When launching brand extension strategies globally, It is very important for today’s brand marketers to understand the differences in those countries with high cultural diversity such as South Africa,. This research intends to investigate the role that a consumer’s cultural value plays in evaluating brand extensions, in the context of the cultural dimension of individualismcollectivism, in order to close the theoretical gap in this area.This research is quantitative and causal in nature, and used an experimental factorial design in the conduct of the research. Triandis’ scales were used in the questionnaire design, and 161 MBA students participated in the experiment at GIBS. The research results disprove that cultural values play a role in evaluating brand extensions, and there was insufficient evidence to prove that individualists differ from collectivists in evaluating brand extensions. Nevertheless, the research results found that there are some positive interaction effects between the product category relatedness and product involvement in the process of brand extension evaluations. / Dissertation (MBA)--University of Pretoria, 2012. / Gordon Institute of Business Science (GIBS) / unrestricted

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Vertical brand extensions have been used as popular strategies in the lodging industry. Research on brand extension that is related with brand trust and brand loyalty has been useful in making brand extensions successful. However, previous research focused on aggregated relationships among brand trust, brand loyalty, and brand extension. In addition, it has been found that quality and price distance from a core brand of the brand extension has an impact on the success of the brand extension. Therefore, this dissertation proposes a theoretical model with six hypotheses investigating relationships among brand trust, brand loyalty and brand extension simultaneously. Further, the impact of distance from a core brand (brand distance) on the brand extension was examined. Data was collected using an online panel. A final sample of 396 was used for the data analysis. Structural equation modeling (SEM), a Chi-square difference test, and independent t-tests were utilized to test the hypotheses. The data was randomly split in two. One half of the dataset was used to test a measurement model and the other half of the dataset was used to test a structural equation model. The findings suggested there were positive relationships between brand trust and brand loyalty, brand trust and brand extension, and brand loyalty and brand extension. Furthermore, it was found that brand distance plays a significant role not only on brand extension, but also on the relationship between brand trust and brand extension and the relationship between brand loyalty and brand extension. This study contributes to vertical brand extension literature by providing a theoretical model by which simultaneous relationships among brand trust, brand loyalty and brand extension were investigated with a moderating factor: brand distance. The findings of this dissertation have important managerial implications for lodging industry brand managers. / Ph. D.

Due to highly competitive destination markets, destination branding techniques are becoming popular among destination marketers. The destination marketers tend to leverage their destination brand value to other products associated with the destination brand (referred to as brand extension). This thesis investigated how customer-based brand equity for a tourist destination can be transferred to products associated with a destination brand. Specifically, the effect of destination image on preference for products associated with a destination brand was investigated. The relationship between destination image, consisting of a cognitive component and an affective component, and preference for products associated with the destination brand was examined. Also, the relationship between tourists' destination preference and preference for products associated with a destination brand was investigated. Both cognitive image and affective image of destination are positively related with preference for products associated with a destination brand. It is revealed that preference for destination is also positively related to preference for products associated with a destination. / Master of Science

The times of following a ‘one brand – one product’ strategy have long past. Nowadays, firms are increasingly recognizing the true value of their brands and are starting to use these as a source of competitive advantage. By introducing new products under an existing brand name, firms leverage the power of their brands and thus, aim at benefiting from the success of the parent brand. Brands are amongst the most valuable assets owned by a company, which encourages them to engage in brand extensions. The authors mainly distinguish between three brand extension strategy types: line extension, vertical line extension and category extension.             Previous quantitative studies have identified that particularly brand equity and brand identity stand out as significantly influencing brand extension strategies. Therefore, this qualitative case study further explores how these two branding constructs affect firms’ brand extension decisions. While most past studies investigated the potential success of fictitious brands, this study performs qualitative interviews with brand and product managers of eight real case firms operating in the FMCG industry in Germany.             The empirical data indicates that the pressure to innovate rises, as more and more new extension products are being introduced to the market in recent years. Nevertheless, the majority of firms opt for line extension strategies, while only few dare to enter a further distanced market segment. Hence, the condition of a “fit” between the parent brand and extension product is mostly accounted for. The study further suggests that a brand without strong brand equity will not be able to perform brand extensions at any level. However, even if brands do benefit from strong brand equity, firms may adopt divergent strategies, which is mainly dependent on the brand’s identity. The research results show that narrowly defined brands, predominantly distinguishable by concrete product features and physical facets, restrict the firms’ capability to extend a brand beyond its original product line. Contrarily, brands with a more abstract or value based identity provide more opportunities to stretch further from the parent brand. An emotional brand that succeeds in building a relationship to the customer, in representing a distinct personality or telling a story, is able to extend to a new product category. The study concludes that certain brands may be under-exploited, as they do not leverage their high equity and identity capabilities in terms of extending the brand to a further distanced market segment.             As a result of the findings, two Brand Extension Strategy Matrices are constructed, setting the brand identity abstraction level (product or value based identity) into relation to (1) brand equity and (2) the identity “fit” of an extension product and the parent brand. Each of these two matrices explains the strategic consequences of a given set of brand equity and brand identity.

