Attitudes toward the extension and parent brand in response to extension advertising

This paper investigates how ads for extensions can trigger different reactions with respect to consumers' attitudes towards new line and brand extensions of familiar brands. Using a structural equation model, the authors research the influence of attitude towards the ad (Aad), parent brand quality, and perceived fit on attitude toward the extension (Aext), and resulting feedback effects on attitude toward the parent brand (Apb) with a sample of 509 Belgians. Results are compared between two types of advertising strategies (informational vs. positive emotional). The findings indicate that informational appeals, in comparison to emotional appeals, reduce the effects of parent brand quality and fit, but Aad is all the more important. In terms of feedback effects to the parent brand, Aext transfers more easily to Apb with an informational appeal than with a positive emotional appeal. On the other hand, Aad directly influences Apb for positive emotional appeals, but not informational appeals.     

Implications of parent brand inertia for multiproduct pricing

This paper explores and quantifies the importance of parent brand state dependence to forward looking pricing outcomes in the area of umbrella branding and multi-product firms. We show through numerical simulations that loyalty (inertia) to the parent brand can decrease prices and reduce profits, as well as mitigate or even reverse the benefits of joint profit maximization relative to sub-brand profit maximization. These effects are mediated by brand asymmetries and the relative magnitude of sub-brand state dependence effects. Empirically, we focus on the Yogurt category, where we consider parent brands with several sub-brands. Using household level scanner data, we estimate the parameters that characterize consumer demand while flexibly accounting for consumer heterogeneity. We also estimate unobserved product costs based on a forward looking price setting game. Through counterfactual analysis, we study the overall effect of parent brand state dependence on prices and profits, as well as the empirical impact of joint profit maximization and changes in firms’ beliefs regarding consumer inertia. Our findings have implications for markets where demand is likely characterized by parent brand dynamics.     

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.     

What if something unexpected happens to my brand? Spillover effects from positive and negative events in a co‐branding partnership

Brands sometimes enter into co‐branding agreements and major events can occur to one of the brands which can have either negative or positive consequences for the brands involved in the partnership. The current study investigates as yet unanswered research questions regarding whether and how positive and negative events happening to one brand in a co‐branding partnership affect the brand equities of the other brands in the partnership. The authors provide and test a new integrated attribution‐diagnosticity framework to explain the process that underlies the magnitude of these spillover effects. Findings show that while positive and negative event‐related spillover effects occur between the co‐brand and both parent brands, they were surprisingly absent between the parent brands. Further, the (a)symmetry of parent brand equity before the event influences the magnitude of event‐related spillover the parent brands receive from the co‐brand. Theoretical and practical implications of these findings are discussed.     

Spillover effects of ingredient branded strategies on brand choice: A field study

Ingredient branding, or the use of two or more brand names on a single product, is widely seen as providing significant benefits in terms of increased product differentiation and greater market share. The association between two brand names can both enhance and dilute the brand equity of the host brand name and the ingredient brand name. This research examines the behavioral spillover effects associated with cobranded strategies across segments of consumers that vary in their prior brand commitment or loyalty. Different from previous research, this paper uses A.C. Nielsen scanner panel data to investigate the behavioral spillover effects of ingredient branded products on choice of the host and ingredient brands in a field setting. The results suggest that there is a significant behavioral spillover impact of trial of the cobranded product on the purchase probability of both the host and ingredient brands. This effect is greater among prior non-loyal users and prior non-users of the host and ingredient brands and when there is a higher degree of perceived fit between the host and ingredient brands.     

The role of brand strength,type, image and product-category fit in retail brand collaborations

Retailer brand collaborations are an underexploited way for retailers to expand product lines and target new segments relatively quickly and cheaply, yet little work has explored the area and the influence of important factors in the image inheritance process remains unknown. Using data from two experiments involving 240 subjects, we examine the role of brand type, brand strength and the fit between parent and brand collaboration product categories to show that a new retail product's image inherits more characteristics from a symbolic parent brand (even when the brand is weak) and when there are higher degrees of parent retailer-image fit. However, fit between the new retail collaboration's product category and that of the parent brands is only important for functional brands. The results help retailers decide which partner to choose to maximize image inheritance.     

