The Importance of the Brand in Brand Extension

TLDR

Consumer perceptions of brand extensions are known to be influenced by brand affect and category similarity, yet little research has examined other brand‑specific associations. The study uses three experiments to compare the influence of brand‑specific associations against brand affect and category similarity. The results show that brand‑specific associations can outweigh brand affect and category similarity, especially when consumers have high brand knowledge, with implications for managerial decisions on brand extensions.

Abstract

Recent research has identified two factors that influence consumer perceptions of a brand extension: brand affect and the similarity between the original and extension product categories. However, surprisingly little attention has been paid to other associations specific to the brand itself. The authors perform three experiments to explore the relative importance of these associations. The experiments reveal that brand-specific associations may dominate the effects of brand affect and category similarity, particularly when consumer knowledge of the brands is high. The authors conclude by discussing the implications of these findings for managerial decision making and the process by which consumers evaluate brand extensions.