Brand image and equity: the mediating role of brand equity drivers and moderating effects of product type and word of mouth

Abstract

In today’s competitive landscape, organizations are progressively searching for valuable practices to create strong consumer-based brand equity. Managers must remain vigilant and receptive to factors that influence brand equity. Accordingly, this paper addresses this issue. Specifically, the paper empirically investigates the mediating roles of three drivers of brand equity in the brand image—consumer-based brand equity relationship and explores the moderating roles of product type and word of mouth (WOM) on the linkages between brand image and brand equity. In order to understand these relationships, a questionnaire survey was administered among brand consumers, yielding a total of 321 responses. Confirmatory factor analysis and Cronbach’s alpha were utilized to estimate the validity and reliability of the measures. Structural equation modeling with maximum likelihood estimation was employed to test the hypotheses. The authors find that brand image positively affects brand attachment, brand attitude, and brand awareness. Brand attachment and attitude positively influence consumer-based brand equity. The findings show that brand attachment and brand attitude partially mediate the relationship between brand image and brand equity. Product type and WOM have a significant moderating effect on the relationships among brand image, drivers of brand equity, and brand equity. The authors discuss the limitations of the study and provide future research directions.