Brand Extension Evaluation Research Articles

Brand extension evaluation: real world and virtual world

Purpose – The purpose of this paper is to help marketing scholars view virtual worlds as new product–markets and trigger serious investigations on consumer evaluation of brand extensions when a brand is extended from the real world to a virtual world and vice versa. Design/methodology/approach – The paper makes an extensive review of studies on virtual world. Further, it amalgamates understanding from well-established literature on consumer evaluation of brand extensions into the emerging virtual world understanding to conceptualize moderating influence of contexts – the real world context and a virtual world context – on how consumers evaluate brand extensions. Findings – Through logical arguments supported by existing literature, the paper provides 14 well-conceptualized propositions that argue that the real world and virtual world contexts moderate the well-established relationships in brand extension literature. It broadly proposes that the relationships between the consumer evaluations of brand extension and its known determinants are stronger in case of within-the-world extensions and weaker in case of across-the-world extensions. Research limitations/implications – The paper introduces to the marketing scholars an entirely new area of enquiry as it challenges the known brand extension knowledge when a brand is extended across the worlds. Practical implications – Marketers considering launching new offerings across the contexts of real or virtual world would have implications on whether to extend the brand or not. Originality/value – Virtual worlds have largely been construed in marketing literature as fictional worlds. There is not much explored in terms of virtual worlds as new product–markets. The study offers unique value in conceptualizing differences among within-the-world brand extensions and across-the-world brand extensions.

Avaliação de Extensões de Marca: uma pesquisa experimental no setor de serviços

This study analyzed the effects, in consumers’evaluations, of different brand names (arbitrary,descriptive, and suggestive), of perceivedsimilarities (high vs. low) and of perceivedquality regarding brand extension in services.We implemented two experiments involving1,338 respondents. In Experiment 1, by meansof MANOVA, we managed to detect significanteffects of brand names and of similarities inAttitude and Intention to Use of consumers.In Experiment 2, we added manipulation ofperceived quality to the sample. We identifiedtransfer of perceived quality to extended service,and that perceived quality overweighed effects ofsimilarity and brand names in extensions, whichindicates that perceived quality is more relevantin evaluation of brand extension in service whenbrand names are not recognized by consumers.

An exploratory qualitative study of brand associations as a means for brand extensions : Part 1

Brand extension has been regarded as a means to achieve growth by capitalising on the reputation of an established brand. However, the extent to which brand extensions can benefit from or even detract from the original brand, is determined by various factors. This study focuses on brand associations as means to extend the original brand. A qualitative study was used to elicit an unbiased picture of consumers’ associations of a brand. The qualitative study, in contrast with the quantitative nature of most previous studies, enables further probing on the comments made by respondents. The study examined consumers’ reactions to a variety of fictitious extensions for four different popular brands (Coca-Cola, Benetton, Yamaha, and Kellogg’s). The main purpose of this study was to explore in what ways the associations consumers have with a brand name influence the way in which they evaluate brand extensions. Six propositions were investigated. Because of the considerable extent of the findings, the research is reported in two parts. The findings on three propositions are described in this first part of the reported research.

How celebrity endorsers enhance parent brand extendibility to low similarity brand extensions

To exploit further growth opportunities, firms increasingly consider extending their brands not only within related categories but also into categories that do not fit well with the parent brand. Prior research has shown that brand extensions with a low similarity with the parent brand are risky and may result in high failure rates. This research investigates the extent to which celebrity endorsements for a parent brand enhances its brand extension potential and allows a brand to accommodate more diverse extensions. In two experimental studies with 927 respondents, significant interaction effects emerge between endorsement and similarity: celebrities increase consumer evaluations of brand extensions, more so for low similarity extensions than for high similarity extensions. Thus, celebrities can mitigate the negative impact of low similarity extensions. This effect stems from the reduction in perceived purchase risk. Finally, for a low similarity extension, celebrity endorsement is more effective for parent brands with small rather than large product portfolios.

