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Article
Publication date: 1 June 2003

Eidan Apelbaum, Eitan Gerstner and Prasad A. Naik

Investigates the extent to which expert evaluations of quality impact price premiums of national brands over the store brands. Using data from Consumer Reports, finds that…

5244

Abstract

Investigates the extent to which expert evaluations of quality impact price premiums of national brands over the store brands. Using data from Consumer Reports, finds that the average quality of store brands exceeds the average quality of national brands in 22 out of 78 product categories. Yet store brands typically do not charge price premiums, while national brands do (28.7 percent price premium on average). When national brands have higher quality, however, they increase the price premium from 28.7 percent to 50.4 percent on average. Regression analysis predicts that a national brand would command 37 percent price premium over a store brand that offers the same quality, a finding that highlights the handsome returns on building brand equity.

Details

Journal of Product & Brand Management, vol. 12 no. 3
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 1 June 1998

Praveen Aggarwal and Taihoon Cha

Sales and market share of storebrands have been growing significantly at the expense of national brands. The decision to purchasea store brand or a national brand has been…

2508

Abstract

Sales and market share of store brands have been growing significantly at the expense of national brands. The decision to purchase a store brand or a national brand has been modeled in this paper. The proposed model provides an explanation for the existence of asymmetric price competition between store brands and national brands. The article proposes and empirically demonstrates the existence of a reference threshold as the key criterion underlying this choice. It also shows that the decision to buy the store/national brand is not influenced by the store brand’s price or price promotions, or the magnitude of the difference between the threshold and the national brand’s price.

Details

Journal of Product & Brand Management, vol. 7 no. 3
Type: Research Article
ISSN: 1061-0421

Keywords

Book part
Publication date: 1 February 2007

Serdar Sayman and Jagmohan S. Raju

Abstract

Details

Review of Marketing Research
Type: Book
ISBN: 978-0-7656-1306-6

Article
Publication date: 14 May 2018

Joseph L. Scarpaci, Eloise Coupey and Sara Desvernine Reed

Communicating the national values of artists and the role of product benefits as symbols of national values, infuse iconic national brands. This paper aims to validate a…

1332

Abstract

Purpose

Communicating the national values of artists and the role of product benefits as symbols of national values, infuse iconic national brands. This paper aims to validate a conceptual framework that offers empirical insights for cultural identity that drives brand management.

Design/methodology/approach

Case studies and cross-cultural focus group research establish the present study’s conceptual framework for cultural branding.

Findings

Brand awareness of a perfume named after a Cuban dancer and a spirit named for a Chilean poet, reflect authentic emblems of national identity. Informants’ behavior confirms the study’s model of icon myth transfer effect as a heuristic for cultural branding with clear, detailed and unprompted references to the myths and brands behind these heroines.

Research limitations/implications

The study’s ethnography shows how artists reflect myth and folklore in iconic brands. Future research should assess whether the icon myth transfer effect as a heuristic for cultural branding occurs with cultural icons beyond the arts and transcends national boundaries.

Practical implications

The study challenges conventional branding, where the brand is the myth, and the myth reflects the myth market. The authors show how the myth connects to a national identity yet exists independently of the brand. The branding strategy ties the brand to the existing myth, an alternative route for cultural branding mediated by the icon myth transfer effect.

Social implications

These two Latin American brands provide a much-needed connection among the branding literatures and images surrounding gender and nationalism in lesser-known markets.

Originality/value

Most research explores iconic myths, brands and folklore in one country. This study extends cultural branding through social history and by testing a conceptual model that establishes how myths embody nation-specific values. Iconic myths are a heuristic for understanding and describing brands, revealing an unexamined path for cultural branding.

