The impact of step-down line extension on consumer-brand relationships: A risky strategy for luxury brands

Purpose The purpose of this study is to assess the extent to which gender impacts the evaluation of vertical line extensions of luxury brands in a cross-national context. The topic of brand/line extensions has been investigated in the mainstream branding literature. On the other hand, the topic has received less attention in the luxury literature. At the same time, while research has examined brand/line extensions from an international perspective, the impact of gender on consumer purchase intentions of luxury downward line extensions in different countries has remained unexplored. Design/methodology/approach Based on an ANOVA design (2 extension types × 2 genders × 2 countries). The independent variables were ordered as follows: gender (male/female), vertical line extensions (upscale/downward) and country of living (France/USA). The purchase intention of the extension was chosen as the dependent variable. Findings The study results show that key differences exist between men and women regarding vertical luxury line extensions. For instance, women in both countries rate a new downward line extension of a luxury brand more positively than men. In contrast, although women evaluate a new upscale line extension of a luxury brand similarly to men in France, women are more positive than men in the USA. Also, US men rate an upscale extension less positively than their French counterparts. Finally, women in both countries rate luxury downward extensions more positively than men. Originality/value This study contributes to the literature of luxury brand management by examining how gender types process and respond to upscale and downward luxury line extensions versus purchase intentions in two different countries. This paper is unique as gender types are not often compared in previous research while fundamental distinctions exist, leading to significant differences. Practically, this study also provides key insights for marketing strategy development and adjustment for luxury manufacturers in terms of their target market, more specifically men versus women.

Consumer-brand relationships in step-down line extensions of luxury and designer brands

Journal of Fashion Marketing and Management ◽

10.1108/jfmm-04-2013-0057 ◽

2014 ◽

Vol 18 (2) ◽

pp. 145-168 ◽

Cited By ~ 6

Author(s):

Kamilla Hanslin ◽

Anne Rindell

Keyword(s):

Product Category ◽

Research Approach ◽

Fashion Industry ◽

Luxury Brands ◽

Brand Relationships ◽

Content Type ◽

Luxury Brand ◽

Line Extensions ◽

Brand Relationship ◽

Step Down

Purpose – The purpose of this paper is to discuss and identify consumer-brand relationships in a luxury brand context. The focus is on consumer-brand relationship forms emerging in relation to step-down line extensions of luxury brands. The study is positioned within fashion industry. Design/methodology/approach – A qualitative research approach is adopted analyzing data from 13 open consumer interviews. Photo collages of luxury brands and their step-down line extension logos were used as inspiration for informants in the interviews. Findings – Findings show that consumer-brand relationships mostly follow earlier identified consumer-brand relationships. However, five new relationship types (status, inspirational, impulse, rewarding and turncoat) are identified. All but status relationships can be generalized also to other contexts than the luxury brand context. Research limitations/implications – The study advances the understanding of luxury products and their step-down line extensions from a consumer perspective. However, due to the exploratory nature of the study the data are limited. Practical implications – This study showed that step-down line extensions are not perceived as that important that they could not be replaced with another brand in the same product category. Informants often preferred step-down line extensions to parent brands due to their more suitable design, even when the informant was hypothetically asked if the opinion would change if economic issues were not a restraint. Managers are encouraged to analyze their brands based on a brand-relationship approach. Originality/value – The study uses the concept consumer-brand relationship as a new way to understand how consumers relate to line extensions in a luxury brand context. The approach is novel.

The impact of branding strategies on horizontal and downward line extension of luxury brands

International Marketing Review ◽

10.1108/imr-10-2017-0208 ◽

2018 ◽

Vol 35 (6) ◽

pp. 1033-1052 ◽

Cited By ~ 3

Author(s):

Jean Boisvert ◽

Nicholas J. Ashill

Keyword(s):

