Bernd H. Schmitt

Are brands forever? How brand knowledge and relationships affect current and future purchases

Purpose – The purpose of this paper is to develop a comprehensive model that combines brand knowledge and brand relationship perspectives on brands and shows how knowledge and relationships affect current and future purchases.Design/methodology/approach – The paper uses structural equation modeling to test the significance of the overall model and the specified paths.Findings – It is found that current purchases are affected by brand image mostly directly and by brand awareness mostly indirectly. In contrast, future purchases are not affected by either dimension of brand knowledge directly; rather, brand knowledge affects future purchases via a brand relationship path that includes brand satisfaction, brand trust, and attachment to the brand. Thus, brand knowledge alone is not sufficient for building strong brands in the long term; brand relationship factors must be considered as well.Research implications/limitations – The present study did not examine feedback effects and included consumer categories on...

Customer Experience Management

Customer Experience Management (CEM) ist der Prozess des strategischen Managements aller Erlebnisse des Kunden mit einer Marke an samtlichen Kontaktpunkten. CEM ist ein kundenorientiertes Konzept, d.h. im Mittelpunkt stehen der Kunde und die Analyse des Kundenerlebnisses, aus der das Management eine kundenzentrierte Strategie und Implementierungen entwickelt.

Language and Consumer Memory: The Impact of Linguistic Differences between Chinese and English

Languages of the Asia-Pacific region, such as Chinese, are based on ideographic writing systems which are radically different from the alphabetic systems used in Western languages, such as English. We propose that structural differences between Chinese and English affect mental representations which, in turn, influence consumer memory of verbal information. Specifically, unaided brand recall should be differentially affected in Chinese and English when it is spoken compared with when it is written. Furthermore, recognition should be differentially affected in Chinese and English when brand names are learned auditorily compared with when they are learned visually. Results of a cross-cultural experiment conducted in China and in the United States confirm predictions for unaided brand recall and partially confirm predictions for recognition. Copyright 1994 by the University of Chicago.

Culture-Dependent Assimilation and Differentiation of the Self Preferences for Consumption Symbols in the United States and China

In two studies, we investigate how differences in self-construal patterns affect preferences for consumption symbols through the process of self-expression. The results of Study 1 demonstrate that individuals with a dominant independent self-construal hold attitudes that allow them to express that they are distinct from others. In contrast, individuals with a dominant interdependent self-construal are more likely to hold attitudes that demonstrate points of similarity with their peers. Study 2 provides additional evidence for the mechanism presumed to underlie the results by identifying differential schematic processes as the driver of expressed preferences. We find that differential levels of recall for similar and distinct items exist across culturally-encouraged selves, documenting higher recall for schema-inconsistent information. We discuss the results and encourage future research that expands the framework to group decisions and social preferences.

Managing Corporate and Brand Identities in the Asia-Pacific Region

Building appropriate and attractive identities for their companies and products is one of the key challenges facing managers today. Corporate and brand identities are as important in the fast-growing markets of the Asia-Pacific region as in the West; however, the rules of the game are different. This article describes the unique features of Asian languages, such as ideographic language systems with a large number of homonyms and sound associations, as well as pertinent cultural characteristics, such as feng-shui and other supernatural beliefs, the role of aesthetics and color symbolism, the importance of social relations, and the Asian service concept. The article also provides recommendations for the three key tasks involved in corporate-identity and brand management: selecting corporate and brand names; establishing corporate and brand images; and enhancing quality perceptions of the company and its products.

Managing corporate image and identity

Abstract Corporate Aesthetics Management (CAM) is a strategic framework for managing a companys full range of visual (and otherwise aesthetic) output in the form of products, logos, packaging, buildings, showrooms, advertisements, company uniforms, etc. The framework is systematic and comprehensive, so its successful implementation adds value to a firm and provides competitive advantage by reducing communication costs, enhancing the image of a company and its products and increasing sales. The process consists of four distinct stages: Situation Analysis, Designing the Aesthetics-Strategy, Building the Collection of Design Elements, and Aesthetics Quality Control. It can be used to manage a companys overall image and identity as well as for specific application areas such as designing a mission, creating a brand identity, and expressing differing degrees of relatedness in a diversified organization.

Language Structure and Categorization: A Study of Classifiers in Consumer Cognition, Judgment, and Choice

Using classifiers--lexical items that depict perceptual and conceptual properties of object---six cross-cultural experiments were conducted in the Peoples Republic of China, Hong Kong, Japan, and the United States to investigate how structural features of languages affect mental structures and, in turn, consumer behavior. Experiments 1-4 show how classifiers affect the perceived similarity between objects, attribute accessibility, and concept organization. Experiment 5 shows how classifier-based schemata result in inferences about product features. Experiment 6 provides evidence for the effect of classifiers on judgment and choice via assimilation and contrast processes and affect transfer. We discuss our findings in light of the Whorfian hypothesis and argue for the incorporation of structural components of languages into models of consumer behavior. Copyright 1998 by the University of Chicago.

Extending brands with new product concepts: The role of category attribute congruity, brand affect, and brand breadth

Abstract Brand extension decisions evolve from two distinct strategies: product category extensions or new product concept extensions. We examined new product concepts varying in degree of congruity with category schemata and matched them with brand names differing in affect and breadth. In addition, using new product concepts permitted a measurement of brand-equity transfer. High-affect-narrow-breadth brands were evaluated most positively when the concepts were moderately incongruous. However, low-affect-narrow- breadth brands exhibited declining evaluations as the concept became more incongruous. In contrast, broad-breadth brands were evaluated identically across the incongruity conditions. Additionally, positive brand equity was provided only by high-affect-broad-breadth brands in the extremely incongruous condition. Implications are discussed in terms of the appropriateness of a brand extension strategy.

Creating Local Brands in Multilingual International Markets

Despite the importance of decisions regarding international brand names, research on brand naming has focused primarily on English name creation. The authors conceptualize the local brand-name creation process in a multilingual international market. The authors present a framework that incorporates (1) a linguistic analysis of three translation methods—phonetic (i.e., by sound), semantic (i.e., by meaning), and phonosemantic (i.e., by sound plus meaning)—and (2) a cognitive analysis focusing on the impact of primes and expectations on consumer name evaluations. Using dual English-and-Chinese brand names, the authors show that the effectiveness of the translation depends on the emphasis of the original English name (versus the Chinese name) and the method of translation used previously for brand names within the same category.

Experience Marketing: Concepts, Frameworks and Consumer Insights

Experience is a new and exciting concept marketing academia and practice. This monograph reviews the various meanings of experience as the term is used in philosophy, psychology, and in consumer behavior and marketing. I will discuss the key concepts of experience marketing such as experiential value, different types of experiences, the distinction between ordinary and extraordinary experiences and experience touchpoints. I will also review the empirical findings that provide consumer insights on experiences — such as how experiences are remembered, whether positive and negative experiences can co-exist, how experiential attributes are processed and whether experiences are rational. Practical frameworks for managing and marketing experiences will be discussed. I will conclude with an exploration of how experience marketing can contribute to customer happiness.