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Article
Publication date: 11 August 2023

Hoang Tran Phuoc Mai Le, Tianbao Ren and Jungkun Park

This paper aims to investigate the key characteristics of parent brands and the relationships among customer perceived value (a second-order construct containing financial…

Abstract

Purpose

This paper aims to investigate the key characteristics of parent brands and the relationships among customer perceived value (a second-order construct containing financial, functional, individual and social attributes), parent brand loyalty and the willingness to pay for a premium extended brand. Moreover, the moderating effect of self–brand integration on the influences in the model is examined.

Design/methodology/approach

Data were collected in two countries, the USA (n = 535) and China (n = 511), through an online survey. Structural equation modeling and a multi-group analysis were used to analyze the data.

Findings

The results show that perceived quality and premium brand authenticity are two important predictors of perceived value. The relationships among perceived value, parent brand loyalty and willingness to pay for an extended premium brand were significantly supported. In addition, self–brand integration was found to moderate the relationship between perceived value and loyalty to the parent brand.

Practical implications

Wine marketers and managers can use recommendations to establish effective brand extension strategies to help the industry know what essential characteristics of a parent brand to focus on and maintain sustainable development through the customer–extended brand relationship.

Originality/value

Previous researchers have discussed wine consumption behaviors or branding strategies. By limiting combining two theories (flow theory and the theory of planned behavior), this paper proposes a chain of behaviors to optimize customer experience to develop a brand extension strategy based on key characteristics of the parent brand.

Details

International Journal of Wine Business Research, vol. 35 no. 4
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 15 January 2024

Muhammad Rashid Saeed, Richard Lee, Larry Lockshin, Steven Bellman, Song Yang and Justin Cohen

Low-fit brand extensions offer several potential benefits, yet their success is challenging. Building on construal level theory, this study aims to investigate how different…

Abstract

Purpose

Low-fit brand extensions offer several potential benefits, yet their success is challenging. Building on construal level theory, this study aims to investigate how different advertising appeals can improve the evaluations of low-fit brand extensions through two different processes (cognitive and affective).

Design/methodology/approach

Two experiments were conducted with US consumers. Study 1 used a 2 (extension fit: high, low) × 2 (ad appeal: abstract, concrete) between-subjects design. Study 2 applied a 2 (brand associations: promotion, prevention) × 2 (ad appeal: promotion, prevention) between-subjects design. Multivariate analyses and follow-up means comparisons were used to analyse data.

Findings

Study 1 found that an abstract ad appeal is more effective for promoting low-fit brand extension because it improves the perception of fit. Study 2 showed promotion vs prevention ad appeals lead to better evaluation of low-fit brand extensions when matched with parent brand associations (promotion vs prevention) in terms of construal level. This matching effect is underpinned by processing fluency.

Research limitations/implications

Ad appeals can influence low-fit brand extension evaluation by influencing the perception of fit (cognitive process) or processing fluency (affective process). Future research could consider different ad appeals and other construal related factors to generalise these findings.

Practical implications

Marketers can design different ad appeals to effectively advertise low-fit brand extensions. These findings can guide managers in the development of effective advertising strategies.

Originality/value

This research offers a new perspective on how ad appeals can enhance low-fit brand extension evaluation.

Details

Journal of Consumer Marketing, vol. 41 no. 1
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 18 January 2024

Gabriel Pedrosa, Helena Nobre and Ana Sousa

This study aims to understand how consumers evaluate downscale vertical line extensions of a prestige/luxury original equipment manufacturer (OEM) in the European automotive…

Abstract

Purpose

This study aims to understand how consumers evaluate downscale vertical line extensions of a prestige/luxury original equipment manufacturer (OEM) in the European automotive market. The authors investigate the moderator effects of innovativeness and the need-for-status traits on the relationships between consumers' extension perceived fit (EPF), extension attitude (EA) and extension perceived value (EPV).

