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The evolving brand logic: a service-dominant logic perspective

2009, Journal of the Academy of Marketing Science

Abstract

The meanings of brand and branding have been evolving over the past several decades. This evolution is converging on a new conceptual logic, which views brand in terms of collaborative, value co-creation activities of firms and all of their stakeholders and brand value in terms of the stakeholders' collectively perceived value-in-use. The authors argue that this new logic parallels and reflects the related, evolving service-dominant (S-D) logic in marketing. They provide an historical account of the branding literature, organize it into eras, and connect it to the evolution in marketing as captured by S-D logic. The analysis provides further support for the S-D logic of marketing and suggests a related research agenda for furthering the understanding of brand and branding. It also suggests that marketing managers might benefit from investing resources in building strong brand relationships with all of their stakeholders and a service-dominant firm philosophy built around brand value co-creation.

Key takeaways

  • While brand value was still seen as being embedded in the physical goods (output orientation), brand scholars started to acknowledge that customers' perception of a brand's functional value affect their brand choice.
  • Whereas scholars in the Value-Focus Brand Era increasingly suggested that brands have similarities to operant resources, scholars in this brand era more specifically examined the role of customers in the brand value creation process.
  • Moreover, Keller (1993) conceptualized brand equity from the perspective of the individual customer and provided a conceptual framework of what customers know about brands and what such knowledge implies for a firm's branding strategies.
  • Thus, the focus of brand value creation was on the (internal) customers.
  • In sum, the preceding review of the branding literature of the past several decades suggests that the branding literature has evolved away from a brand logic that viewed brands as identifiers and embedded in goods and brand value as determined through value-in-exchange to a new brand logic that views brands as dynamic and social processes and brand value as a brand's perceived value-in-used determined by all stakeholders.