Episode 138: Novel Brands Give Consumers New Choices

When somebody scrolls through the top product categories on Amazon odds are some 60% of the brands for sale will be ones you’ve never heard of before. That poses a challenge for marketers looking for their brands to be chosen among the many options, including familiar ones. UConn marketing professor Danielle Brick has researched how novel brands can make inroads in a very crowded marketplace and it has been published in the Journal of Consumer Research. She joins us on the podcast and tells us about how she went about her research, which included offering candy bars to people that just worked out at a gym. Brick also tells us about how novel brands have affected her personal shopping habits and her research on spiteful brand choices in relationships.

Listen to Episode 137 at Podbeam

Mike: Hello everybody. Welcome to another episode of the UConn 360 Podcast. It’s Mike Enright from University Communications, along with Izzy Harris from University Communications. Hello, Izzy.

Izzy: You really put an emphasis on my last name there.

Mike: Did I?

Izzy: Yeah. Izzy Harris.

Mike: Well, you’re a very important person.

Izzy: I guess so.

Mike: So, in anticipation of this podcast, I went shopping on Amazon the other day, which I don’t do a ton of.

Izzy: Really?

Mike: I wanted to buy khakis because I’m a guy and that’s all I wear in the summertime.

Izzy: Okay, okay. That’s actually all I wear most of the time these days.

Mike: Yep. And I was looking at off-brands. I didn’t wind up buying any because somehow shopping on Amazon, unless it’s for books, is still a little confusing to me.

So anyway, that’s a little prelude to what we’re talking about today. Our guest is Assistant Professor of Marketing here at UConn, Danielle Brick. She recently had her research published in the Journal of Consumer Research about what drives consumers to select novel brands on platforms like Amazon. Her work provides insights for marketing strategy, especially for these newer, lesser-known brands.

Sixty percent of brands on Amazon are novel brands. I didn’t even know novel brands existed.

Izzy: Well, you learn something new every day. And maybe Danielle will be able to teach you a little bit more about the different —

Mike: Some comfortable buying… some khakis.

Izzy: Yes. And you know what? You could even be crazy and buy other types of pants besides khakis.

Mike: Let’s not go nuts.

Izzy: All the brands with that too. I mean, that’s overwhelming.

Mike: Do you buy novel brands?

Izzy: I do, yeah.

Mike: Okay, we’ll talk about that in a second. So, Danielle has been here since 2022. She earned her undergraduate degree from Amherst College and her doctorate from Duke. Her research interests include consumer relationships, branding and brand relationships, shared consumer decisions and experiences, and consumer well-being.

Danielle, welcome to the UConn 360 Podcast.

Danielle: Thank you. I’m very excited to be here. This is my first ever podcast, so exciting on many levels for me.

Mike: Ours too.

Izzy: Our first podcast?

Mike: No, just kidding.

Izzy: Whoa, just kidding? You’ve got jokes today.

Mike: Oh yeah. One after another.

So, Danielle, tell us a little bit about why services like Amazon, and probably primarily Amazon, offer so many brands that are not familiar to the public and certainly weren’t familiar to me.

It seems like when you go to a traditional walk-in store, there are four or five brands. I’m talking khakis, but I know we’re talking about all kinds of products. There are four or five established brands of a product, and on Amazon, all of a sudden, there are all these things you’ve never heard of.

Danielle: Yes. As you’re suggesting, Amazon has really spurred the rise of novel brands. Part of that is globalization and technological advances, which have made it very easy for brands that people have never heard of to enter the marketplace.

Izzy: Can you define what novel brands are?

Danielle: Yes. A novel brand is one that a consumer has never seen before and is completely unfamiliar with.

Izzy: Got it. So, does that apply to online marketplaces like Etsy?

Danielle: Yes. Etsy is another great example of an online marketplace that has done really well introducing new brands. Mike, you talked about how when you go into a retailer, you don’t see as many new brands because it’s very hard for companies to get into physical stores.

A lot of marketing is about building brand associations and helping people connect with brands. But on Amazon, Etsy, and similar platforms, people can just launch their product.

Mike: So, these novel brands… I hate to use the word… are they legit? Because when I’m looking at these pants or whatever I want to buy, and it’s some brand I’ve never heard of, I wonder if I’m sending my credit card to a scam. Am I going to get scammed or something like that?

Danielle: Yes, that’s a fair concern.

