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TOWARDS A NEW UNDERSTANDING OF BRAND AUTHENTICITY:
SEEING THROUGH THE LENS OF MILLENNIALS
MANAGEMENT IN A DIGITAL WORLD:
DECISIONS, PRODUCTION, COMMUNICATION
Simonetta Pattuglia, Aggregate Professor in Marketing
pattuglia@economia.uniroma2.it
Michela Mingione, PhD in Management
mingione@economia.uniroma2.it
DPT. OF MANAGEMENT AND LAW
UNIVERSITY OF ROME TOR VERGATA
ITALY
mingione@economia.uniroma2.it
Full version is available at: Pattuglia, S. and Mingione, M. (2017) “Towards a new
understanding of brand authenticity: seeing through the lens of Millennials”, Sinergie Journal
of Management.
2
Introduction
1
Methodology
2
Results
3
Quantitative
3.1
Agenda
Discussion and directions for future research
4
Qualitative
3.2
mingione@economia.uniroma2.it
3
Introduction (1/3).
What is Brand Authenticity (BA)?
“What is genuine, real and true” (Beverland and Farrelly, 2010).DEFINITION
FORMS
Objective, subjective and self-referential (Bertoli, Busacca, Ostillio and Di Vito, 2016;
Chhabra, 2005; Fionda and Moore, 2009; Grayson and Martinec, 2004; Leigh et al.,
2006; Mohart et al., 2014; Napoli et al., 2014; Wiedmann et al., 2011; – Arnould and
Price, 2000; Beverland et al. 2010; Charmley et al., 2013; Fine, 2003; Kates, 2004;
Kotzinets, 2001; Leigh et al., 2006; Wilson and Morgan, 2011 – Beverland and
Farrelly, 2010; Beverland et al., 2008, 2010; Holt, 2002; Özsomer and Altaras, 2008;
Postrel, 2003).
OUTCOMES
Brand reputation (Greyser, 2009); brand attitudes and purchase intention
(Ewing et al., 2012; Ilic and Webster; 2014); brand trust (Ballantyne et al., 2006;
Balmer, 2012; Beverland, 2006; Greyser, 2009; Gustafsson, 2006; Holt, 2002;
Schallen et al, 2014); premium price (Beverland, 2006).
mingione@economia.uniroma2.it
4
Introduction (2/3).
Rationale for the research
BA is a socially constructed phenomenon & legitimizes a brand within its context
(Beverland, 2006; Beverland et al., 2008, 2010; Grayson and Martinec, 2004;
Rose and Wood, 2005; Thompson et al., 2006).
CRUCIAL ROLE OF CONSUMERS
CUSTOMERS NON-CUSTOMERS
Customers might engage brand communities,
co-create brand meanings and become brand
ambassadors (Aitken and Campelo, 2011;
Bertilsson and Cassinger, 2011; Fournier et al.,
2001; Langerak et al., 2003).
Non customers might generate anti-branding
communities (Holt, 2002; Gustafsson, 2006),
and diffuse a negative brand image
(Thompson et al., 2006).
There is a need to explore both customers’ and non customers’ perceptions on
Brand Authenticity
mingione@economia.uniroma2.it
5
Introduction (3/3).
Aim of the research
Therefore, this study aims at profiling and exploring Millennials’ perceptions of brand
authenticity in relation to their experience (or inexperience, i.e., customers and non customers) with
well established brands.
In particular, the new generation of Millennials plays a relevant role in creating brand communities
that might sustain or reject brands (Lantos, 2014).
Being the new digital generation and driven by their quest to innovativeness (alternatively called
“Internet generation”, the “digital generation”, “natives”, the “dot.com generation”), it could be
interesting to investigate their perceptions on BA.
More specificaly: how and why do Millennials attribute (in)authenticity to a brand?
mingione@economia.uniroma2.it
since1946since1937since1846
2) Four focus groups have been performed based on the four cluster solution results.
