Research On The Influence Of EP Company’s Brand Extension On Customers’ Purchase Intention

Brand extension contributes to the diversified development strategy of enterprises,but many investigations in the research and practice fields show that its effect and risk are very complex.Many factors affect consumers’ recognition and purchase intention of extended products.Taking EP company as an example,this study examines how its brand extension strategy is implemented and how its market performance is;and consumers’ evaluation of this strategy,and their perception of extension fit and authenticity;besides,this study investigates what factors explain the difference of consumers’ purchase intention for EP brand extension.The research is based on brand extension theory and consumer behavior theory and mainly adopts the methods of data analysis and questionnaire survey.Firstly,this study obtained and compared the sales data of EP and several other companies in the life science instrument industry in the past few years,and integrated the relevant data of EP company’s brand extension for mining and analysis.Then,this study selected key customers of EP company to issue questionnaires and carried out statistical correlation analysis.The results show that the brand extension strategy of EP company is in line with the development demands of the company and the development trend of the whole industry.At present,all the company’s extended products have slow growth,insufficient market competition and low contribution rate to the enterprise.The feedback results from the perspective of consumers show that about 60% of consumers recognize the company’s brand extension strategy,and their perception of extension fit and authenticity and brand loyalty are at a general level.What is more,people with higher age and lower education have a relatively poor perception of fit and authenticity;and the brand loyalty and purchase intention of young and middle-aged groups are relatively low.Brand extension fit,authenticity perception and brand loyalty can significantly explain the difference of consumers’ purchase intention of extension products.According to the above conclusions,this study puts forward different dimensions of EP company,such as strengthening customers’ perception of brand extension fit and authenticity,improving customers’ brand loyalty,product integration,publicity and marketing,facing the different perceived characteristics of different people.This also provides practical enlightenment for similar enterprises.