Consumer-based Brand Equity Model Research Articles

Consumer based brand equity in the 21st century: an examination of the role of social media marketing

Purpose The present research investigates the influence of brand-based social media marketing (SMM) activities on metrics of consumer-based brand equity (CBBE). Specifically, the study examines the role of consumer-brand social media experiences on attitude toward SMM activities of brands and its consequent impact on brand perceptions. Design/methodology/approach Paper-and-pencil surveys were administered to undergraduate students in a Southwestern university in exchange for extra credit. Survey questions were adapted from previously validated scales, and measurement adaptations were minimal and only related to the context of questions to assure their relevance with the context of this study. Bi-variate correlation, bootstrapping technique, Sobel test, ANOVA and linear regression were used to test the hypotheses. Findings The results indicate that brand-based SMM is essential in impacting consumers’ attitudes toward brands and consequently, CBBE reflected via perceived value for the cost, perceived uniqueness and the willingness to pay a price premium for a brand. Additionally, the main reason for individuals to use social media impacts their attitudes toward and receptiveness of SMM activities of brands. Research limitations/implications This study used a sample of college students to address the research questions. Considering the higher adoption rate and interest in social media among younger consumer groups, the results may not be representative of the entire population. Much of the existing research on social media, however, has focused on undergraduate college students and is primarily based on studies utilizing the similar research population. Originality/value The present research is one of the few studies that empirically examine the impact of consumer-brand interactions/experiences on consumers’ attitudes toward SMM activities of brands, as well as brand-related knowledge and perceptions as reflected by CBBE. The results indicate that the CBBE model of the twenty-first century should incorporate the role of brand-based SMM activities as facilitators of brand knowledge (i.e. brand awareness and brand image) by reinforcing or even shaping important brand-based associations.

Investigating non-visitors’ intentions to travel to a long-haul holiday destination

This article aims to expand our understanding of the main drivers of traveler’s intention to visit a long-haul holiday destination drawing on a model of consumer-based brand equity. The authors propose and test a conceptual model using data from a sample of 152 Chilean travelers who have not visited Australia previously. The findings show that the image and value of Australia are positively and significantly related to Chilean traveler’s intention to visit this destination for holidays. Awareness of Australia has only an indirect effect on intentions to visit this destination through its effect on brand image. Finally, perceptions of brand quality were not significantly related to Chilean traveler’s intention to visit Australia for holidays. This study contributes to the tourism and leisure literature by identifying the main drivers for attracting long-haul potential travelers who have not visited the destination previously.

A cross validation of Consumer-Based Brand Equity models: Driving customer equity in retail brands

The Consumer-Based Brand Equity (CBBE) literature has, in recent years, introduced various CBBE models. This study aims to compare the validity of the two prominent CBBE models in the retail industry; those introduced by Yoo and Donthu (2011) and Nam, Ekinci and Whyatt (2011). In order to make this comparison, the study collected data from Turkish (n=285) and Spanish respondents (n=236) who had experience with global fashion brands and Private Labels (PL). The findings of the study suggest that Nam et al.'s (2011) CBBE model has better validity than Yoon and Donthu's (2011) model. When brand awareness is included in Nam et al.'s model, the psychometric properties of the model improve and outperform the two models. The study discusses the theoretical contributions and managerial implications of the research.

A Causal Model of Consumer-Based Brand Equity

Abstract Branding literature suggests that consumer-based brand equity (CBBE) is a multidimensional construct. Starting from this approach and developing a conceptual multidimensional model, this study finds that CBBE can be best modelled with a two-dimensional structure and claims that it achieves this result by choosing the theoretically based causal specification. On the contrary, with reflective specification, one will be able to fit almost any valid construct because of the halo effect and common method bias. In the final model, Trust (in quality) and Advantage are causing the second-order Brand Equity. The two-dimensional brand equity is an intuitive model easy to interpret and easy to measure, which thus may be a much more attractive means for the management as well.

Modeling consumer-based brand equity for multinational hotel brands – When hosts become guests

This study addresses global expansion challenges faced by multinational hotel companies under the backdrop of the booming international travel. Grounded upon theories pertaining to brand equity, this study develops the consumer-based brand equity (CBBE) model for multinational hotel brands, which examines the effects of brand knowledge on consumer response to these brands. The conceptual model is empirically tested using a sample of the Chinese middle-class consumers in their home country – China and when they travel to the foreign country as their host country – the United States. Three U.S.-based multinational hotel brands are selected: Hilton, Holiday Inn, and Super 8. Different relationship patterns between brand knowledge and consumer responses in home and host countries are exhibited. In addition, this study examines the role of Chinese consumers' travel motivation to the United States in the CBBE model.

