Impact of Brand Characteristics on Its Performance

Nowadays creation and development of a strong brand is a core aspect of any marketing strategy. It is well known that the fashion industry is a highly competitive one where there is a great number of companies which intensely compete with each other for the attention of customers. It is extremely important in this industry to be able to outstand competitors and to use various effective tools in order to survive. One of such tools is creation of a strong brand with high performance. Consequently, the aim of the presented master thesis is to explore the phenomenon of brand and brand performance in the fashion industry and to determine brand characteristics which may impact overall brand performance. In order to prove the research hypothesis a quantitative research method for pairwise comparisons conduction is applied. The data was collected from brands official websites and reports, Brand Asset Valuator Database, Interbrand list website, Google Trends, reports of Brand Finance agency and some other statistical sources. To capture paired comparisons of brands and their characteristics the Bradley Terry model was built via application of the “BradleyTerry2” package in R. The results of the analysis demonstrate that such brand characteristics as “presence of the brand in the Interbrand list”, followed by “Returns on investment”, “Country of origin”, “Age” and “Revenue” have an impact on brand performance. The results of the research may be useful for top managers and marketing analysts in the fashion industry and also for scholars interested in branding and brand performance.