Global Brand Equity Research Articles

The interaction between individual cultural values and the cognitive and social processes of global restaurant brand equity

• The cognitive and social processes of brand equity affect cultural values. • The social process of global brand equity has greater impact on cultural values. • Cultural values affect brand loyalty. • The cognitive process of brand equity impacts on the social process of brand equity. • There is a leading culture value between individual cultural values. The aim of this study is to increase understanding of the relationship between brand equity and individual cultural values in the marketing strategies of global restaurant brands. The study developed three research models and investigated global brand equity from the perspective that global brand equity has an impact on individual cultural values. The three models were tested using structural equation modeling (SEM) analysis. The findings indicate that both cognitive process and the social process of brand equity have an effect on cultural values. In particular, social process elements such as brand prestige and brand identification can reduce the risk of consumer uncertainty. This study contributes to the understanding of the relationship between global restaurant brand equity and individual cultural values, and the hierarchy of individual cultural values that has not, to the best of our knowledge, been explored in previous research.

How does consumers' Perception of Sports Stars' Personal Brand Promote Consumers’ brand love? A mediation model of global brand equity

Previous research on the sports marketing of global brands has focused mainly on the sponsorship of sporting events and the endorsement of products by athletes. This study reveals the unexamined effect of the impact of sports stars' personal brand on global brand equity and consumers' brand love. Based on global consumer culture (GCC) theory and self-expansion theory, this paper examines the influence of sports celebrities' personal brand on consumers' perceptions of global brand equity and brand love. Using survey data from 372 users of “HUPU”, our results revealed that the use of sports stars' personal brand (attractiveness, expertise, and congruence) was positively related to global brand equity and brand love. Belief in global brand citizenship has a full mediating effect between attractiveness and brand love but a partial mediating effect between expertise, congruence and brand love. Product quality partially mediates the relationship between expertise and brand love. These findings suggest that it is appropriate to use sports stars' personal brand to build global brand equity and increase consumers’ brand love.

How do innovation and sustainability contribute to generate retail equity? Evidence from Spanish retailing

Purpose In the current dynamic and competitive environment in which retail companies operate, store equity is a differentiating factor. In view of the scarce research found regarding the links between the variables traditionally related to brand equity (store awareness, store image, store perceived quality and store loyalty) and innovation, sustainability and the global retail equity, this study aims to examine these links in depth. Design/methodology/approach For a sample of 510 customers of grocery retail establishments and with the help of a structured questionnaire, the relationships between the variables defined in this research were examined using a structural equations model. Findings The authors find evidence in favor of the positive influence of innovation and sustainability on the variables related to brand equity. Likewise, store loyalty to the establishment, influenced by store image and perceived quality, emerges as a key variable in the construction of global brand equity. Research limitations/implications This study shows that innovation and sustainability have a significant impact on the variables traditionally linked with brand equity. Practical implications This research shows that new business models should be created through more innovative and sustainable businesses. In this sense, the managers of retail stores should direct their efforts toward actions aimed at implementing innovation, as well as provide evidence of the sustainability of the store’s activities, with the purpose of improving the perception that consumers have of the store. Originality/value The results of this research support the role of store loyalty as key element of brand equity. Also, to the best of authors’ knowledge, this is the first study that addresses the relationship that innovation and sustainability have with the variables linked to store equity.

Exploring antecedents and consequences of young consumers’ perceived global brand equity

