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Effect of brand on consumer behavior
Effect of brand on consumer behavior
Effect of brand image on consumer behavior
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Brand Image
According to Keller (2003) brand image is a a strong, favorable with unique brand association in recognition, which will result in positive attitude, perceived quality and positive affect in overall. He also states that brand image has been widely accepted in literature that is the perception existing in the memory of the customer. When a customer or consumer can recognize a product brand, it means that they had combined the symbolic value and the willing to own the product as well. Keller also states the high level of brand awareness and positive brand image will increase brand choice probability of consumer, lead to increasing consumer loyalty and lower the damaging of market action.
Companies creates a great and effective brand image or identity no matter from internal and external sources. Therefore, all the competitors are willing to do so because the brand image has the direct impact to generate consumer satisfaction value. Brand Image affects loyalty at least in two ways. Firstly, customer may use his preferences to present his own image. That may occur both in co...
In every given business, the name itself portrays different meanings. This serves as the reference point and sometimes the basis of customers on what to expect within the company. Since personality affects product image (Langmeyer & Shank, 1994), the presence of brand helps in the realization of this concept. Traditionally, brand is a symbolic manifestation of all the information connected with a company, product, or service (Nilson, 2003; Olin, 2003). A brand is typically composed of a name, logo, and other visual elements such as images, colors, and icons (Gillooley & Varley, 2001; Laforet & Saunders, 1994)). It is believed that a brand puts an impression to the consumer on what to expect to the product or service being offered (Mere, 1995). In other application, brand may be referred as trademark, which is legally appropriate term. The brand is the most powerful weapon in the market (LePla & Parker, 1999). Brands possess personality in which people associate their experience. Oftentimes, they are related to the core values the company executes.
A luxury good is something that, as ones income increases; the demand for an item or service also increases at a higher than proportional level, in contrast to necessity goods, in which demand increases proportionally with a decrease in income (Varian, 1992). Generally, luxury goods are seen as those at the highest end of the market, in terms of price and quality. Haute Couture clothing, accessories and luggage are considered to be classic luxury goods, although many markets have a luxury sector, for example Automobile, Bottled Water, Coffee, Foods, Jewellery, Sound Systems (HiFi), Tea, Watches, Wine and Yacht.
Kevin Keller’s brand equity model is known as the Customer Based Brand Equity Model (CBBE). This model was first introduced in his book, Strategic Brand Management. According to the model, a company must shape how customers think, feel, and act towards a product in order to build a strong brand. A consumer must have the right type of experience around the brand, which foster positive thoughts, opinions, perceptions, beliefs and feelings. By building strong brand equity, customers will recommend company products and will buy more of them. Moreover, this increases brand loyalty and decreases brand switching to competitors. One’s memory consists of a network of associations and connecting links, and any association ever processed about a brand
[5] Nandan, S. (2005) An exploration of the brand identity-brand image linkage: A communications perspective, Brand Management. (pp 264 – 278)
A brand promise is what a company commits to its target audience. And a brand making a promise must focus on the key priority for its audience. For example, retail brands generally make promises intended to excite buyers – whether you believe you’re getting a bargain, or you love the way something sounds or looks.
Companies use a collection of brand equities to represent their products in the market (Voolnes, 2012). Brand equity refers to the commercial value that is derived from the perception of consumers on any given brand name of particular products in the market as opposed to the product itself. Ataman (2003) notes that the effect to the consumer is in the brand name and not the product itself. Companies use logos, trademarks and a collection of other symbols to present this information to the customers. The use of these symbols is meant to try and capture the customer mindset so that they can be thinking about the company products at all times through the items they possess at home (Estes, Gibbert, Guest, & Mazursk, 2012). This can well be explained by use of the customer-based brand equity model that brings together the requirements for a publicly renowned brand in the market.
The first store of Limited Brands was opened by Leslie Wexner, C.E.O. of Limited Brands, In 1963. The store mushroomed rapidly and it’s profit was used to explore the business by primarily focusing on women’s clothing. In 1982, company brought many stores Victoria's Secret, a lingerie store,Lane Bryant and a women's clothing forte store. It opened new stores drastically by end of year 1990 named as Lane Bryant, Lerner Stores, Henri Bendel, Abercrombie & Fitch, and Bath & Body Works. Moreover, company shown it’s interest in other businesses.
