Sizing up the retailer brand implementation gap and its effects on brand-building outcomes

Abstract

Brand marketers initiate brand strategies in an effort to positively influence customer-based brand outcomes. However, in today's environment, success is largely dependent upon retailer coordination and support of manufacturers’ brand-building efforts, including execution of in-store promotions and other merchandising activities. Building on brand and marketing channel theory, and based on a qualitative study of brand managers and executives, we introduce the concept of the retailer brand implementation gap (RBIG), the disparity between the manufacturer's brand-building strategies and brand-building outcomes (for example, brand equity) due to a lack of retailer support, and offer propositions regarding RBIG. Additionally, we present a conceptual model that illustrates the possible factors affecting RBIG. When RBIG is large, manufacturer return on brand investments will be suboptimal. In contrast, cooperative efforts between manufacturers and retailers are likely to maximize investment returns and decrease RBIG. The results of the qualitative study suggest that efforts to collaborate with retail partners, support their brand-building initiatives, and focus on creating value for end-consumers can reduce the size of RBIG.