Purpose With the expansion of globalization, the increased competitive environment has led to the diffusion of brands across borders and cultures. Furthermore, young consumers represent an optimal segment for the proliferation of global consumer culture (GCC). This paper aims to examine the relationship between acculturation to global consumer culture (AGCC), perceived brand equity, attitudes toward the brand and brand resonance in the global sportswear brands context among young consumers in the USA. Design/methodology/approach A total of 394 undergraduate student participants ranging in age from 18 years to 24 years completed a multisectional structured survey. Model construct validity was tested using a confirmatory factor analysis. A structure equation model was used to test hypotheses and relationships. Findings Results showed that while cosmopolitan and self-identification with GCC dimensions of ACGG had a positive association with perceived brand equity, exposure to marketing activities of MNCs and global mass media exposure dimensions of AGCC had a negative association with perceived brand equity. Perceived brand equity also revealed a positive association with attitudes toward the brand, which in turn, affected brand resonance. Research limitations/implications The research used a sample of 18-24-year-old youth consumers. Future research could be extended to include younger (15-17-year old) sample to provide a broader sample of the youth market. In addition, future replication of findings should seek through cross-cultural investigation of multiple youth segments. Practical implications Findings suggest support multiple dimensions of the AGCC scale as holding significant influence on young consumers’ brand equity consisting of brand image and brand awareness. Managerially, the findings provide support on the youth consumer’s affinity toward self-identification with a GCC and cosmopolitan openness to foreign cultures as being positively related to the adoptions and retention of apparel brands. Social implications Theoretically, the results provide empirical evidence for the debate on the interrelationship between brand equity and attitudes toward brands. The theoretical model guiding the current study reflects the notion of an emerging acculturation process among a segment of the world’s population to a set of global consumer preferences and ideals that are increasingly being embodied in global brands. Originality/value This is among one of the first studies attempting to explore the applicability of Cleveland and Laroche’s (2007) AGCC concepts in predicting young consumers’ attitudes and behavioral responses toward global brands.

Creating Shared Values Between National Team Identity and Global Event Brand Equity

We proposed and empirically examined a social identity-brand equity model for global sporting events. In the model, we focused on the functional organization of mutual benefits between fans' identification with a national team and global event brand equity. We applied a 2-step approach to assess the simultaneous equation models and utilized the bootstrapping method to examine the direct, indirect, and total effects. Participants were 280 students of diverse nationalities (102 women, 178 men; Mage = 23.84 years, age range: 18–37 years). The results indicated that attributes of local experience and global phenomena are intertwined in the formation of positive local identification with national teams and the brand equity of a global sporting event. Managers and researchers should further identify and elaborate on ways and means of creating value in order to foster the universal sport market.

Do global airline alliances influence the passenger's purchase decision?

This study examines the influences of airline global alliances on the purchase intention of international air passengers in Taiwan. The findings indicate positive relationships between global airline alliances, brand equity, brand preference and purchase intention with a moderation effect of involvement impacting on the relationship between global airline alliances and brand equity, and the relationship between brand preferences and purchase intention. In particular, for highly involved passengers, the effect of global airline alliances on brand equity, and brand preference on purchase intention, is significant.

Generating global brand equity through corporate social responsibility to key stakeholders

In this paper, we argue that corporate social responsibility (CSR) to various stakeholders (customers, shareholders, employees, suppliers, and community) has a positive effect on global brand equity (BE). In addition, policies aimed at satisfying community interests help reinforce the credibility of social responsibility policies with other stakeholders. We test these theoretical contentions by using panel data comprised of 57 global brands originating from 10 countries (USA, Japan, South Korea, France, UK, Italy, Germany, Finland, Switzerland, and The Netherlands) for the period from 2002 to 2008. Our findings show that CSR toward each of the stakeholder groups has a positive impact on global BE. In addition, global brands that follow local social responsibility policies in communities obtain strong positive benefits through the generation of BE, enhancing the positive effects of CSR toward other stakeholders, particularly customers. Therefore, for managers of global brands, when generating brand value, it is particularly effective to combine global strategies with the need to satisfy the interests of local communities.