Investigating attitudes towards three South American destinations in an emerging long haul market using a model of consumer-based brand equity (CBBE)

Despite the importance of destination image in market competitiveness, and the popularity of the field within tourism literature, there remains a dearth of published research examining travellers' perceptions of destinations in South America. This manuscript addresses this gap by testing a model of consumer-based brand equity (CBBE) associated with three South American countries; Chile, Brazil and Argentina. The introduction of direct air links and a free-trade agreement in 2008 has led destination marketing organisations (DMOs) in these countries to increase promotional efforts in the Australian market. This study shows that the CBBE model is an appropriate tool to explore consumers' attitudes in the long-haul travel context. The findings provide DMOs of the three countries studied, with benchmarks against which to compare the impact of future marketing communications in Australia. The results provide increased transparency and accountability to stakeholders, such as South American tourism businesses and Australian travel intermediaries.

Consumer-Based Brand Equity: Improving the Measurement - Empirical Evidence

Purpose: The present research aims to improve the measurement of consumer-based brand equity. Current measurement of consumer-based brand equity suffers from limitations, including: a lack of distinction between the dimensions brand awareness and brand associations, the use of non-discriminant indicators in the measurement scales and of student samples. Design/methodology/approach: Based on the recommendations of extant research, the scale constructed to measure consumer-based brand equity in this study included brand personality measures. Brand associations were measured using a different set of items. Unlike many of the previous studies that had used student samples, the present study used a sample of actual consumers from an Australian state capital city. Confirmatory factor analysis employing structural equations modeling was used to measure consumer-based brand equity in two product categories and across six brands. Findings: Results support the hypothesized four-dimension model of consumer-based brand equity across two product categories and six brands. Brand awareness and brand associations were found to be two distinct dimensions of brand equity as conceptualized in the marketing literature. The present study contributes to the understanding of consumer-based brand equity measurement by examining the dimensionality of this construct.

Heterogeneous sources of customer-based brand equity within a product category

Purpose – Unlike prior consumer-based brand equity (CBBE) research that examines well-known brands in different product categories, the purpose of this paper is to focus on the within-product category differences in terms of the sources of CBBE. Design/methodology/approach – To facilitate the comparison, the paper proposes a hybrid measurement model of CBBE that systematically integrates various existing CBBE dimensions and examines the substantive difference among master brands and their sub-brands within a product category. The model distinguishes the latent CBBE construct from its dimensions, and separates its formative (causes of CBBE) from its reflective (effects of CBBE) dimensions, based on their causal relationship with the construct. Findings – The paper collects CBBE data for multiple soft drink master brands and sub-brands. The paper finds significant differences among them and provides a detailed view that has not been revealed to the marketers before. Originality/value – The paper not only examines a more realistic context for consumers’ marketplace choice but also is more relevant to brand managers who closely monitor their direct competitors’ performance.

Destination Brand Equity for Australia

The study of destination brand performance measurement has only emerged in earnest as a field in the tourism literature since 2007. The concept of consumer-based brand equity (CBBE) is gaining favor from services marketing researchers as an alternative to the traditional “net-present-value of future earnings”’ method of measuring brand equity. The perceptions-based CBBE model also appears suitable for examining destination brand performance, where a financial brand equity valuation on a destination marketing organization’s balance sheet is largely irrelevant. This is the first study to test and compare the model in both short- and long-haul markets. The article reports the results of tests of a CBBE model for Australia in a traditional short-haul market (New Zealand) and an emerging long-haul market (Chile). The data from both samples indicated destination brand salience, brand image, and brand value are positively related to purchase intent for Australia in these two disparate markets.

Tourist destination brand equity and internal stakeholders

Successful destination branding strategies require the commitment and mobilization of internal stakeholders in order to reinforce the communication of the brand message to the tourist market. To this purpose, the literature suggests that adopting an inclusive and participative approach to the branding process can increase and maintain the stakeholders’ willingness to share the brand mission. However, the results of such sharing and involvement strategies in terms of internal brand equity creation are still under research. In order to fill such a gap, the article proposes to build on the established consumer-based brand equity model for assessing the internal stakeholder-based brand equity of tourist destinations. The model, comprising four dimensions – brand awareness, image, commitment, and satisfaction/loyalty – is then applied to the analysis of South Tyrol’s (Italy) regional branding strategy, through a survey of internal brand users. Findings confirm the importance of a participative approach to the branding process in order to enhance its overall internal equity. Findings also show a relevant information gap regarding brand performance that impacts the stakeholders’ commitment. This confirms the link between the internal and external performance of destination brands. Moreover, significant differences in the levels of brand awareness, commitment, and satisfaction among different categories of stakeholders suggest that the brand authorities should enact targeted internal communication efforts.

