ANALYSIS OF CONSUMERS'ATTITUDES TOWARD BRAND EXTENSION QUALITY

ABSTRACT

Current research has shown that consumers’ attitudes towards brand extensions are a function of brand affect, and similarity between parent and extension product categories. This paper developed a model of evaluation of brand extensions with the variables of relevance of the brand’s specific association in the extension category and typicality of the brand in its original category.  Data were collected from 475 consumers in investigating the impact of brand quality, brand liking, value congruence, and category similarity on the brand extension evaluation.  Using HLM methodology, the study found that consumers tend to value more brand quality and value congruence in evaluating brand extension. Although brand liking and category similarity have positive relationship with brand extension evaluation, but their influence was not very strong.