The Impact of Visual Web Advertising on Brand Equity in Online Sports Shops: The Mediating Roles of Perceived Value and Brand Identity

Introduction

In recent years, with the growing penetration of the Internet, electronic businesses have experienced significant expansion, attracting increasing scholarly and managerial attention (Martinez et al., 2020). E-business, which stems from practices such as email and e-commerce, has developed in line with the principles of conducting business over the Internet (Daluska et al., 2019). At its core, e-business refers to conducting commercial activities through telecommunications and digital tools. In practice, it provides firms with a mechanism to access markets where consumers purchase goods and services (Pancic et al., 2023). Similar to traditional and physical commerce, the concept of brand equity plays a critical role in the domain of e-business. Brand equity reflects the extent to which a brand name influences consumers’ perceptions and decisions (Seyedin et al., 2019). Building a strong and valuable brand has become a strategic priority for many organizations. Firms with a powerful brand can create stronger leverage in the marketplace, command premium prices, and increase their profit margins, thereby reducing their vulnerability to competitors (Faridnia et al., 2024). Given the immediate and profound influence of visual communication on customer perceptions, online visual advertising emerges as a key driver in strengthening brand equity (Razavi et al., 2025; Nasr Esfahani & Shams, 2023). Strong visual communication enhances brand recognition and customer loyalty, ultimately contributing to brand equity development (Pancic et al., 2023). In the context of sports retail, creating brand equity requires the adoption of innovative advertising approaches. Traditional methods of advertising, while historically effective, have lost traction due to consumer skepticism and disengagement, compelling marketers to embrace new strategies for engaging with target audiences (Azimzadeh & Razavi, 2018; Salari & Ghahreman Tabrizi, 2023). One contemporary approach is the use of visual advertising in online retail platforms. Visual advertising refers to the strategic design and presentation of advertisements to capture consumers’ attention. Essentially, the visual appearance of advertisements displayed to customers constitutes visual advertising, which many scholars have emphasized as a crucial factor in influencing consumer behavior (Gong & Qiumins, 2020). Moreover, to reinforce the relationship between online visual advertising and brand equity in sports shops, it is essential to consider the mediating roles of perceived value and brand identity. Perceived value reflects consumers’ evaluation of a product and the benefits they associate with it (Jaya & Arif, 2024). Meanwhile, brand identity comprises the logo, colors, typography, values, and personality of a brand—essentially representing the organization’s character, the promise it conveys to customers, and the emotions it evokes during consumer–brand interactions (Razavi et al., 2025). Accordingly, this study proposes a conceptual model to investigate the impact of online visual advertising on brand equity in sports retail, with particular attention to the mediating roles of perceived value and brand identity.

The significance of the present study lies in the fact that one of the contemporary marketing strategies for online sports retailers is the use of online visual advertising, which can serve as a key factor in ensuring their long-term success. At the same time, building a valuable brand is of vital importance for sports organizations. When customers believe in the quality of services and the values conveyed by a brand, they are willing to pay a premium for its offerings—demonstrating the crucial role of brand equity in emerging sports organizations (Faridnia et al., 2024). Despite the recognized importance of online visual advertising and brand equity, prior research has primarily examined the impact of advertising on brand equity across various industries (Dehdashti et al., 2014; Pancic et al., 2023). However, although prior studies have examined the relationship between online visual advertising and brand equity in non-sports contexts—for example, Buil et al. (2013) and Dehdashti et al. (2014)—there is a lack of research investigating the specific role of online visual advertising in shaping brand equity within the sports industry, particularly in online sports shops that operate as service-oriented organizations. Furthermore, previous research has shown that advertising influences brand equity through various mediating variables, such as advertising quality and brand experience (Koay et al., 2021). Nevertheless, there is still a lack of studies addressing the mediating mechanisms that may enhance the relationship between online visual advertising and brand equity specifically in the context of online sports retail. Given the central role of online visual advertising in enhancing brand equity along with the importance of brand identity and perceived value in reinforcing this relationship, this research proposes a comprehensive conceptual model to address the gap.

