The purpose of this paper is to propose and test a series of precepts which explain the role of technology and technology congruence in consumers' perceptions of brand extensions.
A series of relationships between technological congruence and consumer evaluations of brand extensions is proposed. Regression analysis and a series of planned contrasts are employed to test these relationships.
In general, extensions that are higher in overall technology content are perceived as being higher in quality. Higher technology brands benefit from a superordinate brand technology effect. However, this technology content effect is moderated by the congruence/incongruence of the levels of technology of the brands, products, and attributes.
The primary limitations of this research are that it focused on a relatively small and homogeneous segment of the population (average age 24) and it tested the effects of technological incongruence only on perceived quality.
These results have extensive implications for designing and positioning brand extensions in the market. The implications are particularly salient for brands that are perceived as employing relatively low technology.
These results improve one's understanding of customers' responses to brand extensions, particularly when the product or associated attributes are technologically incongruent with the brand.
Story, J. and Sue Loroz, P. (2005), "Technological congruence and perceived quality of brand extensions", Journal of Product & Brand Management, Vol. 14 No. 7, pp. 438-447. https://doi.org/10.1108/10610420510633387Download as .RIS
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