Monga & John (2010): What Makes Brands Elastic?The Influence of Brand Concept and Styles ofThinking on Brand Extension Evaluation
18 important questions on Monga & John (2010): What Makes Brands Elastic?The Influence of Brand Concept and Styles ofThinking on Brand Extension Evaluation
On what factor depends brand extension heavily? And why?
- Brand extension success depends heavily on extension fit.
- Consumers tend to respond more favorably to extensions that fit with their perceptions of the parent brand
When is the perceived fit usually higher?
Which brands are described as more elastic? And why?
- Many brands also launch successful extensions that do not follow these rules. These brands are described as being more “elastic”
- Because they are able to launch extensions into distant product categories, sharing few attributes or features in common with existing products and appealing to different consumer markets
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When consumers use ...... thinking, they perceive greater extension fit and evaluate extensions more positively, especially for extensions in categories distant from the parent brand.
Which aspect dectate the brand's elasticity? And how does it work?
- Prestige: Brands have abstract brand concepts that are more elastic and can successfully expand into a variety of product categories, such as clothing and accessories. (Rolex)
- Functional: Brands are less elastic and are more successful if they extend to offerings that conform to the functional nature of the brand.
Why is it difficult for analytical thinkers to perceive how an extension fits with the parent brand unless the brand extension is in a similar product category serving a similar function?
Researchers have reported that consumers can influence the elasticity of a brand by the style of thinking they employ when evaluating brand extensions. What are the two styles of thinking mentioned in the article and what do they entail?
- Analytic style of thinking
- They focus on the specific attributes or products usually associated with the parent brand and try to match these features with those of the extension.
- Holistic approach
- They seek out alternative ways to connect the extension with the parent brand, such as overall brand reputation, regardless of whether the extension conforms to the same attribute or product category profile as the parent brand.
Why is it easier fo holistic thinkers to find a way to link a parent brand and extension in a distant category?
Why is it easier fo holistic thinkers to find a way to link a parent brand and extension in a distant category?
Which brands are selected for Study 1 (both 1a and 1b) and what are the results?
- Brands: 1A Toyota & Mercedes Benz. 1B HP and Mac (first ones functional brands, second ones prestige brands)
- Results: Brand elasticity is jointly determined by the parent brand concept and consumers’ style of thinking.
- Functional brands, holistic thinkers provided more favorable brand extension responses
- Prestige brands, analytic and holistic thinkers provided similar brand extension responses
What is examined in Study 2 and what are the results?
- Examination: Styles of thinking as a sitauational variable. Situations can encourage and increase the accessibility of a particular style of thinking
- Results: Holistic thinking was primed in an experimental setting, which increased the elasticity of a functional brand
Result: What is effective in reducing analytic thinking
and close the gap in extension evaluation between analytic and holistic thinkers?
What is examined in Study 3 and what are the results?
- Examination: How can managers of functional brands bridge the gap between holistic and analytic thinkers to produce more favorable responses to brand extensions?
- Results: Brand architecture is an effective way to increase the elasticity of functional brands for analytic thinkers.
- Direct brand: Holistic thinkers reported more favorable extension fit and evaluations than analytic thinkers
- Subbrand: Analytic thinkers perceived a higher degree of brand extension fit and provided higher extension evaluations
Result: What is effective in increasing the acceptance of positive information about extensions, which enhances extension evaluation?
What is examined in Study 4 and what are the results?
- Examination: Brand communication strategy is considered as another option for increasing the elasticity of functional brands
- Results: Analytic thinkers respond more favorably to distant extensions of functional brands when they are introduced with an elaborational communication.
- Providing information about the extension that it would be a typical offering in the category suppressed (verminderen) analytic thoughts and increased acceptance of the extension
- Facilitative effect of elaborational communication is due to its positive influence with consumers engaging in analytic thinking rather than holistic thinking.
What are the main conclusions of the article by Monga & John (2010)?
- Brand elasticity is jointly determined by parent brand concept and consumer styles of thinking.
- Functional brands: Holistic thinkers provide more favorable responses to distant brand extensions than analytic thinkers
- Prestige brands: Holistic and analytic thinkers respond equally favorably
- Analytic thinkers are identified as the roadblocks for functional brands wanting to extend into new and different product categories
What is examined in Study 5 and what are the results?
- Examination: How analytic and holistic consumers evaluate brand extensions when they are introduced with messages that communicate the same extension information in an analytic frame (verbs) versus a holistic frame (adjectives)?
- Results: Providing product information about the extension increased evaluations for analytic (holistic) thinkers, but only when the product information was presented using an analytic (holistic) frame.
- Matching the message frame to styles of thinking resulted in more favorable perceptions of message quality, which led to enhanced extension evaluations
What are the 3 managerial implications of the paper by Monga & John (2010?
- Brands can be stretched much farther for consumers who think holistically than for those who think analytically
- The challenges of extending brands into distant product categories can be overcome with strategies readily available to managers.
- Subbrands and elaborational communications increase the acceptance of distant extensions of functional brands among analytic thinkers.
- The importance of thinking about brand concepts when positioning and building brands is illustrated
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