Can after sale service generate brand equity?

PurposeThis research attempts to empirically expand the Aaker's consumer based brand equity model in hybrid business firms by incorporating after sales service as a new dimension. Exploring and understanding the drivers of consumer based brand equity in a hybrid business context will help in building industry specific competitive barriers and generating brand wealth.Design/methodology/approachThe data were collected from Pakistani adults using a structured questionnaire based on established scales. Convenience sampling was used to gather data from 205 respondents across the major cities of Pakistan. To test the proposed research model the data were analyzed using confirmatory factor analysis.FindingsThe results support the proposed five‐factor model of consumer based brand equity for the automotive industry. The results support the notion that after sales service is related but is a separate dimension of consumer based brand equity in the automotive sector.Research limitations/implicationsThis proposed CBBE model was tested in the automotive sector of Pakistan. However, the automotive industry is special in the sense that it builds brands at dual level. This study only investigates consumer based brand equity at marque level. Future studies can expand on this work by investigating consumer based brand equity both at marque and model levels.Practical implicationsThe establishment of after sale services as a separate but independent dimension of consumer based brand equity for the hybrid business organizations provides a fresh reminder regarding the possibilities of new sources for building brand equity. Managers can focus on delivering excellent after sale services to build and enhance the equity of their brands in hybrid business organizations.Originality/valueThis study expands Aaker's brand equity model by empirically establishing after sales service as a fifth dimension for the firms operating on hybrid business model.

Antecedents of Destination Brand Loyalty for a Long-Haul Market: Australia's Destination Loyalty Among Chilean Travelers

ABSTRACT Limited extant research examines Latin American consumers' perceptions of holiday destinations. This article measures destination brand equity for Australia as a long-haul destination in the emerging Chilean market. Specifically, it develops a model of consumer-based brand equity (CBBE) to explain attitudinal destination loyalty. The proposed model is tested using data from a sample of Chilean travelers. The findings suggest that brand salience, brand image, and brand value are positively related to brand loyalty for Australia. Further, while brand salience for Australia is strong, as a long-haul destination the country faces significant challenges in converting awareness into intent to visit. Australia is a more compelling destination brand for previous visitors than nonvisitors. This implies that a word-of-mouth recommendation from previous visitors, a key component of attitudinal loyalty, is a positive indicator of future growth opportunities for Australia's destination marketers to capitalize on.

Consumer‐based brand equity for Australia as a long‐haul tourism destination in an emerging market

PurposeAlthough the branding literature emerged during the 1940s, research relating to tourism destination branding has only gained momentum since the late 1990s. There remains a lack of theory in particular that addresses the measurement of the effectiveness of destination branding over time. The purpose of this paper is to test the effectiveness of a model of consumer‐based brand equity (CBBE) for a country destination.Design/methodology/approachA model of CBBE was adapted from the marketing literature and applied to a nation context. The model was tested by using structural equation modelling with data from a large Chilean sample (n=845) comprising a mix of previous visitors and non‐visitors. The model fits the data well.FindingsThe paper reports the results of an investigation into brand equity for Australia as a long‐haul destination in an emerging market. The research took place just before the launch of the nation's fourth new brand campaign in six years. The results indicate Australia is a well‐known but not compelling destination brand for tourists in Chile, which reflects the lower priority the South American market has been given by the national tourism office.Practical implicationsThe paper suggested that CBBE measures could be analysed at various points in time to track any strengthening or weakening of market perceptions in relation to brand objectives. A standard CBBE instrument could provide long‐term effectiveness performance measures regardless of changes in destination marketing organisation staff, advertising agency, other stakeholders and budget.Originality/valueThe paper contributes to the nation‐branding literature by being one of the first to test the efficacy of a model of CBBE for a tourism destination brand.

Comparing Structural Equation Models with Discrete Choice Experiments for Modelling Brand Equity and Predicting Brand Choices

Brands play an important role in consumers’ perception and choice of a product. Measuring brand equity has thus become a topic of growing interest among both practitioners and researchers in marketing. This paper examines the Erdem and Swait (1998) brand equity framework, which is one of the key consumer-based brand equity models developed in the brand literature. Specifically, it investigates the external validity of the Erdem-Swait framework using two alternative approaches: One is based on structural equation models (SEMs) and the other is based on discrete choice experiments (DCE). Four data sets pertaining to four different product categories were collected from the Australian financial services sector to compare the ability of expected utilities calculated from SEMs and DCEs to predict the actual brand choices of real consumers in real markets. Although both models performed well, results showed that the predictions of the DCE models were consistently better than those of the SEMs in all cases. These findings have implications for both academics and practitioners in brand evaluation and management.