Factors Of Brand Loyalty

2.4 Brand Loyalty

Definition of brand loyalty is quite broad and can build up in various forms depending on the source of research from repeat purchases to favourable attitudes towards a brand (Lofgren and Li, 2010). From Figure3 brand loyalty can be divided into two major characteristics which are attitudinal and behavioural (Lofgren and Li, 2010). There are three types of users classified by frequency of purchase and attitude toward brand. Single user is a group of consumers who have highest purchase rate and most probability to be loyal consumers to one brand in particular, which makes these consumers become the hardest one to influence as marketing tools have minimal impact on them. Multiple users are the largest group, they tend to use

Initially, there are three factors that cause positive attitude or likability towards a brand. Perceived brand performance fit is the ability to respond to customer expectations. Social and emotional identification with the brand is the ability of the brand to deliver their brand image and identify their brand to the perception of consumers. Lastly, habit and long history with the brand is the behavioural approach which looks at how consumers behave towards brand. These three factors combined attitudinal and behavioural together and empower brand

In order to be a dominant brand in the market, the brand needs to have not only sufficient market share but also needs to have an adequately large amount of budget to defend their position. Brand loyalty is like a tool to build up a strong competitive barrier to entry (Gasca, 2014). By nature, consumers tend to stick with the brand that they used to consumed and feel satisfied with, as most of consumers acted as risk averse (Khoury, 2014). Although framework of brand loyalty is still vague, it is clear that brand loyalty is a key to the competitiveness of a brand. Brand loyalty customers tend to have relatively inelastic demand and are willing to pay more for the products. The brand could also generate a higher market share and higher return (Chaudhuri and Holbrook,