The Spillover Effect of the Nested Brand in Functionally Complementary Brand Alliances

Abstract

This study focuses on the subject of functionally complementary brand alliances and explores the spillover effects of the perceived value of ingredient product, ingredient brand quality, and frequency of ingredient brand nested in other brand alliances on the evaluation of functionally complementary brand alliances. Using between-subject experimental design, key findings are as follows: (1) treating reservation price as dependent variable, ingredient brand equity has main effects, and interaction effects with the perceived value of ingredient product; (2) ingredient brand equity and the perceived value of ingredient product result in attitude change significantly. Ingredient brand equity and frequency of ingredient brand nested in other brand alliances has interaction effects on spillover effect of attitude change.