Managing higher education brands with an emerging brand architecture: the role of shared values and competing brand identities

ABSTRACT

Corporate branding is a strategic issue for universities as the global higher education (HE) marketplace is becoming increasingly competitive and there is pressure to differentiate. Yet it is unclear how universities develop and manage brand strategies, and whether they draw upon any meaningful connections to the multiple stakeholders and sub-cultures engaged with a university’s brand. Using qualitative data gathered from an education faculty within an established UK university, this study found the faculty and university had competing brand identities and images. A strong faculty brand emerged co-created through the shared teacher related values of staff and external partners. This study contributes to the brand strategy literature by applying branding concepts to the under-researched HE context and proposing a new, more nuanced brand architecture model not yet reported in the branding literature which more accurately reflects the management of sub and corporate HE brands.     

The visual naturalness effect: Impact of natural logos on brand personality perception

A logo is a critical visual element that uniquely identifies a brand and can affect consumers' brand perceptions. Naturalness reflects the degree to which a sign depicts objects from the natural and sensitive world. The logo strategy literature identifies naturalness as a universal and critical design dimension influencing consumers' cognitive, affective and behavioural reactions. In practice, both high and low natural logos are frequently used by brands. However, the current understanding of the effects of logo naturalness is limited. This research thus investigates the influence of natural logos on consumer perceptions of brand personality. The data were collected in four experiments using a set of 10 manipulated logos as stimuli. Our results suggest that high (vs. low) natural logos positively affect the perception of brand sincerity personality and that this effect occurs because high natural logos are easier to process and elicit stronger impressions of authenticity. Moreover, we demonstrate that the positive effect of logo naturalness is enhanced among brands with products made from natural-made (vs. human-made) ingredients. These findings therefore suggest that brands should avoid using low natural logos if their sincerity perception is critical or if most of their products contain high levels of natural ingredients. Hence, our results reinforce the visual design and branding theories and offer marketing practitioners actionable insights.     

The uninvited brand

Brands rushed into social media, viewing social networks, video sharing, online communities, and microblogging sites as the panacea to diminishing returns for traditional brand building routes. But as more branding activity moves to the Web, marketers are confronted with the stark realization that social media was made for people, not for brands. In this article, we explore the emergent cultural landscape of open source branding, and identify marketing strategies directed at the hunt for consumer engagement on the People's Web. These strategies present a paradox, for to gain coveted resonance, the brand must relinquish control. We discuss how Web-based power struggles between marketers and consumer brand authors challenge accepted branding truths and paradigms: where short-term brands can trump long-term icons; where marketing looks more like public relations; where brand building gives way to brand protection; and brand value is driven by risk, not returns.     

Drivers of autonomous vehicles—analyzing consumer preferences for self-driving car brand extensions

Autonomous cars are considered to be the next disruptive innovation that will affect consumers. It can be expected that not only traditional automakers will enter this market (e.g., Ford) but also technology companies (e.g., Google) and newer companies dedicated to self-driving cars (e.g., Tesla). We take a brand extension perspective and analyze to what extent consumers prefer autonomous cars from these brand categories. Our empirical study is based on discrete choice experiments about adopting autonomous vehicles in a purchase scenario and in a renting context. Our findings show that brands play a central role when making autonomous driving decisions. Brand preferences differ systematically when buying versus renting a self-driving car. While technology brands are most preferred overall, consumers favor automaker brands over new brands only when purchasing, not when renting. We further disentangle the brand strength into the marginal effects of image associations. For example, Google’s strong brand positioning can be explained by experiences with the parent brand, but it could still improve brand strength by highlighting the relevance of the associated brand portfolio for self-driving cars. The effect of these brand extension success factors differs between parent-brand categories and also between the renting and purchasing scenarios, which requires a dedicated brand management.

