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Purpose

The purpose of empirical study is to focus on the relationship between perceived private label brand (PLB) image, and perceived store image (SI) and feeling associated with the presence of national brand (NB).

Design/methodology/approach

The data are collected using a self administered questionnaire from respondents belonging to generation Y in their 20s. The focal product was apparels sold at department stores.

Findings

The results indicate that the store atmosphere and store quality positively influence the perception of PLB's quality, whereas, the congruence between national brand and store image (NBSI) has a negative influence on PLB's quality. In comparison, the store quality, store convenience, store price/value, and the congruence between NB and PLB have a positive influence on the affective dimension of the PLB image, whereas, the congruence between NBSI has a negative influence.

Research limitations/implications

A key limitation of this study is the sampling frame. Future studies should replicate this study in different contexts and with different target population.

Practical implications

To boost the image of their PLBs, stores need to focus on the store quality dimension, since it affects both quality and affective dimensions of PLB. Other SI dimensions that have a significant effect on either PLB‐quality or PLB‐affective dimensions are store atmosphere, convenience, and price/value dimensions. Regarding the presence of NBs in a store, even if it is in congruence with the SI, it has a detrimental effect on both the quality and affective dimension of PLB, unless the PLB image and NB image are seen as congruent. Managers should ensure that the NBs carried by their store harmonize with their own PLB image.

Originality/value

This study provides answers to a crucial question – “How to improve the consumer perception of private label brand?”

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