Mike: So, they are legit?

Danielle: Yes. In our research, we used brands that are now available in Target that you can find in stores. One example is Poppy, that new soda brand.

Mike: I’ve heard of that.

Danielle: Yes. We also made up some brands just to see how consumers would react.

Mike: That’s the one in the short little can, right?

Danielle: Yes.

Izzy: It’s very trendy right now, Mike.

Mike: Well, that’s me. I’m a trendy guy.

Danielle: That’s great. We also used Partake, which people may now be seeing more and more. But when we did this research, it wasn’t even in Target. Now you can walk in and see it. I took a picture and sent it to my co-author, saying, “Look, it’s in stores!”

It probably won’t be as novel anymore, but when we started, yes, they were real brands.

Izzy: As interesting as it would be to talk about Mike and his favorite brand of khakis for the rest of the episode, Danielle, can you tell us a little bit about how you went about your research? We understand you worked with candy bars and cookies. I’d love to hear more about that.

Danielle: Candy bars, cookies, garbage bags — and in other research that didn’t make it into this paper, we actually also looked at medication.

We experimented with novel brands of medication versus generics, looking across product categories. And maybe it comes up, or you might wonder, is this true for all product categories? Are there some where consumers are more likely to try something new?

What we found is that it’s less about the product category itself and more about the context in which consumers are making decisions, or the goals they have in that moment.

So, for example, in one of our studies, we approached people coming out of the gym. We asked them to complete a study and then gave them a choice of candy bars afterward. We found that people were significantly more likely to choose a novel brand after coming out of the gym than if they were coming from the dining hall.

Because in a gym, you’re thinking about being healthy. Health goals are top of mind. In a dining hall, you’re probably thinking about eating and not necessarily prioritizing health in the same way.

Mike: So, if you were starting a novel brand, what would your advice be to the marketing team?

Danielle: That’s a great question. I think what’s somewhat surprising, or at least less intuitive, is that if you’re a candy bar company and you want people to try your product, you should actually go to gyms.

That’s where people might be more open to novel brands. We found that when the context or the consumer’s goal is in conflict with the product category, consumers are more likely to try something unfamiliar over something well-known.

Mike: Interesting. So, candy bars at a gym?

Danielle: Yes.

Izzy: That’s the opposite of whatever I thought you were going to say.

Danielle: Yes, we were surprised by that too.

Mike: What about medication? I mean, it’s one thing to try a new candy bar. If you don’t like it, life goes on. You tried something new, and maybe next time you just go back to a Snickers or a Hershey’s bar.

But with medication, I don’t know if I’d feel comfortable trying something unfamiliar.

Izzy: Yeah, to build on that, let’s say I’m having bad allergies today. If I walk into a pharmacy, what would a normal consumer be more likely to do in that situation — and why?

Danielle: Yes. So, the idea starts with something like candy bars. You have a set of associations with Milky Way, for example, and those align with the category of candy.

Marketing tells us Milky Way means sweet, chocolate, fun, indulgent. So, when new products enter that same category, those same associations get activated in your mind.

Now, if you’re in a context that contradicts those associations, like being in a gym, and you see Milky Way, you think chocolate, sugar, calories. You interpret that as being “bad for me.” But when you see a novel brand, it doesn’t come with all those preloaded associations. Consumers think, maybe it won’t be as bad.

That’s why they choose it.

Mike: So, it could be the exact same ingredients?

Danielle: Yes. We used the same images and stimuli in the experiments.

Mike: So, it could be a Snickers bar, just in a different package?

Danielle: Exactly. And as long as consumers are unfamiliar with the brand, they assume it will be less harmful or less indulgent. So, they’re more likely to choose it.

You asked about medications, so I’ll bring it back to that. In the study, we looked at generics rather than well-known branded options. For example, store-brand allergy medication versus a completely novel brand.

We found that consumers didn’t see a difference in how effective the medications would be in treating their symptoms. But what we did see is that they believed the novel brand would be less harmful in terms of side effects.

Take drowsiness, for instance. People might assume allergy medication is going to make them very tired, which is a negative side effect and goes against their goals of being productive and healthy. But when they saw a novel brand, they thought it might not make them as drowsy. It might not be as bad for them. So, they were more likely to choose it.

Izzy: How do you collect this kind of research?

Danielle: One way is through field experiments. I gave the example of setting up outside a dining hall and a gym on a college campus. My co-author did that at the University of Oregon.

