Abstract:

In this study, it is asserted that the effects of factors of brand loyalty and perceived fit on purchase propensity vary with the different levels of performance risk perceived by consumers related to extension products. These suggestions were tested by using data that were from 367 questionnaires completed by parent consumers having at least a child that is six years old at maximum. Contrary to our expectation, the results of analysis indicated that the effect of brand loyalty on attitude of consumers toward brand extensions becomes less as perceived performans risk increases. Additionally, it was found out that the effect of perceived fit on attitude of consumers related to extension products is not influenced by perceptions of performance risk. Finally, consistent with findings in literature, we reached the results supporting that perceptions of performance risk as well as factors of brand loyalty and perceived fit influenced directly on purchase propensity in brand extensions context.

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