Brand alliance and customer‐based brand‐equity effects

This research examines brand alliances, a specific marketing strategy designed to transfer the positive brand equity of two or more partner brands to the newly created joint brand. The study explores how customer‐based brand equity (that is, brand equity as seen from the customer's perspective) of partner brands affects consumer evaluations of an alliance brand; how the brand equity of one partner brand affects the other; how customer‐based brand equity of the partner brands affects consumers' evaluations of the search, experience, and credence attribute performance of the alliance brand; and how product trial influences such evaluations. Results suggest that merely the act of pairing with another brand elevates consumers' evaluations of the partner brands' customer‐based brand equity, and high‐equity partners enhance pretrial evaluation of experience and credence attributes that are relevant to the high‐equity partner. As hypothesized, product trial moderates the equity value of the alliance partner for experience attributes, and brand equity of the partner brands influences consumer perceptions of the alliance brand's equity. © 2004 Wiley Periodicals, Inc.     

Consumer evaluation of self-service innovation failure: the effect of brand equity and attribution

The purpose of this study is to examine how, when a self-service innovation fails, customers evaluate different levels of brand equity and how the brand equity effect is moderated by consumer attribution and service recovery. Based on two experimental studies, the results indicate that high-equity brands suffer less from the adverse effects of self-service innovation failures when compared with low-equity brands. However, self-service innovation failures are more detrimental to high-equity brands if they are caused by service providers' internal factors as well as low service recovery.     

Brand equity and the exacerbating factors of product innovation failure evaluations: A communication effect perspective

When both high-equity and low-equity brands experience an innovation failure, does the high-equity brand fare better? This study investigates this question by exploring how consumers view and evaluate brands following an innovation failure. The researchers examine whether brand equity, preannouncement of the innovation, and word-of-mouth from an opinion leader exacerbate or alleviate the negative impact of the failure. Two experiments with a total of 816 subjects show that high-equity brands suffer less than low-equity brands from the adverse effects of innovation failures. However, innovation failures are more detrimental to high-equity brands that have preannounced the innovation and to low-equity brands that do not receive supportive word-of-mouth from an opinion leader after the failures occur.     

All's well that ends well: Effective recovery from failures during the delivery phase of e-retailing process

E-commerce retail has been on an exponential growth since late-1990s and now with COVID-19 crisis it is more popular and prevalent than ever before. But failures during the e-retailing process, specially when the business is under pressure, is a severe challenge with deteriorative impacts on customers' attitude and behavioral intention. While the majority of failures during e-retail process takes place at the ‘product delivery phase’ (the last phase of e-commerce process), little attention has been paid towards investigating how e-retailers can effectively recover from service failure encounters during the delivery phase. Seeking to address this gap, the present study draws on cognitive dissonance theory to examine the determinants of effective recovery from service failure encounters during the delivery phase of e-retailing. In doing so, a scenario-based experiment was conducted to collect data from 320 online customers. The findings provide empirical insights on how perceived recovery endeavor interacts with criticality of situation and brand equity to mitigate the negative consequences of service failure at delivery phase. The theoretical and managerial implications of the findings are discussed along with avenues for future research.     

Examining Market Information and Brand Equity Through Resource‐Advantage Theory: A Carrier Perspective

To survive in this challenging economic environment, transportation providers must differentiate themselves in the eyes of current and potential customers. Consequently, they are seeking to develop superior resources that allow them to build greater awareness of and distinctive images for their brands. Those that are successful achieve higher levels of brand equity and, ultimately, positions of competitive advantage in the logistics services industry. This research applies resource‐advantage theory to investigate the role of market information in creating an informational advantage to build brand equity for transportation providers. Results from a survey of motor carriers indicate that informational advantage mediates the impact of market information resources on the levels of brand image and brand awareness, two dimensions of a firm’s brand equity.     