Evaluating brand extensions, fit perceptions and post-extension brand image: does size matter?

This study contributes to the scant literature considering brand extensions in a competitive context and investigates whether the correlation between consumers’ beliefs about a brand’s attributes and the number of its buyers described in previous research occurs with regard to fit perceptions of brand extensions, extension evaluation and post-extension brand image. In a scenario experiment with real brands and fictitious extensions, members of a commercial UK panel evaluated high and low-fit extensions and post-extension brand images of competing brands of pet food. The relative size of each brand in terms of the number of its buyers was used as a benchmark in the analysis. For all extensions, results reveal a positive correlation between post-extension brand images, extension evaluations, fit perceptions and the number of brand buyers. Results have implications for interpreting consumers’ perceptions of fit, evaluation of extensions and post-extension brand images of competing brands.

An Experimental Study on the Effect of Brand and Brand Extension on Omission Neglect

ABSTRACTOmission neglect is characterized by a lack of sensitivity to missing or unknown information. Prior research has shown that people often cannot identify an absence of important information, so that strong beliefs are formed based on little consistent empirical evidence. Most previous studies have examined the omission neglect phenomenon using only stimuli (e.g., product attributes) without the brand identification. The main purpose of this study is to understand the effects of brand on omission neglect. Three experiments were conducted involving 742 business administration students. The experiments’ findings show that a recognized brand is more influential for the judgments of individuals with high levels of contextual knowledge (experts), compared with the judgments made by individuals with low levels of contextual knowledge (novices). A similar pattern of results is observed for highly similar brand extension evaluations. Discussion of results and both theoretical and managerial contributions are also presented.

Why negative brand extension evaluations do not always negatively affect the brand: The role of central and peripheral brand associations

This research introduces the concept of brand association centrality and distinguishes central brand associations (CBAs) and peripheral brand associations (PBAs). Study 1 shows that the consistency with CBAs and PBAs influences perceived brand extension fit. However, the brand extension consistency with CBAs positively affects consumer–brand extension evaluations, while the brand extension consistency with PBAs does not have a significant effect. Study 2 demonstrates the mediating role of perceived fit between brand extension consistency with CBAs and brand extension evaluations. The study shows that the more inconsistent the product extension is with CBAs, the more the brand's image is altered and the faster brand evaluations deteriorate. In contrast, the brand extension inconsistency with PBAs does not affect brand evaluations.

The evidence of dual conflict in the evaluation of brand extension: An event-related potential study

Brand extension is one of the central issues in marketing research. The current study employs event-related potentials (ERPs) to investigate the electrophysiological process when subjects make a decision to accept or reject a brand extension composed of two words (W1W2). W1 is always a beverage brand name, and W2 a product name among three product categories: household appliance product (extension type BH), snack product (BS), and beverage product (BB). The behavior and ERPs data showed that subjects found it easy to accept the brand extension in the BB condition, medium in the BS and hard in the BH situation. The negative slow waves in different cortexes suggested that there are two cognitive conflict processes in evaluating a brand extension in the W1W2 paradigm: the conflict between W1 and W2, and the conflict between the whole information of W1W2 and the information retrieved from memory about the products under the brand name in W1.

IMPACT OF PARENT BRAND ON BRAND EXTENSION: A CASE OF FMCG BRANDS IN PAKISTAN

Purpose: The aim of this research is to find out the impact of existing brand on extension by using three different parent brands and their extensions of FMCG industry. This study will investigate that what are some factors of the parent brand which can play a role of driver for the brand extension. Methodology/Sampling: Primary data was collected from respondents at various locations of Karachi. Questionnaire was administered in 100 randomly selected samples; sampling frame was respondents & students from different locations of Karachi. Already established scales were used for measuring selected variables. Data was analyzed through correlation & regression. Findings: Results explains that awareness, loyalty, image and quality are positively significant in the case of lifebuoy brand whereas personality has the negative significant impact for the customer evaluation of brand extension. It showed that if the product is aligned with the consumer personality. Practical Implications: This research is useful for the marketing sales managers of the organizations in aligning their products with the personality of consumers.

