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The Interaction Between Consumer Evaluations on Brand Extension Strategies in Luxury Product Categories With Brand Loyalty
Abstract
For successful growth, it is necessary to create brand assets and gain advantage. Brand extension strategy ensures differentiation, growth, and value creation by taking advantage of the brand's awareness, image, and power. What makes the strategy successful are the consumers who are loyal to the brand and frequently choose the brand. At this point, brand loyalty becomes important. Luxury consumption, which is the other element of this study, has become widespread due to factors such as globalization, technology, and communication technologies changing consumption styles. In this study, the relationship between consumers' evaluations of brand extensions and brand loyalty was examined through luxury products. In conclusion, there is a bidirectional effect in the relationship between consumer evaluations of brand extension strategies in luxury product categories and brand loyalty. It has been observed that consumer evaluations increase brand loyalty, and brand loyalty affects consumer evaluations positively.
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