Gender Differences in Brand Equity Creation Process: A Multi-group Analysis Approach

Abstract

Research suggests that men and women respond differently to marketing activities and thus affect their perception about the brand and subsequently their purchase behavior.   It is also well documented that marketing activities are key elements in brand equity creation. Base on this, the current research examines the differential effect that brand knowledge has on male and female consumers’ response to a brand’s marketing activities, specifically price and price promotion. Using a multi-group analysis approach,
a partial invariance structural model was examined across the male and female responses and findings suggest that gender does moderate brand equity creation. Among male respondents, price promotion had a negative effect on perceived quality but this was positive and non-significant for female respondents. Furthermore, the influence of perceived quality on brand loyalty was significantly stronger for females than males, and the image of a brand also contributes into creating loyalty for males but not necessary for females. The findings provide several managerial insights for practitioners.