Embodied Product Perception: Effects of Verticality Cues in Advertising and Packaging Design on Consumer Impressions and Price Expectations

As consumers increasingly turn to luxury brands and associated benefits, brand managers face the question how to convey luxury perceptions via marketing communications such as packaging and advertising design. Inspired by theories addressing embodied cognition and symbolic meaning portrayal, this paper argues that visual cues inspiring verticality perceptions (i.e., camera angle and advertising background orientation) affect luxury perceptions and, consequently, consumer evaluations and price expectations. Across three experiments, verticality cues fostered perceptions of product luxury but differentially affected price expectations and purchase considerations depending on product type. Moreover, findings show that effects of vertical orientation are more pronounced for participants high on sociable dominance. Implications of these findings for visual brand management are discussed.     

Preservation,rejuvenation, or confusion? Changing package designs for heritage brands

Updating a brand's packaging presents a challenge, especially for heritage brands. This study examines how and when continuity in visual package design influences brand heritage perceptions. A pre‐study uses focus groups to corroborate evidence for the constructs and processes involved. Three experiments show that lower continuity designs create confusion, which in turn damages a brand's heritage identity. Study 1a provides initial evidence for the process and demonstrates that effects occur regardless of prior brand usage. Study 1b replicates the mediating role of confusion with two different product categories, controlling for brand attachment. Study 1c rules out alternative mediating processes through other emotions. Employing a quasiexperimental design involving ten brands, Study 2 demonstrates that a brand's mascot can buffer against detrimental effects of low design continuity on confusion and consequent perceptions of brand heritage and purchase intention while controlling for brand familiarity and need for cognition. Together, these findings contribute to a better understanding of consumer responses to changes in package design and heritage brands.     

The Tipping Point of Design: How Product Design and Brands Interact to Affect Consumers’ Preferences

Existing research on product design has demonstrated the importance of aesthetics in generating favorable consumer responses. However, the literature has only recently begun to explore if and to what extent the impact of product design is influenced by brand strength. Whereas some research indicates that strong brands may benefit less strongly from aesthetically attractive designs, other research suggests that attractive designs are more persuasive when they are paired with a strong brand. In this research, these two competing predictions were tested through three studies with German car buyers. In Study 1, participants were exposed to a fictitious car that was paired with a randomly chosen brand name. In Study 2, participants were presented with a set of existing cars and were asked to choose one. Both studies yield converging evidence and show that product design and brands interact in a positive fashion, suggesting that attractive designs exert a greater influence on consumers’ decision processes when they are accompanied by a strong brand. Study 3 extended these findings by demonstrating that strong brands only increase the impact of attractive designs when perceived risk is high but not when it is low.     

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.     

Store brands and retail differentiation: the influence of store image and store brand attitude on store own brand perceptions

Store's own brands can provide important opportunities for retail differentiation if they are considered by consumers to be uniquely associated with store image. A survey of shoppers measured attitudes toward individual stores’ images and store brand perceptions, as well as general attitudes toward store brands. A regression analysis demonstrates a positive relationship between consumers’ perceptions of individual store own brands and their associated store's image dimensions and attitudes toward store brands in general.     

Effects of co‐creation claim on consumer brand perceptions and behavioural intentions

Increasingly often, companies ‘co‐create’ with consumers in open innovation practices to develop new products more effectively. Little is known about how co‐creation affects consumer brand perceptions in the mass market. We hypothesize that co‐creative brands – as opposed to non–co‐creative brands – are perceived as more authentic and sincere, and are associated with relatively positive behavioural intentions. A between‐subjects experiment was conducted to test these hypotheses in an online panel of consumers who did not take part in co‐creation. The experiment had a 3 (control vs. co‐creation vs. co‐creation supported with some visual proof) × 2 (well‐known existing brand vs. fictitious brand) design. Quantitative data analyses (n = 530) confirmed that for both brands, co‐creation affects brand personality perceptions directly and behavioural intentions indirectly. This study shows that co‐creating with consumers can be a strategic method to positively influence product perceptions and behavioural intentions.     