Article
Publication date: 1 August 1999

Raj Sethuraman and Catherine Cole

Identifies some managerially relevant factors that influence the size of the price premium that consumers will pay for national brands over store brands in grocery…

10276

Abstract

Identifies some managerially relevant factors that influence the size of the price premium that consumers will pay for national brands over store brands in grocery products. We define price premium as the maximum price consumers will pay for a national brand over a store brand, expressed as the proportionate price differential between a national brand and a store brand. Overall, perceived quality differential accounts for about 12 percent of the variation in price premiums across consumers and product categories and is the most important variable influencing price premiums.

Details

Journal of Product & Brand Management, vol. 8 no. 4
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 18 April 2016

Jose Paulo Marques dos Santos, Marisa Martins, Hugo Alexandre Ferreira, Joana Ramalho and Daniela Seixas

This paper aims to explore brain-based differences in national and own-label brands perceptions. Because price is a differentiating characteristic, able to discriminate…

1346

Abstract

Purpose

This paper aims to explore brain-based differences in national and own-label brands perceptions. Because price is a differentiating characteristic, able to discriminate between national and own-label brands, its influence is also studied.

Design/methodology/approach

The study uses the Save Holdings Or Purchase (SHOP) task with functional magnetic resonance imaging to explore the differences in brain functioning for national versus own-label branded products.

Findings

For the same product, the higher priced national brands and the lower priced own-label brands lead to more buying decisions. It is also found that there are brain structures that are more active/deactive for national than for own-label brands, both marked with real market prices. Price is a powerful driver of buying decisions and has its neural correlates. Parietal regions activate when brand information is subtracted from brand-plus-price information. The most surprising finding is that visual and visual associative areas are involved in the contrasts between branded products marked with switched prices and marked with real market prices.

Originality/value

The activation/deactivation brain patterns suggest that accepted models of brain functioning are not suitable for explaining brand decisions. Also, to our knowledge, this is the first time that a study directly addresses the brain’s functioning when subjects are stimulated with national versus own-label brands. It paves the way for a new approach to understanding how such brand categories are perceived, revealing the neural origins of the associated psychological processes.

Details

Journal of Product & Brand Management, vol. 25 no. 2
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 1 January 2006

Celina González Mieres, Ana María Díaz Martín and Juan Antonio Trespalacios Gutiérrez

The present study sets out to analyze the effects that a set of variables related to purchasing behaviour has on the difference in perceived risk between store brands and…

5837

Abstract

Purpose

The present study sets out to analyze the effects that a set of variables related to purchasing behaviour has on the difference in perceived risk between store brands and national brands.

Design/methodology/approach

The methodology proposed to achieve the objective consists of analyzing the existing relationship between different aspects relating to purchasing behaviour of the consumer and the difference in perceived risk between the two types of brands through a causal and integrated model. Such a model covers both the direct effects and the indirect effects caused by these variables jointly. In order to do so data were obtained from two groups of people, which has allowed for cross‐validation of the methodology used, which, in turn, permitted a greater generalization of the results.

Findings

The variables which have proven to be most relevant when explaining this difference are the perceived quality of the store as opposed to that of the national brands, familiarity with the store brands and confidence in the extrinsic attributes of the product to assess its quality.

Originality/value

Previous empirical research has focused primarily on the individual effects of these variables. A causal model is proposed capable of demonstrating that, besides the direct effect of a variable on the difference in perceived risk between store brands and national brands, there may be other ways for this variable to exercise its influence. This is important because of the implications for retailers when managing their own brands.

Details

European Journal of Marketing, vol. 40 no. 1/2
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 July 2000

Rajiv Vaidyanathan and Praveen Aggarwal

Current research on brand alliances has focused primarily on alliances between two known, national brands. However, there is significant benefit to both parties in an…

12741

Abstract

Current research on brand alliances has focused primarily on alliances between two known, national brands. However, there is significant benefit to both parties in an alliance between a national brand and a private brand. Such alliances are gaining importance in the industry but have not been studied by marketers. The basic question explored in this study is whether using a national brand ingredient can benefit a private brand without hurting the national brand. First, a theoretical framework to explain how consumers may react to such an alliance is presented. Next, an experiment was conducted which showed that a private brand with a name brand ingredient was evaluated more positively. However, the evaluation of the national brand was not diminished by this association. Implications and future research directions are discussed.