Design/methodology/approach

Experimental design with quantitative analyses based on a sample of 419 participants. Participants were randomly assigned to two treatments: low-fit and high-fit extension simulations.

Findings

The purchase intention of the downscale vertical extension of a luxury OEM brand is directly influenced by EPV and indirectly influenced by consumer EA and EPF with the parent brand. Findings also suggest that parent brand equity is transferable to extensions that present closeness and consistency with the brand’s heritage. Moreover, the need for status strengthens the relationship between the EPF and the extension perceived social value (EPSV).

Originality/value

The authors developed a realistic simulation of a downscale model of a well-known prestige/luxury car brand. The authors test the influence of innovativeness and need-for-status personal traits on consumer extension acceptance.

Details

EuroMed Journal of Business, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1450-2194

Keywords

Article
Publication date: 21 December 2023

Yue He, Zan Mo and Huijian Fu

Downward line extension is a valuable growth strategy that enables multiple products and services to meet diverse customer needs. However, downward extended products launched by…

Abstract

Purpose

Downward line extension is a valuable growth strategy that enables multiple products and services to meet diverse customer needs. However, downward extended products launched by high-status brands may be challenged by horizontal extended products launched by relatively low-status brands when these two types of products target similar consumers. This study aims to examine the impact of product type (horizontal extended versus downward extended) on consumers’ purchase intentions, the underlying mechanism and the moderating role of power distance belief.

Design/methodology/approach

Four scenario-based experiments were conducted to probe the research questions.

Findings

Consumers develop lower purchase intentions for downward (versus horizontal) extended products due to the reduction of perceived fit and self-congruity (Study 1). Beyond that, power distance belief moderates the impact of product type on consumers’ purchase intentions, as a low power distance belief reduces the negative effect of downward line extension (Studies 2a, 2b and 2c). Perceived fit and self-congruity mediate the interaction effect between product type and power distance belief on consumers’ purchase intentions (Study 2c).

Practical implications

This study provides marketing practitioners with guidance on implementing the strategy of downward line extension.

Originality/value

This study serves as a preliminary effort to compare consumers’ responses between downward and horizontal extended products, which deepens the understanding of downward line extension. It also contributes to the body of knowledge about line extension and power distance belief by demonstrating the moderating role of power distance belief in a line extension context.

Details

Journal of Product & Brand Management, vol. 33 no. 2
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 4 January 2024

Emmanuel Mogaji and Nguyen Phong Nguyen

Several high street retail banks are extending their brands into digital banking through fully digital, app-only neobanks, which have been described as traditionally-driven…

Abstract

Purpose

Several high street retail banks are extending their brands into digital banking through fully digital, app-only neobanks, which have been described as traditionally-driven neobanks (TDNBs). These TDNBs are considered a form of brand extension, representing the increased complexity of branding banks and financial institutions. This study explicitly addresses the branding strategies employed by TDNBs.

Design/methodology/approach

This study has adopted a case study research design, using a multi-stage data collection strategy. Initially, interviews were conducted with bank managers, followed by interviews with customers. Later, user-generated content was extracted through verified reviews from the app store. Subsequently, these three strands of data were thematically analysed and triangulated, in order to gain a holistic understanding of the branding strategies used by TDNBs.

Findings

Three key themes emerged regarding the branding strategies of the TDNBs: aligning with the parent brand, reinforcing the digital experience, and enhancing the brand image.

Research limitations/implications

This study contributed to the growing body of research on marketing, branding, and digital transformation of bank services. As more traditional banks are exploring opportunities to pivot and explore other fintech options, this study offers significant insights that will help in managing brand experience and promotion across customer journeys in the banking sector.

Practical implications

This study contributes to the growing body of research on marketing, branding, and digital transformation of bank services. Even as more traditional banks explore opportunities to pivot as well as other fintech options, this study offers significant insights to help manage brand experience and promotion across customer journeys in the banking sector.

Originality/value

While previous studies on banking and financial services have concentrated on traditional retail and high street banks, there is a need for a greater understanding of the brand positioning of digital banks, especially those created by traditional banks.