A review of prior studies highlights the multifaceted relationship between advertising, brand identity, perceived value, and brand equity across different contexts. For instance, Dehdashti et al. (2014) conducted a study entitled “The Role of Advertising and Word-of-Mouth in Enhancing Brand Equity in the Tourism Destination of Isfahan.” Their findings revealed that word-of-mouth had a significant effect on customer experience, which in turn influenced brand equity, while brand image was also shown to have a meaningful impact on destination brand equity. Similarly, Khodadad Hosseini et al. (2015) examined brand equity from the perspective of consumer attitudes toward advertising through sports (specifically football). Their results indicated that consumer attitudes toward advertising exerted a significant positive influence on brand equity. In another study, Seyedin et al. (2019) investigated the mediating role of brand equity in the relationship between perceived value and customer lifetime value. The results demonstrated that perceived value significantly influenced both customer lifetime value and brand equity. Furthermore, Ghorbani et al. (2021), in a study on the role of brand identity in shaping brand equity among Iranian Persian Gulf Pro League football clubs, found that brand identity had a significant and positive effect on brand equity. In the domain of online retail, Martinez et al. (2020) explored the impact of visual web advertising design on online purchase intention. The study confirmed the positive and significant role of website visual advertising design in enhancing consumers’ willingness to purchase online. More recently, Naderian et al. (2023) revealed that social identity strengthens the relationship between corporate social responsibility and brand equity in the context of sports teams, highlighting the importance of social and relational dimensions in the branding process.

In addition to domestic research, several international studies have investigated the relationship between advertising, brand identity, perceived value, and brand equity. For instance, Buil et al. (2013) argued that customer identity construction through branding facilitates the processes of identification and integration among consumers within a brand community. In another contribution, Alakas et al. (2022) investigated the moderating effects of marketing communications and brand identity on the relationship between corporate social responsibility (CSR) and brand equity. The study concluded that CSR identity exerted a significant influence on brand equity, while both marketing communications and brand identity further strengthened this relationship. More recently, Jaya and Arif (2024) explored consumer behavior through a multifaceted examination of the marketing mix, brand equity, purchase intention, and perceived customer value. Their findings suggested that perceived value enhanced the relationship between brand equity and customer purchase intention. Despite these valuable contributions, it should be noted that while some prior studies have addressed brand equity within the context of sports (Mahmoudabadi et al., 2019a; Zarei Mahmoudabadi et al., 2019b; Razavi et al., 2025), research remains limited in providing a comprehensive examination of how online visual advertising influences brand equity specifically in the setting of online sports shops in Iran. Considering the rapid growth of online sports retail and the intense competition in this sector, understanding the role of online visual advertising in enhancing brand equity—particularly through the mediating mechanisms of brand identity and perceived value—remains a critical gap in the literature. Accordingly, the central research question guiding this study is: To what extent, and through what mechanisms, does online visual advertising strengthen brand equity in online sports shops?

Conceptual Model

The brand equity of online sports shops is influenced by a variety of factors, meaning that certain dimensions must be present for strong brand equity to emerge. Among these factors, the current study identifies online visual advertising as a key antecedent variable in the proposed model. However, visual advertising design alone may not be sufficient to enhance brand equity in online sports shops. Rather, its effectiveness depends on the extent to which such advertising fosters brand identity and perceived value among consumers—two critical mechanisms through which visual advertising exerts its influence on brand equity. Accordingly, drawing on a comprehensive review of the literature, an examination of prior models, and the synthesis of theoretical perspectives, the conceptual model for this study was developed (see Figure 1). This model positions online visual advertising as the independent variable, brand equity as the dependent variable, and brand identity and perceived value as mediating constructs that explain the relationship between visual web advertising and brand equity in online sports shops.

