine the significant pathway and effects of AI-powered digital assistance toward customers’ luxury brand online shopping experience. Drawing on S–O-R (Stimulus, organism, and response) and TRAM (Technology Readiness and Acceptance Model) paradigm, a multi-method research design was deployed to investigate constructs. Firstly, semi-structured interviews were utilized to explore customers' online behavior under the luxury brands and information technology aspect. Secondly, survey data were collected and analyzed by using partial least squares structural equation modeling (PLS-SEM) and fuzzy-set qualitative comparative analysis (fsQCA). The PLS-based analysis of quantitative data confirmed the exploratory insights of qualitative findings, establishing the connections of AI-powered digital assistance, customer engagement, and customers' luxury brand online shopping experience. Research findings also suggest that customer engagement plays a mediation role in the relationship between AI-powered digital assistance and customers' luxury brand online shopping experience. Besides, digital multisensory cues moderate the relationship between AI-powered digital assistance and customer engagement. Further, fsQCA complements the findings of PLS-SEM that reveal the significant combination of factors that lead to the perceptions of customers' luxury brand online shopping experience.     

Brand experience and consumers' social interactive engagement with brand page: An integrated-marketing perspective

As consumers increasingly go online to communicate about brands, brand marketers have been utilizing a popular platform to interact with them and create brand communities, namely a brand page. Prior studies have examined factors that promote the success of a brand page by narrowing focusing on only two influencing factors of engagement with the brand page: individual consumer characteristics and brand page features. Taking an integrated marketing perspective, this study extends that research by examining a broad range of influencing factors affecting engagement with brand page, such as sensory, affective, intellectual, and behavioural brand experiences. Building upon the fundamental motive framework, we demonstrate that brand experience enhances consumers' motivation to participate, socialize, and perceive benefits from others involved within the brand page regardless of individual propensity to socialize online. Furthermore, as consumers are engaged in social interaction within a brand page, they are more likely to be involved in positive WOM about the brand. The theoretical and practical contributions of our study are further discussed, along with suggestions for future research in this important and growing field.     

A brand is forever! A framework for revitalizing declining and dead brands

Over the years, numerous brands—such as Oldsmobile, Pan Am, and Woolworth—have met untimely deaths. Many more have steadily declined into oblivion, while others have been revived. When a brand dies, significant investments that were made to build the brand are also lost. Unfortunately, even the strongest brands with high net worth are not immune from brand decline and subsequent death. In today's market, where new product introductions are both expensive and risky, it may be worthwhile to evaluate brands that are declining and invest in revitalizing them. However, there is a dearth of studies that focus on declining brands. In this article, we use findings from academic literature, detailed case studies, and interviews with marketing executives to provide guidelines in dealing with declining brands. We analyze the conditions that lead to brand decline and brand death, highlight signs that may suggest an impending decline, offer insights into assessing the viability of reviving a brand, and suggest various approaches that can be used to strengthen the brand and give it a second life.     

An empirical comparison of two brand personality scales: Evidence from India

Aaker's (1997) brand personality scale has been widely used to measure the personality of brands. However, studies also show that Aaker's brand personality dimensions are not stable across cultures. In pursuance of this issue, we examine the structure of brand personality dimensions in India. This research presents the results of two studies conducted to develop a brand personality scale in Indian context, and to make an empirical comparison between Indian brand personality scale and Aaker's brand personality scale. Results reveal that brand personality in India can be described in six dimensions: sophistication, excitement, popularity, competence, trendiness and integrity. The findings empirically support the reliability and validity of the scale developed. The results also reveal that Indian brand personality scale is a suitable alternative to Aaker's brand personality scale in Indian context.     

How do customers engage in social media-based brand communities: The moderator role of the brand's country of origin?

Across the globe, companies increasingly use social media-based brand communities (SMBBC) to facilitate customer engagement (CE). This study clarifies the relationship between brand trust and CE in SMBBC, which is often inconsistent in previous literature. Drawing on the uses and gratifications theory, we examine the motivations that drive customers' active and passive engagement behaviors. Additionally, this study employs multi-group analysis to compare the differences in the customer engagement process concerning the brand's country of origin. The empirical results demonstrate that brand trust is an antecedent to customer engagement in a long-term relationship. Brand affiliation, entertainment, and investigation prompt customers' active and passive engagement behaviors; the opportunity-seeking only encourages the passive engagement, but the motivation of conversation prompts neither active nor passive behaviors of the customers. Notably, there is no significant difference in Chinese customer engagement between domestic and foreign brands on Sina Weibo. The research enriches the understanding of customer engagement in SMBBC and provides valuable insights for international brands keen on the Chinese market.     

Flagship stores for FMCG national brands: Do they improve brand cognitions and create favorable consumer reactions?