Mixed methodology: 1) A hierarchical cluster analysis (Ward’s method) has been
performed based on a 28-item questionnaire (administered to 382 University of Rome Tor
Vergata’s students; mean age: 21.6). The questionnaire included three sections: 1)
demographic information; 2) five BA dimensions (brand heritage, quality, sincerity,
originality and reliability); 3) consumers’ perceptions on brand image, trust, and premium
price.
6
Methodology
To profile and explore Millennials’ brand authenticity perceptions of well established brands
mingione@economia.uniroma2.it
7
Results (1/5).
Profiling Millennials
CONSTRUCTS Cronbach’
s alpha
Brand authenticity dimensions
Quality commitment .933
Heritage .901
Sincerity .793
Originality .867
Reliability .889
Brand related constructs
Brand image .734
Brand trust .783
Premium price .793
CONSTRUCTS’ RELIABILITY
THE FOUR-CLUSTER
SOLUTION
mingione@economia.uniroma2.it
Peroni
Vespa
Cinecittà Studios
8
Results (2/5).
Millennials’ quest for coherence
Results from the group interviews
reveal a main theme that integrates Millennials’ BA perceptions
into a unified framework
TO BE AUTHENTIC, MILLENNIALS ASK BRANDS
A HIGH DEGREE OF COHERENCY
mingione@economia.uniroma2.it
Coherency between
brand promise and its
actual delivery
Coherency of the
brand over time
Coherency between the
brand identity and the
consumers identity
9
Results (3/5). Millennials’ quest for coherence:
coherency of the brand over time
R1, R2, R3: “These companies endure over time because their
excellent quality never decreased. This means to be authentic”
R6, R8, R9: “Vespa reminds the Italian golden age.” “Also Cinecittà
Studios reminds me golden times for Italy”. “Vespa reminds me my
mom and dad’s emancipation. I sincerely trust this brand”
R3: “If you have a great heritage, you surely are authentic, like
Cinecittà Studios, that has never been contaminated by the
economic crisis. This company has been able to be coherent over
time and also to renew itself with the opening of the exhibition
Cinecittà Shows Off.
R12: “Cinecittà Studios has a unique heritage but has currently lost
its cultural and artistic values. From being internationally known,
the brand turned into a money machine focused on profits to
survive.”
mingione@economia.uniroma2.it
The HISTORICAL ORIGINS
of the BRAND
&
the CONTINUITY
of the BRAND PROMISE OVER TIME
CERTIFY
THE RELIABILITY & UNIQUENESS
OF THE BRAND
10
Results (4/5). Millennials’ quest for coherence:
coherency between the brand promise and its delivery
R3: “I went to the Peroni’s House, a sort of pub, and I really found it
inauthentic because prices were too high, tables very clean and the
atmosphere was too formal. This was not what I expected: Peroni is
unsophisticated, it is not elitist or exclusive.”
R16: “To verify the brand authenticity and to understand if they acts
as they promise, If I never tried, I also appreciate comments of
experts, like bloggers who tried the product and therefore can tell
you if it acts as it says”
R15: “Authenticity is a verifiable quality, and I usually do not trust
what I have not tried before. In this case I will rely on comments of
other consumers, such as my boyfriend. For example and moreover,
when I visited Eataly, my boyfriend noticed that the Peroni was
there. We considered the partnership Peroni-Eataly so incoherent!”
R16: “Are you pretending that Peroni and Nastro Azzurro share the
same corporate brand and this has never been communicated to
consumers? That is insane! I want to buy Nastro Azzurro not Peroni!
Do you see any authenticity in it?”
mingione@economia.uniroma2.it
The BRAND PROMISE
should be ALIGNED with
the actual DELIVERY of the BRAND
If they are NON-CUSTOMERS,
Millennials will rely on WoM
In particular,
MISALIGNED PARTNERSHIPS
are a CUE
to assess the MATCH between the
PROMISE & its DELIVERY
11
Results (5/5). Millennials’ quest for coherence:
coherency between the brand identity and the consumers’ identity
R1: “Vespa also makes me feel more elegant and feminine, in the
60s everyone was so elegant! This perfectly match my personality.”