Fig 1. Conceptual model of current study

Research Methods

To outline the methodology of the present study, the researchers employed the Saunders Onion Model (2009), which consists of eight layers. This research is based on the following layers: the research paradigm of positivism, the primary type of research being applied, the research approach being deductive-hypothetical, the research strategy being quantitative, the research field being field-based, the research method being causal and cross-sectional, the research objectives being descriptive, and finally, the data collection methods, which included a review of library sources and the use of questionnaires. The study population comprised all customers of Iranian online sports stores, and the sample size was determined using Krejcie and Morgan’s table due to the uncertainty of the exact population size. As a result, a sample of 384 participants was selected. The main instruments for data collection in this study were the following questionnaires: These items evaluate respondents’ perceptions of the quality and professionalism of visual elements in online advertisements, including colors, images, lighting, shapes, and overall visual appeal (W1–W4). Brand Identity was assessed using a five-item questionnaire adapted from Alakkas et al. (2022). The items (BI1–BI5) focus on changes in consumers’ perceptions of the brand over time, including preference shifts, perceived product quality changes, pricing perceptions, and consistency between the brand’s current offerings and its previously perceived personality. Perceived Value was measured using the five-item scale developed by Dang-Van (2023). These items (PV1–PV5) capture consumers’ evaluations of product quality relative to price, product diversity, ease of purchase, and overall enjoyment of the shopping experience at the online sports store. Brand Equity was measured using the twelve-item questionnaire developed by Razavi et al. (2025). The items (B1–B12) assess multiple dimensions of brand equity, including brand preference, purchase intention, perceived quality, value for money, brand associations, brand personality congruence, trustworthiness, brand awareness, and ease of recognition and purchase. The validity of these questionnaires was confirmed by 10 professors of sports management, and the reliability was calculated using Cronbach’s alpha coefficient, with values of 0.81, 0.79, 0.84, and 0.87, all of which were deemed acceptable. Because the original questionnaires were designed in English, a careful translation and cross-cultural adaptation procedure was undertaken before administering the survey. This process was conducted in accordance with established methodological guidelines and involved several stages, including forward translation, backward translation, expert review, and cultural adaptation. In the first stage, the questionnaires were independently translated into Persian by two bilingual specialists. Subsequently, the Persian versions were translated back into English by two different bilingual translators who were unfamiliar with the original instruments. All translated versions were then reviewed by an expert panel to assess semantic accuracy, conceptual consistency, and cultural appropriateness. Based on the panel’s feedback, minor refinements were made to ensure that the items were clear, culturally relevant, and easily understandable for customers of Iranian online sports stores. This approach helped ensure linguistic and cultural equivalence between the original and adapted versions (Vahdani et al., 2023). To define the target population for the study, the researcher first compiled a comprehensive list of Iranian online sports stores that had official websites, using search engines with keywords such as “sports store,” “online sports store,” “virtual sports store,” and “internet sports store,” focusing on those with the highest rankings. Subsequently, five online sports stores, whose managers were willing to cooperate in the research, were randomly selected. A link to the online questionnaire, created using the PorsLine system, was sent via SMS to the mobile numbers of customers from these selected stores. Finally, for data analysis, structural equation modeling (SEM) was used, employing SPSS 26 and AMOS 24 software.

Results

Table 1- Demographic characteristics of sport consumers

Based on the results presented in Table 1, the majority of the sample group were male, aged between 21 and 30 years, and held a bachelor's degree. Furthermore, most participants reported becoming aware of the online sports stores through internet search engines.

Figure 2. The research model in the case of significant coefficients t

Figure 2 displays the conceptual model of the study in terms of the significance of the coefficients (t-value). This model tests all measurement equations (factor loadings) and path coefficients using the t-statistic.

Model Fit Assessment

In structural equation modeling using PLS version 3, the evaluation of the measurement model’s fit is conducted using key indicators such as Composite Reliability (CR), Cronbach’s Alpha, Average Variance Extracted (AVE), and the Coefficient of Determination (R²). According to accepted standards, values above 0.70 for Composite Reliability and Cronbach’s Alpha indicate acceptable reliability, while an AVE above 0.50 suggests good convergent validity of the constructs.

Table 2 presents the model fit indicators, confirming the adequacy and validity of the measurement instruments used in the research model.

Table 2- Model Fit Evaluation Indicators

The findings of the present study regarding the assessment of convergent validity indicate that the average variance extracted (AVE) and composite reliability values for all four latent constructs—web visual advertising, perceived value, brand identity, and brand equity—were at satisfactory levels. Additionally, the R-squared coefficient, which is calculated only for endogenous constructs in the model, was reported for perceived value, brand identity, and brand equity. Overall, the results of the measurement model evaluation confirmed the adequacy, reliability, and convergent validity of the constructs, indicating a good model fit.

To assess the overall model fit, the Goodness of Fit (GoF) index was employed. The GoF criterion is calculated using the following formula:

In this equation, AVE represents the average of the shared variances of each construct, while R2R^2R2 denotes the mean value of the R-square of the endogenous constructs in the model. Wetzels et al. (2009) proposed three threshold values—0.01, 0.25, and 0.36—to indicate weak, moderate, and strong levels of the GoF index, respectively (Wetzels et al., 2009). The value of the GoF index for the model is calculated as follows. The obtained GoF value of 0.447 indicates a strong overall fit of the model.

