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Brand extensions allow brands with a loyal market following to engage in new sustainability efforts with less assumed risk. Green brand extensions not only appeal to consumers who share similar environmental values, but also is a fast-track marketing to the parent brand's customer base. This study examined how consumers' perceptions of the parent brand influence their response to green brand extensions. Examination of two variables, brand attitude and self-brand congruity, offers insight into whether a certain core group of customers who identify with the parent brand would be a more promising market for green brand extensions. Data from female college students show consumers who strongly identify with the parent brand may care less about the green brand extension but make direct decisions to purchase based on their preference for the parent brand name. Implications for companies to become leaders of sustainable business practices are discussed.
Kim et al. (Thu,) studied this question.