R4: “I drink Peroni in my leisure time with my friends, especially
when I go back to my homeland. Peroni is drinking quality with some
good food, like pasta. Peroni is: friends, pasta.”
R5: “I drink Peroni when I watch a football match with friends and
when I eat pizza. Peroni is: friends and pizza at home. It is the Italian
championship.”
R12: “I feel cheated in my Italian pride. Cinecittà Studios should
elevate the quality of its services to honor its originality and
uniqueness instead of losing its values.”
R13: “These brands completely lost their uniqueness. Heritage is not
enough. Peroni is sincere and reliable, but being a discount brand it’s
the shame of the Made in Italy. It is actually the beer of Roman
people!”
mingione@economia.uniroma2.it
The BRAND IDENTITY
should be ALIGNED with
the CONSUMERS’ IDENTITY
(which is also related to their
COUNTRY OF ORIGIN)
12
Discussion.
Theoretical implications and advancements
mingione@economia.uniroma2.it
RESULTS REVEAL
QUANTITATIVE QUALITATIVE
A segmentation of Millennials perceptions on
BA (customers and non-customers).
These findings do not mirror the
quantitative. In fact, the different segments
have been integrated into a unified one,
where Millennials basically ask for
coherence.
These different results can be ascribed to the different philosophical foundations
at the base of each method
Objectivist ontology
Positivist epistemology
Subjectivist ontology
Interpretive epistemology
13
Quantitative results provide an original segmentation of Millennials consumers. These results also
confirm previous studies on BA, suggesting that companies should conceive brand authenticity as a
relevant component of successful brands (Beverland, 2005; Kapferer, 2008) strongly linked to consumers’
brand image, brand trust and premium price (Balmer, 2012a; Schallehn et al. 2014).
mingione@economia.uniroma2.it
Qualitative results contribute to a new understanding on brand authenticity, proposing that
organizations, when dealing with Millennials, should seek for coherence in order to deliver an authentic
brand. These results
CONFIRM PREVIOUS STUDIES GO BEYOND PREVIOUS STUDIES
That suggest the multifaceted nature of brand
authenticity (i.e., objective, subjective and self
-referential dimensions).
By adding the construct of coherency
(coherency over time, coherency between
brand promise and its actual delivery and
coherency between the brand identity and
the consumers identity).
Discussion.
Theoretical implications and advancements
14
mingione@economia.uniroma2.it
Discussion.
Managerial implications
QUANTITATIVE QUALITATIVE
Managers should:
•Protect the segment of Engaged Millennials
(for example through CRM and social media
activities).
•Invest in the Believer and Sceptical
Millennials (for example through
communicative actions in social media
channels but also in advertising and
promotion).
•Recover the relationship with the Cheated
Millennials (for example by offering additional
services, especially post-experience ones).
Managers should:
•Communicate with them through new
media platform, yet maintaining a great
continuity with its past actions and values.
•Have a clear brand promise, and try to avoid
gaps between what they communicate and
what they actually deliver.
•Present a clear positioning, recognizable
also by Millennials, who will adhere to it
(joining the brand) or reject it. This is also
true for communal experiences (family,
peers, traditional and social communities)
that surely enhance their self-expression.
15
Directions for future research
mingione@economia.uniroma2.it
Future studies focused on conceptualizations of relationships between brand authenticity and
coherence are strongly needed to address the following relevant research questions:
•“How can companies achieve each type of brand authenticity coherency?”
•“Is the simultaneous alignment of these three types of authenticity attainable?”
Moreover, this study could be a valuable starting point for the development of the conversation on
corporate brand alignment between academics and practitioners (Balmer, 2012; Hatch and Schultz,
2001; Urde, 2013). Valuable research questions to be investigated could be:
•“Does the alignment of corporate brand attributes or identities help in achieving brand authenticity?”
•“What is the relationship between the multifaceted nature of corporate brands and the multifaceted
nature of BA coherency?”