Pursuit of loyalty in service recovery: The roles of brand equity and cognitive reappraisal as moderators

This research investigates the roles of brand equity and cognitive reappraisal in the association between the perception of justice and loyalty via customer affection in a service failure and recovery context. Survey data were subjected to the conditional process analysis using the regression-based method. Results reveal that customer affection plays a mediating role in the link between the perception of justice and loyalty. In addition, brand equity and cognitive reappraisal contribute as moderators in influencing the behavioral outcomes. Implications for researchers and managers are also provided.     

The Impact of Product-Country Image and Marketing Efforts on Retailer-Perceived Brand Equity: An Empirical Analysis

Although both product-country images (PCI) and firm assets such as brand equity have been extensively studied in separate contexts, we know very little about the combined performance effects of these two important constructs in international research. Extant research has investigated brand equity primarily from a consumer perspective, but rarely from the point of view of a retailer. Retailers represent the ultimate participants in the value chain selling the product to consumers. They have the ability to significantly influence consumers’ evaluations and purchase decisions. Based upon existing literature documenting the contributions of PCI and marketing activities on brand equity, this study extends these findings by investigating their effects on retailer-perceived brand equity (RPBE) and ultimate brand profitability performance. Results indicate that both marketing activities and PCI affect retailer-perceived brand equity with PCI also strongly and positively influencing brand profitability performance.     

The effect of negative online customer reviews on brand equity and purchase intention of consumer electronics in South Africa

This study investigated the effect that negative online customer reviews have on brand equity and purchase intention. This research examined the influence of negative electronic word of mouth (eWOM) on brand equity, as influenced by customer review quality, product involvement and source credibility. A 3 (high quality review versus low quality review versus no review) × 2 (high product involvement versus low product involvement) factorial experiment with 236 respondents was conducted. The results revealed that the presence of negative eWOM has a significant detrimental effect on brand equity and purchase intention. Furthermore, the effect of negative online customer reviews is more detrimental to the brand equity of a high involvement product than a low involvement product. The results also revealed that high quality reviews are more influential than low quality reviews with respect to brand equity, and the difference between the levels of eWOM source credibility has no significant effect on brand equity.     

The Effect of Brand Gender on Brand Equity

Brand personality has been suggested as an important source of consumer‐based brand equity, yet empirical research on the relation between brand personality perceptions and brand equity is scarce. This article examines the link between masculine and feminine brand personality and brand equity as well as the underlying process of this relationship. Study 1 reported herein involves 140 existing brands and demonstrates that high levels of brand masculinity and femininity relate positively to brand equity, and that this relation is not moderated by participants’ sex. Study 2 demonstrates that brand gender accounts for brand equity ratings above and beyond other brand personality dimensions. Study 3 identifies ease of categorization as the underlying mechanism for the relationship between brand gender and brand equity.     

Development of brand equity: evaluation of four alternative models

This study examines the development of brand equity by evaluating the influences of brand associations, perceived quality, satisfaction, and brand loyalty. Based on insights from prior research, four models are proposed, which focus on alternative relationships among these four factors. Sample data sets from the banking and discount store services are used to evaluate the relationships between and among these four factors. Results of the comparative data analyses reveal that the research model fits the data significantly better than the other three models. In particular, the contention that the effects of perceived quality impact brand equity indirectly through satisfaction is supported. The findings indicate that the primary contribution of the current study lies in the inclusion of satisfaction as an antecedent to brand equity and in the attempts to adequately model its relationships with the more traditional brand equity antecedents of perceived quality, brand loyalty, and brand associations. These results, and their implications, along with avenues for further research are also elaborated in this research.     

