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  3. Investigating the effect of brand popularity factors on customer loyalty and word-of-mouth advertising, evidence of biscuit brands in Iran

Investigating the effect of brand popularity factors on customer loyalty and word-of-mouth advertising, evidence of biscuit brands in Iran

Number of pages: 163 File Format: word File Code: 30592
Year: 2014 University Degree: Master's degree Category: Management
Tags/Keywords: Brand image - Brand popularity - Diversification - JEL classifieds word of mouth - Loyalty - The imagined social self - Word of mouth advertising
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  • Summary of Investigating the effect of brand popularity factors on customer loyalty and word-of-mouth advertising, evidence of biscuit brands in Iran

    Dissertation

    To obtain a master's degree in the field of management

    Abstract

    Word of mouth advertising is considered one of the important pillars of marketing activities in today's competitive world. Word-of-mouth advertising is also one of the least expensive means of promoting sales in terms of advertising costs. Studies show that brand popularity is one of the most important areas of market research, and in the field of consumer research, it is considered as one of the main elements of consumer relationships with brands. The purpose of this research was to investigate the effect of brand popularity factors on customer loyalty and word-of-mouth advertising in Iranian biscuit brands. The research has 4 main hypotheses and 4 sub-hypotheses for all three brands. The statistical population was all high school students in regions 2 and 4 of Tabriz city, and sampling was done by random cluster method and the sample size was 384 people.  A standard questionnaire with 28 questions was used to collect data, and the structural equation modeling method was used to test the hypotheses. The results of the research have shown that out of all research hypotheses, in the case of the Shirin Asal brand, 7 hypotheses have been confirmed and one hypothesis has been rejected, and in the case of the Georgian and Mino brands, 4 hypotheses have been confirmed and 4 hypotheses have been rejected. In the meantime, the greatest intensity of the impact was related to the effect of "word of mouth advertising" on "loyalty to the Georgian brand" and the least intensity of the effect was related to the "popularity of the Shirin Asal brand" on "loyalty to this brand".

    Introduction

    In the past decade, it has become clear that the world has moved from an industrial economy in which machines were the main element to a human-based economy in which the customer is at the center of gravity. Haghigi and Akbari, 1390). In today's highly competitive market environment, where goods and services alone are not enough to attract a new market or even maintain existing markets and customers, it is believed that the emotional aspect of products will be the key differentiator in the final product choice and the price that consumers are willing to pay (Gob [1], 2001) and the main emphasis is on the development and promotion of branded products that meet the emotional and emotional needs of consumers (Huang [2], 2008).

    In this regard, the new topic of brand love or brand popularity has become one of the most important areas of market and consumer research in recent years, so that in consumer research, brand love and interest is considered as one of the main elements of consumer relationships with brands (Ahuvia [3], 1993). Brand love is defined as the degree of passionate emotional attachment a satisfied consumer has for a particular brand. Ahovia, as one of the leading researchers in establishing the concept of brand love, has defined it as passion for the brand, attachment to the brand, positive evaluation of the brand, positive feelings in response to the brand, and declarations of love for the brand by the consumer (Ahovia, 2005). The important thing is that the concept of love passion is very broad and indescribable, and similar things will not necessarily be the love and popularity of the brand for the consumer (Shimp and Oliver[4], 1999). This passion causes committed loyalty and repeated purchases in the long term of the brand-customer relationship and will guarantee the business's survival in the market and differentiation from competitors (Park et al.[5], 2005).

    In line with the mentioned content, in this research, the most important approach of the researcher was to investigate the topic of brand interest, which goes beyond brand satisfaction, by measuring variables such as brand image, people's social self-concept, diversification, word of mouth advertising and other related variables. In this way, practical information can be obtained that will be effective and useful for managers, market and production experts, and distributors of these three brands in the field of food industry in order to increase the amount of interested and lasting customers and as a result increase the market share and even new ways to export the product to other countries. A brand name creates a special identity for a product and links the goods to a certain group of society. From the point of view of psychology, in addition to the apparent use, such goods bring identity and trust to the customer, so the customer is ready to pay a different price for it (Ghaffarian, 2006).

