Brewing the Recipe for Beer Brand Equity

Abstract

This research study aims to analyze the sources and consequences of beverages’ Brand Equity, and more specifically, the beer Brand Equity in a Sothern European mature market. For this purpose, based on the customer-based Aaker’s Brand Equity model, we developed an empirical study, using structural equation modeling (SEM) in order to assess how beer Brand Equity stems from in the brewery industry and to analyze its consequences in consumer behavior. Our findings suggest that the beer brand image is the most important dimension for beer Brand Equity. Moreover, a significant positive influence was found for all the dimensions analyzed, namely brand awareness, perceived quality and loyalty; while we found empirical support for the influence of beer Brand Equity on purchase intention and the consumer willingness to pay a premium price. This research brings relevant implications for brewery marketing managers, who should strengthen their beer brand image, and further consider beer Brand Equity as a key variable in consumer behaviour.

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