Country-of-origin effects and antecedents of industrial brand equity

Does the country-of-origin effect matter to industrial brand equity in international business-to-business (B2B) markets? The effect of a product's country-of-origin (COO) on both industrial buyers' and consumers' perceptions and evaluations has been one of the most widely studied phenomena in the fields of international business, marketing, and consumer behavior since the 1960s. Although many country-of-origin studies focus on consumer behavior in developed countries and acknowledge that the processes and stages of economic development by which consumers use COO information may differ in developing countries, the fact that there has been little research to investigate the effects of COO could explain the variations in international buyers' evaluations of industrial brand equity in the newly-industrialized economies, such as Taiwan. Taiwanese firms are now formidable global B2B market players by successfully transforming themselves from manufacturing mainly low-value and labor-intensive goods to producing many high value-added products that require advanced technology, equipment and significant business expertise. With the adoption of advanced technology and equipment, an important question is whether unique and innovative fastener products from Taiwan have generated the country-of-origin effects in international B2B buyers' minds. The main finding is that the country-of-origin of fasteners has not yet become an important antecedent of industrial brand equity in the case of the fastener industry in Taiwan.     

The relationship between informational justice, recovery satisfaction, and loyalty: the moderating role of failure attributions

The purpose of this study is to explore the relationship between informational justice, recovery satisfaction, and customer loyalty, as well as the moderating role of failure attributions, concerning the link between informational justice and recovery satisfaction. Data were gathered by means of survey from airline passengers who experienced a failure and, subsequently, a recovery within the past 1 year. The current study extends previous research by incorporating informational justice, as well as investigating the impact of stability and controllability attributions, within the existing framework of customers’ post-recovery evaluations. The results of this study found that failure attributions (stability, the frequency of failures, and controllability, whether the airline is responsible for the situation) moderate the relationship between informational justice and recovery satisfaction. The findings also confirmed that there is a positive and significant relationship between recovery satisfaction and loyalty.     

An Empirical Investigation of Brand Equity: A Cross-Country Validation Analysis

ABSTRACT

The purpose of this article is to propose and test a model in order to better understand brand equity. The goal of this research is to identify the drivers and determine how they influence brand equity performance in the researched industry in order to develop a more effective brand strategy. Quantitative data collected are used to test a model of brand value in the context of the food industry. The findings of this research provided evidence that the customer-based brand equity model can be applied to the food industry context and be used to guide marketing activities internationally. Brand awareness has a positive influence on brand associations and perceived quality. Brand associations have a positive influence on brand loyalty. Finally, brand loyalty, perceived quality, and brand associations all have a positive effect on brand equity. This study contributes to the scarce international brand equity literature by testing the proposed model using data from a sample of consumers in two European countries.     

Towards an identity-based brand equity model

In the context of increasingly interchangeable product and service offerings, brands are crucial drivers for product purchasing and usage decisions. Thus, they constitute a substantial intangible asset for most companies. In order to maximize this asset, current research has developed various brand equity models. However, the majority of these base their approach on an outside-in perspective by focusing on buyer perceptions of the brand and their related buying behavior. An integrated approach including for example employees as an important internal source of brand equity, has so far received little attention. The following paper aims to close this gap by developing a new integrated brand equity model. This research explores the sources of brand equity from both internal and external perspectives at the behavioral and financial level in order to achieve a more accurate and sustainable brand equity measurement approach.     

Elements of destination brand equity and destination familiarity regarding travel intention

In a highly competitive market, marketing staff are always looking for solutions to strengthen what can be called their destination values (unique place, services, and human resources, etc.). They do this by concentrating on vital factors which can enhance their brand equity. Nevertheless, there is a shortage of studies about how destination brand evaluations are related to visitor appraisals. Using the opinions of 531 foreign tourists visiting a destination in Vietnam and a partial least squares (PLS) approach, this study examines four elements of destination brand equity (perceived quality, loyalty, awareness, image) regarding travel intentions and the moderating effect of destination familiarity. Results revealed that brand equity is positively related to travel intentions. Additionally, destination familiarity has positive moderating effects on destination awareness and perceived quality of travel intentions. This study offers some managerial insights into the effective building of destination brand equity.     

