Abstract Sequels abound in the entertainment industry. New sequels to movies, video games, and books are launched on a regular basis as a means to build on existing franchise brands and generate revenues for entertainment firms. This study leverages signaling theory to explain how the influence of brand consistency as a signal for movie sequels is contingent upon franchise characteristics, including franchise length, age, and origin. Using a sample of 466 movie sequels, this research empirically shows how brand consistency-box office revenue relationship depends on franchise characteristics. This research contributes to the entertainment marketing literature and provides important managerially relevant insights by highlighting how and when brand consistency improves sequel success.
Holle et al. (Wed,) studied this question.