MANAGEMENT IN A DIGITAL WORLD:
DECISIONS, PRODUCTION, COMMUNICATION
16
Thank you for your kind attention!
mingione@economia.uniroma2.it

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Millennials' quest for brand authenticity coherence

  • 1. 1 TOWARDS A NEW UNDERSTANDING OF BRAND AUTHENTICITY: SEEING THROUGH THE LENS OF MILLENNIALS MANAGEMENT IN A DIGITAL WORLD: DECISIONS, PRODUCTION, COMMUNICATION Simonetta Pattuglia, Aggregate Professor in Marketing pattuglia@economia.uniroma2.it Michela Mingione, PhD in Management mingione@economia.uniroma2.it DPT. OF MANAGEMENT AND LAW UNIVERSITY OF ROME TOR VERGATA ITALY mingione@economia.uniroma2.it Full version is available at: Pattuglia, S. and Mingione, M. (2017) “Towards a new understanding of brand authenticity: seeing through the lens of Millennials”, Sinergie Journal of Management.
  • 2. 2 Introduction 1 Methodology 2 Results 3 Quantitative 3.1 Agenda Discussion and directions for future research 4 Qualitative 3.2 mingione@economia.uniroma2.it
  • 3. 3 Introduction (1/3). What is Brand Authenticity (BA)? “What is genuine, real and true” (Beverland and Farrelly, 2010).DEFINITION FORMS Objective, subjective and self-referential (Bertoli, Busacca, Ostillio and Di Vito, 2016; Chhabra, 2005; Fionda and Moore, 2009; Grayson and Martinec, 2004; Leigh et al., 2006; Mohart et al., 2014; Napoli et al., 2014; Wiedmann et al., 2011; – Arnould and Price, 2000; Beverland et al. 2010; Charmley et al., 2013; Fine, 2003; Kates, 2004; Kotzinets, 2001; Leigh et al., 2006; Wilson and Morgan, 2011 – Beverland and Farrelly, 2010; Beverland et al., 2008, 2010; Holt, 2002; Özsomer and Altaras, 2008; Postrel, 2003). OUTCOMES Brand reputation (Greyser, 2009); brand attitudes and purchase intention (Ewing et al., 2012; Ilic and Webster; 2014); brand trust (Ballantyne et al., 2006; Balmer, 2012; Beverland, 2006; Greyser, 2009; Gustafsson, 2006; Holt, 2002; Schallen et al, 2014); premium price (Beverland, 2006). mingione@economia.uniroma2.it
  • 4. 4 Introduction (2/3). Rationale for the research BA is a socially constructed phenomenon & legitimizes a brand within its context (Beverland, 2006; Beverland et al., 2008, 2010; Grayson and Martinec, 2004; Rose and Wood, 2005; Thompson et al., 2006). CRUCIAL ROLE OF CONSUMERS CUSTOMERS NON-CUSTOMERS Customers might engage brand communities, co-create brand meanings and become brand ambassadors (Aitken and Campelo, 2011; Bertilsson and Cassinger, 2011; Fournier et al., 2001; Langerak et al., 2003). Non customers might generate anti-branding communities (Holt, 2002; Gustafsson, 2006), and diffuse a negative brand image (Thompson et al., 2006). There is a need to explore both customers’ and non customers’ perceptions on Brand Authenticity mingione@economia.uniroma2.it
  • 5. 5 Introduction (3/3). Aim of the research Therefore, this study aims at profiling and exploring Millennials’ perceptions of brand authenticity in relation to their experience (or inexperience, i.e., customers and non customers) with well established brands. In particular, the new generation of Millennials plays a relevant role in creating brand communities that might sustain or reject brands (Lantos, 2014). Being the new digital generation and driven by their quest to innovativeness (alternatively called “Internet generation”, the “digital generation”, “natives”, the “dot.com generation”), it could be interesting to investigate their perceptions on BA. More specificaly: how and why do Millennials attribute (in)authenticity to a brand? mingione@economia.uniroma2.it
  • 6. since1946since1937since1846 2) Four focus groups have been performed based on the four cluster solution results. Mixed methodology: 1) A hierarchical cluster analysis (Ward’s method) has been performed based on a 28-item questionnaire (administered to 382 University of Rome Tor Vergata’s students; mean age: 21.6). The questionnaire included three sections: 1) demographic information; 2) five BA dimensions (brand heritage, quality, sincerity, originality and reliability); 3) consumers’ perceptions on brand image, trust, and premium price. 6 Methodology To profile and explore Millennials’ brand authenticity perceptions of well established brands mingione@economia.uniroma2.it
