Extension Advertising's Impact on Brand Equity
David Aaker and Alexander L. Biel (Eds.) Advertising and Building Strong Brands, Cambridge, MA: Lexington, 177-194, 1993
28 Pages Posted: 20 Mar 2016
Date Written: January 1, 1993
Abstract
When does advertising which describes a new use for a product or service (extension advertising) help or harm or strength a brand’s equity among loyal consumers? This paper illustrates how products and services with high brand equity can leverage their impact of their equity by increasing one’s perceived versatility of the product or by increasing one’s attitude toward using it in a different way or in a different situation. A model is presented that suggests that extension ads can have a positive impact if product-specific thoughts are stimulated by the ad or if the ad has a strong impact on one’s attitude toward the extension or on one’s perceived versatility of the brand or service.
Keywords: extension advertising, expansion advertising, equity, branding, consumer behavior
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