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Article
Publication date: 1 July 2000

Arthur Cheng‐Hsui Chen and Shaw K. Chen

Examines the negative impacts of brand extension failure upon the original brand by calibrating the difference of brand equity. Using data collected from college students in…

7945

Abstract

Examines the negative impacts of brand extension failure upon the original brand by calibrating the difference of brand equity. Using data collected from college students in Taiwan, establishes four hypotheses to identify various effects of a failed brand extension in diluting the original brand’s equity. Analyzes the different effects among four types of equity‐source brands for both close and distant extensions. Equity‐source and equity level of the original brand is identified first. All components of brand equity‐source are then used to evaluate the performance of a brand extension. Finds that an unsuccessful brand extension dilutes the original brand for all three high equity‐source brands. Effects of brand dilution differ according to the type of equity source possessed by the original brand, but there is no difference in brand dilution effects from close and distant extension failures.

Details

Journal of Product & Brand Management, vol. 9 no. 4
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 24 February 2020

Joseph W. Chang

This study aims to examine the impacts of brand structure (i.e. brand cohesiveness and similarity) on brand perceptions and the adverse effects of brand extensions.

Abstract

Purpose

This study aims to examine the impacts of brand structure (i.e. brand cohesiveness and similarity) on brand perceptions and the adverse effects of brand extensions.

Design/methodology/approach

Data were collected online via Amazon Mechanical Turk. Overall, 188 US residents participated in the 2 (extension typicality: typical and atypical) × 3 (brand cohesiveness: high, medium and low) between-subject experimental design.

Findings

Narrow brands are favored over cohesive broad brands, and cohesive broad brands are favored over incohesive broad brands. When new extensions are typical, brand cohesiveness dominates brand similarity in terms of adverse extension effects. Negative extension information exerts more salient adverse effects on narrow brands and cohesive broad brands than on incohesive broad brands. Conversely, when new extensions are atypical, brand similarity dominates brand cohesiveness on adverse extension effects. Negative extension information exerts more salient adverse effects on narrow brands than on cohesive and incohesive broad brands.

Research limitations/implications

Brand cohesiveness is more impactful than brand similarity on brand perceptions. The identical adverse effects of typical extensions on narrow, and broad brands exist only when the portfolio products of the broad brands are cohesive.

Practical implications

Cohesive broad brands have the advantages of being more favored than incohesive broad brands and being less vulnerable to negative atypical extension information than are narrow brands.

Originality/value

This study advances brand research by examining the interplay between brand structure (i.e. category cohesiveness and similarity) and extension typicality on adverse extension effects.

Details

Journal of Product & Brand Management, vol. 29 no. 7
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 13 November 2009

Isabel Buil, Leslie de Chernatony and Leif E. Hem

The aim of this paper is to examine the impact of perceived fit, brand type and country's culture on the consumers' attitude towards brand extensions and on the parent brand…

15068

Abstract

Purpose

The aim of this paper is to examine the impact of perceived fit, brand type and country's culture on the consumers' attitude towards brand extensions and on the parent brand equity.

Design/methodology/approach

Data were collected in three European countries: Spain, UK, and Norway. A series of analyses of variance (ANOVA) were conducted to test the hypotheses.

Findings

Brand extensions with high fit receive more favourable consumer evaluations and decrease the negative feedback effects of extensions on parent brand equity. Results also reveal that parent brand equity dilution is higher when the brand used to launch the extension has high equity. Finally, findings indicate different consumers' responses to extensions and effects on parent brand equity across countries.

Research limitations/implications

Important directions for future research would be to include other countries and carry out a more in‐depth analysis to understand the effect of culture.

Practical implications

Managers should launch extensions with high perceived fit. In addition, greater effort is needed to extend high equity brands, due to their greater dilution. Finally, managers need to understand that consumer evaluations and feedback effects of the same brand extensions can vary due to cultural differences between consumers. Therefore, standardised brand extension strategies should be carefully considered.

Originality/value

The study focuses, not only on consumer evaluations of extensions, but also on the effects of extensions on the parent brand equity. Furthermore, this paper is one of the first to empirically examine and show that consumer evaluations of extensions and feedback effects on parent brand equity differ across countries.

Details

European Journal of Marketing, vol. 43 no. 11/12
Type: Research Article
ISSN: 0309-0566

Keywords

Open Access
Article
Publication date: 2 March 2023

Anna-Karina Schmitz, Tim Oliver Brexendorf and Martin Fassnacht

Vertical line extension is an attractive growth strategy that allows brands to address heterogeneous consumer needs and react to competitive pressure. The purpose of this paper is…

2017

Abstract

Purpose

Vertical line extension is an attractive growth strategy that allows brands to address heterogeneous consumer needs and react to competitive pressure. The purpose of this paper is to systematically review and summarize vertical line extension research to derive general insights into vertical upward and downward line extension.

Design/methodology/approach

Drawing on a systematic review of 536 academic articles and predefined inclusion criteria, this research identifies and evaluates all articles that add knowledge to the topic of vertical line extension (n = 64).