    Brand commitment is a promise that the organization makes in every marketing activity, every move and organizational decision, and every interaction with the customer and tries to stay loyal to it in the long term (Sanobar and Khatami, 2012).  For such work, "unbreakable separation" and "unbreakable loyalty" must be created (Arnold [6], 2005). Unbroken brand loyalty means that the customer must have a very strong emotional connection with the brand and consider the brand the best available brand and consider it the best supplier of their needs.  These customers are looking for their respective brand and not looking for a substitute for it. Despite the many similarities between the two concepts of brand popularity and brand interest, there is a subtle difference between them.  Researchers focus on examining brand popularity as an emotional dimension of brand interest to create a long-term relationship (Kumer and Sahah [7], 2004). Popularity is a word that remembers dependence on others. This word also describes a person's feeling towards a field, work or activity (Ahoya, 2005; Wang et al.[8], 2004).

    Brand equity is a set of brand assets and is attributed to the name of brand symbols. As much as it creates value for consumers, it can also create value for the company (Acker [9], 1991).

    Fournier in his studies in 1998 drew attention to brand popularity as a long-term relationship.  Fournier and Mick [10] in their studies in 1999 showed that the most satisfaction is obtained when the customer's satisfaction of a brand turns into popularity. Kevin Robert [11] (2005), in his book called Signs of Popularity, has provided detailed information about brand love. In his opinion, brand popularity is related to a very deep emotional relationship between the customer and the brand.  Customers often express their love for the brand with phrases like "I love my car" or "I love shopping."  Although there are many items in each person's life, but a limited number of them are connected with one's love (Ahoya[12], 2005). Carroll and Ahoya in a 2006 study showed that customer satisfaction and interest is the basis for brand popularity.  There are different behaviors at the level of loyalty and love, as soon as a brand is used, satisfaction and interest can be formed, but to talk about popularity, there must be a long-term relationship (Carroll and Ahoya, 2006). While the association of a brand originates from many sources, the characteristics of the brand and the brand association are two of the most important types of brand associations, which affect the special value of the brand (Aker[13], 1996 and 1991). Brand popularity seems very important. In this regard, the above research has investigated the effect of the three important factors of customer diversification, brand image in the eyes of the customer, and the reflection of the customer's social self by the brand on brand popularity, and the effect of brand popularity on brand loyalty and word-of-mouth advertising among customers who consume Iranian biscuit brands, so that in this way, the most effective factors of popularity of the mentioned brands can be accessed and solutions can be provided to increase the amount of customer love for these brands for their producers.

    1-3- Necessity and importance of research

    The importance of having a brand for survival in today's competitive and dynamic markets for any product or service is not hidden from any company. It is the brand name and the identification of its personality that creates customer loyalty and creates value for them and stabilizes the position of a company and product well in the market (Jalalzadeh and Okhti, 2008). But creating a brand name without creating satisfaction and loyalty that leads to customers' interest and love for it cannot guarantee survival in the market.

  • Contents & References of Investigating the effect of brand popularity factors on customer loyalty and word-of-mouth advertising, evidence of biscuit brands in Iran

    Table of contents

                                                                             . 4

    1-3 Necessity and importance of research. 6

    1-4 research questions. 7

    1-5 research objectives. 7

    1-6 research hypotheses. 8

    1-7 theoretical and operational definition of research terms 8

    1-8 summary of chapter 11

    Chapter two: research literature

    2-1 introduction.. 13

    2-2 theoretical foundations 14

    2-2-1 brand and branding 14

    2-2-1-1 brand.. 14

    2-1-1-2 brand management. 15

    2-2-1-3 brand personality. 16

    2-2-1-4 relationships between consumer personality and brand personality. 17

    2-2-1-5 brand image. 18

    2-2-2 relationships between brand and consumer. 20

    2-2-2-1 The role of the brand in the strength of consumer and brand relationships. 20

    2-2-2-2 The social power of the brand and its effects on the consumer. 23

    2-2-3 brand popularity. 28

    2-2-3-1 emotional dependence of consumers on the brand 28

    2-2-3-2 Theoretical explanation of the concept of brand popularity (brand love). 29

