PT  - JOURNAL ARTICLE
AU  - Rajesh Iyer
AU  - James A. Muncy
TI  - The Role of Brand Parity in Developing Loyal Customers
AID  - 10.1017/S0021849905050245
DP  - 2005 Jun 01
TA  - Journal of Advertising Research
PG  - 222--228
VI  - 45
IP  - 2
4099  - http://www.journalofadvertisingresearch.com/content/45/2/222.short
4100  - http://www.journalofadvertisingresearch.com/content/45/2/222.full
SO  - J Advert Res2005 Jun 01; 45
AB  - Perceived brand parity is the belief in the consumers mind that major offerings in a product category are similar. The current article presents the results of a study indicating that high parity perceptions inhibit a company's ability to develop loyal customers. Whether that is good or bad depends on the type of competitive strategy a firm has chosen. With a differentiation strategy, advertising should be used to fight parity perceptions. However, with a low price strategy, parity perceptions should be fostered in an attempt to discourage brand loyalty. Thus, a starting point for many advertising campaigns should be a clear understanding of both the parity perceptions in the marketplace and the need to either develop or fight brand loyalty.