The Effect of Brand Name on Consumer Product Experiences

The Effect of Brand Name on Consumer Product Experiences

It is well-established that consumers' beliefs and expectations play a pivotal role in shaping their product experiences. This phenomenon bears a striking resemblance to what can aptly be described as the 'placebo effect' within the context of marketing actions. Prior research has shed light on how various extrinsic cues, such as price and packaging, have the potential to elicit this intriguing placebo effect, wherein consumer perceptions significantly influence their product encounters. This research endeavors to delve deeper into the intricacies of the placebo effect, with a particular focus on the significance of brand names—a facet that has recently garnered heightened attention. The objective of this paper is to empirically substantiate the existence of a placebo effect induced by brand names. Specifically, we aim to demonstrate that brand names, particularly those associated with global beliefs and stereotypical beliefs, possess the remarkable ability to trigger this placebo effect within the minds of consumers. In Study 1, it aims to investigate whether brand names with global beliefs could act as placebos, resulting in the creation of the marketing placebo effect. Next, we delved into the undesirable aspects of placebo effects, specifically focusing on the impact of stereotypical beliefs embedded within brand names in Study 2. Study 3, on the other hand, explored the positive and desirable aspects of the placebo effect, specifically within brand names that include the term 'Good.' Furthermore, this study strives to contribute by providing tangible evidence illuminating the underlying mechanisms responsible for the observed placebo effect associated with brand names. By uncovering these mechanisms, we aim to offer a more comprehensive understanding of how and why brand names can exert such a profound impact on consumer product experiences. These findings hold immediate and significant relevance for practitioners and marketers seeking to navigate the complex landscape of brand strategy effectively. Armed with a deeper understanding of the placebo effect engendered by brand names, practitioners can craft more informed and strategic approaches to enhance consumer experiences and drive brand success in the competitive marketplace.