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Article
Publication date: 26 July 2013

Håvard Hansen, Bendik M. Samuelsen and James E. Sallis

While satisfaction, value, image, and credibility are commonly assumed to drive customer loyalty, there is nevertheless reason to question whether their effects vary across groups…

3319

Abstract

Purpose

While satisfaction, value, image, and credibility are commonly assumed to drive customer loyalty, there is nevertheless reason to question whether their effects vary across groups of consumers. This paper seeks to explore how individuals with contrasting need-for-cognition (NFC) levels differ in using memory-based information when forming behavioral intentions towards a current service provider.

Design/methodology/approach

The authors tested the hypotheses by means of survey data from customers of retail banks, and applied two-group analysis using structural equation modeling (SEM) to test the moderating effects of NFC.

Findings

Satisfaction positively affects loyalty for high NFCs, but not for low NFCs. Image is insignificant in both groups. Value positively affects loyalty for low NFCs, but not for high NFCs. Credibility has a positive effect for low NFCs, but not for high NFCs.

Research limitations/implications

The limited sample size affects the power of the test methodology, but Chow-tests of regression models gave similar results. Further research should test the model in other contexts to enhance external validity.

Practical Implications

To develop more effective customer strategies, both researchers and practitioners need to understand how different types of consumers attend to and utilize information when forming behavioral intentions. The standard practice of surveying customer satisfaction and loyalty typically requires the consumer to make a memory-based judgment.

Originality/value

Previous research has primarily focused on how consumer demographics moderate satisfaction-loyalty links. This paper includes additional drivers of loyalty, and assesses moderation by a personality trait (NFC) not previously used in satisfaction-loyalty research. The results indicate that a consumer ' s dispositional tendency to think and elaborate (more or less) can bias survey results.

Details

European Journal of Marketing, vol. 47 no. 8
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 4 February 2022

Lars Erling Olsen, Bendik Meling Samuelsen, Ioannis Pappas and Luk Warlop

Brand managers can choose among two fundamentally different brand positioning strategies. One is a broad brand strategy, focusing on many favorable brand associations. The other…

3428

Abstract

Purpose

Brand managers can choose among two fundamentally different brand positioning strategies. One is a broad brand strategy, focusing on many favorable brand associations. The other is a narrow brand strategy, focusing on just a few and thus more mentally accessible associations. Building on associative memory theory, this paper aims to examine which of these brand positioning strategies performs better under dynamic market conditions.

Design/methodology/approach

Three experiments test the effect of brand positioning strategy on memory accessibility and competitive brand performance. Study 1 tests how brand strategy (broad vs narrow) affects defensive brand performance. Study 2 tests how broad vs narrow brands perform differently in a brand extension scenario (offensive brand performance). Study 3 uses real brands and situation-based attributes as stimuli in a defensive scenario.

Findings

The results show that a narrow brand positioning strategy leads to a competitive advantage. Narrow brands with fewer and more accessible associations resist new competitors more easily and have higher brand extension acceptance than do broad brands.

Research limitations/implications

The study shows how to use accessibility as evidence of associative strength and test how accessibility influences competitive brand performance in a controlled experimental context.

Practical implications

Brand managers would benefit from a narrow brand positioning strategy in accordance with the unique selling proposition (USP) school of thought used by many marketing practitioners.

Originality/value

The paper demonstrates that narrow brand positioning performs better than broad brand positioning in dynamic markets, and to the knowledge is the first to do so.

Details

European Journal of Marketing, vol. 56 no. 3
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 8 May 2017

Radu Dimitriu, Luk Warlop and Bendik Meling Samuelsen

The purpose of this paper is to show that high similarity between a parent brand and an extension category can have a detrimental effect on how a brand extension is perceived to…

1462

Abstract

Purpose

The purpose of this paper is to show that high similarity between a parent brand and an extension category can have a detrimental effect on how a brand extension is perceived to perform on specific attributes. This happens because similarity influences the perceived positioning of a brand extension: lower similarity extensions can be perceived as “specialized” products, whereas high similarity extensions are perceived as “all-in-one” products not performing exceptionally well on any specific attribute.

