Sattler, Henrik, Voelckner, Franziska, Riediger, Claudia and Ringle, Christian M. (2010). The impact of brand extension success drivers on brand extension price premiums. Int. J. Res. Mark., 27 (4). S. 319 - 329. AMSTERDAM: ELSEVIER. ISSN 1873-8001

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Abstract

Research into brand extensions has mainly focused on consumers' extension evaluations without considering an important financial implication: the ability of the extension product to charge a price premium. This study analyzes (1) the extent to which consumers are willing to pay a price premium for the extension product and (2) the impact of potential success drivers on consumers' attitudes toward the extension and the extension price premium. The results show, for example, that perceived advertising support positively influences consumers' attitudes toward the extension, but it does not directly affect the magnitude of the brand extension price premium. Furthermore, this study reveals monetary effects associated with these success drivers (i.e., parent brand quality, perceived fit, marketing support for the brand extension, and consumer experience with the extension category), which offer important information regarding how to allocate resources to various success drivers. For example, brand investments that increase perceptions of parent brand quality by one unit (seven-point scale) tend to enhance the brand extension price premium of typical fast moving consumer goods (average price of (sic)2.04 in the study sample) by (sic).208, all else being equal. (C) 2010 Elsevier B.V. All rights reserved.

Item Type: Journal Article
Creators:
CreatorsEmailORCIDORCID Put Code
Sattler, HenrikUNSPECIFIEDUNSPECIFIEDUNSPECIFIED
Voelckner, FranziskaUNSPECIFIEDUNSPECIFIEDUNSPECIFIED
Riediger, ClaudiaUNSPECIFIEDUNSPECIFIEDUNSPECIFIED
Ringle, Christian M.UNSPECIFIEDUNSPECIFIEDUNSPECIFIED
URN: urn:nbn:de:hbz:38-491545
DOI: 10.1016/j.ijresmar.2010.08.005
Journal or Publication Title: Int. J. Res. Mark.
Volume: 27
Number: 4
Page Range: S. 319 - 329
Date: 2010
Publisher: ELSEVIER
Place of Publication: AMSTERDAM
ISSN: 1873-8001
Language: English
Faculty: Unspecified
Divisions: Unspecified
Subjects: no entry
Uncontrolled Keywords:
KeywordsLanguage
COMMON METHOD VARIANCE; CONSUMER EVALUATIONS; EMPIRICAL GENERALIZATIONS; PRODUCT QUALITY; ATTITUDES; CHOICE; MODEL; PERCEPTIONS; VARIABLESMultiple languages
BusinessMultiple languages
URI: http://kups.ub.uni-koeln.de/id/eprint/49154

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