While branding was once only applicable in the business sector, it is now found in all parts of our culture. Vanitha Swaminathan, associate dean for research and strategic initiatives and Thomas Marshall Professor of Marketing in the School of Business, focuses her work on how branding influences consumers and how that influence has changed over time.
One of her major contributions includes identifying two modes of brand differentiation. Horizontal differentiation is when people use brands to express personality and taste, while vertical differentiation is when people use brands to signal status or superiority. Responding to social exclusion typically results in someone attaching themselves to horizontal brands to stand out, while responding to social inclusion results in someone gravitating toward vertical brands to fit in. To put it simply, being included or excluded changes how a consumer seeks brand affiliation.
“In this hyperconnected world, my findings encourage firms to act transparently and ethically, because consumer voices truly can shape brand narratives.”
The influence of brands has changed so profoundly that Swaminathan argues that established theories need to be refocused to take into consideration the rapidly growing digital world. From corporate social responsibility to data privacy, marketing and branding play a unique role in how consumers interact with the world around them.
“My work on consumer cocreation and empowerment sheds light on how digital platforms have shifted power dynamics between brands and consumers,” Swaminathan says. “In this hyperconnected world, my findings encourage firms to act transparently and ethically, because consumer voices truly can shape brand narratives.”