Customers' Perceptions on Logotype Prominence for High- and Low-end Apparel Brands

Abstract: This quantitative study examines customers' preferences when it comes to logotype placement and size, and how these preferences differ for high- and low-end fashion brands. A customer survey (n=262) was conducted where the participants were asked questions regarding self-image, motivations to purchase luxury and demographics. Furthermore, questions regarding the attitudes, emotions, quality perceptions, willingness to pay, intentions to purchase, and word of mouth when shown one of four images of T-shirts with differing logotype sizes and placements were asked. The main findings were a preference for smaller logotypes (p 0.05) placed high in the center (p 0.1) when the participants were exposed to a low-end brand description. The only exception was for the willingness to pay where the side placement received a higher mean score. There was no significant preference for a certain logotype at the 5% significance level when it came to the high-end brand description. However, when combining the high- and low-end brand manipulations smaller logotypes received higher scores when it came to attitudes and emotions (p 0.05), and the high centered placement received higher scores when it came to attitudes (p 0.05) and emotions (p 0.1). The main findings regarding customer characteristics were that non-materialistic and intrinsic customers had significantly higher attitudes for smaller logotypes (p 0.05). In addition, customers scoring high on hedonism (p= 0.068), materialism (p= 0.008), and uniqueness (p= 0.003) had more positive attitudes towards the logotypes presented in conjunction with the high-end brand compared to the customers scoring low on these motivations to purchase luxury. Lastly, customers exposed to the high-end manipulation thought about Avant Garde's customers as being more successful, elegant, sophisticated, and having more connections to their social network compared to the customers exposed to the low-end manipulation (p 0.05). A reason why a smaller size was not significantly preferred when it came to the high-end brand as it was in the low-end brand manipulation could be due to the signalling theory. A high centered placement being preferred when it came to most variables might be explained by a current societal fashion trend. The managerial implications include that if a high-end fashion company would want to increase financial profits, a low side placement would be recommended as this will enable higher price points. However, a high centered placement will increase customer attitudes and emotions when combining low- and high-end brands which can have implications on the brand image as a whole. Lastly, a large logo can be offered by high-end brands but is not advisable for low-end brands. Future studies can be conducted in the areas of not merely testing the effects of high- or low-end brands but also introducing a "mid-end" brand, conducting a similar study on a global scale, or using an even larger logotype to see if the results would become more significant.