Findings

This research derives general insights in several vertical line extension-specific issues. Different forms of vertical line extension, conceptual differences between upward and downward extensions, as well as the role of perceived fit, extension degree and the parent brand are crucial for the study and evaluation of extension and parent brand feedback effects. Those effects are complex and often work in opposing directions not only for the parent brand but also for the extension. Future research needs to face that complexity as well as methodological issues and different research contexts to further advance the literature stream.

Originality/value

This paper provides a comprehensive, state-of-the-art review of vertical line extension research characteristics and results. It provides new insights on the characteristics and effects of vertical line extensions and guides future research on the topic.

Details

Journal of Product & Brand Management, vol. 32 no. 6
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 15 February 2022

Kolawole Ogundari

This study aims to address two research questions. First, do the agricultural extension services have an impact on the potential outcomes considered in the primary studies, and to…

Abstract

Purpose

This study aims to address two research questions. First, do the agricultural extension services have an impact on the potential outcomes considered in the primary studies, and to what extent? Second, how sensitive is the reported impact to the study-specific characteristics in the primary studies?

Design/methodology/approach

The paper synthesizes 45 studies that assessed the causal impact of agricultural extension services published in 2004–2021, using meta-regression analysis. It considers three measures of effect sizes – Cohen’s, Hedges and principal correlation coefficient (PCC) – to standardize the reported impact of agricultural extension services in the primary studies.

Findings

The empirical results show that, on average, agricultural extension services have statistically significant and positive impacts on the potential outcomes identified in the primary studies. However, the magnitude of the impact is considered medium-sized. Other results show that the effect size estimates of agricultural extension services' impact significantly vary with the data type (cross-sectional data vs. panel data), research design (non-experimental vs. experimental design) and econometric methods employed in the primary studies.

Practical implications

One can argue that the medium-sized impact we estimated indicates evidence of a moderate, weak relationship between agricultural extension services and the potential outcomes considered in the primary studies. This means that agricultural extension services need to be restructured in the current form to stimulate change in the agricultural sector globally. In addition, the sensitivity of effect sizes to study attributes (i.e. data types, research design and econometric methods) shows that researchers and academicians need to pay attention to these attributes to provide more reliable estimates for policy purposes.

Originality/value

This is the first study that attempts to shed light on the overall performance of agricultural extension services using a meta-regression analysis approach.

Details

China Agricultural Economic Review, vol. 14 no. 2
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 2 June 2010

F. Müge Arslan and Oylum Korkut Altuna

The purpose of this study is to investigate the effects of fit, familiarity, perceived quality and attitude towards the brand on product brand image after an extension and also to…

26904

Abstract

Purpose

The purpose of this study is to investigate the effects of fit, familiarity, perceived quality and attitude towards the brand on product brand image after an extension and also to examine whether the product image of a brand is diluted as a result of brand extension.

Design/methodology/approach

The model adopted for the study is based on that developed by Martinez and de Chernatony. A questionnaire consisting of seven constructs (general brand image, product brand image, quality, familiarity, fit, attitude, and demographic characteristics) was administered to 474 respondents. Convenience sampling and face‐to‐face survey methods were used. The brands and extensions used in the study were the same as in the Martinez and de Chernatony study. The difference between these two studies is that, while Martinez and de Chernatony have investigated the effects of brand extension on both general brand image and product brand image, in this study general brand image is examined only before the extensions in order to compare the two brands. The results of the pre‐tests showed that Turkish consumers could not assess the effects of hypothetical extensions on the general brand image. Therefore, as for the effects of brand extensions, only the product brand image after the extension is investigated.

Findings

The results show that brand extensions affect the product brand image negatively, whereas the fit between the parent and extension brands decreases the negative effect. The drop of image as a result of extension is greater when the perceived image and quality of the parent brand are higher. Perceived quality of the brand, consumers' brand familiarity, fit perceived by the consumer, consumers' attitudes towards the extension have a positive effect on the product brand image after the extension.

Research limitations/implications

Owing to the sample size and sampling method, the study has its own limitations in terms of external validity. In addition, only two brands and two extensions were tested and the extensions used were hypothetical, which may lead to a lack of generalizability.

Practical implications

The higher the image of a brand, the more the dilution that occurs, which means that companies should take caution when extending into different product categories.

Originality/value

The study is one of the very few research efforts conducted in the Turkish market concerning brand extensions and the sample used in the research consists of consumers rather than students.

Details

Journal of Product & Brand Management, vol. 19 no. 3
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 27 July 2010

Eva Martínez and José M. Pina

This paper aims to understand the reciprocal spill‐over effects of brand extensions by testing a comprehensive model that gathers both the brand extension evaluation process and…

8227

Abstract

Purpose

This paper aims to understand the reciprocal spill‐over effects of brand extensions by testing a comprehensive model that gathers both the brand extension evaluation process and the later influence on brand image.

Design/methodology/approach

Data were obtained from 699 face‐to‐face interviews conducted in Spain. Structural equation modelling was used to test the proposed hypotheses.