Another method we used was running a study in the behavioral lab at the business school here at UConn. We asked participants to list two reasons why it’s important to be healthy, or two reasons why it’s important to indulge or enjoy tasty food. Then, we gave them a choice between two cookie brands.

One was Partake, which was unfamiliar to most participants at the time. The other was Chips Ahoy, which is very familiar. The packaging was similar. Both were blue and featured chocolate chip cookies. But people who had been asked to think about health were significantly more likely to choose the novel brand, Partake.

We also ran online experiments. In one of those, we asked people to think about sustainability before choosing between two brands of garbage bags. People who were thinking about environmentally responsible behaviors were more likely to choose the novel brand.

Mike: Have your personal shopping habits changed because of this research?

Danielle: Yes. I think I’m a lot more aware of novel brands now.

Before, I didn’t pay much attention. When I was in a store, I wasn’t necessarily looking for newer options. But now I definitely notice them more.

Mike: So, what would you personally buy as a novel brand, and what would you not?

Danielle: I think it depends. On Amazon, for example, many of us are focused on price, ratings, and how fast the item will arrive. In that case, I care less about the brand.

But if I’m going to buy something like a new pair of khakis, I’ll probably stick with a brand I know and trust. Something that’s worked for me before.

Izzy: What can marketers learn from your research?

Danielle: You asked earlier about where novel brands should launch. I’d say that the unexpected finding, like selling candy bars at a gym, is something marketers should pay attention to.

If your product category doesn’t align with a certain consumer goal, that might actually be a great place to introduce a novel brand. When the product contradicts the context, people may be more open to trying something unfamiliar.

Mike: Tell us a little about the other research you’ve worked on or plan to pursue in the future.

Danielle: Sure. I study relationships. This project focused on how consumers start relationships with brands, but I also study interpersonal consumer relationships.

One area I’m passionate about is secret consumer behavior, when consumers keep their purchases or preferences secret from close others like partners, friends, or family members.

I’ve also researched celebrations, how people mark happy occasions with others, and how brand preferences in couples can affect life satisfaction.

Sometimes, when people are mad at their partner, they choose a brand the partner doesn’t like. It’s a subtle way to express frustration or take a small jab.

Mike: Wow. You said secret things. Expand on that a little bit.

Danielle: Sure.

Mike: What do you mean? Like things you hide from other people?

Danielle: Yes, exactly.

This research idea started right after I graduated from college. I was working in a hospital in Boston with a nurse practitioner. One morning, she came running in at 9 a.m. and said, “I have to go home. Ken is coming home sick.”

She looked really upset, so I asked, “Oh my goodness, is he okay?”

She paused and said, “Yeah, he’s fine, but the cleaning people are there, and he doesn’t know I hired them. I have to get home and make sure they’re gone before he gets there.”

Mike: Wow.

Danielle: And I thought, that seems a little odd.

Fast forward a few years. I’m now an assistant professor in my first job. My husband and I were discussing whether to hire a cleaning person. I was interviewing for work, the cleaner was coming while we were both out during the day, and I remember thinking, does he really need to know?

So, the research started from there.

Mike: Did you tell him? I’m dying to know. This is like a whole new side of UConn 360.

Izzy: UConn Tell-All.

Mike: Exactly. UConn 360 meets Lifetime. So, did you get the cleaning person?

Danielle: I did, and we did talk about it.

Mike: And he knew?

Danielle: Yes, he knew.

Izzy: So, you didn’t keep that one a secret.

Danielle: No. But then there are other things. If you start looking on social media, there are so many memes and examples of people who engage in this kind of behavior.

I later conducted more formal research. We ran surveys, and ninety percent of people could recall a time they had kept consumption a secret, even recently.

Mike: Wow.

Izzy: Yeah.

Mike: I can’t think of anything off the top of my head.

Izzy: Neither can I.

Mike: Unless I’m in denial.

Danielle: Right. When you ask people, “Do you keep secrets?” most will say, “No, absolutely not.” They see it as a negative thing. But these small, mundane secrets can actually be good for relationships. That’s what we found.

Izzy: What came to mind for me when you said “secrets” was something like supporting a brand that recently had a bad PR moment.

Let’s say there’s public backlash, and Mike says, “Oh no, that’s my favorite pair of khakis. I’m still going to buy them,” even though the CEO just said something controversial.

