Family Business Branding in the Saffron Industry: Emphasizing Brand Identity Capital Dimensions

Document Type : Original Article

Authors

1 PhD Student, Department of Management, Torbat-e-Heydarieh Branch, Islamic Azad University, Torbat-e-Heydarieh, Iran.

2 Assistant Professor, Department of Management, Bojnourd Branch, Islamic Azad University, Bojnourd, Iran.

3 Assistant Professor, Department of Management, Torbat-e-Heydarieh Branch, Islamic Azad University, Torbat-e-Heydarieh, Iran.

Abstract

Introduction: In the contemporary digital marketing landscape, social media platforms have radically transformed the dynamics of value creation and consumer–brand relationships. Family-owned businesses, representing a significant pillar of the global economy, inherently possess unique identity-based intangible assets, such as multi-generational heritage, historical authenticity, long-term commitment, and socioemotional wealth. However, possessing these identity resources does not automatically guarantee a sustainable competitive advantage in highly volatile online markets. Saffron production in Iran is not merely an economic sector; it represents a key component of national identity and cultural heritage. Prominent saffron brands are mostly multi-generational family firms that rely heavily on their heritage. Nevertheless, under intense global competition and the proliferation of digital platforms, these firms face the critical challenge of converting their symbolic assets into active, supportive consumer behaviors. Relying on Social Identity Theory (SIT), this study addresses a significant literature gap in family business branding by developing an integrated framework to explain how brand identity capital influences digital brand ambassadorship through consumer–brand identification.
 
Materials and Methods: This study applies an empirical, quantitative research design utilizing a descriptive-survey method. The target population comprised active followers and consumers of the official Instagram account of "Saharkhiz Saffron," a renowned multi-generational family-owned brand in Iran. Instagram was selected because digital brand ambassadorship primarily manifests within highly interactive social networks. Due to the lack of an official sampling frame of online followers, non-probability convenience sampling was employed. To ensure data validity and high statistical power, a total of 315 usable questionnaires were collected. The sample size adequacy was verified using a G*Power statistical analysis (f² = 0.15, α = 0.05, Power = 0.95, with four predictors), confirming that the collected sample greatly exceeded the required minimum threshold of 129 observations. Measurement scales were adapted from validated international literature and localized for the Iranian market context, consisting of 18 reflective items evaluated on a 5-point Likert scale. Content validity was rigorously confirmed through a panel of three marketing experts, achieving a perfect item-level Content Validity Index (I-CVI = 1.00). Data analysis was conducted using Partial Least Squares Structural Equation Modeling (PLS-SEM) via SmartPLS 4 software, utilizing a non-parametric bootstrapping procedure with 5,000 replications to evaluate path coefficients and structural relationships.
 
Results and Discussion: Evaluation of the measurement model demonstrated high internal consistency and reliability, with Cronbach's alpha and composite reliability (CR) values for all constructs exceeding the standard 0.70 threshold. Convergent validity was established as the Average Variance Extracted (AVE) for all variables surpassed 0.50. Discriminant validity was fully supported through both the Fornell–Larcker criterion and the (HTMT) ratio, with all HTMT values remaining safely below 0.85. The structural model analysis revealed robust explanatory power, accounting for 56% of the variance in consumer–brand identification (R² = 0.56) and 40% of the variance in digital brand ambassadorship (R² = 0.40). Global model fit indices indicated an excellent model fit (SRMR = 0.057 < 0.08; NFI = 0.92 > 0.90). The hypotheses testing confirmed that all four dimensions of brand identity capital significantly enhance consumer–brand identification. Value congruence exerted the strongest direct impact (β = 0.33, p < 0.001), followed closely by family brand identity (β = 0.31, p < 0.001), brand heritage and authenticity (β = 0.28, p < 0.001), and perceived quality (β = 0.26, p < 0.001). Most importantly, the central path of the model—the direct effect of consumer–brand identification on digital brand ambassadorship—was highly significant and powerful (β = 0.63, p < 0.001). Regarding direct effects on advocacy, value congruence (β = 0.14), perceived quality (β = 0.12), and family identity (β = 0.11) directly triggered digital ambassadorship. Interestingly, the direct link between brand heritage/authenticity and digital ambassadorship was non-significant (β = 0.09, p = 0.061), indicating that heritage must first be internalized through consumer identification before translating into digital advocacy.
 
Conclusion: This research demonstrates that contemporary family business branding on digital networks must shift from transactional, promotion-based advertising toward relationship-driven, identity-activation strategies. When consumers perceive a strong alignment between their own values and those of a multi-generational family firm, the brand transitions from a mere commercial entity to an active social group embedded in the consumer's self-concept. Consequently, supporting the brand through digital ambassadorship (e.g., generating positive content, defending the brand against online criticism, and active word-of-mouth) becomes an identity-driven action. Saffron family business managers are advised to develop human-centric digital storytelling campaigns that emphasize authentic ancestral roots, transparent ethical farming traditions, and consistent product quality, thereby turning passive followers into loyal online advocates.

Keywords


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