Following the confirmation of convergent validity, the researcher proceeded to evaluate discriminant validity. The results of discriminant validity among the study constructs are presented in Table 3.

Table 3- Discriminant Validity Among the Constructs of the Study

According to Hair et al. (2011), discriminant validity is confirmed when the square root of the Average Variance Extracted (AVE) for each construct (shown on the diagonal) is greater than its correlations with other constructs. Based on the data in Table 3, discriminant validity is generally supported for the study constructs, although the correlation between Brand Equity and Brand Identity slightly exceeds the square root of AVE for Brand Equity, indicating a minor concern that should be noted.

Table 4- Factor load coefficients and significant coefficients of research model

Based on the results presented in Table 4, it can be concluded that for all latent variables, all indicators demonstrated significant weights, and at a 99% confidence level, they all exhibited significant factor loadings. Following the confirmation of the model's fit indices, the researchers present the final research model with standardized coefficients and factor loadings in Figure 3.

Figure 3. The research model with standardized coefficients and factor loadings

The results from Figure 3 indicate a positive effect of the predictor variables on the criterion variable, as well as appropriate factor loadings for each of the research items.

Subsequently, the results related to standardized coefficients, t-values, and significance levels for each of the direct research hypotheses are presented in Table 5.

Table 5- Path coefficient values and t-statistics

One type of relationship among latent components in structural equation modeling is the direct effect. The direct effect, which is one of the key constructs in structural equation modeling, represents a directional relationship between two variables. Since the research hypotheses were based on the effects of relationships among the latent components of the model, the findings presented in Table 5 indicate that all five research hypotheses, representing direct relationships between variables, were supported at a significance level of 0.01.

Subsequently, the Sobel test was employed to assess the mediating variables. Accordingly, the Sobel test is calculated using the following formula:

The Sobel test examines whether the indirect effect of the independent variable (X) on the dependent variable (Y) through the mediator (M) is statistically significant. In the present research model, each of the following dimensions is defined as:

X = Web Visual Advertising; M = Perceived Value / Brand Identity; Y = Brand Equity

For each mediating path, four values are required:

Path X → M:     Path coefficient: a; Standard error: Sa

Path M → Y:     Path coefficient: b; Standard error: Sb

Table 6- The value of indirect effect coefficients

To further examine the mediating effects of perceived value and brand identity, the Sobel test was conducted in Table 6. The results indicated that the indirect effect of web visual advertising on brand equity through perceived value was statistically significant (Z = 5.43, p < 0.01). Similarly, the mediating role of brand identity was confirmed, as the Sobel test results were significant (Z = 7.29, p < 0.01). Therefore, both perceived value and brand identity were found to significantly mediate the relationship between web visual advertising and brand equity.

Discussion

With the widespread use of the internet across the globe, the number of internet users has significantly increased, creating a favorable environment for e-commerce. Sports stores can leverage this opportunity to conduct business activities through the internet. One of the crucial aspects for sports stores is the creation of a strong and valuable brand to attract more customers. In this regard, various factors such as web visual advertising, brand identity, and perceived value can influence the brand equity of online sports stores. The findings of this research indicate that web visual advertising has a positive and significant impact on brand equity, perceived value, and brand identity of online sports stores. This result aligns with the findings of previous studies by Buil et al. (2013), Dehdashti et al. (2014), and Martinez et al. (2020). It appears that if online sports store owners design their website to be attractive and professional, they will witness an increase in their brand equity. On the other hand, web advertising that showcases visually appealing elements (such as colors, images, sizes, lighting, and shapes) can play a significant role in shaping customer judgments of online sports stores. Customers tend to base their judgments on peripheral features like images, background colors, and animations, which in turn enhances their perceived value of the store. Additionally, a logo, color scheme, and the arrangement of sports products on an online sports store's website allow customers to remember the brand and distinguish it from others. This emphasizes the role and impact of web visual advertising in enhancing the brand identity of online sports stores.