     

Investigating the impact of brand vs cause interaction on cause related advertisements

Cause-related Marketing (CRM) strategies have been widely implemented by numerous brands in their communication with customers through advertisements. This research employs four quasi-experimental studies to understand how brands and cause related variables interact to impact attitude towards advertisements and brands. Study I (n = 623) seek to understand the influence of brand related variables, namely, brand familiarity, brand importance, and brand association on the attitude towards advertisements and brands. Study II (n = 722) shows the moderating effect of advertisement type (CRM vs non-CRM) on the relationships connecting branding variables to advertisement and brand attitude. In Study III (n = 637), the effect of cause related dimension, namely, cause familiarity, cause importance, and cause brand fit on the attitude towards advertisement and brands is studied. Finally, study IV (n = 549) shows the interaction effect of brand and cause related dimensions on the attitude towards advertisements and brands. Results indicate cause brand fit to be the most significant variable affecting attitudes followed by brand association, brand importance, and cause importance. Cause importance also interacted with brand importance and brand association to cause a positive and negative magnifying effect on the advertisement attitudes respectively.     

The importance of advertising skepticism for brand extension appeals

According to existing research, ad persuasiveness decreases as advertising skepticism (i.e., the tendency to disbelieve advertising claims) increases. What remains unclear, however, is whether or not this effect extends to brand extension appeals. We suggest that the effect may vary according to brand extension similarity. Three studies test this assertion while providing process evidence and boundary conditions for the proposed effect. According to the findings, consumers automatically transfer associations from parent brands to highly similar extensions or automatically block these associations in the case of highly dissimilar extensions—reducing the impact of advertising skepticism on ad persuasiveness. At moderate levels, however, extension similarity is less predictive of the transfer process, increasing the negative effect of advertising skepticism on persuasion. Consistent with this account, the results identify brand transfer (i.e., the ability of the parent brand to make the extension) as the underlying mechanism explaining the advertising skepticism effect for moderately similar brand extension appeals. Furthermore, the results show how marketers can reduce these effects, and increase extension success, by emphasizing extension attributes that are shared with the parent brand. Collectively, these results provide a unique theoretical view, improving our understanding of advertising skepticism and the drivers of brand extension success.     

Branding co-creation with members of online brand communities

This article looks at the co-creation of value in the branding process with members of online communities. Three online communities in Iran are analyzed through 45 interviews with members along with three interviews with top managers of the three brands of these communities. A content analysis shows a clear process in that the social interactions of customers in online brand communities with their favorite brands help develop relationship quality and increase customer brand loyalty. The findings suggest that firms may develop their branding strategies using social media and online brand communities through relationship marketing by using an online co-creation strategy. The findings also serve to inform practitioners of the impact of social media on branding and how they can best facilitate these brand relationships.     

Push-based brand awareness: the role of product availability and in-store merchandising

This study introduces a new brand awareness conceptualization; ‘push-based brand awareness’ in the light of available retailing, distribution, and branding literature. Previously, push-based awareness merely defined brand/product availability. This study extends that definition by including available brand awareness created by in-store merchandising. While out-of-stock (OOS) literature extensively interprets product availability and consumers' responses to OOS brands, a brand's effect on consumer awareness remains unexamined. Because such brand awareness may be one of the major reasons behind frequently purchased product success, such consumer awareness deserves closer attention. This study introduces the push-based brand awareness concept with a proposed model including possible managerial implications.     

Relating brand anxiety,brand hatred and obsess: Moderating role of age and brand affection

Proficient brand management, including retail brands, is crucial for the success of the firms or retailers. One area of interest is consumers’ negativity towards brands (e.g., hate) due to negative consumer-brand relationships. The present article examines the relationships between brand anxiety, brand hatred and obsess, and illustrates the impacts of age and brand affection on these relationships. Data were collected through an online survey, and partial least squares path modelling was used to test the proposed paths on a sample of 416 consumers. The findings revealed that brand anxiety influenced obsess directly and indirectly through brand hatred. It was also evident that age moderated the path between brand anxiety and brand hatred, while brand affection strengthened the relationship between brand hatred and obsess. Theoretical contributions and managerial implications are discussed subsequently.     

