The feature transposition effect: Increasing brand coolness through brand extension

Abstract

Brand coolness has emerged as a critical factor in brand competitiveness, yet research on strategies to enhance it remains limited. This study proposes that brand coolness can be elevated by introducing far extensions. Specifically, in cases with far brand extensions, feature transposition (vs. no transposition) from a flagship product positively influences brand coolness. Conversely, this effect disappears in cases with near brand extensions. We further show that this effect arises because far extensions with feature transposition sequentially evoke perceived humor, enhancing coolness perceptions of the extension product. This effect is particularly pronounced when the brand is prototypical and when a cobranding strategy is employed. Evidence from five studies incorporating review data and online experiments supports these conclusions. This study also discusses implications for marketers seeking to increase brand coolness.