    2-2-3-3 factors affecting brand popularity among consumers. 33

    2-2-4 Word-of-mouth advertising about the brand39

    2-3 Study background. 41

    Foreign studies. 41

    2-3-2 Internal studies. 47

    2-4 theoretical framework of the research. 50

    2-4-1 Customer diversification. 51

    2-4-2 brand image. 52

    2-4-3 social self imagined by the brand. 52

    2-4-4 word-of-mouth advertising. 53

    2-5 summary of the second chapter56

    Chapter three: research methodology

    1-3 introduction. 58

    3-2 research method.. 58

    3-3 research questions. 59

    3-4 Research scope 59

    3-5 Statistical population, sample size and sampling method. 60

    6-3 methods and tools of information gathering. 61

    3-6-1 Validity of information gathering tool. 62

    3-6-2 Reliability of information gathering tools. 62

    3-7 Data analysis method. 64

    3-8 Summary of the third chapter. 66

    Chapter Four: Data Analysis

    4-1 Introduction.. 68

    4-2 Descriptive Statistics.. 68

    4-2-1 Descriptive study of the demographic variables of the research. 69

    4-2-2 Descriptive analysis of data related to questions of key variables. 70

    4-3 inferential analysis. 80

    4-3-1 T-test in examining the relationships of structural equation model "Georgian Brand". 82

    4-3-2 path coefficients in the investigation of structural equation model relationships "Georgian Brand". 83

    4-3-3 T-test in examining the relationships of structural equation model "Shirin Asal brand". 84

    4-3-4 path coefficients in examining the relationships of structural equation model "Shirin Asal brand". 85

    4-3-5 T-test in examining the relationships of structural equations model "Mino brand". 86

    4-3-6 path coefficients in examining the relationships of the structural equation model "Brand Mino". 87

    4-3-7 The fit statistics of the structural equation model based on the confirmatory factor analysis model in all three studied brands. 88

    4-3-8 inferential analysis of research hypotheses based on structural equations

    for "Georgian Brand". 90

    4-3-8-1 Test of the first hypothesis. 90

    4-3-8-2 The test of the first sub-hypothesis of the first hypothesis. 90

    4-3-8-3 Testing the second sub-hypothesis of the first hypothesis. 90

    4-3-8-4 second hypothesis test. 91

    4-3-8-5 test of the third hypothesis. 91

    4-3-8-6 test of the first sub-hypothesis of the third hypothesis. 92

    4-3-8-7 Testing the second sub-hypothesis of the third hypothesis. 92

    4-3-8-8 Testing the fourth hypothesis. 93

    4-3-9 Inferential analysis of research hypotheses based on the structural equations carried out for "Shirin Asal" brand. 93

    4-3-9-1 Test of the first hypothesis. 93

    4-3-9-2 The test of the first sub-hypothesis of the first hypothesis. 94

    4-3-9-3 Testing the second sub-hypothesis of the first hypothesis. 94

    4-3-9-4 test of the second hypothesis. 95

    4-3-9-5 Test of the third hypothesis. 95

    4-3-9-6 test of the first sub-hypothesis of the third hypothesis. 96

    4-3-9-7 Testing the second sub-hypothesis of the third hypothesis. 96

    4-3-9-8 Test of the fourth hypothesis. 97

    4-3-10 inferential analysis of research hypotheses based on structural equations

    for "Mino brand". 97

    4-3-10-1 Test of the first hypothesis.97

    4-3-10-2 The test of the first sub-hypothesis of the first hypothesis. 98

    4-3-10-3 Testing the second sub-hypothesis of the first hypothesis. 98

    4-3-10-4 second hypothesis test. 98

    4-3-10-5 test of the third hypothesis. 99

    4-3-10-6 Test of the first sub-hypothesis of the third hypothesis. 99

    4-3-10-7 Testing the second sub-hypothesis of the third hypothesis. 100

    4-3-10-8 Test of the fourth hypothesis. 100

    4-4 summary of results 101

    4-5 summary of the fourth chapter 102

    Chapter five: conclusions and suggestions

    5-1 Introduction. 105

    5-2 The results of the hypothesis test. 105

    5-2-1 The results of the research hypotheses about "Georgian brand". 105

    5-2-2 Hypothesis test results about "Shirin Asal brand". 106

    5-2-3 The results of research hypotheses about the brand "Mino". 108

    5-3 Results and analysis of other research findings. 109

    5-3-1 about the "Georgian" brand. 110

    5-3-2 about the brand "Shirin Asal". 110

    5-3-3 about the "Mino" brand. 110

    4-5 discussion and conclusion. 112

    5-5 management applications and making suggestions. 114

    5-6 Suggestions for future research. 116

    5-7 Research limitations. 116

    Resources. 118

    Appendixes. 126

    English abstract 151

    Sources and sources:

