brand extensions the good the bad and the ugly pdf

Brand Extensions The Good The Bad And The Ugly Pdf

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Brand extension or brand stretching is a marketing strategy in which a firm marketing a product with a well-developed image uses the same brand name in a different product category. The new product is called a spin-off. Organizations use this strategy to increase and leverage brand equity definition: the net worth and long-term sustainability just from the renowned name. An example of a brand extension is Jello -gelatin creating Jello pudding pops. It increases awareness of the brand name and increases profitability from offerings in more than one product category.

The effects of promotional activities on brand decision in the cellular telephone industry

First, the study explored the impact of the distance of the up-market extension from the brand s traditional price point on attitude towards the extended product. Additionally, the research examined whether the price point breadth of the products in the brand portfolio can influence consumer perceptions of a new extension. In an effort to address the research questions an experiment was conducted that featured hypothetical vertical extensions of an actual brand. The findings indicated that extensions that are closer in price point to existing core offerings are evaluated more favorably than extensions at a higher price point. The results also suggested that the presence of a product at an intermediate-level price point can increase the potential acceptance of an extension at a more distant up-market price point. Finally, it was demonstrated that an intermediate up-market extension will be viewed more favorably if the brand has previously introduced an extension at a higher price point.

Branding is important to manufacturers, retailers and consumers. Brands with higher brand equity have higher sales. The growth of mobile phone subscriptions is considerably faster in the Philippines. Advertising and promotion are undertaken through cooperation between the service providers and mobile phone manufacturers. The study tries to find out the effects of the different activities on consumer choice of mobile phone brands.

aaker 1990 (review) - brand extensions the good, the bad, and the ugly

A brand name can be considered a mental category. Similarity-based categorization theory has been used to explain how consumers judge a new product as a member of a known brand, a process called brand extension evaluation. This study was an event-related potential study conducted in two experiments. The study found a two-stage categorization process reflected by the P2 and N components in brand extension evaluation. In experiment 1, a prime—probe paradigm was presented in a pair consisting of a brand name and a product name in three conditions, i.

The Effect of Parent Brand Experience on Line Extension Trial and Repeat Purchase

Are brand extensions of healthy products an adequate strategy when there is a high association between the brand and unhealthy products? The objective of this paper was to explore which branding strategy brand extension versus new brand is most convenient for healthy products, by taking into account the effect that the perceived fit between the nutritional attributes of the regular products of the parent brand and the healthy extensions have on the credibility of the latter. The required information was obtained through personal interviews with consumers resident in the metropolitan area of Mexico City. The type of study was exploratory-descriptive and focused on the manufactured snacks that are sold in Mexico. Reformulations of traditional snacks that are commercialized under the name of the parent brand have low credibility with respect to their nutritional value due to the high association between non-healthy attributes and the image of the parent brand.

Brand Portfolio Influences on Vertical Brand Extension Evaluations

This research analyzes how consumer experience with a parent brand affects trial and repurchase probabilities for a line extension. Experience with the parent-brand increases consumers' expectation that the extension quality is high. Therefore, consumers with more parent-brand experience will be more likely to try the extension.

Literaturverzeichnis Buchstabe A Aaker, D. Author: Franz Weber. Download PDF. Recommend Documents. The good, bad, and ugly of ozone. Root Canals. The Good.

Firms will wish to extend the profitable life of a product for as long as possible. To do this they will often introduce extension strategies to delay a product's decline. Extension strategies are marketing techniques designed to extend a product's life cycle and delay its decline. An extension strategy will involve amendments to the marketing mix such as upgrading or updating the product, changing the packaging or presentation, adding new features or new design elements or lowering price. If the firm decides to continue selling the product as it reaches saturation or enters the decline phase, it is likely to extend the life of the product by changing aspects of the marketing mix to rejuvenate the offer. Strategies will include :.


This article is an overview of the brand extension decision and its possible outcomes — the good, the bad, and the ugly. First, we consider the.


A good marketing strategy can increase sales of products, which leads to higher profitability. The proposed study of this paper investigates how consumer's mental capability reacts when a new product is introduced along with a well known brand. The proposed study of this paper selects people who choose 12 hypothetical new product. Dependent variable is consumer perception towards new product development. Independent variables include customers consider newly offered product as replacement or supplement one.

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