Mediating model of brand equity and its application

Umesh Ramchandra Raut,Prafulla Arjun Pawar,Gyanendra Singh Sisodia,Pedro Quelhas Brito

doi:10.1108/sjme-04-2019-0021

Abstract

Purpose This paper aims to examine the mediating role of brand satisfaction and brand trust in brand equity antecedents and outcomes through an empirical investigation of brand equity elements. Design/methodology/approach A survey was conducted in Pune and Mumbai, two prominent cities of India. A structured questionnaire focussed on garnering responses on measuring brand equity antecedents and outcomes was circulated to the cell phone users. The questionnaire aimed to assess the role of two additional variables, namely, brand satisfaction and brand trust, in the existing and the conceptual model of brand equity (Keller, 2001). Based on the data analysis, a structural equations path and the mediating model were developed. Findings The findings of this study show that the new brand equity model is highly relevant in predicting brand equity as compared to the existing brand equity model (Keller, 2001). The brand equity mediation model clearly elucidates the role of brand trust and brand satisfaction. Research limitations/implications With reference to a theoretical contribution, the study broadens the existing hypothetical model of brand equity. The findings of this research provide a strategic and analytical model for brand managers to build brand relationships among their consumers. Originality/value The present study challenges the existing model of brand equity (Keller, 2001) and further makes an effort to fill in the gaps in the existing theoretical model of brand equity.

Highlights

Creating an effective brand is a challenging endeavour (Klink, 2003; Veloutsou and Guzmán, 2017)
Present study conducted a series of path model analyses to test the mediating role of brand satisfaction and brand trust within the brand equity model
The Keller (2001) brand equity model, as represented in Figure 2 and SEM data analysis output in Table II elucidates that the paths considered by the researcher according to the theory of brand equity, are valid paths

Summary

Introduction

Creating an effective brand is a challenging endeavour (Klink, 2003; Veloutsou and Guzmán, 2017). Brand resonance is the extent to which a consumer develops strong behavioural, psychological and social bonds with the brands he/she consumes (Keller, 2001; Rindfleisch et al, 2006). Keller (2001) introduces the customerbased brand equity model, which drives customers from brand identity to brand relationship. There has been significant work done in the field of consumer brand relationships in the past few decades and it is still an emerging research area. Brand Relationship allows one to understand how people make long-term commitments to inanimate objects that they buy and consume (Kumar, 2006). On the backdrop of the available literature on brands and branding, the present study aimed to explain the application of a conceptual model, to comprehend the selection of brand by customers which is crucial for realising the concept of brand resonance in the arena of brand management

Objectives

Methods

Results

Conclusion