Findings

The results indicate that brand extensions have feedback effects on brand image depending on the attitude toward the new product and perceived image fit. Consumer attitude depends, in turn, on initial brand associations, perceived category fit, perceived image fit and consumer innovativeness. Brand familiarity also shows indirect effects.

Research limitations/implications

The model should be tested with extensions of the same (line extensions) or different categories. It is also necessary to analyse non‐fictitious products, and to take different moderating effects into account.

Practical implications

The results suggest how to protect the brand image from unsuitable extension strategies. The paper shows what kind of perceived fit is more important for consumers as well as the direct and indirect role of several variables.

Originality/value

The paper extends previous research by proposing a complete framework that considers the factors that influence either the attitude to the extension or the attitude to the extended brand.

Details

European Journal of Marketing, vol. 44 no. 7/8
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 20 November 2017

Michelle Childs

The purpose of this study is to review and summarise the current body of literature on brand extension feedback effects and to identify which research issues are inhibiting…

1993

Abstract

Purpose

The purpose of this study is to review and summarise the current body of literature on brand extension feedback effects and to identify which research issues are inhibiting advancement in this stream of literature. Based on this analysis, suggestions for future research are provided.

Design/methodology/approach

In a systematic literature review, criteria were used to identify relevant journal publications that have specifically investigated brand extension feedback effects (n = 53). Research articles were subsequently evaluated for further analysis.

Findings

Several issues may inhibit advancement in the literature on brand extension feedback effects. These include issues related the conceptual, methodological and context of research, as well as related to the consumer, product, brand and marketing. Specific research questions are provided which address issues found in this literature stream.

Research limitations/implications

This paper aims to resolve issues in research on brand extension feedback effects to facilitate more rapid advancement in this stream of literature.

Originality/value

This research fills a need to summarise the current state of the literature and identifies research issues that need to be addressed in the future.

Details

Journal of Product & Brand Management, vol. 26 no. 7
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 1 June 2005

Helge Thorbjørnsen

The aim of this research is to examine the effects of congruent and incongruent brand concept extensions on consumer attitudes towards the extended product and feedback effects on…

8715

Abstract

Purpose

The aim of this research is to examine the effects of congruent and incongruent brand concept extensions on consumer attitudes towards the extended product and feedback effects on the parent brand. Moreover, brand familiarity is proposed as an important moderator variable in determining feedback effects on attitude to the parent brand.

Design/methodology/approach

An experimental research design was applied for testing the set of hypotheses put forth. The product category of wrist‐watches was utilized as setting. A total of 205 respondents participated in the study.

Findings

The study finds general support for the importance of brand concept congruency when it comes to feedback‐effects, whereas no significant differences between congruent and incongruent extensions are found for attitudes to the extension itself. Brand familiarity is found to be an important moderator on parent brand feedback effects.

Research limitations/implications

Before concluding on the moderating role of brand familiarity in this context, one needs to build a stronger nomological network around this variable. Moreover, the effects observed in this study should be extended and tested for other product categories and preferably also with other methodological approaches.

Originality/value

The study results reemphasize the importance of investigating brand feedback effects when launching category extensions. Also, the research provides new insight into the role of parent brand familiarity when evaluating the potential risks and rewards of conducting brand concept extensions.

Details

Journal of Product & Brand Management, vol. 14 no. 4
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 19 July 2011

Nina M. Iversen and Leif E. Hem

Consumers' evaluations of brand extensions have gained considerable attention in the marketing literature. The purpose of this study is to investigate how a brand's perceived…

2744

Abstract

Purpose

Consumers' evaluations of brand extensions have gained considerable attention in the marketing literature. The purpose of this study is to investigate how a brand's perceived global or local origin impacts evaluations of brand extensions and creates transfer effects of brand meaning. The paper conceptually characterizes the transference process and empirically tests the nature and extent of spillover effects of origin associations across multiple parent brands and extensions.

Design/methodology/approach

For the empirical testing of the conceptual model of transfer effects of origin associations we undertook a cross‐sectional consumer survey amongst a sample of 267 Norwegian respondents. Structural equation modelling was used to investigate the causal relationships between the latent exogenous and endogenous variables in the conceptual model.

Findings

The present study indicates that the global and local origin framework, first introduced by Steenkamp et al. in 2003, can explain the occurrence of reciprocal transfer of brand meaning across parent brands and extensions. The paper shows that global and local origin associations operate in a manner very similar to brand associations in the transference of perceptions. It finds that distinct origin associations influence the pre‐brand image and drive the forward effect on the attitude towards the extension as well as the subsequent backward effect upon the post‐brand image of the parent brand.

Originality/value

This paper reveals for the first time that distinct origin associations can initiate spillover effects across parent brands and extensions. This study is therefore an important step towards the generalizability of main brand extension studies to other contexts such as extensions of global brands.

Details

International Marketing Review, vol. 28 no. 4
Type: Research Article
ISSN: 0265-1335

Keywords

1 – 10 of over 70000