How Global are Global Brands? An Empirical Brand Equity Analysis

The term has become widely used by the media and by consumers. Business week publishes annually its widely known ranking of the Best Global Brands (with Coca-Cola as number 1 in the past years) and consumers on summer vacations purchase such as Heineken or Marlboro they are familiar with from their home country. Although media and consumers call these and centralized marketing departments manage these globally – are these brands really global? Are they really perceived everywhere in the same way by the customers? Can we talk about truly global brand equity? And if there were brand image differences between countries, which factors causes them? The authors conducted an empirical research during May and June 2009 with similarly aged University students (bachelor students at business school) in Germany (n=426) and Mexico (n=296). The goal was to identify if brand awareness rates differ between Germans and Mexicans, if the brand image of Apple iPod is perceived in the same way in Germany and in Mexico and what influencing factors might have an impact on any brand image discrepancy between the countries. Results prove that brand recall rates differ between the two countries (with higher rates in Mexico) as well as brand image attributes vary significantly (28 out of 34 brand image attributes are significantly different between Germany and Mexico), with Mexico showing higher levels of favorable brand image attributes. Key influencing factors on the different brand image perceptions are perceived quality, satisfaction and the influence of reference groups (such as friends and family). The results suggest that so-called brands are not perceived the same way in Germany and Mexico. As a consequence, brand management using standardized marketing instruments for its presumable brands might be better off with a more differentiated approach that takes account a specific local brand image.

Brand Analyses of U.S. Global and Local Brands in India: The Case of Levi's

ABSTRACT This study investigates differences between U.S. global and local brands in the Indian market. Attitudes toward American products and the brand equity of U.S. global and local casual apparel brand in the Indian market are examined. It is postulated that global and local brand influence brand equity, which is composed of brand image, brand awareness, emotional value, perceived quality, brand loyalty, and purchase intention. A total of 411 college students in India participated in the survey. Using repeated measures ANOVA, this study finds that Indian consumers perceive global and local brands differently based on brand equity.

Building global football brand equity

PurposeThe purpose of this paper is to analyse the perceived brand equity of professional football clubs on foreign markets as these clubs firmly want to expand and reach a global brand status.Design/methodology/approachFitting with an inductive approach, 12 semi‐structured interviews are conducted in order to analyse the perceptions of Chinese fans of four English Premier League clubs.FindingsThe results of this research highlight the fact that the strength of professional football brand equity on the Chinese market is strongly determined by the level of brand awareness and perceived quality but, due to the increasing competition on foreign markets, professional football clubs need to clearly define their strategic marketing in order to improve the two other dimensions of brand equity, which are brand image and loyalty, which represents crucial stake to distinguish themselves.Originality/valueThe results provide useful information for professional clubs in general which want to become global but also provide relevant ways to improve brand equity for the four clubs investigated. This paper is one of the first to analyse perceived brand equity of professional clubs in direct competition among foreign potential or current customers.

Global brand equity model: combining customer‐based with product‐market outcome approaches

PurposeThere is a growing interest in brand formation and brand valuation among global firms today, but global marketers typically ignore one of the key factors of brand building – corporation ability association (CAA). This paper aims to explore the structural relationship between CAA and consumer‐based brand equity variables and its product‐market outcomes.Design/methodology/approachUtilizing Aaker and Keller's theoretical framework of brand equity, this paper develops a brand equity model combining customer‐based brand equity with product‐market outcome approaches. A set of scales are developed and tested on a national sample of Chinese consumers.FindingsThe data provide support for ten of the 12 hypotheses. The results indicate that CAA is an important factor in building and preserving brand equity. CAA and brand awareness have impact on quality perception, which has positive impact on brand resonance, brand extensibility, and price flexibility. Brand resonance has positive influence on brand extensibility and the intention to repurchase.Practical implicationsFor global marketers operating in China, brand equity is a cultural market‐based asset and global companies must focus on building corporation ability association in China in order to enjoy the substantial competitive and economic advantages provided by brand equity. Theoretically, the proposed brand equity model is an extension of the model proposed by Keller.Originality/valueFor the first time, CAA is integrated into fhe brand equity model. This may provide a theoretical base for further research in the endorsement role of company ability in brand equity building.