National brands have begun to engage in direct distribution, displaying the brand in its own biotope. Such operation of flagship stores is one means of forward verticalization. From samples of visitors to two flagship stores of fast-moving consumer goods brands, this study analyzes the effects of the flagship store visit on brand experience, brand equity, brand attachment, and loyalty. In the low-involvement FMCG context, flagship stores are useful for reinforcing brand experience. However, flagship store-fueled brand experience does not necessarily lead to favorable consumer reactions; its effect on future purchases is mediated by both brand equity and brand attachment.     

Does educating customers create positive word of mouth?

This research theorizes and empirically examines whether and how educating customers—a brand's efforts to enhance customers' product-related knowledge—affects customer word of mouth (WOM). In two lab experiments across service and retailing contexts, we find that educating customers enhances customers' positive WOM for a brand. Customer satisfaction and perceived expertise mediate this effect. Critically, the positive impact on WOM is stronger for customers who have less prior knowledge regarding the educational topic and are more amenable to knowledge sharing. The current findings add to the literature on customer education and WOM and offer managerial insights for improving brands' WOM campaigns.     

The influence of price and brand loyalty on store brands versus national brands

Abstract

This article investigates how price and brand loyalty of three frequently purchased product categories can influence the purchase decision process of store brands versus national brands. A multinomial logit model was constructed to analyse the data obtained from a consumer panel. The results confirmed that brand loyalty is the main variable which influences the purchase decision process of both national and store brands. The influence of price on the purchase decision process is product specific. There is a clear distinction between the buyer's profile of store brands and national brands. But there is no evidence of any correlation between demographic variables and national brands or store brands.     

Vulnerability of global brands to negative feedback effects

Going global is a successful strategy to leverage a brand's equity, in part, because global is synonymous of quality for consumers. This research examines the impact of competitor brand familiarity on the quality perceptions of global brands in Chile when the brand extends into new product categories. The results indicate that there is a negative impact on the quality perceptions of brand extensions when an extension competes with well-known and well-liked competitor brands. However, brand extension quality beliefs seem to produce negative feedback effects on parent brand quality beliefs only for narrowly extended parent brands but not for broadly extended ones.     

Merely asking the customer to recommend has an impact on word-of-mouth activity

This paper examines if a mere request to a customer – within the frame of a service encounter – to engage in word-of-mouth (WOM) would have an impact on the customer's subsequent WOM activity. Although previous studies have not examined this issue, theoretical arguments do exist. And they point in different directions; some suggest a positive impact, while others suggest a negative impact. To explore the issue empirically, we carried out two studies (one survey-based study and one experiment). Both generated the same result: they indicate that merely asking customers to engage in WOM has a positive impact on customers' WOM activity. In addition, we found that receiving the request was not negatively associated with the customers' overall evaluations, such as customer satisfaction, which indicates that the potential for negative consequences of making the request seems to be low.     

Enhancing brand coolness through perceived luxury values: Insight from luxury fashion brands

Consumers of luxury brands have been described as seekers of products that can offer a signaling value to present to others but also a value for their self-concepts in an existentialist spirit potentially linked to being “cool or not.” Prior studies have conceptualized brand coolness and evaluated its impact on consumer responses to brands. However, few studies have contextualized the construct of brand coolness concerning luxury brand realism. We assessed the semiotic tension that luxury brand consumers feel between self-concept and self-presentation to others via a theoretical consideration of four antecedents of brand coolness: individual, social, financial, and functional luxury values; and one intentional outcome such as consumers' passionate desire to use luxury fashion brands. Our findings indicated that luxury values positively influence brand coolness, and brand coolness positively influences passionate desire. We further confirmed that brand coolness plays a complementary mediating role between luxury values and passionate desire. A final contribution is to invite brand managers to consider how luxury values and brand coolness might be used proactively to drive consumers' passionate desires in the relationships with luxury fashion brands.     

Examining older consumers’ loyalty towards older brands in grocery retailing

This paper compares the buying behaviours of older and younger consumers of older and newer brands in grocery retailing. We analysed 88,000 purchases of 60 brands from six categories. Behavioural loyalty measures for different consumer age cohorts were calculated and compared relative to each brand's launch date. Results showed older consumers do not buy older brands more often than newer brands. Older consumers also do not principally buy older brands. Therefore, brands of all ages compete for consumers of all ages. Findings indicate that for newer brands, older consumers should not be ignored as a market for growing the brand. For older brands, despite the default advantage of long-term exposure of older consumers, such advantage will fade if these brands fail to maintain a competitive presence in the market, as older consumers trial and become loyal to newer brands.     

