Perceived fit in the context of brand extensions: a systematic literature review

Purpose Brand extensions represent an essential growth strategy, allowing companies to remain relevant in increasingly demanding markets. An important success factor for brand extensions that prior research has widely studied and discussed is the perceived fit between an extension and the brand/the parent brand’s products. The purpose of this study is to systematically review and summarize the construct of perceived fit and, thus, to explore what exactly perceived fit is and what role it plays in brand extension research. Design/methodology/approach This literature review systematically analyzes 102 empirical and conceptual articles that extend perceived fit research. Findings This study identifies nine perceived fit dimensions (manufacturing fit, physical fit, situational fit, satisfying fit, complementing fit, targeting fit, servicing fit, pricing fit and conceptual fit) and provides a thorough overview of perceived fit research findings. Furthermore, it derives future research directions. Research limitations/implications This study advances the perceived fit literature by identifying future research potential in terms of methodology, underlying theories, perceived fit conceptualization and operationalization, research context and research focus. Practical implications By outlining the dimensions of perceived fit and the factors that influence the impact of the construct, this study shows how perceived fit needs to be incorporated into product management to maximize extension and parent brand outcomes. Originality/value This study provides a comprehensive, state-of-the-art review of the conceptualization and effects of perceived fit and provides guidance for future research.