O perfume, do mesmo modo que a roupa, faz parte do ritual do vestir e está relacionado à intimidade pessoal. Junto ao vestuário, os envoltórios, as fragrâncias e seus sistemas discursivos passaram a delinear padrões de comportamento, perfis e estilos de vida. Deste modo pode-se dizer que apesar de serem distintos no que se refere à origem e produção, o vestuário e o perfume são convergentes sob o ponto de vista do consumo. Há marcas de perfumes próprias, exclusivas do setor, como também há aquelas associadas aos nomes de celebridades ou à moda. Este trabalho se propôs a identificar quais os fatores considerados pelas marcas de moda, no interesse em integrar o perfume ao seu ciclo de coleções de vestuário. As estratégias das grifes para definir suas coleções podem ser adotadas para produtos complementares por meio da extensão da marca, no intuito de potencializar a fixação da imagem de marca, ampliar a experiência de compra do consumidor e desenvolver os negócios como um todo. Para este estudo foi feito um levantamento do estado da arte dos conceitos referentes às marcas de moda e aos perfumes. Foi realizada uma pesquisa empírica caracterizada como exploratória com a utilização de estudo de casos múltiplos, para identificar as conexões entre os dados coletados, por meio da revisão bibliográfica, e as empresas que trabalham nos segmentos de vestuário e perfumes. Os resultados mostraram que os profissionais de moda atribuem baixa importância ao perfume e têm pouco conhecimento técnico sobre o setor, tanto no que se refere ao produto quanto à sua comercialização e ao potencial de mercado. Ao partirem do princípio que o perfume com sua marca não seria atrativo aos seus consumidores, acabam por depreciá-la. A visão é baseada na experiência diária e nos resultados das outras empresas, o que acaba gerando uma série de preconceitos. Já os profissionais de perfume, embora também apresentem desconhecimento sobre as questões técnicas do setor de moda, têm disposição para trabalhar em conjunto e promover a integração, pois entendem que o consumidor se motivaria com essa complementariedade. O resultado é que a integração se dá pela extensão de marca, principalmente pelo licenciamento e, desse modo, o perfume não está inserido à coleção de vestuário de moda. O consumidor, no entanto, não faz distinção ao usar os produtos de vestuário, acessórios, perfumes e cosméticos, todos eles fazem parte de um benefício único, o de se vestir e preparar-se para um papel social. Em um ambiente competitivo onde se diz que a inovação é o propulsor do sucesso corporativo, identificou-se que há pouca motivação na busca por novos caminhos e oportunidades nas marcas de moda pesquisadas. Neste sentido, se entende que o trabalho contribui para o estudo do desafio das empresas de focar seu negócio nos benefícios de uso do consumidor, em um ambiente de integração de produtos que tem sua origem em indústrias de distintos setores e, portanto, domínios diferentes de conhecimento / Perfume, like clothing, is part of the dressing ritual and is related to personal intimacy. Along with clothing, packages, fragrances and their discursive systems have outlined patterns of behavior, profiles and lifestyles. Although they are distinct in origin and production, clothing and perfume are convergent from the consumption point of view. Fragrances have their own exclusive brands and are associated with celebrities or fashion brands. This study aims to identify the factors considered by fashion brands to integrate perfume into their clothing collections cycles. Fashion brands consider complementary products through brand extension to enhance brand image, broadening the consumer experience and developing the business as a whole, as part of their strategies to define clothing collections. An overview of the state-of-the-art concepts related to fashion brands and perfumes was carried out in this study. An exploratory empirical research using multiple case studies was conducted to identify the connections between the data collected, through the literature review, and the companies in the clothing and perfume segments. The results showed fashion professionals attach marginal importance to perfume and have little technical knowledge about the sector, in terms of the product, its commercialization and market potential. By assuming that the perfume with their brand would not be attractive to their consumers, they eventually despise it. Their vision is based on the daily experience and the results of other companies, which ends up generating several preconceptions by the segment. In contrast, perfume professionals are also unfamiliar with the technical issues about the fashion sector, but are willing to work together and promote the integration, as they understand the consumer would be motivated by this complementarity. As result, the connection takes place by brand extension mainly through licensing and does not associate the perfume with the clothing collection. The consumer, however, makes no distinction when wearing apparel, accessories, perfumes and cosmetics, all of them are part of a unique benefit of dressing and preparing for a social role. In a competitive environment where innovation is considered the driver of business success, the fashion brands analyzed have not been motivated to pursue new paths and opportunities. In this sense, the findings of this study have contributed to the understanding of companies challenges to focus their business on the consumer use benefits, in an environment of products integration that comes from different industries and, therefore, distinct domains of knowledge