    A) Persian sources

    Steve O'Leary, Kim Sheehan, word of mouth marketing, translated by Mohammad Faryabi, Khalil Razavi, Ahmad Asadi Afshard, Tabriz, Galax Danesh Publications, 2013.

    Ogilvy, David, Secrets of Advertising, translation Koresh Hamidi and Ali Frouzfar, Tehran, 1382. Amir Shahi, Mir Ahmad, Abbasian, Farzaneh (1386), investigating the effect of consumers' perceptions of a brand name on their reactions (case study: mobile phone consumers in Tehran), "Management" humanities and social sciences research journal, number 25, pp. 52-29

    Amir Shahi, Mir Ahmad, Abbasian , Farzaneh (2006), examining the effect of consumers' perceptions of the brand name on their reactions (case study: mobile phone consumers in Tehran), Journal of Humanities and Social Sciences "Management", No. 25, pp. 29-52

    Aker, David (2011), Brand communication: Making our competitors irrelevant, translated by Mohammad Ali Shah Hosseini, Kamal Rahmani, Tehran: Negah Danesh.

    Aker, David. (1386), Strategic Market Management, translated by Hossein Safarzadeh and Wedigran, Tehran: Poish, third edition.

    Jalalzadeh, Seyyed Reza, Okhti, Mahnaz, (1388), Brand Value in the Banking Industry, Tehran: The First International Conference on Banking Services Marketing.

    Haqighi Kafash, Mehdi, Akbari, Massoud, (1390), Prioritizing Factors Affecting Customer Loyalty Using the ECSI Model, Journal of Marketing Management, No. 10, pp. 120-96.

    Haiderzadeh, Kambiz, Elwani, Seyed Mehdi, Qalandari, Kamal, (2008), investigating the impact of brand social power dimensions on the levels of mental readiness of customers to make a purchase decision, Management Research, No. 86, pp. 10-39.

    Khaki, Gholamreza (2009), research method with an approach to thesis writing, Reklam Publishing, second edition, Tehran.

    Khairi, Bahram, Samii Nasr, Seyed Mahmoud, Pir Khojin, Mohammad Azim, (2013), emotional attachment of consumers to the brand, prerequisites and results, Journal of Marketing Management, No. 20, pp. 50-68.

    Deaei, Habib A., Hassanzadeh, Jhale Farzane (2014), comparative comparison of customers' attitudes towards global clothing brands (case study: comparison of local brands in Iran, Korea and Japan), review Business Journals, No. 42, pp. 26-40

    Rangebrian, Bahram, Mohammadzadeh, Amir (1385), the effect of generalizing a brand name to new products in the food industry of Tehran, Agricultural Economy and Development, No. 53, pp. 91-105.

    Sanobar, Nasser, Khatami, Mehdi (1390), Brand Management in Financial and Credit Institutions, Tabriz: Omid, Print 1.

    Azizi, Shahriar, Jamali Kapek, Shahram, Rezaei, Morteza, (2013), investigation of the relationship between brand equity and the congruence of brand and customer personality, New Marketing Research, 2nd year, number 4 (consecutive), pp. 65-49.

    Azizi, Shahryar, Qanbarzadeh Miandahi, Reza, Fakharmesh, Sina, (2013), evaluation of the effect of brand personality on customers' attitudinal and behavioral loyalty: a case study of the Hyperstar brand, Human Sciences-Management Research in Iran, No. 4 (78 series), pp. 91-102.

    Ghorbani, Ghalireza (2009), building brand identity in competitive markets, Sanat Khodor monthly website http://www.sanatekhodro.

Investigating the effect of brand popularity factors on customer loyalty and word-of-mouth advertising, evidence of biscuit brands in Iran
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