How consumer-based brand equity relates to market share of global and local brands in developed and emerging countries
International Marketing Review
ISSN: 0265-1335
Article publication date: 28 April 2020
Issue publication date: 19 May 2020
Abstract
Purpose
The purpose of this paper is to investigate the relationship between consumer-based brand equity (CBBE) – conceptualized as consisting of brand awareness, perceived quality, brand associations, perceived value and brand loyalty – and market share for different brand types (global versus local) in different country groups (developed versus emerging).
Design/methodology/approach
This paper combines consumer–survey-based data, experts' coding and retail panel data of fast-moving consumer goods (FMCG) brands in 29 countries.
Findings
In developed countries, the relationship between each CBBE component (except for brand associations) with market share is stronger for local than global brands. In emerging countries, the relationship between each CBBE component with market share is stronger for global than local brands.
Research limitations/implications
This paper contributes to better understanding the relationships between CBBE and market share by showing how CBBE components relate to market share for different brand types (global and local) in different country groups (developed and emerging). Limitations arise from constraints related to existing datasets (e.g. limited number of variables and type of product categories considered).
Practical implications
This paper offers insights to managers working in multinational FMCG companies, as it suggests which CBBE components relate more strongly to the global or local brands' market shares in different countries.
Originality/value
This paper analyzes the relationship between CBBE and market share by focusing on different brand types (global versus local) in different country groups (developed versus emerging). It does so by using a company dataset and showing correspondence with conceptualizations and measures of brand equity from the academic literature. It also considers a large set of 29 countries, extending research beyond national boundaries.
Keywords
Acknowledgements
Disclaimer note: This paper represents solely the point of view of the authors, and does not represent the point of view of any FMCG company they work for or any other third party contributing to the project.Acknowledgments: The authors thank a large, fast-moving, multinational consumer goods company that provided the datasets used in this paper. As required by the company, the company’s name cannot be disclosed.
Citation
Zarantonello, L., Grappi, S., Formisano, M. and Brakus, J. (2020), "How consumer-based brand equity relates to market share of global and local brands in developed and emerging countries", International Marketing Review, Vol. 37 No. 2, pp. 345-375. https://doi.org/10.1108/IMR-05-2018-0176
Publisher
:Emerald Publishing Limited
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