Varumärkesutvidgning är i dag en trend inom affärsutveckling, då metoden underlättaringången på nya marknader. Utvidgningar är dock ingen genväg till en garanteradpublikframgång. Om utvidgningen ska fungera måste den struktureras så att den framstår somsjälvklar i konsumentens huvud, förutsatt att man vill att utvidgningsprodukterna ska köpas.Många är företagen som lyckats med sin utvidgning men många är även de som misslyckats,och som med det fått betala ett högt pris för lärdomen. I takt med att utvidgningsstrategiernahar ökat bland företag, är det också många som glider in på närbesläktade marknader, eller påhelt andra branscher. Varumärket får då fungera som en garant för den nya produkten. Utifråndet har företagsnamnet fått en huvudroll att spela, både för företag såväl som förkonsumenter. Eftersom det vi köper indirekt får en betydelse för oss själva, och för andragenom det varumärket symboliserar. Produkten är således så mycket mer i dag än en fysiskvara. Det är en känsla, och en visualisering av köparens livsstil. Det transcendenta varumärketanvänds därför som en plattform när företaget branschglider.Syftet med studien är att undersöka och beskriva branschglidningens spelregler. Samtanalysera om livsstil kan komma att påverka branschutvidgningar inom mode- ochmöbelbranschen. Ralph Lauren och Lexington är båda aktörer på livsstilsmarknaden.Företaget Chilli karakteriseras som en diversehandel, men gemensamt för de tre företagen äratt de alla har branschglidit. Därför känns det intressant att ta reda på om livsstil kan påverkakundens acceptans av en ny kategori.Uppsatsen består av en kvalitativ studie med en deduktiv metodansats. Vilket innebär attutgångspunkten varit från teoristudier, även fast empirin och den teoretiska referensramen ipraktiken bearbetats sida vid sida. Studiens teoridel behandlar varumärkets territorium ochvarumärkets betydelse för varumärkesutvidgningar. Medan empiridelen undersökeracceptansen för utvidgningsprodukter i korrelation med vanligt varumärke vs. livsstilsföretag.Det är först efter en introduktion på marknaden som det syns om varumärkesutvidgningenkommer att lyckas. Företag kan emellertid ändå i förväg pröva branschglidningens chanser,genom att analysera de basfaktorer som avgör hur kunden kommer att ta emotvarumärkesutvidgningen. Studien visar att identiteten måste föregå imagen eftersom det ärföretagets varumärke som bestämmer vad som faktiskt är en möjlig branschglidning.

