The Impact of Brand Extension Introduction on Consumer Choice

Publication Type

Journal Article

Publication Date

10-2001

Abstract

This article focuses on the impact of a new brand extension introduction on choice in a behavioral context using national household scanner data involving multiple brand extensions. Particularly, the authors investigate the reciprocal impact of trial of successful and unsuccessful brand extensions on parent brand choice. In addition, the authors examine the effects of experience with the parent brand on consumers' trial and repeat of a brand extension using household scanner data on six brand extensions from a national panel. In the case of successful brand extensions, the results show positive reciprocal effects of extension trial on parent brand choice, particularly among prior non-users of the parent brand, and consequently on market share. The authors find evidence for potential negative reciprocal effects of unsuccessful extensions. In addition, the study shows that experience with the parent brand has a significant impact on extension trial, but not on extension repeat.

Discipline

Marketing

Research Areas

Marketing

Publication

Journal of Marketing

Volume

65

Issue

4

First Page

1

Last Page

15

ISSN

0022-2429

Publisher

AMA

Comments

(Lead Article) Winner of the Donald R. Lehmann Award for the Outstanding ; Dissertation Based Article in Marketing Research

Additional URL

https://www.jstor.org/stable/3203495

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