Abstract
We investigate a tool, namely visual art, which enables firms to increase the extendibility of their brands. Extant research proposes that successful brand extensions depend on favorable brand image and high perceived fit between the brand and the extension category. We propose that the presence of art has a positive influence on brand image (via a transfer of luxury perceptions from art onto the brand) and enhances perceived fit (via increased cognitive flexibility), resulting in more favorable brand extension evaluations. A pilot study and two experiments demonstrate that the presence of visual art favorably influences brand image perceptions and enhances perceptions of category fit. Mediation analysis reveals that together these factors explain the influence of visual art on brand extendibility.
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