Does poor fit always lead to negative evaluations? Extension advertising and perceived brand quality

This article investigates the moderating roles of advertising strategy (relational vs. elaborational) and perceived parent brand quality on the influence that parent brand–extension fit exerts on consumer evaluations of both extensions and the parent brand. Two studies manipulate fit in terms of either brand concept consistency or product feature similarity. Lower fit results in negative consumer responses, yet an elaborational advertising strategy mitigates the negative effects of lower fit on extension evaluations. This mitigating effect is stronger for high quality than for average quality brands. The results also indicate extension feedback effects for the parent brand, suggesting that elaborational advertising strategies may reduce the impact of fit on parent brand feedback effects. This latter link is not moderated by parent brand quality.     

An Empirical Investigation of Composite Product Choice

Prior ingredient branding research has examined the influence of “stated” factors such as fit between partner brands on composite product (e.g., Tide with Downy fabric softener) attitudes. This research focuses on choice of composite products, and addresses three managerially relevant questions: Which consumer segments are more likely to adopt the composite product? Will the choice of the composite product have positive or negative reciprocal effects on partner brands? Will the introduction of the composite product benefit the primary or the secondary brand more? The authors use a brand choice model to investigate the “revealed” choice of complements-based composite products. Study results indicate that (i) despite high fit between the composite product and the primary brand, consumer segments may have different choice likelihoods for these products, whereas prior research suggests equal likelihood; (ii) the choice of a composite product may not provide a positive reciprocal effect to the secondary brand; and (iii) the introduction of a composite product may benefit the primary brand more than the secondary brand, whereas prior research suggests a symmetrical benefit for the partner brands. Finally, the finding that introducing a composite product may not cannibalize the sale of the primary brand extends the ingredient branding literature, which has been silent on this issue.     

Evaluating marketplace synergies of ingredient brand alliances

This research examines the marketplace performance of ingredient brand alliances (IBAs). In this type of alliance, a component or feature of a primary or focal brand is branded using a secondary brand. Performance is affected by both the primary and secondary brands, each of which has functional and emotional associations. Drawing on concept combination theory, the authors examine congruent and incongruent effects in both associations as a means of achieving synergy in the brand. While the extant literature largely focuses on consumer perceptions of ingredient brand alliance products as an outcome, the authors examine the market share and revenues for 126 ingredient brand alliances in 49 product categories of consumer packaged goods over 14?years. A generalized estimation equation shows that, on average, each brand's associations have positive main effects on ingredient brand alliance performance. However, congruent associations (such as the perceived functional associations of both brands) attenuate these effects, while incongruent associations (the perceived functional association of one brand with the perceived emotional association of another) were not significant. The article concludes with a simulation showing that managers can do better by picking a partner brand whose associations are more incongruent, rather than merely what seems to be the strongest partner on both associations.     

How to brand your private labels

Private labels have become ever-more important and are slowly turning into brands of their own. Retailers increasingly offer three-level ‘good, better, best’ private-label programs that include economy, standard, and premium private-label tier goods. For each of these tiers, retailers must decide under what name to brand their private label. They can either assign their store banner name to a private-label tier or go for a unique brand name that is separate from the retailer banner. The purpose of this article is to outline the advantages and limitations of these two branding strategies: store-banner branding versus stand-alone branding. Herein, we also provide a series of recommendations regarding when to use each brand strategy, based on characteristics of the retailer and the environment in which it operates.     

Gender identity and brand incongruence: when in doubt,pursue masculinity

Gender identity is the extent to which an individual identifies with masculine or feminine personality traits. Sex roles in Western societies continue to evolve, so this research examines the developing relationship between gender identity and consumer responses to gendered branding. Grounded in self-congruency theory [Sirgy, M. J. (1982). Self-concept in consumer behavior: A critical review. Journal of Consumer Research, 9, 287–300], the present research reports an experiment that supports a congruence relationship between gender identity and brand response. Masculine consumers prefer masculine brands. The results also show incongruent brand rejection where masculine consumers react negatively to feminine brands although feminine consumers are more accepting of masculine brands. Further, the results suggest that gender identity is a more effective dimension for customer segmentation than biological sex. Overall, the results suggest that masculine brands are more effective than other gendered brand profiles for masculine, feminine, and androgynous consumers.