Perceived quality and image: When all is not “rosy”

The “meaning” of a brand resides in the minds of consumers, based on what they have learned, felt, seen, and heard over time. This study explores the relationship between quality and image with special attention on brands plagued with negative impressions, including instances where consumers' perceptions of a product's quality conflict with its perceived “image”. Data confirm that quality and image impact attitudes in a distinct manner, and overall, low brand image is more damaging than low quality. In addition, findings show that (1) hedonic attitudes towards brands are most driven by image, whereas utilitarian attitude formation/change processes are dominated by quality, (2) non-attribute brand beliefs are a stronger predictor of hedonic attitudes when quality or image is low versus high, while (3) attribute-based beliefs are strong predictors of utilitarian attitudes across image and quality levels.     

Evaluating brand extensions,fit perceptions and post-extension brand image: does size matter?

Abstract

This study contributes to the scant literature considering brand extensions in a competitive context and investigates whether the correlation between consumers’ beliefs about a brand’s attributes and the number of its buyers described in previous research occurs with regard to fit perceptions of brand extensions, extension evaluation and post-extension brand image. In a scenario experiment with real brands and fictitious extensions, members of a commercial UK panel evaluated high and low-fit extensions and post-extension brand images of competing brands of pet food. The relative size of each brand in terms of the number of its buyers was used as a benchmark in the analysis. For all extensions, results reveal a positive correlation between post-extension brand images, extension evaluations, fit perceptions and the number of brand buyers. Results have implications for interpreting consumers’ perceptions of fit, evaluation of extensions and post-extension brand images of competing brands.     

Uppercase Premium Effect: The Role of Brand Letter Case in Brand Premiumness

Researchers have recently begun investigating how visual elements affect brand positioning. However, little is known about the effect of brand typeface features on brand premiumness. This paper proposes and verifies that letter case affects consumers’ perceived brand premiumness. Eight experiments, including one eye-tracking experiment, reveal that consumers perceive brands that use all uppercase letters (“uppercase brands”) as more premium than those that use all lowercase letters (“lowercase brands”). We refer to this effect as the “uppercase premium effect.” This effect is induced by the perceived conspicuousness of uppercase brands, a process which in turn is moderated by the product's social visibility. The effect is reversed for consumers who prefer subtle signals (“inconspicuous consumers”) because these consumers are likely to perceive a conspicuous uppercase brand as gaudy. Whereas status-motivated consumers are more likely to choose uppercase brands due to the increased premiumness perceptions, the increment in such perceptions does not further influence the purchase decisions of consumers indifferent to expressing status. We conclude with a discussion of theoretical and practical implications and offer suggestions for further research.     

The shape of premiumness: Logo Shape's effects on perceived brand premiumness and brand preference

Logos are the brands’ visual identity, which can influence brand positioning and contribute to brand success. However, little is known about the effect of logo shape on brand premiumness perception. Thus, we conducted four studies, including one archival dataset analysis, to examine this issue. Results revealed that consumers perceive angular-logo brands as more premium than circular-logo brands. Such logo shape effect is driven by perceived psychological distance between the brand and consumers. We further identified the downstream consequences of perceived brand premiumness. To express status, consumers are more likely to choose angular-logo brands, which are perceived as more premium. However, consumers unmotivated by status-expressing goals will be unaffected by such perceptions. These findings have theoretical implications regarding brand logo and positioning, and practical implications for logo design.     

Being True to Oneself: Investigating Celebrity Brand Authenticity

Celebrity brand authenticity is introduced as a construct that represents consumer perceptions of celebrities being “true to oneself” in their behaviors and interactions with consumers. A scale is developed through two purification stages and the scale's predictive validity is assessed. First, the meaning of celebrity brand authenticity to consumers is explored. Second, the Authenticity Inventory from the psychology literature is adapted to develop a scale for consumer perceptions of celebrity brand authenticity. Celebrity brands are perceived as true to self when they appear genuine in their relationships with consumers and behave in accordance with their perceived held values. Evidence of the convergent and discriminant validity of the celebrity brand authenticity scale is provided, which confirms celebrity brand authenticity as distinct from celebrity attachment, despite containing relational items. Finally, the predictive power of celebrity brand authenticity is confirmed through positively influencing consumer intentions to purchase an endorsed brand. Brand managers can use celebrity brand authenticity to position or develop celebrity brands, as well as in the selection of celebrity endorsers.     

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.     