The other findings of the research revealed that the perceived value by customers has a positive and significant effect on the brand equity of online sports stores. This result is consistent with the findings of Seydin et al. (2019). In their study titled The Mediating Role of Brand Equity in the Relationship between Perceived Value and Customer Lifetime Value, Seydin et al. (2019) demonstrated that perceived value has a positive and significant role in influencing brand equity. According to Zeithaml’s (1988) Perceived Value Theory, visually appealing web advertising can significantly influence customers’ evaluations. When customers perceive that the benefits of using an online sports store—such as convenience, product variety, and service quality—exceed the costs, they form a positive perception that enhances brand equity. In other words, when perceived value is high, it creates a favorable image in the customer’s mind, which in turn strengthens the brand equity of the online sports store. Therefore, perceived value, based on the competencies and benefits customers receive from purchasing products and services, can significantly impact the brand equity of online sports stores. In other words, customers perceive the difference between the total benefits gained and the costs incurred, and if this perceived value is positively evaluated by customers, it leads to the formation of a positive image in the customer's mind, which in turn enhances the brand equity of online sports stores. Another finding of the study showed that brand identity has a positive and significant effect on the brand equity of online sports stores. This result is consistent with the findings of Ghorbani et al. (2021) and Alakkas et al. (2022). According to Aaker’s (1996) Brand Identity Models, brand identity refers to the unique set of brand elements—such as logo, color schemes, typography, and brand personality—that communicate a brand’s values and promise to customers. These elements help consumers recognize, differentiate, and emotionally connect with the brand, forming a mental image that guides their perceptions and behaviors. In other words, a strong and distinctive brand identity serves as the foundation for building and sustaining brand equity by making the brand memorable and meaningful to customers. Therefore, it appears that brand identity helps customers recognize a distinct brand, and the brand becomes ingrained in their minds, leading to an increase in brand equity for online sports stores. The strong and positive effects of brand identity on brand equity emphasize the importance of sports stores’ focus on their brand identity. Online sports stores, as service providers to people, seek to enhance their brand equity. However, they often overlook that the primary foundation of brand equity in sports stores originates from the strength of their brand identity. Hence, if an online sports store has a strong brand identity, its brand equity will consequently increase. Finally, the results of this study showed that the effect of web visual advertising on the brand equity of online sports stores, with the mediating roles of brand identity and perceived value, was both positive and significant. This result aligns with the findings of Ghorbani et al. (2021), Martinez et al. (2020), Alakkas et al. (2022), and Jaya & Arief (2024). It appears that web visual advertising, such as the use of appealing website templates, appropriate colors, and images in the design of online sports stores' websites, can have a significant impact on brand identity and perceived value by customers. Additionally, perceived value, due to the convenience and appropriate benefits customers receive from online sports stores, and brand identity, due to the distinctiveness customers associate with the products and services offered compared to other stores, significantly influence the brand equity of online sports stores. Therefore, it can be concluded that brand identity and perceived value can strengthen the relationship between web visual advertising and brand equity in online sports stores.

Conclusion

Considering the cultural context of Iran, it is recommended that web advertisements include visually appealing elements that are culturally relevant, such as vibrant colors favored by Iranian consumers, appropriately sized images, and adequate lighting. This approach can enhance the effectiveness of web advertising and strengthen the brand equity of online stores. Additionally, owners of online sports stores should be familiar with modern advertising design techniques to effectively increase their brand value. Incorporating elements that build customer trust, such as official certifications, endorsements, or customer testimonials, can further enhance the perceived brand value among Iranian consumers.

Research limitations and future research directions

This study is limited to online sports stores in Iran, and therefore the generalizability of the findings to other industries or countries may be restricted. Moreover, only certain dimensions of web visual advertising and brand equity were examined, while other influential factors—such as customer engagement, social influence, or user experience—were not considered. Cultural differences and online consumer behavior in other countries were also not explored, which may affect the applicability of the results in an international context.

Given the importance of the cultural context and the characteristics of Iranian consumers, paying attention to culturally tailored visual advertising and incorporating trust-building elements can have a significant impact on the brand equity of online sports stores. Future research could examine the effects of web advertising in other industries, explore additional mediating factors, and investigate cross-cultural differences in online consumer behavior to enhance the broader applicability of the findings.

Acknowledgments

The authors express their gratitude to all individuals who collaborated in this study.

Conflicts of Interest

There is no conflict of interest.

Funding

The authors have used their personal financial resources for this research.

Statement on the Use of AI

Artificial intelligence–assisted tools were used solely for translating the manuscript into English and for native-language editing to improve clarity, grammar, and readability. The authors take full responsibility for the final content of the article.