The asymmetric effect of portfolio and image abstractness

Abstract

PurposeThis research distinguishes between abstract brand concepts built through the development of diverse product portfolios (i.e. portfolio abstractness) and those built through establishing human-like images (i.e. image abstractness), and investigates the joint effect of the two types of brand abstractness on building brand equity.Design/methodology/approachThe three studies presented use experimental design with participants in a laboratory setting and members of an online participant panel.FindingsThree studies demonstrate that while building abstractness by expanding a brand’s product portfolio can generate favorable brand evaluations, this positive effect is marginal compared to when the brand is imbued with human-like characteristics. Furthermore, the favorable effects on brand equity because of abstractness associated with a human-like brand image are evident in protection from brand dilution in the face of negative publicity.Research limitations/implicationsThe findings suggest that a consideration of different forms of abstractness is key to unlocking the complexities of understanding customer-based brand equity.Practical implicationsThis research shows that although building abstractness through a diversified product portfolio or a symbolic, human-like brand image can favorably impact customer-based brand equity (i.e. attitudes and responses to negative publicity), the former strategy has a marginal effect compared to the latter.Originality/valueThis is the first research to conceptualize brand abstractness as stemming from broad portfolios or from human-like brand images. Additionally, it provides a holistic understanding of how these two forms of abstractness jointly influence brand evaluations and responses to negative publicity.