  • 7. 7 Results (1/5). Profiling Millennials CONSTRUCTS Cronbach’ s alpha Brand authenticity dimensions Quality commitment .933 Heritage .901 Sincerity .793 Originality .867 Reliability .889 Brand related constructs Brand image .734 Brand trust .783 Premium price .793 CONSTRUCTS’ RELIABILITY THE FOUR-CLUSTER SOLUTION mingione@economia.uniroma2.it Peroni Vespa Cinecittà Studios
  • 8. 8 Results (2/5). Millennials’ quest for coherence Results from the group interviews reveal a main theme that integrates Millennials’ BA perceptions into a unified framework TO BE AUTHENTIC, MILLENNIALS ASK BRANDS A HIGH DEGREE OF COHERENCY mingione@economia.uniroma2.it Coherency between brand promise and its actual delivery Coherency of the brand over time Coherency between the brand identity and the consumers identity
  • 9. 9 Results (3/5). Millennials’ quest for coherence: coherency of the brand over time R1, R2, R3: “These companies endure over time because their excellent quality never decreased. This means to be authentic” R6, R8, R9: “Vespa reminds the Italian golden age.” “Also Cinecittà Studios reminds me golden times for Italy”. “Vespa reminds me my mom and dad’s emancipation. I sincerely trust this brand” R3: “If you have a great heritage, you surely are authentic, like Cinecittà Studios, that has never been contaminated by the economic crisis. This company has been able to be coherent over time and also to renew itself with the opening of the exhibition Cinecittà Shows Off. R12: “Cinecittà Studios has a unique heritage but has currently lost its cultural and artistic values. From being internationally known, the brand turned into a money machine focused on profits to survive.” mingione@economia.uniroma2.it The HISTORICAL ORIGINS of the BRAND & the CONTINUITY of the BRAND PROMISE OVER TIME CERTIFY THE RELIABILITY & UNIQUENESS OF THE BRAND
  • 10. 10 Results (4/5). Millennials’ quest for coherence: coherency between the brand promise and its delivery R3: “I went to the Peroni’s House, a sort of pub, and I really found it inauthentic because prices were too high, tables very clean and the atmosphere was too formal. This was not what I expected: Peroni is unsophisticated, it is not elitist or exclusive.” R16: “To verify the brand authenticity and to understand if they acts as they promise, If I never tried, I also appreciate comments of experts, like bloggers who tried the product and therefore can tell you if it acts as it says” R15: “Authenticity is a verifiable quality, and I usually do not trust what I have not tried before. In this case I will rely on comments of other consumers, such as my boyfriend. For example and moreover, when I visited Eataly, my boyfriend noticed that the Peroni was there. We considered the partnership Peroni-Eataly so incoherent!” R16: “Are you pretending that Peroni and Nastro Azzurro share the same corporate brand and this has never been communicated to consumers? That is insane! I want to buy Nastro Azzurro not Peroni! Do you see any authenticity in it?” mingione@economia.uniroma2.it The BRAND PROMISE should be ALIGNED with the actual DELIVERY of the BRAND If they are NON-CUSTOMERS, Millennials will rely on WoM In particular, MISALIGNED PARTNERSHIPS are a CUE to assess the MATCH between the PROMISE & its DELIVERY
  • 11. 11 Results (5/5). Millennials’ quest for coherence: coherency between the brand identity and the consumers’ identity R1: “Vespa also makes me feel more elegant and feminine, in the 60s everyone was so elegant! This perfectly match my personality.” R4: “I drink Peroni in my leisure time with my friends, especially when I go back to my homeland. Peroni is drinking quality with some good food, like pasta. Peroni is: friends, pasta.” R5: “I drink Peroni when I watch a football match with friends and when I eat pizza. Peroni is: friends and pizza at home. It is the Italian championship.” R12: “I feel cheated in my Italian pride. Cinecittà Studios should elevate the quality of its services to honor its originality and uniqueness instead of losing its values.” R13: “These brands completely lost their uniqueness. Heritage is not enough. Peroni is sincere and reliable, but being a discount brand it’s the shame of the Made in Italy. It is actually the beer of Roman people!” mingione@economia.uniroma2.it The BRAND IDENTITY should be ALIGNED with the CONSUMERS’ IDENTITY (which is also related to their COUNTRY OF ORIGIN)
