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Consumer Evaluations of Service Brand Extensions

Consumer Evaluations of Service Brand Extensions Branding decisions are becoming increasingly important in services, but little service-specific research has focused on this domain so far. This is surprising, as the service industry accounts for an ever-growing share of the global economy, whereas service aspects have become increasingly important for all goods. Marketing managers may want to capitalize on previously acquired brand equity by extending a reputable brand to a new category. Little is known, however, about the extent to which consumerbased brand equity transfers to unrelated categories in a services context. The authors have replicated Aaker and Keller’s (1990) study and extended it to the services domain. Our data set provides evidence that in a services context, consumers use complementarity to the original category as a major cue to evaluate extensions. As a consequence, brand extension strategies could probably be used most successfully in cases where a significant similarity in service delivery processes exists. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Service Research SAGE

Consumer Evaluations of Service Brand Extensions

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References (47)

Publisher
SAGE
Copyright
Copyright © by SAGE Publications
ISSN
1094-6705
eISSN
1552-7379
DOI
10.1177/109467050133003
Publisher site
See Article on Publisher Site

Abstract

Branding decisions are becoming increasingly important in services, but little service-specific research has focused on this domain so far. This is surprising, as the service industry accounts for an ever-growing share of the global economy, whereas service aspects have become increasingly important for all goods. Marketing managers may want to capitalize on previously acquired brand equity by extending a reputable brand to a new category. Little is known, however, about the extent to which consumerbased brand equity transfers to unrelated categories in a services context. The authors have replicated Aaker and Keller’s (1990) study and extended it to the services domain. Our data set provides evidence that in a services context, consumers use complementarity to the original category as a major cue to evaluate extensions. As a consequence, brand extension strategies could probably be used most successfully in cases where a significant similarity in service delivery processes exists.

Journal

Journal of Service Research – SAGE

Published: Feb 1, 2001

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