Nostalgia and brands: a sweet rather than a bitter cultural evocation of the past

Abstract

This study focuses on the cultural consumer environment of brands considered as nostalgic. The research questions are thus the following: what is the impact of culture on the consumer relationship with brands considered as nostalgic? In which cases are these relationships positive, and in which cases are they negative? To answer these questions, a longitudinal data collection was conducted, consisting of interviewing the same sample of respondents three times, at more or less one-year intervals. The results were analysed taking into account three dimensions of culture: time, place and social aspects. In the time-based approach, brands are associated with traditional celebrations and rites of passage. Thus, they give rise to ‘traditional purchase’ and consumer loyalty. In the place-based approach, brands evoke original authenticity and myths. They offer protection to reduce perceived risks and therefore facilitate consumers’ trust. In the social approach, brands are associated with symbolic icons and attract communities of fans. Finally, this article shows that culture involves sweeter rather than bitter nostalgic brand relationships. This article brings to light four cases when the consumer cultural environment may induce a rejection of the nostalgic brand: (1) the ‘corrupted’ brand; (2) the ‘immoral’ brand; (3) the ‘precarious’ brand; and (4) the ‘stereotypical’ brand. It shows that only one case – the ‘corrupted’ brand – may be particularly prejudicial due to its unwelcome role in History.     

Follow my leader? Lookalike retailer brands in non-manufacturer-dominated product markets in the UK

Retailer brands are a common feature of most retail sectors today, and have made an important contribution to the financial performance of Britain's retailers. Over the past two decades, as retailers have adopted the marketing approach in their business activities, the nature and role of retailer brands in marketing strategies has changed. This paper reviews the development of retailer brands in the grocery market, from their original position as product alternatives to leading manufacturer brands, to brand alternatives in their own right. Part of this transformation has involved a revision of the packaging and presentation of these product ranges and this has led to accusations of copy-catting and theft of brand identity. The paper then explores the lookalike debate and reports on an exploratory study of retail brand recognition and the lookalike situation in those product markets which are not dominated by established manufacturer brands.     

The effects of store brand loyalty on store loyalty: evidence from the Spanish market

This article studies the impact of retailers' store brands on store performance. Specifically, we analyze the extent to which store brands contribute to store loyalty. On the one hand, a positive relationship between customers' familiarity with and loyalty to the retailer's own brand and customers' loyalty to the retailer should result from the potential of the store brand to differentiate the retailer. On the other hand, an negative relationship between customers' familiarity with and loyalty to the retailer's own brand and customers' loyalty to the retailer may result from store brands' association with more price-sensitive customers, who have a higher propensity to buy at different stores that offer the best bargain. The empirical analysis, conducted with a sample of customers of leading retailers in the Spanish detergent market, shows no relationship between store brand loyalty and loyalty to the retailer. Although the purchase of store brands relates positively to higher loyalty to the retailer, this relationship deteriorates with the degree of exclusivity of store brands within the customer's shopping basket.     

Brand relationships through brand reputation and brand tribalism

The academic research on branding of consumer products and services is increasingly considering the degree of connectedness between consumers and brands as a key issue of investigation. The literature in this area investigates the nature and the strength of the relationship that consumers develop with brands, as well as the trend of joining brand tribes or brand communities in order to demonstrate and share with others their feelings towards and preference to brands. However, the impact of the overall perceptions of the brands in the form of its reputation and brand tribalism on brand relationships is so far unexplored in the existing literature. Using data collected from 912 respondents, this paper explores the importance of the long term brand reputation and brand tribalism on the strength of brand relationships. The findings suggest that brand tribalism is a better predictor of the strength of brand relationships than the long term brand reputation itself.     

The effect of interactivity of brands’ marketing activities on Facebook fan pages on continuous participation intentions: An S–O-R framework study

Social media platforms have become crucial in helping brands build their marketing activities. We investigate the effect of interactivity of brands' marketing activities on Facebook fan pages on continuous participation (i.e., commenting and sharing) intentions. The S–O-R (stimulus-organism-response) framework is used to examine consumers' psychological states (perceived brand fan page experience and attachment) and subsequent behavioral responses (continuous participation intentions) after being stimulated (social media marketing activity interactivity). Using an online questionnaire, this study surveyed the top 15 brands' Facebook fan page users worldwide. We obtained 216 valid responses and used partial least squares structural equation modeling (PLS-SEM) to analyze the data. Results show that the more interactive a brand's marketing activities are on its Facebook fan page, the higher the perceived experience. In addition, perceived experience positively affects brand fan page attachment. Perceived experience and brand fan page attachment positively affect continuous participation intentions. Perceived experience partially mediated the relationship between interactivity and continuous participation intentions. Brand fan page attachment also partially mediated the relationship between perceived experience and continuous participation intentions.