The Impact of Brand Relatedness on Negative Spillover Effects in Brand Portfolios

Jing Lei, University of Ontario Institute of Technology, Canada
Niraj Dawar, University of Western Ontario, Canada
Jos Lemmink, Maastricht University, The Netherlands
Marketers cultivate relatedness between brands in their brand portfolios to increase marketing efficiency. But creating linkages between brands also makes them vulnerable to negative spillover. This research investigates the structure of relatedness in a brand portfolio to understand the nature of spillover effects. We propose that 1) the magnitude of spillover between brands is influenced by both the strength and the directionality of brand relatedness; and 2) the directional strength of association between brands is a function of the number and salience of associations linked to each brand. These propositions are tested in two experimental studies.
[ to cite ]:
Jing Lei, Niraj Dawar, and Jos Lemmink (2008) ,"The Impact of Brand Relatedness on Negative Spillover Effects in Brand Portfolios", in NA - Advances in Consumer Research Volume 35, eds. Angela Y. Lee and Dilip Soman, Duluth, MN : Association for Consumer Research, Pages: 1009-1009.