Spillover Effects Of Strong Brands Competition

What will happen to the weak brand when two strong brands competing in the same category?This study focus on spillover effects from competing advertising of strong brands to weak brands in the same category.We used advertising repetition and advertising length as the tools to indicate competitive strength,and perceived competition as the tool represents competition strength.The results indicate that,advertising repetition is closely related to perceived competition,while advertising length has no relationship to perceived competition.As the strength of the competition rises,spillovers to weak brands rises.Products involvement and similarity will be regulated variables to the spillovers,low involvement product and high similarity product may get much stronger spillovers.This study extends study of spillover effects and will guide the competing advertising study.The study first reviewd advertising theories,then gave the concept of advertising competition and perceived advertising competition.By means of experiments we fond advertising repetition was a perfect tool for advertising competition,and fond advertising repetition caused perceived competition.Then we checked products involvement and product similarity,fond they were all regulated variables.This study consists of four parts,i.e.,introduction,theory,empirical studies,conclusion.The introduction part includes chapter 1 covering the background,research goal and frame of this paper.Chapter 2 introduced all theories for this paper,chapter3-6 are all empirical studies and chapter 7are the conclusions and proposes prospects.Summary of each chapter are as follows:In chapter 1,we introduced the background,research goal and frame of this paper,gave the necessity and practicability of this paper.And we pointed our studies theoretical contribution managerial contribution,study objective,study content,study method and dissertation structure.Chapter 2-literature review:In this chapter,we reviewd competitive advertising,brand advertising,category advertising,advertising clutter,then we fond all the theory can not give reasonable explanation for competing advertising.and we reviewd the spoillover effects theory,all these theories includes product crisis spoillover effect,brand spoillover effect,advertising spoillovers,but all literature pay no attention to the two spoillover effect for stronger brands competition.Chapter-3-study 1:This study investigated the relationship between perceived competition and advertising repetition,we fond advertising repletion would influence the perceived competiton,but there is no relationship for advertising length and perceived advertising competition.So advertising repetition is a perfect tool for perceived advertising competiton.Chapter-4-study 2:This study investigated the relationship between perceived competition and spoillover effect,when two stronger brand competing in the same media,will influence the weak brand,so there is spoillover effect.Chapter-5-study3:This study investigated the mechanism of spillover effects,we used Evaluation theory and Preference reversals theory,by experiments,we fond as the repetition of strong brands customers reversaled their preference,more and more persons gave up weak brands,and accepted strong brands.Chapter-6-study 4:This study investigated product involvement and similiarity,in this study we used true brands,which proved our findings in study 2,and popularize the finds.The result indicate products involvement and product similarity are all regulated viariables for spoillovers from two stronger brands to the weak one.Chapter-7:Draw conclusions and proposes prospects.This chapter summed up the former research conclusions,The chapter also stated the shortcoming of the research and gave some suggestions for further research.