In a landscape where the ownership model is gradually yielding ground to short-term rental and sharing options, the rise of branded access offers presents a compelling alternative across various consumer sectors, from automobiles to high-end fashion. Your role, as marketing professionals, brand managers, and researchers in the field of consumer behavior and brand management, is crucial in understanding the intricate repercussions these offerings can have on the parent brands that deploy them. Recent research spearheaded by Tiffany Barnett White, a Professor of Business Administration at the University of Illinois Urbana-Champaign, sheds light on this.
The allure of branded access lies in its appeal to consumers seeking flexibility and affordability without the burden of long-term ownership. Yet, as White and her co-author Aaron J. Barnes from the University of Louisville elucidate, such initiatives may not resonate well with consumers deeply invested in a particular brand’s ethos and identity. These individuals, identified as high group-brand connectors, exhibit a pronounced aversion towards branded access offers, viewing them as a departure from the brand’s core values and a dilution of exclusivity.
The genesis of this phenomenon can be traced to the emergence of disruptive players like Zipcar and Rent the Runway, which have prompted established brands like H&M, Peloton, and BMW to introduce their iterations of branded access offers. While these initiatives are designed to attract new cohorts of consumers, they inadvertently engender a sense of betrayal among existing loyalists, who perceive the influx of transient users as a threat to the brand’s integrity.
White and Barnes’ research, encompassing four distinct studies spanning fashion, sports, and fitness domains, underscores the adverse impact of branded access offers on brand image, particularly among fervent brand advocates. Referred to as the “accessor effect,” this phenomenon encapsulates the disillusionment and disenchantment experienced by loyal consumers when confronted with the perceived transience and lack of commitment associated with access-oriented models.
The issue lies in the discrepancy between the brand’s values and the consumption behaviour facilitated by branded access offers. For consumers who derive a sense of identity and belonging from their affiliation with a brand, transient access undermines the communal bonds and shared experiences underpinning their allegiance. Consequently, these individuals quickly penalise the parent company for diluting the brand’s essence in pursuit of fleeting market opportunities.
The ramifications of the accessor effect extend beyond mere consumer sentiment, permeating the broader narrative of brand loyalty and market positioning. White aptly articulates that the dichotomy between brand adherents and latecomers manifests across diverse consumer landscapes, from sports fandom to lifestyle preferences. Introducing branded access offers disrupts the delicate equilibrium between inclusivity and exclusivity, leaving brand custodians grappling with the challenge of appeasing both camps.
The underlying motivation driving brands to embrace access-oriented models stems from a desire to remain competitive in an era dominated by sharing economy startups. However, as White cautions, this pursuit of profitability should not come at the expense of brand integrity. Striking a delicate balance between innovation and brand preservation is paramount. This responsibility falls on the shoulders of marketing professionals, brand managers, and researchers like you, who are at the forefront of understanding and managing these dynamics.
To mitigate the accessor effect and assuage the concerns of loyal consumers, White and Barnes advocate for strategic interventions. These interventions, such as extending the rental period for accessors, have the potential to blur the signal of brand dilution. This not only signals a greater commitment to the brand but also fosters a sense of continuity beyond transient transactions. By elongating the rental duration, brands can convey a message of enduring loyalty and affinity, thereby mitigating the erosion of brand image precipitated by access-oriented models. This inspires the possibility of maintaining brand loyalty even in the face of disruptive market forces.
In essence, the problem posed by branded access offers epitomises the evolving dynamics of consumer-brand relationships in an era characterised by shifting consumption patterns and disruptive market forces. As brands navigate this terrain fraught with challenges and opportunities, the imperative lies in preserving the essence of their identity while embracing innovation that resonates with existing loyalists and prospective consumers. By adopting a nuanced approach to branded access offers, brands can forge a path towards sustainable growth and enduring brand loyalty in an ever-evolving marketplace.
More information: Aaron J. Barnes et al, The accessor effect: How (and for whom) renters’ lack of perceived brand commitment dilutes brand image, Journal of the Academy of Marketing Science. DOI: 10.1007/s11747-024-01006-z
Journal information: Journal of the Academy of Marketing Science Provided by University of Illinois Urbana-Champaign