Friday, 23 November 2012

Brand FIT - Journal Articles 23/11/12

Managing consumer response to event sponsorship.
My dissertation topics have taken a turn and over the last couple of weeks I've looked at variables of brand fit between a sponsor and an event. Two particular articles have stood out in doing so:
  • The Impact of Brand Cohesiveness and Sport Identification on Brand Fit in a Sponsorship context. (Gwinner, K & Bennett, G 2008)
  • Sponsorship-linked Marketing: The role of articulation in memory. (Cornwell et al, 2006)
The Impact of Brand Cohesiveness and Sport Identification on Brand Fit in a Sponsorship context.
This particular article looked into the effects of sport identification and brand cohesiveness as predictors of brand fit in a unique sponsorship context by examining consumer responses to the event sponsorships of the Dew Action Sports tour. Also assessed was the impact of brand fit on two important consumer behavioural outcomes: attitude towards sponsors and purchase intention.
The article firstly identifies key reasons for sponsoring, such as increased brand awareness, establishing global competitive presence, increased brand image, building positive attitudes, increased sales and increased ability to target the 'correct' consumers. A key quote from the text notes, providing the basis for study points out that:

'Fit between a sponsoring brand and a sponsored event has been shown to have a significant influence on variables such as attitude towards the sponsor, and ultimately, purchase intentions'

They note the importance of examining variables influencing and being influenced by the brand fit construct.

Sponsoring Brand Fit
Consumers are more likely to identify a brand as a sponsor of an event if there is some sort of relationship between the product and the event. This is the fit. Fit = relevance, complementarity, compatibility. Fit can be conceptualised in terms of functional (the product is used in the event) or image dimensions (the image of the event and sponsorship brand are similar). Consumers link attitudes, invoking positive or negative images and included in the transfer of images might be an increase/decrease in consumer assessment of the sponsor.
McDonald (1999) - Percieved match between sponsor and event influences consumers response to the sponsorship activation. Consumer intentions (ie. purchase) are influenced by the level of perceived fit between event and sponsor. Fit can determine the amount of thought that consumers give to the relationship between sponsor and event.

Brand Cohesiveness
A cohesive brand image results in stronger levels of brand related knowledge because ties to other pieces of information can be made more clearly. A brand's image will be more cohesive if the same positioning has been used consistently over time, images have been consistent and associations with other entities share similar themes. Non-ambigious. Consistency is the key. Cohesiveness develops brand knowledge and makes it easier for the individual to eventually see connections, if present, between the sponsor and the event.
Hypothesis: High perceptions of brand cohesiveness results in higher perceptions of event-sponsor fit.

Sport Identification
Relating previous research to sport, it's theorised that identifying with a sport partly conducted to enhance self esteem by aligning oneself with sports that have positive qualities. So, one can strenghten self esteem through emphasising the positive aspects of a sports and minimising negative aspects (in-group). Also, one can contribute to self esteem by emphasising the vice versa of another sport. (out-group). Focus on negative aspects of commercialism. Suggests that sponsors should take a noble, altruistic approach to sponsorship, emphasising the care for the welfare of the sport. This should be undertaken to ensure no negative psychological tension occurs in the consumer's minds. To minimise the negative association, highly identified fans may attempt to view the sporting sponsorship as congruent. (ie. greater fit). That is, they might adjust their thinking to search for a logical event sponsor connection. if successful, this lessens the perception of the sponsor commercialising the sport for personal benefits. So, in an attempt to maintain the desirability of the sporting event's image and therefore enhance their own self identity, highly identified fans may be more broadminded in examining fit potential.
Hypothesis: Higher levels of identification with a sport will result in higher perceptions of event-sponsor fit.

Attitude towards sponsoring brand
The article highlights that consumers take into account the presumed motivation of companies and this impacts their purchase decision. Perceived sincerity of the sponsor has the highest correlation with the sponsor event-fit construct. Ie. More altruistic motives than exploitive motives. Rifon et al (2004) noted congruence between cause and sponsor leads to more positive attitudes toward the sponsoring brand. Thus altruistic motives, derived from percieved event-sponsor fit, lead to more favourable attitudes towards sponsoring brand. Also consistency betwen event's image and sponsoring brand has significant  positive impacts on attitude. (Koo et al, 2006). Schema's - More congruent the event sponsor's and brand's images are, the more likely schemas held in memory will be activated, increasing the likelihood of positive attitudes being derived from sponsorship. 
Hypothesis: Higher perceptions of event-sponsor fit results in a more positive attitude towards the sponsoring brand.

Purchase Intentions
Koo et al(2006) found brand attitude to be a significant predictor of sponsor purchase intentions. Also, key relationship between consumers's attitude toward a sponsor and their intentions to use the product in the future (Speed and Thomson, 2000). Accordingly:
Hypothesis: A positive attitude toward the sponsoring brand results in higher purchase intentions.

So, the link is:
Brand Cohesiveness/Sport Identification
Event-Sponsor Fit
Attitude Towards Sponsor
Purchase Intentions 

Theoretical Implications
Findings of the study conducted support that brand cohesiveness leads to greater brand knowledge which in turn results in a greater ability to see dimensions common to the event and the brand, which serves to increase fit. Support the argument based on highly identified fans modifying their thinking about an event-brand pairing to more easily find fit to preserve positive self identity. Both these implications increase the understanding of how consumers view brands in a sport sponsorship context.

Managerial Implications
Results of the study support that attitude has a positive influence on consumer's purchase intentions.  Thus those that perceive fit between an events image and the sponsoring brand exhibit a significantly better attitude. From a managerial perspective this reveals that it might be more difficult to increase positive attitudes towards a sponsoring firms among individuals that fail to perceive fit between brand and event. So, effective ways to communicate fit should be utilised to those who attend the event. 

It was found that perceived fit impacted purchase intentions through one's attitude towards the sponsor. Because purchase intentions are one of the main focuses for the sponsoring firm to consider, the findings suggest that fit should be considered as an important criteria when companies make sponsorship selection decisions. So, understanding the variable affecting fit is of intense interest to brand managers considering sponsorship purchases to promote their brands. 

Firms should be consistent in in their promotional and communicative strategies toward consumers, which, as support by the study research (consistency leads to a stronger brand cohesiveness), increases perceived fit between the event and sponsoring firms. 

In terms of sport identification, separate marketing efforts and strategies could be developed to target low and highly identified sports fans based on their profiles and preferences. If the goal is to increase perceived fit amongst attendees, then event properties should consider how to approach and communicate with high and low identified fans. 
eg. Segmented markets - increased perceived fit.
HIGH ID - Identify perceived fit initiatives - Strategy a)
LOW ID - Identify perceived fit initiatives - Strategy b)

Firms seeking to sponsor an event may also wish to consider these findings and base their sponsorship decisions on whether or not an event will be likely to reach highly identified fans.

CLD.
Twitter: @callumldraper
Facebook: www.facebook.co.uk/callumldraper
:)

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