The Effect Of Brand Trust On Brand Extension

The brand extension is a popular and effective marketing model for enterprise tointroduce new products, which is successful or not depends on the evaluation of theconsumers.The evaluation of brand extension of consumers may be affected by theestablished credibility and prestige of the parent brand, so the long-term and stablerelationship between brands and consumers is the focus of many enterprises, andbrand trust is the basis of the relationship. Throughout the research at home andabroad, it is has a smaller number to examine the effects of brand trust on the brandextension, which is needed to future study. Based on this background, we explore theimpact mechanism of brand trust on the brand extension in detail and deeply to form acomprehensive theoretical system, which is guiding significance to the managementpractice.Making use of theoretical analysis and empirical study, based on the theories andmethods from management, psychology and statistics, we discuss the definition ofbrand trust and dimension of it and the definition of brand concept type, as well as afull range of the direct, indirect, interaction mechanism of brand trust on brandextension.The study conclusions indicate that: Firstly, the brand trust has a significantpositive impact on the evaluation of brand extension. Secondly, the brand trust has asignificant positive impact on the brand loyalty. Thirdly, brand loyalty has asignificant positive impact on the valuation of brand extension. Fourthly, brandloyalty as a part of intermediary role in the relationship between brand trust and theevaluation of brand extension. In other words, brand trust,as a factors of consumers,has effects on the brand extension though two patterns. On is a direct effect on theextension, the other one is a indirect effect. Fifth, the brand trust has a regulatoryeffect on the relationship between extension fit and the evaluation of brand extension.Namely: high fit extension products, it will reduce the evaluation of brand extension ifconsumers do not trust the brand, vice versa. Sixth, the different dimensions of brandtrust(ability, kindness, integrity)have different regulatory effect on different brandconcept(functional, symbolic). towards the functional brand of high brand trust, thecompetency-based trust has a regulatory effect on the relationship between theextension fit and the evaluation of brand extension; while towards the functionalbrand of low brand trust, the friendly-based trust and integrity-based trust has aregulatory effect on the relationship between the extension fit and the evaluation of brand extension. However, with regard to the symbolic brand of high brand trust, allof the three dimensions of brand trust have no regulatory effect on the relationshipbetween the extension fit and the evaluation of brand extension.In the view of above conclusions, we provide specific and operability strategy toestablish consumer brand trust in management practices.