Achieving and Managing Global Brand Equity: A Critical Analysis

ABSTRACT According to some experts, brand equity is a company's most important asset. In this article, the authors first study the durability of brand equity in the long run. Then they examine the maintenance of that brand equity. The study analyzes the relative position of the top 50 most important global brands. Rank correlations indicate that, in the short run, the top 50 brands maintain strong equity levels, but in the longer run, this equity dissipates. In order to empower global brands in the long run, the authors put together a general global brand strategy model that would achieve and maintain brand equity. The model has three important components: strategic action, generating brand power, and achieving sustained brand equity. Such a model could balance the success in achieving brand equity globally both in the short and long run.

Cross‐national market segmentation in the fashion industry

– To discover whether there are market segments for the fashion industry that cut across countries and respond differently to advertising messages., – A survey was administered to Korean, European, and US female consumers. Cluster analysis is used in an attempt to identify lifestyle segments that cut across cultures., – Four cross‐national market segments are identified. These segments can be labeled as follows: “information seekers,” “sensation seekers,” “utilitarian consumers,” and “conspicuous consumers.” Findings also reveal that fashion lifestyle segment had a stronger effect on the reaction to a set of three ads for a major global fashion company (one each from the French, Korean, and US editions of Vogue magazine) than did consumer nationality., – Findings suggest that it is viable and perhaps desirable for global marketers in the fashion industry to target cross‐national market segments as opposed to developing individual segmentation schemes for each country., – Relatively few studies examining the viability of cross‐national segmentation have been studies. The study provides insight on building global brand equity and suggests standardized advertising is appropriate for some fashion marketers.

Brand China: Using the 2008 Olympic Games to enhance China's image

In 2008, China will host the Olympic Games for the first time in its history. This momentous event is well timed with China's need to improve its image across the globe. This paper first introduces the concept of nation branding. It then analyses China's opportunity to use the Olympics as a marketing tool to increase its global brand equity. Finally, recommendations are provided in order for China to maximise the potential from the 2008 Olympic Games.

Measuring Global Brand Equity Using Cross-National Survey Data

This article presents a newly developed survey-based method for the measurement of customer-based brand equity in a cross-national context. The proposed national brand equity (NBE) model decomposes customer-based brand equity into two components: measured and unmeasured brand equity. Whereas the measured component of brand equity identifies the effectiveness of individual benefit associations across the globe, the unmeasured component captures the value that is attached to the brand but not measured by the commonly elicited associations. The author applies the NBE model to 18 brands across 16 worldwide automobile markets, which provides opportunities for assessing the applicability of the proposed model. Furthermore, in response to the trend of increasing brand globalization, the author develops a model of global brand equity to assess a brand's value relative to that of its global competitors. Based on the NBE model, the global brand equity model incorporates national weighting factors in the aggregation of NBE across countries. The resultant aggregation yields a global brand equity index, which provides practical applications for benchmarking against the best brand and serves as a good indicator of a brand's relative value in the global market.

Measurement and tracking of brand equity in the global marketplace ‐ The PepsiCo experience

The conceptualization and measurement of brand equity, including its sources and outcomes, are a challenging task, particularly in a global marketplace. This paper briefly describes how PepsiCo, Inc. conceptualizes and measures brand equity across brands, countries, and over time. Special attention is given to the EquitrakTM brand equity model developed by PepsiCo, Inc. and the global brand equity tracking methodology employed by the company in 14 countries. The paper concludes with managerial insights obtained from this effort.

Brand equity valuation: a global perspective

Since late 1980s there has been a frenzy of mergers and acquisitions in which brands have played the primary role. It is no longer rare to find offers at a multiple of more than 25 times company earning, or two or three times its share value. In this paper we attempt to reach several objectives. First, the marketing and finance perspectives of brand equity are presented, and their interrelationships are shown. Second, the different measurements of brand equity are presented. Next, a comprehensive model of global brand equity, which we believe is capable of both estimating the brand equity more accurately and show the sources of the equity will be proposed.