Details

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

Keywords

Article
Publication date: 7 January 2021

Md Sadaqul Bari and Byoungho Ellie Jin

The purpose of this study is to identify the emergence of apparel brands in Bangladesh: their timing, order and the reasons behind the patterns. This study also examined…

Abstract

Purpose

The purpose of this study is to identify the emergence of apparel brands in Bangladesh: their timing, order and the reasons behind the patterns. This study also examined whether these evolution patterns followed the same path in Korea and India.

Design/methodology/approach

By employing secondary research method, this study gathered and analyzed data from companies, trade organizations, news media and academic articles to determine the socioeconomic backgrounds and underlying dynamics that propelled the evolution patterns. Following Jin et al.'s (2013) approach, we analyzed three types of apparel brands (international, national and private) in Bangladesh.

Findings

The findings indicated that in contrast with Korea and India, in Bangladesh (a) the emergence of international brands occurred after the national brands' appearance in the More Advanced Production of Fabric and Apparel stage, (b) national brands also emerged at the same stage and earlier than the international brands developed, and (c) internationalization of national brands and emergence of private brands were not observed. The differences in the emergent timing and order were explained by socioeconomic and cultural aspects, along with industry life cycle perspectives.

Practical implications

Findings indicate that the Bangladeshi market is dominated by national apparel brands. Therefore, international brands are advised to consider the business strategies of local competitors and develop their own pricing and merchandising strategies to maintain their supremacy as premium brands.

Originality/value

This study addressed apparel brand evolution patterns in a lower middle-income country. The results revealed some unique aspects. Unlike in other developing countries, national brand development in Bangladesh was initiated by entrepreneurs.

Details

Journal of Fashion Marketing and Management: An International Journal, vol. 25 no. 3
Type: Research Article
ISSN: 1361-2026

Keywords

Article
Publication date: 14 September 2012

Barbara Deleersnyder and Oliver Koll

This paper aims to study the consequences of listing national brands in discounters. Is the discount channel a promising outlet for manufacturer brands? Is it an effective…

2388

Abstract

Purpose

This paper aims to study the consequences of listing national brands in discounters. Is the discount channel a promising outlet for manufacturer brands? Is it an effective means to attract new buyers? Which combination of brand and discount destination at which price is best suited for this strategic move?

Design/methodology/approach

Based on a unique dataset (tracking grocery purchase behavior for a representative sample of German households) and employing both descriptive and multivariate statistical techniques, the authors examine the outcome for 134 national brands introduced in six discount chains in Germany between January 2003 and July 2004.

Findings

Both the manufacturer and discounter are able to grow their total performance in excess of the market following the introduction for the majority of the brands. Hence, potential cannibalization is more than offset by incremental revenues. It is found that, on average, close to 80 per cent of national brands' sales at a discounter is from new brand buyers. Discounters typically benefit less, as only 29 percent of brand sales are from new category buyers at their store.

Practical implications

Including manufacturer brands into a discount assortment will benefit both the manufacturers and the discounters. Examination of the substantial cross‐brand differences reveals that manufacturers and discounters attract more new customers with brands for which market penetration is still modest. Also, discounters gain more from adding branded offerings in underperforming categories, and benefit from brands that enjoy higher customer loyalty. Finally, nationalbrand prices should be set carefully at discounters. It is advised to maintain their price premium even at a discounter.

Originality/value

Discounters are the fastest growing grocery format in Europe. Lately, many discounters add national brands to their private‐label dominated assortment, a move widely discussed in media with substantial implications for grocery channel management. This study provides a comprehensive evaluation of that trend.

Details

European Journal of Marketing, vol. 46 no. 9
Type: Research Article
ISSN: 0309-0566

Keywords

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