The dark side of innovation: How new SKUs affect brand choice in the presence of consumer uncertainty and learning

New product activity is critical for sustained success of consumer packaged goods (CPG) brands. However, the impact of new SKUs on the perceived quality, quality uncertainty and subsequent choice of the brand as a whole is, as of yet, not well understood. The authors study how new additions to the brand line shape consumers’ quality perceptions, and how this – next to the mere line length effect – influences their choice of brands over time. They do so in the setting of an emerging market (China), where new product activity is particularly pervasive. Using a unique scanner panel dataset of Chinese households over the period 2011–2014, they estimate a Bayesian learning model that accommodates varying quality, on two CPG categories, and for two types of new-product additions (new sensory SKUs vs. new non-sensory SKUs). They show that while adding new SKUs may lift the brand’s perceived quality level, it also makes consumers more uncertain about the quality of the brand – dampening their brand choice. This holds especially for light customers – an important part of the brand clientele. Managerial implications are discussed.     

How does a Brand Ally Affect Consumer Evaluations of a Focal Brand?

Published research has shown that an alliance with a well‐known, reputable brand can improve quality perceptions of a previously unknown focal brand. Much of this research is based on signaling theory's bonding hypothesis. However, customers face information search costs when evaluating brands with which they may be unfamiliar. The authors contend that, since consumers are self‐interested, they will prefer to realize cost savings for themselves relative to a future conditional opportunity to punish a false signal sender. Three studies show that the effect of brand ally information on quality perceptions of an unfamiliar brand is mediated by perceived risk reduction due to lower information search costs.     

How Do Price Perceptions of Different Brand Types Affect Shopping Value and Store Loyalty?

This research investigates the relationships among price perceptions for different brand types (national brands, standard store brands, regional store brands, organic store brands), shopping value dimensions (quality, price, social, and emotion value), and store loyalty (retention and word of mouth (WOM)). A comprehensive model depicts determinants of customer store loyalty. Using structural equation modeling, the model test includes 671 consumers intercepted during shopping trips. The data analysis yields several surprising results. In particular, low product price perceptions do not necessarily signal negative store quality evaluations. Shopping value dimensions influence store retention loyalty and WOM behavior differently. Furthermore, different brand types exert distinct effects on the value creation process. Favorable prices for national and standard store brands have comparable positive effects on store price value and emotional value creation; appealing prices of regional store brands instead reduce the emotional value of the store, and low prices for organic store brand products significantly increase social value creation.     

Seeing Without Looking: The Effects of Hemispheric Functioning on Memory for Brands in Computer Games

The authors hypothesize that the effectiveness of in-game advertising is influenced by two inborn traits, bisected hemispheric functioning and physiological arousal, that are at the core of human behavior. A 2 (preattentive processing type) × 2 (arousal level) between-subjects design was employed in both Experiment 1 (well-known brand placement) and Experiment 2 (lesser-known brand placement). The results from the two experiments reveal that people show better recognition memory for in-game ads when brand names are presented peripherally in the right visual field and brand images are embedded peripherally in the left visual field. In addition, people can remember more brand ads when they experience less arousal (Experiment 1). This effect, however, is attenuated when unfamiliar brands are placed in the game (Experiment 2). Implications are discussed for further investigation.     

Deal is on! Why people buy from daily deal websites

We present two studies examining daily deal websites. In the first, we see whether revealing deal size influences choice, and consider the effect of desire for conformity/uniqueness. In the second, we determine the impact discounting levels have on quality perceptions and purchase likelihood, while considering the influence of brand familiarity and offer type. We find the bandwagon/snob effect can influence purchase likelihood. The results also suggest that heavy discounts have a negative impact on quality perceptions, and that brand familiarity and offer type may affect quality perceptions and purchase likelihood. Retailers seeking brand exposure should act cautiously regarding discount levels, and exclusive brands may not be suitable.     

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.     

Two-Tier Store Brands: The Benefic Impact of a Value Brand on Perceptions of a Premium Brand

A recent trend in the retail industry is the emergence of multi-tier store brands. In the current article, we contrast consumers’ expectations in a retailing context in which a single store brand is present to one in which two store brands are offered in the same category. We propose that when a retailer offers a single store brand, consumers expect it to be of lower quality even when it is described as a premium brand. On the other hand, quality perception of a premium store brand increases in the presence of a value store brand. Importantly, quality perceptions of a value store brand are not affected by the presence of a premium store brand. In two studies we find support for our hypotheses showing the benefic impact of a value store brand on quality perceptions of a premium store brand.