Brand origin and country of manufacture influences on brand equity and the moderating role of brand typicality

This research investigates how country macro and micro images associated with both brand origin (BO) and country of manufacture (COM) impact two main dimensions of brand equity-brand image and brand quality. Whereas BO images relate positively to both dimensions of brand equity, COM images exert an impact on brand quality, not on brand image. The typicality of the brand as a representative of the country of origin moderates the impact of BO on brand equity, such that the effects of BO on brand equity are stronger when the brand is more typical. The authors explore implications for theory and practice.     

Why Might Organic Labels Fail to Influence Consumer Choices? Marginal Labelling and Brand Equity Effects

An organic label offers a market signal for producers of organic food products. In Western economies, the label has gained high recognition, but organic food still represents a small part of total food consumption, which raises questions about the label's efficacy. By considering organic labels as a signal of quality for consumers, this article studies how this signal interacts with brand signals when both are visible to consumers, applying a cobranding framework. This research examines the moderating effect of the brand on organic label effects. In a 2 × 2 experimental design using real consumers (N = 122) in a shopping context, it found that, depending on brand equity, the marginal effect of organic labelling information in terms of perceived product quality varies. In particular, when brand equity is high (low), the organic label appears less (more) effective. However, regardless of the brand equity level, an organic label makes the environmentally friendly attribute salient, which has a positive impact on perceived quality. Pertinent implications for marketing and public policy are discussed.     

The impact of brand equity on brand preference and purchase intentions in the service industries

The antecedents of brand equity are considered to be brand attitude and brand image, and the consequences of brand equity are considered to be brand preference and purchase intentions. This study concentrates on service brands, selecting 18 from 3 service categories. A structural equation model is presented. Not only does it show a good fit with the research constructs but also the relationships between brand image and brand equity, and brand attitude and brand equity. The impact of brand equity on customer preference and purchase intentions is confirmed as well, which tends to validate the proposed research framework.     

When comparative valence frame affects brand extension evaluations: the moderating role of parent-extension fit

This research examines how comparative valence frame influences brand extension acceptance when parent-extension fit matters. The results of this research show that a positive comparison-framed ad message elicits more favourable extension evaluations and greater purchase intentions than a negative comparison-framed ad message under the similar extension condition, while both positive and negative comparison-framed ad messages contribute equally to brand extension evaluations and purchase intentions under the dissimilar extension condition. The findings also suggest that perceived extension risk serves as a critical mediator that underlies the interactive impact of comparative valence frame and parent-extension fit on brand extension evaluations. Theoretical and practical implications for advertising message strategies in brand extensions are discussed.     

Consumer Reactions to Unethical Service Recovery

Ethical business practices have been widely prescribed, but why? Consumer’s views on unethical business practices have been studied, but possibly more important to marketers and researchers are consumer actions and reactions to unethical business practices and the businesses themselves. Do consumers react negatively, or in such a way as to "punish" the unethical business? If so, what is the nature and extent of the punishment? This research seeks answers to these questions by examining consumer reactions, such as complaining and switching, to instances of unethical business practices. Using equity theory, this research proposes that consumers should be willing to tolerate some unethical behavior as long as they feel their investments and outcomes remain proportionately equal. Consumers who perceive that their outcome/investment ratio is proportionately unequal to their comparison other will respond by switching or complaining. In this research consumers were exposed to two types of service failures with different levels of service recovery in vignettes. Costs incurred by the consumer during the service transaction were also manipulated in the vignettes. Significant differences were found for complaint behavior in the failure recovery vignettes tested. Specifically, voice complaint was higher in the high cost service encounters in both types of services tested. The recovery attempt used (ethical, unethical, or none) led to significance differences in the variables of complaint, voice complaint, satisfaction, and quality. Higher satisfaction and quality ratings were found for the ethical recovery attempt and higher intentions to use complaint and voice complaint in the unethical recovery attempts. One significant interaction between cost and recovery attempt was found. Intentions to use voice complaint were higher in the high cost situations of ethical and unethical recovery, while approaching equality at the no recovery attempt.