Design Methodology ◽

National Context ◽

Luxury Brands ◽

Content Type ◽

Line Extensions ◽

Line Extension ◽

Branding Strategies ◽

The Impact ◽

Practical Implications ◽

Cross National

PurposeThe purpose of this paper is to empirically assess the impact of branding strategies on horizontal and downward line extensions of French luxury brands in a cross-national context (France vs USA).Design/methodology/approachThis study is based on a two line extensions (horizontal/downward) × three branding strategies (direct brand/sub-brand/standalone brand) x two country (France/USA) between-subjects ANOVA design.FindingsThe study shows that the subtyping effect created by a sub-branded luxury downward line extension tends to be rated similarly to a direct branded extension which oppose previous beliefs put forward in non-luxury settings. In contrast, a new independent/standalone extension fully uses the subtyping effect which helps attenuate this risk related to luxury downward stretches. The study also found that the effect of gender in cross-national settings must always be taken into consideration as significant variations occur in the process.Research limitations/implicationsThe study covers two countries but should be replicated in other cross-national contexts.Practical implicationsThis study helps marketing managers of luxury brands make a better decision when it comes to launching vertical line extensions (upscale/downward) by carefully using types of branding strategies and relevant communications whether women and/or men are targeted in cross-national contexts.Originality/valueThis study breaks new ground in the international luxury literature by providing key theoretical and managerial insights in terms of launching new downward line extensions with the proper use of branding strategies when targeting specific genders.

The effect of vertical brand extensions on consumer-brand relationships in South Africa

South African Journal of Business Management ◽

10.4102/sajbm.v48i1.15 ◽

2017 ◽

Vol 48 (1) ◽

pp. 1-10 ◽

Cited By ~ 2

Author(s):

O. Muroyiwa ◽

R. Abratt ◽

M. Mingione

Keyword(s):

South African ◽

Negative Impact ◽

Brand Extensions ◽

Brand Commitment ◽

Luxury Brands ◽

Brand Relationships ◽

Brand Attachment ◽

Luxury Brand ◽

Vertical Step ◽

The Impact

The purpose of this research is to evaluate the impact of the introduction of vertical brand extensions on Consumer-Brand Relationships (CBRs) in the mobile phone market. In particular, we aim at exploring the effect vertical brand extensions that luxury and functional brands have on consumers’ perceptions, as well as the effect the extensions will have on CBRs. This study pursues a quantitative approach, developing and testing four hypotheses on the influence vertical brand extensions have on four CBR-related constructs, namely brand attachment, brand trust, brand commitment and brand identification. The elicited context is the South African market and the selected brands are Apple, to represent luxury brands, and Samsung, representative of functional brands. Results only partially confirm previous research on vertical brand extension. Supporting previous studies, a vertical step-down extension has been found to have a stronger negative impact on brand commitment for the luxury brand than for the functional one. However, findings disconfirm the literature in revealing a stronger negative impact on the functional brand than the luxury brand and a positive effect on the brand attachment of both brands, especially the functional brand.

Materialism moderates the impact of mortality salience on impulsive tendencies toward luxury brands

Death Studies ◽

10.1080/07481187.2017.1334008 ◽

2017 ◽

Vol 42 (2) ◽

pp. 115-122 ◽

Cited By ~ 1

Author(s):

Catherine Audrin ◽

Boris Cheval ◽

Julien Chanal

Keyword(s):

Mortality Salience ◽

Luxury Brands ◽

The Impact

The impact of brand concept on brand equity

Asia Pacific Journal of Innovation and Entrepreneurship ◽

10.1108/apjie-08-2017-030 ◽

2017 ◽

Vol 11 (2) ◽

pp. 233-245 ◽

Cited By ~ 7

Author(s):

Joo-Eon Jeon

Keyword(s):

Brand Equity ◽

Emotional Attachment ◽

Brand Performance ◽

Brand Relationships ◽

Content Type ◽

Customer Commitment ◽

Brand Relationship ◽

Brand Concept ◽

The Impact ◽

The Relationship

PurposeResearches on the impact brand equity have grown considerably in recent years, as it has been shown to have significant impact on a company’s financial performance. This paper aims to empirically test the relationships between brand concepts and brand equity, while exploring the mediating roles of emotional attachment and customer commitment. Design/methodology/approachThe research investigates the effect of brand concept on the customer–brand relationship and brand performance. Additionally, it examines how the relationship between brand concept and brand equity is mediated by customer–brand relationships such as emotional attachment and commitment. FindingsThe results empirically demonstrate the important contribution of the three brand concepts to brand equity. The results empirically demonstrate the important contribution of the three-brand concept to customer commitment and to brand equity that has been predicted by prior research. Originality/valueThe main contribution of this study is to demonstrate the effects of the brand concepts related to aesthetic, functional and symbolic benefits on brand equity. From this, brand equity may be viewed as a link in the path of effects that indirectly connects brand concepts with market performance. Brand concept, emotional attachment and customer commitment are relevant constructs underlying brand equity, and commitment and loyalty are key mediating variables in relational exchanges.

