Identity-based effect of internal branding on brand performance: the contingent role of co-worker support

Purpose

Drawing on the social identity theory (SIT), this study investigates the relationship between internal branding (IB), organizational identity (OI) and brand performance while considering OI as the linking apparatus of internal branding and brand performance. It also explores the moderating role of co-worker support in the relationship between OI and brand performance.

Design/methodology/approach

A sample of 919 frontline employees working in private banks in India was collected by using multi-stage sampling. Structural equation modeling (SEM) was utilized to examine the hypothesized relations. PROCESS macro for SPSS was used to test mediation and moderation effects.

Findings

The results reveal that all IB dimensions (internal brand communication, brand-oriented transformational leadership and brand-oriented HR activities) directly affect OI and indirectly affect brand performance. Additionally, no moderating effect of co-worker support is found.

Research limitations/implications

The current study contributes to the existing literature by portraying IB as identity strengthening phenomenon and brand performance as identity-congruent behavior. It also reveals how social context influences brand performance and assists them in socially categorizing themselves.

Originality/value

The present study portrays a complete understanding of the dynamics between internal branding, organizational identity, and brand performance. The study also emphasizes the empirical examination of the potential mediation effect of organizational identity and the moderation effect of co-worker support.