Decomposed similarity effects on consumer attitude towards abrand extension

The most significant finding from brand extension research is that consumers evaluate brand extensions based on their perceived fit with the parent brand. In spite of this brand extension failure in the presence of high perceived fit prompts further investigation on the mentioned variable with a microscopic view. In this connection, the present study extends this research by addressing the various ways a consumer bridges a similarity between the parent brand and the extended product. According to Murphy and Medin (1985), other than object to- object similarity relationships, other aspects of a concept category, such as concept relationships among objects, need to be considered along with object similarity. Any association about the parent brand that consumer recall in their psychological cell may create the basis of fit perception. Further, we also investigated in there any particular fit perception is found to be more effective in making a logical association in consumers mind. The results suggest that concept consistency may have a greater effect on making logical association than category related brand extensions. Brand extension may have a dilution effect on the parent brand image but it is also true the best fitting extension or consistent one can reduce or nullify the effect and add more on the brand. Any type of fit perception associated with the extension, can be enhanced, through marketing mix variables.

Category characteristics' effects on brand extension attitudes: A research note

Prior studies on attitudes towards brand extensions focus mainly on the effects of the perceived fit between the brand extension and the extension category. This exploratory paper contributes by describing two studies of how the following four extension category characteristics affect consumers' attitudes towards brand extensions: (1) the awareness set size; (2) the perceived similarity among existing brands; (3) the perceived category familiarity; and (4) overall category attitudes. Results from two studies suggest that consumers evaluate brand extensions more favorably when the awareness set size is small or when their attitude towards the extension category is favorable. Consequently, brand managers must analyze the extension category carefully when developing brand extensions.

The Influence of the Brand Image and Information Involvement on the Evaluation of Brand Extension - The Case of Taiwan

The aim of this research is to explore how the images of current brands, the involvement of information the consumers receive and the interaction between the consumer characteristics affect their evaluation of brand extension in developing the brand extension. The research results report that the different brand images (functional, symbolic and experiential images) have significant influence on the evaluation of extension brands and the subjects with high information involvement would make better evaluation of the extension brand than the subjects with low information involvement.

Consumer Evaluation of Brand Extension for Global and Local Brands: The Moderating Role of Product Similarity

ABSTRACT The purpose of this research is to investigate interaction effect between perceived brand globalness (global versus local brand), new product branding strategies (brand extension versus new brand name), and product similarity (high versus low) on consumers’ attitude toward the brand and purchase intention. The current research involved a series of pretests and two surveys conducted among 406 Indian consumers for a functional and a prestige product. Multivariate analysis of variance showed that perceived globalness of a brand had an important effect on consumer evaluation of new product branding strategies. The results were further moderated by product similarity. The research increases the understanding of the importance of global and local brand in the branding strategy decision process in India, an emerging economy. The study concludes by outlining the theoretical and managerial implications for researchers and managers.

Money and Thinking: Reminders of Money Trigger Abstract Construal and Shape Consumer Judgments

The idea of money reminds consumers of personal strength and resources. Such cues have been found to increase the level of mental construal. Consequently, it was hypothesized and found in five experiments that reminders of money trigger abstract (vs. concrete) mental construals. Participants were primed with money or money-unrelated concepts. Money primes caused a preference for abstract over concrete action identifications (experiment 1), instigated the formation of broader categories (experiment 2), and facilitated the identification of global (vs. local) aspects of visual patterns (experiment 3). This effect extended to consumer judgments: money primes caused a focus on central (vs. peripheral) aspects of products (experiment 4) and increased the influence of quality of parent brands in evaluations of brand extensions. Priming with a little money (experiment 3) or expenditures (experiment 5) did not trigger abstract construals, indicating that the association between money and resources drives the effect.