Background: All brands need to keep moving and to keep building their stories by bringing new and exciting products or experiences. During the last twenty years, companies have been more and more convinced that their brands are among their most valuable resources and today we see an increasing trend of brand extension attempts, however with a significant number of failures, as well.The strategies of how a brand extension should be done, have been published in several books during the last decades. Despite of this, some companies still do not see the link between brand extension and business development. There seem to be a certain lack of knowledge and understanding of the underlying factors that affect a brand extension. In this study, we would therefore like to examine and identify these different factors in order to create a greater understanding of branding strategies.Purpose: The purpose of this study is to research, describe and analyse the nature of horizontal brand extensions in order to create a theory regarding the essential key factors to take into consideration before considering an extension. Based on the theory, the hypothesis will be tested empirically in order to strengthen- or reject it.Methodology: This study is made with a deductive approach, where the theoretical framework, based on previous presented theories, has led to the conformation of our hypothesis, which has later on been applied to the findings from the empirical researches in order to confirm or discard our hypothesis.The empirical basis consists of qualitative interviews with respondents from two companies with experience from horizontal brand extension: Craft of Scandinavia and Peak Performance.Conclusion: Our conclusion from this research is that for a horizontal extension to be successful it must:‐ Be a part of a brand with a clear brand image and plan, for the brand ­‐ Fit the brand ‐ Live up to the original brand promise - Fit with the old associations and generate new, positive associations to the brand ­‐ Have high perceived quality and trust in the mind of the customer- Be a part of a risk evaluation in order to limit the risks and obtain a more realistic view of the extension. / Program: Textil produktutveckling med entreprenörs- och affärsinriktning

Purpose: The purpose of our thesis is to make an analysis and create an understanding for how the development for special collections, within the fashion retail segment, will look in the future and to see if/how special collections are connected to overconsumption.Methodology: In this thesis, we have relied on a qualitative research strategy for collecting and analyzing data. The research design applied resembles of case studies but is correctly defined as cross-sectional design. We have done semi-structured interviews with three practitioners and one expert. We have also done content analysis of the campaigns for the three current special collections we have investigated.Conclusions: We have come up with the conclusion that there is a future for special collections, but it needs to be a development from how they are worked out today. Some factors are more relevant than others for a possible success for the special collections. These factors are that the collection offers a high rate of trend awareness, that it enables to offer the consumer something extraordinary and that the collection is anchored within environmental issues. / Program: Magisterutbildning i Fashion Management

Syfte: Syftet med studien är att analysera och beskriva hur ett företag kan arbeta med varumärkesutvidgning samt identifiera framgångsfaktorer, motgångar och bakomliggande orsaker som kan förekomma vid en varumärkesutvidgning.Metod: Vår studie utgår främst från den kvalitativa metoden. Inledningsvis presenteras ett ramverk för lämplig teori för att vidare kompletteras med intervjuer. Den empiriska delen består av kvalitativa intervjuer med företagen King Salming AB, Salming Sport, Peak Performance, Björn Borg och L`Homme Rouge.Slutsats: Vi har funnit stöd i, att teorin som avser varumärkesutvidgning kan användas i verkligheten. Samtliga bolag följer en varumärkesstrategi där kärnvärden och territorium utgör basen för en varumärkesutvidgning. I de fall där varumärkesutvidgningen inte fungerat som tänkt är det också avståndet till kärnvärdet och territoriet, som är ett av det återkommande problemet. Med ovanstående analyser och slutsatser redogör vi för att en varumärkesutvidgning kan följa två vägar. Den goda cirkeln där utvidgningen ligger i linje med varumärkets kärnvärden och territoriet. En ökad försäljning ger ökad exponering och varumärket stärks och fortsatt utvidgning blir lättare etc. Den andra vägen, den onda cirkeln, utgör att fel kärnvärden exponeras och försäljningen går ner på sikt samtidigt som varumärket försvagas. Det finns därför anledning till att ha en formell process för varumärkesutvidgning där företaget säkrar att man kommer in i den goda cirkeln.Purpose: The objective of this study is to analyze how companies can work with bran extensions and to describe the factors of success, setbacks, and underlying causes that can occur in a brand extension.Methodology: Our study is mainly based on a qualitative method. The empirical part is based on qualitative interviews with the companies King Salming AB, Salming Indoor Sports, Peak Performance, Björn Borg and L`Homme Rouge.Conclusion: We have found support in that the theory concerning brand extension may be used in real life. All companies apply a brand strategy by which core values and territory serves as the base for a brand extension. Where brand extension has not worked as intended, one of the recurring problems is the distance to the core value and the territory. On basis of the above analysis and conclusions, we report that a brand extension follows two paths. The virtuous circle where the extension is consistent with the brand's core values and the territory. Increased sales give increased exposure and the brand becomes stronger and further extension is easier, etc. The other way, the vicious circle, is that the wrong core values is exposed and sales will decrease over time, whilst the brand is weakens. Therefore, there is reason to formalize the process for brand extension by which the company is ensured to enter into the virtuous circle. / Program: Textil produktutveckling med entreprenörs- och affärsinriktning