Branding and product differentiation should lead to distinct product positioning in the minds of consumers, which helps them to choose between products. However, the increasing numbers of similar products make it more difficult for consumers to distinguish between brands, which can lead to a loss of utility through mistaken and misinformed purchases. Despite this risk, little research has addressed the perceived product similarity construct, and there is no accepted measure or any idea of which consumers are vulnerable to it. This research develops a parsimonious scale for measuring consumers’ orientation for inferring that all products within a category are similar and identifies those vulnerable to it. Support was found for a one-dimensional six-item measure, and its reliability and validity were assessed. Cluster analysis identified three similarity groups of which one appeared highly vulnerable to seeing products as similar. Implications for consumer policy and marketplace trust are discussed.
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