Design/methodology/approach

The authors test the hypothesized effect through three experimental studies. The authors manipulate similarity both within subjects (Study 1a) and between subjects (Study 1b and Study 2). Further, the authors test the effect for specific attributes that are physical/concrete in nature (Study 1a and Study 1b) as well as attributes that are abstract/imagery-related in nature (Study 2).

Findings

High compared to low similarity improves perceptions of overall performance (i.e. performance across all attributes). But as expected, the authors also find that a high similarity brand extension is perceived to perform worse on the attribute on which a low similarity brand extension specializes, even when the parent brands of the extensions possess that attribute to the same extent. This perception of attribute performance carries on to influence brand extension purchase likelihood.

Practical implications

The degree of brand extension similarity has consequences for how brand extensions are perceived to be positioned in the marketplace. Although high similarity extensions receive positive evaluations, they might not be suitable when a company is trying to instil a perception of exceptional performance on a specific attribute.

Originality/value

The authors demonstrate a consequential exception to the marketing wisdom that brands should extend to similar categories. Although the degree of brand extension similarity has been repeatedly shown to have a positive effect on brand extension evaluation, the authors document a case when its effect is actually detrimental. This study’s focus on the dependent variable of perceived performance on specific attributes is novel in the brand extension literature.

Details

European Journal of Marketing, vol. 51 no. 5/6
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 10 February 2012

Bendik Meling Samuelsen and Lars Erling Olsen

Brand managers must decide between extension and alliance strategies to grow their brands. This paper aims to describe testing of consumers' responses to two alternative brand…

2994

Abstract

Purpose

Brand managers must decide between extension and alliance strategies to grow their brands. This paper aims to describe testing of consumers' responses to two alternative brand growth strategies: an extension strategy whereby a brand moves into a new category alone, and an alliance strategy whereby the same brand moves into the new category as a branded ingredient in a brand already established in that category. How far to stretch a brand is yet another strategic choice facing the brand manager, and the current research tests, under short and long category‐stretch conditions, the attitudinal responses to extension and alliance strategies.

Design/methodology/approach

The paper builds on the categorisation and incongruence literature. An experiment was employed to test the main hypotheses in the study.

Findings

Extensions outperform alliances, especially when the brand undertakes a long stretch, and short‐stretch strategies outperform long‐stretch strategies.

Practical implications

An extension strategy may be preferred to an alliance strategy, especially in situations in which the new growth opportunity requires a long stretch.

Originality/value

The paper compares, in the same study, the attitudinal effects of two important growth strategies widely employed by companies. Previous studies have assessed the performance of these two strategic options only separately.

Details

European Journal of Marketing, vol. 46 no. 1/2
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 26 July 2024

Mukta Srivastava, Sreeram Sivaramakrishnan and Neeraj Pandey

The increased digital interactions in the B2B industry have enhanced the importance of customer engagement as a measure of firm performance. This study aims to map and analyze…

Abstract

Purpose

The increased digital interactions in the B2B industry have enhanced the importance of customer engagement as a measure of firm performance. This study aims to map and analyze temporal and spatial journeys for customer engagement in B2B markets from a bibliometric perspective.

Design/methodology/approach

The extant literature on customer engagement research in the B2B context was analyzed using bibliometric analysis. The citation analysis, keyword analysis, cluster analysis, three-field plot and bibliographic coupling were used to map the intellectual structure of customer engagement in B2B markets.

Findings

The research on customer engagement in the B2B context was studied more in western countries. The analysis suggests that customer engagement in B2B markets will take centre stage in the coming times as digital channels make it easier to track critical metrics besides other key factors. Issues like digital transformation, the use of artificial intelligence for virtual engagement, personalization, innovation and salesforce management by leveraging technology would be critical for improved B2B customer engagement.

Practical implications

The study provides a comprehensive reference to scholars working in this domain.

Originality/value

The study makes a pioneering effort to comprehensively analyze the vast corpus of literature on customer engagement in B2B markets for business insights.

Details

Journal of Business & Industrial Marketing, vol. 39 no. 11
Type: Research Article
ISSN: 0885-8624

Keywords

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