Danielle: Yes, that’s a perfect example. In some of our new work with other co-authors, we’re building a framework for this type of consumer secrecy.

What you’re describing fits right in. Gift giving is another category where secret behavior shows up.

Mike: Talk more about that.

Danielle: The idea is that you’re hiding some aspect of a consumer decision, even if only temporarily. That still counts as secret consumption.

One of my favorite examples from our data came from a couple. We asked Partner A if they had ever kept consumption a secret. Then we asked Partner B the same question.

They both described the same situation. They were supposed to be vegetarian but were each sneaking non-vegetarian food, without the other knowing.

Mike: Wow. They both bailed.

Danielle: Yes, and they were both hiding it from each other.

Izzy: That’s hilarious. My friends and I were all vegetarian at one point.

Danielle: Okay.

Izzy: And I actually stuck to it. I never cheated for like five years.

Danielle: That’s amazing.

Izzy: There were a couple of times when I was served something by accident, like a soup with bone broth or something with bacon bits that I didn’t notice at first.

Mike: Oh, that doesn’t count.

Izzy: Maybe not to you, but to vegetarians, it does. It counted to me.

Mike: Okay.

Izzy: But my other friends would lie. They would say, “I’m vegetarian,” and I’d be like, “I just saw you eat a chicken nugget last week.”

Danielle: Exactly. These aren’t big, dark secrets. They’re more like everyday behaviors that people choose not to disclose.

Mike: So, getting back to these novel brands on Amazon or wherever you see them, is the goal of a novel brand to stop being a novel brand eventually?

Danielle: Exactly.

This research explores the baseline equity or value of a brand when it is brand new in the marketplace. The question is, what is the value of a brand with no prior marketing, no promotion, and no awareness? What happens when consumers encounter it for the first time with no history behind it?

Mike: Do some established companies start novel brands?

Danielle: Yes, absolutely.

Mike: So, they launch something new to appeal to people who are looking for novelty, even though the company itself is already established?

Danielle: Correct. That is a real strategy. A larger, well-known brand might start a sub-brand that appears new and different to reach that novelty-seeking segment of the market.

Izzy: Actually, doesn’t every brand start off as a novel brand?

Danielle: Yes, by definition, every brand is unfamiliar at first. It only becomes familiar once it builds recognition and associations in the consumer’s mind.

Izzy: Got it.

Mike: Pretty interesting.

Izzy: You may not know this off the top of your head, and that’s okay, but I’m curious. What are the success rates of novel brands? Like, what are the churn rates? I’m an MBA student, so we’ve been talking a lot about that in my classes. Now I’m just curious.

Danielle: That’s a great question. One thing that is interesting is that technology has made it incredibly easy to launch a novel brand.

If you go on Amazon, you’ll see hundreds of them. Are most of them successful? No. I would say the majority are not.

But to become successful and reach the point where a brand like Partake is now, you need more than just a launch. You need real marketing efforts. You need strong promotional strategies. You need everything you are learning in your MBA courses.

Izzy: In so many of my classes, we use Uber as an example. My professors love to reference it. It started as a ride-sharing company, but now there is Uber Eats, Uber for groceries, Uber Pet. They are constantly expanding.

The question we keep asking is, how do these brands distinguish themselves from all the competition in the market?

Danielle: Yes. When a brand first enters the market, it needs to create positive associations right away. Those associations need to be strong, aligned with consumer values, and memorable.

If you can do that, when someone thinks of the product category, your brand is the first thing that comes to mind. That is the goal.

Mike: Amazon itself started as a place to buy used books, right?

Danielle: Exactly.

Izzy: When you said earlier that you mostly used Amazon to buy books, I was like, what are you talking about? I didn’t even know that was a thing.

Danielle: Oh, my goodness.

Mike: That is how it started. I still buy most of my books there. That is probably the number one thing I use Amazon for. Used books.

Izzy: I know Kindle, but I didn’t realize people used it for actual books like that.

Mike: Books. Real books.

Izzy: Well, look at that. You taught me something today.

Mike: And you taught me something.

Izzy: We are always teaching each other.

Mike: Yes. Great stuff.

Well, Danielle, thank you very much for stopping by the podcast today. This has been a lot of fun.

Danielle: Thank you. It has been a pleasure.

Mike: All right, Danielle, thanks. And Izzy, we will see you next time.

Izzy: See you next time, Mike.