Consumer Evaluation of Brand Extensions: Good to Service and Service to Good

Keywords KeywordsBrand Extension, Loyalty Proneness, Brand Consciousness, Consumer Attitude, Goods and Services

The Influence of Brand Reputation and Chronic Regulatory Focus on the Non-similar Brand Extension

Abstract In this study, we intended to show the interaction effect between brand reputation and chronic regulatory focus, and intended to show mederatory effect as an interaction as well as the main effect of two variable. To this end, Pulmuone(a high level of brand reputation) and Green(a low level of brand reputation) as parent brand and cosmetics as extention product were selected. The results of the study are as follows: The first, on brand extension evaluation, a high level of brand reputation was more positive than a low level of brand reputation. The second, brand extension evaluation was mere positive in the promotion focus group than in the prevention focus group. The third, In case of high level of brand reputation, there was no significant differences between the prevention focus group and the promotion focus group in brand extension evaluation. On the other hand, low level of brand reputation, there was significant differences between two variables. Therefore, we found the interaction effect between promotion focus group and prevention focus group.

The Impact of Co-Branding on Customer Evaluation of Brand Extension

The Impact of Co-Branding on Customer Evaluation of Brand Extension

Effects of advertising cues on brand extension evaluation: A global versus focused processing style account

It is well known that the effectiveness of a brand extension strategy depends on the degree of perceived similarity between the parent brand and the extension and a host of important contextual variables. One such potential variable is the consumer's global versus local processing type. Using a converging operations approach, we show through three experiments that parent-extension similarity has weaker effects on extension evaluation in global processing while local processing leads to a heightened concern for the similarity of the extension. Importantly, global/local processing can be perceptually primed using advertising-specific procedures that operate independently of the focal brand and extension.

The impacts of perceived fit, brand familiarity, and status consciousness on fashion brand extension evaluation

This study examined how strongly consumers’ evaluations of vertical and horizontal fashion brand extensions are influenced by perceived fit, brand familiarity and status consciousness. Data were collected from 187 female consumers aged 18 and older who were familiar with Giorgio Armani, the parent brand chosen for this study. Regression analyses revealed that brand familiarity was a positive predictor of vertical extension evaluation and that status consciousness was a positive predictor of the evaluations of both vertical and horizontal extensions. Perceived fit between the parent brand and the brand extension exhibited a positive effect on the evaluation of horizontal extension but a negative effect on the evaluation of vertical extension. Further, perceived fit moderated the relationship between status consciousness and overall evaluations of both extensions.

Online information product design: The influence of product integration on brand extension

With users placing an increasing demand on cross-product integration in electronic markets, the success of new information products becomes increasingly dependent on its integration design with existing products. Consequently, many online vendors have been incorporating branding into information product designs. This approach reflects a critical marketing strategy called “brand extension.” In contrast to the popularity of this strategy by online vendors, however, there is little theoretical work or empirical evaluation in the information systems (IS) literature on the relationship between information product integration design under the same brand umbrella and consumers' usage of the newly introduced information products. Addressing this gap, this study investigates the antecedents of online brand extension evaluation with an emphasis on the influence of product integration. Based on the stimulus–organism–response paradigm and the categorization theory, this study proposes and validates a research model using a scenario-based experiment that involves a search engine and its extension to an e-commerce website and an online encyclopedia. The findings confirm that integration level influences perceived fit and perceived tie between focal and newly extended products. Perceived fit and perceived tie positively impact users' evaluations of online brand extension, and consequently influence users' intention to use the extended products. User expertise moderates the effect of product integration on perceived tie: the greater the users' expertise in focal product, the stronger perceived tie is affected by online product integration. This study contributes to both research and practice by advancing the overall understanding of exploiting online branding values and by providing insights into online information product design and promotion.