Details

International Journal of Bank Marketing, vol. 42 no. 2
Type: Research Article
ISSN: 0265-2323

Keywords

Article
Publication date: 23 April 2024

HamidReza Talaie

Children’s sensory involvement refers to the degree to which children engage their senses, such as sight, touch, taste, smell and hearing, in their interactions with the…

Abstract

Purpose

Children’s sensory involvement refers to the degree to which children engage their senses, such as sight, touch, taste, smell and hearing, in their interactions with the environment. In the context of parents' purchase decisions, children’s sensory involvement pertains to how children's sensory involvement influences the purchasing decisions made by their parents. The aim of this study was to evaluate the effect of children's sensory involvement on parents’ purchase decisions considering the mediating role of the parent’s attitude.

Design/methodology/approach

In this study, a structured questionnaire survey was conducted with parents of children aged 7–12 in Isfahan, Iran. The sample consisted of 210 parents, aimed at elucidating the relationship between variables. Structural equation modeling (SEM) was employed to analyze the relationship between variables.

Findings

Results showed a significant relationship between children’s sensory involvement and parents’ purchase decisions, children’s sensory involvement and parents’ attitudes and parents’ attitudes and purchase decisions. It was concluded that children’s sensory involvement could indirectly influence the parents’ purchase decisions considering the mediating role of parents' attitudes.

Originality/value

In today's business landscape, it is imperative for organizations to discern the multitude of factors influencing consumers' purchasing decisions. Among these, family dynamics play a substantial role, with children often exerting a strong influence on their parents' buying choices. Despite the acknowledged importance of this dynamic in existing literature, the specific impact of children's sensory involvement on parental purchasing decisions remains largely unexplored. Therefore, this paper aims to fill this gap in the literature by shedding light on the role of children's sensory involvement in shaping parental buying behaviors.

Details

Journal of Contemporary Marketing Science, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2516-7480

Keywords

Article
Publication date: 20 November 2023

Jinhua He, Jiaxin Xiang and Jing Wang

This study explores the influence of heritage brand extension on consumer purchase intention and analyses the effects of pop culture involvement. The extension of heritage brands…

Abstract

Purpose

This study explores the influence of heritage brand extension on consumer purchase intention and analyses the effects of pop culture involvement. The extension of heritage brands is becoming increasingly difficult because such an extension needs to be consistent with the unique characteristics of brands and resonate with consumers. However, few scholars discuss the influence of consumers' level of pop culture involvement on brand extension and purchasing behaviour.

Design/methodology/approach

Taking time-honoured brands as an example, this study established a conceptual model based on a comprehensive review of the literature, and then tested the model using a sample of 255 respondents who were familiar with one of the selected Chinese time-honoured brands. Structural equation modelling was used to analyse the relationships amongst brand extension fit, pop culture involvement, perceived value and purchase intention.

Findings

Time-honoured brand extension fit has a positive impact on consumer purchase intention, and this path is significantly influenced by the mediation mechanisms of perceived value. Situational pop culture involvement can significantly strengthen the relationship between time-honoured brand extension fit and perceived value, whereas enduring pop culture involvement does not.

Originality/value

The results clarify and expand on the different roles of cultural involvement in time-honoured brands and broaden research on the influence of cultural involvement in this regard. This study has significant theoretical value for the inheritance and revival of heritage brands and provides a reference for the practice of time-honoured brands.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 36 no. 5
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 27 June 2023

Pranakusuma Sudhana, Noermijati Noermijati, Ananda Sabil Hussein and Nur Khusniyah Indrawati

This paper aims to explain the unsuccessful relationship between the awareness of prominent international education brands and enrollment intention.

Abstract

Purpose

This paper aims to explain the unsuccessful relationship between the awareness of prominent international education brands and enrollment intention.

Design/methodology/approach

A serial mediation model encompassing perceived congruity and brand attitude was developed and tested using the PLS-SEM technique, involving 132 respondents.

