The impact of brand extensions on parent brand relationship equity

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Title The impact of brand extensions on parent brand relationship equity
Author Dwivedi, Abhishek; Merrilees, Bill
Journal Name Journal of Brand Management
Year Published 2012
Place of publication United Kingdom
Publisher Palgrave Macmillan
Abstract The emergence of a relational paradigm necessitates an analysis of brand extensions from the standpoint of their impact on potential consumer relationships with a parent brand. The current study adds a novel perspective to the brand extension feedback literature by explaining the effect of brand extensions on the relationship equity of a parent brand. This extends the scope of feedback effect consequences from the previous concentration on simply parent brand equity effects. Further, parent brand trust is introduced as a key antecedent of consumers ’ reciprocal evaluations of parent brand relationship equity given its established role in consumer – brand relationships. A conceptual model of brand extension feedback is developed and tested on a sample of 888 Australian consumers. All the hypotheses of the model are supported. Brand extension attitude has the strongest impact on change in parent brand relationship equity, followed by initial relationship equity. The impact of parent brand trust is also signifi cant. The study supports the role of brand extensions as relationship facilitators within a supermarket retailing scenario. Practitioners are advised to conduct an objective audit of existing relationship equity and trust before launching brand extensions.
Peer Reviewed Yes
Published Yes
Alternative URI http://dx.doi.org/10.1057/bm.2011.46
Volume 19
Issue Number 5
Page from 377
Page to 390
ISSN 1350-231X
Date Accessioned 2012-06-26
Language en_US
Research Centre Griffith Institute For Tourism
Faculty Griffith Business School
Subject Marketing Management (incl Strategy and Customer Relations)
URI http://hdl.handle.net/10072/47205
Publication Type Journal Articles (Refereed Article)
Publication Type Code c1

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