Nowadays, many companies using the re-branding strategy of corporate marketing and build strong corporate brand to increase their competitive advantage between other companies such as Google, Mazda, LG, Zara and more (Punjaisri & Wilson, 2007; Temporal, 2010). Thereby, internal branding is a good strategy to increase a company’s competitiveness, especially in service industries (Raj & Jyothi, 2011). It is because a service industry almost has a closer relationship between customer and employee and customer’s impression of the brand are influenced by the employee who they connected with (Leberecht, 2004).
Secondly, some light has been thrown on the previous researches by various authors on the similar topics by providing with a summarised form of the same. It helps in better understanding of the ongoing concepts and perceptions on the concept of brand and its importance.
Building loyalty to a brand or company is a challenge. A company must establish trust with its customer while also meeting his or her psychological needs. Once trust has been built, companies must resolve any ethical issues and obligation so consumers can continue to trust the company and its products and services. In addition, some individuals are more likely to be loyal to a brand or company compared to other people. To establish consumer loyalty, a company must determine how to meet all of these challenges. This paper will discuss the issues facing organizations in creating consumer trust and loyalty for it and its products and services.
Most of the companies rely heavily on the branding for the reason that the customers are often seen committed with brands and make repeat purchases. It is the nature of the loyal customers and even all the human beings that they do not leave the product, which facilitates them in some way better than any other product regardless of price. Nowadays, the companies are trying to cultivate the loyal customers by treating them in different way such as rewarding them and offering incentives. In this way, the companies get “the free word of mouth” marketing by making the people pleased to talk about the product positively in front of their friends and relatives. (Brand Loyalty, 2011)
People are buying the product which gives them prestige. Marketers have interest on consumer psychology and they are playing with every day by showing that their product will give prestige in the society. It’s true that the transparent societies now needs brands image. Marketers analyze the interest and needs of consumer than create the product according to the need of the society. Brand can attain the people attraction and the business can have the good reputation by giving satisfaction to consumer. If the brand gives satisfaction and function are according to the expectation of consumer than the brand gets good image on the mind of consumer. brand image is great weapon to use for the competitors it builds in years , at once the business gets brand image it has competitive edge from other brands in the market. When consumer rely on the brand the company can create the long term relation with the consumer, in other words (CRM) consumer relationship management. The brand image has effect on the choice of every individual there believe and attitude change their preferences. Brand image can be effected by price as price is an important part for consumer when they are making purchase decision if they find the value of brand is equal to the pricing they purchase that brand if not they refuse it. Similarly the image of brand can be effected by the attributes and features or
Brand offers superior quality of the service to the customer’s expectation and satisfaction. Furthermore, people are much attached to the branded products, as majority of the people purchase the branded products with the belief that brands show their status and life style in the society. And also because they believe that they are purchasing quality when purchasing branded product. As duration of stay creates impact of brand on consumer behaviour, so verification of brand image, brand loyalty and personality should be considered as the significant factors in this regard. It can also be said that there is need to improve the product of a particular brand so that the impact of brand on consumer behaviour is more effective in comparison to the existing scenario. The study also reflects that the product features are very essential for consumers. Advertising plays a very important role in achieving growth for any product or brand. The right media for advertising products and services should be chosen to gain customer attention.
Brand promotion With a market full of various companies of various industries trying to sell something or the other to prospective customers, it is not easy to connect with customers by just advertising your product. You need something more to boost your visibility in this market, teeming with competitors, and brand promotion gives you the answer to that. Brand promotion is a marketing strategy that helps your company send direct messages to your customers and prospective customers. It helps to create an image of your brand in the mind of the customer for easy access and recall. This not only increases the chances that the customer will relate the products you sell to the brand, but also increases brand loyalty.
Solid and distinguished brand images are a positive edge to consumers’ perception of value in relation to the brand. For example, consumers may shows a willingness to go and visit a particular brand of cafe even at a more premium price when there exists a stronger impressions of brand images regarding the cafe’s brand irregardless of the price, which subsequently may show the presence of a strong purchase intention to visit the cafe due to a strong brand images associated with the cafe’s brand. A strong brand image therefore are reported to be able to apply a positive force to the customers’ willingness to go for more expensive products with more brand equity (Faircloth, Capella, & Alford, 2001; Lassar, Mittal, & Sharma, 1995). As a result of high brand awareness created through the social media for the cafe’s, a cafe’s brand image therefore are hypothesized to positively affects the consumer's purchase decision to visit the