Findings

The results revealed that the awareness of international education brands, subsequently perceived as internally congruent with the prospective students’ self-image in terms of resource sufficiency, will yield enrollment intention by forming the desired brand attitude.

Research limitations/implications

This paper includes generalizability as its limitation, with suggestions to undertake the broader scope of studies. Future research could examine other variables to enhance the model.

Practical implications

This paper presents theoretical and managerial implications for higher education branding and marketing.

Originality/value

To the best of the authors’ knowledge, this study could be the first to discuss the international university landscape in Indonesia. In addition, the proposed model could be a plausible framework for explaining the intention to accept not only international education brands but also other brands of goods and services, thereby benefiting both educational and consumer research.

Open Access
Article
Publication date: 24 May 2023

Carlos Diaz Ruiz and Angela Gracia B. Cruz

This study conceptualizes a form of luxury consumption in which luxury brands collaborate with unconventional non-luxury partners. These unconventional luxury brand collaborations…

5363

Abstract

Purpose

This study conceptualizes a form of luxury consumption in which luxury brands collaborate with unconventional non-luxury partners. These unconventional luxury brand collaborations are growing in popularity among Chinese luxury consumers of the post-1990s generation. Luxury brands are exploring new branding strategies due to the growing commercial importance of Chinese luxury consumers.

Design/methodology/approach

An in-depth qualitative study informs this paper. Interviews with young adult luxury consumers self-identifying as Chinese reveal a growing interest for luxury brands that collaborate with odd partners in social media and online culture.

Findings

Unconventional collaborations between luxury brands and non-luxury partners catalyze shifting meanings of luxury through the following juxtapositions: ephemeral instead of timeless, trendy rather than inaccessible, and playful in contrast with traditional. First, young Chinese consumers construct luxury meanings through ephemerality, like digital possessions, social media fame and fleeting experiences. Second, luxury meanings emerge in trendiness among social media influencers and online culture rather than in the seemingly inaccessible taste regimes of the upper class. Third, younger consumers appreciate fun, rebellious and over-the-top aesthetics in luxury brands.

Originality/value

The study contributes to the nascent field of unconventional luxury by conceptualizing how unusual, odd and unexpected collaborations constitute new forms of luxury consumption. The shifting meanings of luxury consumption that this study conceptualizes raise new opportunities and challenges for luxury brands. One of such is the release of limited collections with non-luxury partners seemingly at the opposite spectrum of design, image and values. Moreover, the study adds nuance to the understanding of luxury consumption among young Chinese consumers.

Details

International Marketing Review, vol. 40 no. 7
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 21 December 2022

Giovanni Manansala, Chris Niyi Arasanmi and Adedapo Oluwaseyi Ojo

This study aims to examine ethical practices in the banking sector by testing the relationships between customer perceptions of ethicality and brand attributes like affect, image…

Abstract

Purpose

This study aims to examine ethical practices in the banking sector by testing the relationships between customer perceptions of ethicality and brand attributes like affect, image and equity.

Design/methodology/approach

Drawing on the social exchange theory, the authors advance the consumer’s perspective in explaining brand equity in the banking sector. Following the survey technique, the authors used the Hayes’ Macro Process in analysing the data collected from 148 bank customers in New Zealand.

Findings

The findings suggest that customers’ perception of ethicality, brand image and affect are significantly associated with brand equity. Also, brand image and affect significantly mediate the relationship between customer’s perception of ethicality and brand equity.

Research limitations/implications

The main limitation of this study is the use of survey and cross-sectional methods. Future research may adopt mixed-method techniques to provide insightful information on how these variables influence brand equity.

Originality/value

The study demonstrates the mechanisms that facilitate brand equity and contributes to theory by analysing the factors of brand equity in the banking sector, which has been less investigated.

Details

International Journal of Ethics and Systems, vol. 40 no. 1
Type: Research Article
ISSN: 2514-9369

Keywords

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