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The purpose of this paper is to examine whether line extensions (modified brands) create their own loyalties or induce variety-seeking within the brand. Prior research has explored how the branded house strategy (i.e. multiple products bearing the same brand name) retains customers from competing brands. However, this research investigates loyalty within the brand by comparing loyalty and variety-seeking rates of modified brands.

Markov chains examine behavioral loyalty and switching rates of panel households in the USA over several quarters for two family brands of carbonated beverages. Emphasis is placed on the consumers who purchase the upper median of volume (heavy half) and constitute a disproportionate amount of brand’s sales (86 per cent of the volume).

Three propositions find that loyalty rates are high among modified brands with little switching to other lines within the brand. Further, loyalty and switch to rates are highest for the flagship branded product (the master modified brand).

Managers segment the market using the branded house strategy, yet loyalty rates vary for each product line. The switching rates can guide managers as to which products have established a loyal consumer base.

While brand switching is a considerable research stream, this research is believed to be the first to explore loyalty versus variety-seeking in the branded house strategy.

This paper aims to respond to the responses made by Aaker, Keller and Tellis to “Do brands compete or coexist? How persistence of brand loyalty segments the market”.

This paper is a response to the comments of Aaker, Keller and Tellis.

The paper finds the comments by Aaker, Keller and Tellis recognize the role of innovation for mature brands to maintain relevance and, by extension, loyalty.

Scholars are encouraged to question conventional wisdom (such as brands compete head-to-head) and build their case for important ideas with strong arguments.

This paper suggests that only through innovation can mature brands hold on to loyal customers. Becoming the relevant brand in a given product space is challenging, but possible through evolutionary and revolutionary innovation of the brand architecture.

This study aims to question the conventional wisdom that brands compete for customers, especially in mature industries such as soft drinks. Rather than engaging in price wars or promotion wars, brands coexist in the markets by focusing on their own brand loyal customers.

Consumer panel data of carbonated beverages are examined using Markov chains to measure switching between two brands: Coke and Pepsi. Switching rates are conducted for all Coke households (n = 10,474) and Pepsi households (n = 7,227). This is further examined with respect to heavy half (upper median) consumers of each brand who make up approximately 86 per cent of volume purchases.

Households that made a majority of their purchase volume in either Coke or Pepsi products stayed with their preferred brands in subsequent quarters: 85 to 97 per cent of households. These findings are validated at all levels of the brand architecture (family brands, product brands and modified brands), even though both brands engage in similar marketing mix tactics (advertising, price cuts, distribution, product offerings). Loyalty was even higher among the heavy user households.

The research was conducted using two well-known brands in a mature industry. Services or non-mature markets may exhibit different loyalty patterns.

The study extends prior research on competition, loyalty and branded offerings to show that brand loyalty remains high despite marketing efforts to switch the brand buying behavior.

The purpose of this note is to provide some brand strategy perspectives to Sheth and Koschmann’s Do brands compete or coexist? How persistence of brand loyalty segments the market.

This paper is a comment piece written in response to Sheth and Koschmann’s “Do brands compete or coexist? How persistence of brand loyalty segments the market”.

In their article, Jagdish Sheth and Anthony Koschmann provide a very useful empirically grounded example of how categories can evolve to be dominated by two or three key players and some of the implications which result from that. In doing so, they offer a number of useful insights. At the same time, however, it should be recognized that a number of competitive forces have emerged in recent years that have disrupted long-established equilibria and threatened long-term leadership in numerous categories. This note describes the nature of those forces and outlines three strategic approaches to improve the odds of long-term brand leadership and success.

This response to Sheth and Koschmann’s paper provides a scholarly dialogue centered upon the premise of brand loyalty within the context of market competition.

Structuring the outline for an architectural design studio experience has a significant role in students’ meaningful design experiences. Meaningful experience is related with students’ receptivity and idea generation for the ill-structured problems of architectural design. This identification influences the study, which investigates the application of a model for structuring the design studio experience, organized to occur in two phases; problem reception and problem solving. The model employs a combination of two different techniques with a special focus on reflexivity. It completes the extensions level required for the ICE Approach with the C-Sketch ideation technique by employing their adapted versions for architectural design studio practice. The common features of these techniques are their adaptability to any problem, explication centered and process oriented natures, focus on effective brainstorming and suitability on design teamwork studies. There is a remarkable potential to correlate the results of the two techniques.

The model was processed within a vertical design studio at Gazi University, Department of Architecture. It enabled getting use of diverse backgrounds within a design team by structuring the collective design process and optimizing the contribution rates of the team members. The method was employed to guide the design study of the experimental group of two teams with ten members in total. The control group was the randomly selected two teams from other teams that did not apply the model, with eleven members in total. The members of the two groups were applied a semi-structured questionnaire at the end of the semester, with a special focus on the internal consistency within the answers of the members of a single team. The results of the qualitative study indicated that the explication based structuring of the design studio experience has had a positive impact on achieving consistency and coherency in the design processes of the experimental groups.

The not-for-profit (NFP) context displays unique characteristics that include stakeholder diversity, multiple stakeholder agendas, and the pervasiveness of philanthropic values and related organisational mission. This study investigated accountants’ perceptions of NFPs’ characteristics that enable and inhibit their communication along with the strategies they adopt to overcome their communication challenges.

This qualitative interview-based study is informed by Giddens’ structuration theory. Thirty NFP accountants, from three Australian states, were interviewed. Thematic analysis was used to identify the relationships between NFP organisational characteristics and accountants’ communication strategies, and their interactions with organisational structures.

The study reveals important relationships between many stakeholders with limited financial acumen, organisational resource constraints, the currency of NFP information technologies, the dominance of operational mission over financial imperatives, and the supply of organisational accountants. Accountants’ structural adaptations emerge in their adopting multiple forms of communications reframing.

The NFP environment exhibits a mix of characteristics, some of which pose challenges for accountants’ communication while others facilitate their communication.

Increasingly, governments are relying on NFPs for the provision of services once provided by the state. Enhancing NFP accountants’ communication has the potential to improve outcomes for NFPs.

The study broadens prior research on accountants’ communication beyond formal written reporting to recognise and articulate their informal communication strategies.