  • 12. 12 Discussion. Theoretical implications and advancements mingione@economia.uniroma2.it RESULTS REVEAL QUANTITATIVE QUALITATIVE A segmentation of Millennials perceptions on BA (customers and non-customers). These findings do not mirror the quantitative. In fact, the different segments have been integrated into a unified one, where Millennials basically ask for coherence. These different results can be ascribed to the different philosophical foundations at the base of each method Objectivist ontology Positivist epistemology Subjectivist ontology Interpretive epistemology
  • 13. 13 Quantitative results provide an original segmentation of Millennials consumers. These results also confirm previous studies on BA, suggesting that companies should conceive brand authenticity as a relevant component of successful brands (Beverland, 2005; Kapferer, 2008) strongly linked to consumers’ brand image, brand trust and premium price (Balmer, 2012a; Schallehn et al. 2014). mingione@economia.uniroma2.it Qualitative results contribute to a new understanding on brand authenticity, proposing that organizations, when dealing with Millennials, should seek for coherence in order to deliver an authentic brand. These results CONFIRM PREVIOUS STUDIES GO BEYOND PREVIOUS STUDIES That suggest the multifaceted nature of brand authenticity (i.e., objective, subjective and self -referential dimensions). By adding the construct of coherency (coherency over time, coherency between brand promise and its actual delivery and coherency between the brand identity and the consumers identity). Discussion. Theoretical implications and advancements
  • 14. 14 mingione@economia.uniroma2.it Discussion. Managerial implications QUANTITATIVE QUALITATIVE Managers should: •Protect the segment of Engaged Millennials (for example through CRM and social media activities). •Invest in the Believer and Sceptical Millennials (for example through communicative actions in social media channels but also in advertising and promotion). •Recover the relationship with the Cheated Millennials (for example by offering additional services, especially post-experience ones). Managers should: •Communicate with them through new media platform, yet maintaining a great continuity with its past actions and values. •Have a clear brand promise, and try to avoid gaps between what they communicate and what they actually deliver. •Present a clear positioning, recognizable also by Millennials, who will adhere to it (joining the brand) or reject it. This is also true for communal experiences (family, peers, traditional and social communities) that surely enhance their self-expression.
  • 15. 15 Directions for future research mingione@economia.uniroma2.it Future studies focused on conceptualizations of relationships between brand authenticity and coherence are strongly needed to address the following relevant research questions: •“How can companies achieve each type of brand authenticity coherency?” •“Is the simultaneous alignment of these three types of authenticity attainable?” Moreover, this study could be a valuable starting point for the development of the conversation on corporate brand alignment between academics and practitioners (Balmer, 2012; Hatch and Schultz, 2001; Urde, 2013). Valuable research questions to be investigated could be: •“Does the alignment of corporate brand attributes or identities help in achieving brand authenticity?” •“What is the relationship between the multifaceted nature of corporate brands and the multifaceted nature of BA coherency?”
  • 16. MANAGEMENT IN A DIGITAL WORLD: DECISIONS, PRODUCTION, COMMUNICATION 16 Thank you for your kind attention! mingione@economia.uniroma2.it