The Impact of Country of Brand Image on Symbolic Value of Luxury Brands

10.26686/wgtn.12762485 ◽

2020 ◽

Author(s):

Qi Qiu ◽

Yonggui Wang ◽

James Richard ◽

Xiaoyan Wang

Keyword(s):

Brand Image ◽

Luxury Brands ◽

Symbolic Value ◽

The Impact

No description supplied

Does brand-relationships matter? The role of brand attachment in salesperson performance in retailing

Spanish Journal of Marketing - ESIC ◽

10.1108/sjme-11-2020-0192 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Flavia Braga Chinelato ◽

Cid Gonçalves Filho ◽

Clodoaldo Lopes Nizza Júnior

Keyword(s):

Organizational Commitment ◽

Sales Performance ◽

Equation Modeling ◽

Brand Relationships ◽

Salesperson Performance ◽

Brand Attachment ◽

Content Type ◽

The Impact ◽

The Relationship

Purpose Salesperson performance is accepted as a relevant factor of retailing success. However, scarce studies reveal the relationship between sales performance and brand relationship. The purpose of this study is both, from one side, to empirically demonstrate the impact of salesperson brand attachment (SBA) on sales performance and, on the other side, to identify the mediators of this relationship in small retailing. Design/methodology/approach A survey was conducted with a sample of 206 small retailers from different sectors of an emerging country. The proposed model was tested using partial least squares–structural equation modeling (PLS-SEM) in SmartPLS3. Findings The results demonstrated that SBA is relevant to driving sales performance through two relevant paths – one following SBA–satisfaction–performance and one path following the SBA–commitment–performance. The model was able to explain 63% of the outcome performance. Practical implications Regarding small retailers, where the owners, employees and managers have higher levels of interaction than the large national retail chains, the marketing executives must invest in improving the attachment to the brand and create emotional bonds and cognition between marketers and the brand. They must develop strategies to promote job satisfaction and organizational commitment because they determine performance. Originality/value Despite the relevance of small businesses for economies worldwide and the importance of salesperson brand relationships, no study has been developed to demonstrate the impacts of such relationships on salesperson performance in retailing. Furthermore, in addition to the central role of organizational commitment in the sales research, to the best of the authors’ knowledge, this is the first study to explore how to mediate the relationship between brand attachment and sales performance.

Luxury in China

10.1093/oxfordhb/9780190932220.013.25 ◽

2021 ◽

Author(s):

Qing Wang

Keyword(s):

Emerging Economies ◽

Chinese Culture ◽

Luxury Brands ◽

Cultural Narratives ◽

Luxury Consumption ◽

Major Market ◽

Global Pandemic ◽

Depth Analysis ◽

Different Cultures ◽

The Impact

Luxury brands embody strong cultural narratives to express their authentic value and to make them more desirable. With globalisation and the democratisation of luxury, the nature of luxury consumption is changing. Emerging economies such as China have become not only the major market but a source of design inspiration for luxury brands. This chapter provides a systematic review of luxury brands in China in three distinct stages, followed by an in-depth analysis of the nature of luxury consumption in China and the transportation mechanism of brand narratives to different cultures. It concludes with several important findings and indicates that good storytelling provides an anchor for a brand’s esteem both at home and abroad. Instead of merely communicating the cultural narratives of their Western origin, luxury brands need to identify with Chinese culture in all elements of their business, from product design to brand communication. Finally, this chapter explores the impact of the global pandemic on luxury brands in China.

CONSUMERS PERCEPTION OF COUNTERFEIT LUXURY BRANDS: THE IMPACT OF THE NEW LUXURY BRANDS IN THE MARKET

Global Fashion Management Conference ◽

10.15444/gfmc2021.04.03.04 ◽

2021 ◽

pp. 257-258

Author(s):

Paula Rodrigues ◽

◽

Catarina Correia ◽

Ana Sousa

Keyword(s):

Luxury Brands ◽

The Impact