Brand Loyalty Influence Factors
Brand Loyalty Influence Factors
Brand Loyalty Influence Factors
ABSTRACT
The customer loyalty is a key tool for the success of the brand, especially in
retail, where you need to get a competitive edge over competitors. Therefore
this article aims to analyze which are the most relevant variables in consumer
loyalty in retail in the region of Araras, with the aim of studying the
positioning X brand identity process. Was held with the manager and the
consumer questionnaires related to each other, based on the 4P's of marketing:
price, place, product and promotion. The quantitative data were analyzed with
SPSS software, through the reliability analysis, factor, correlation and
regression with the variables studied. Based on these results, one can perform
a comparative analysis between X identity positioning noting that factors
product, price and promotion are the variables that most involve the loyalty
factor.
1. INTRODUCTION
The article is in the development of a qualitative case study with a quantitative descriptive
research aimed to study the retail tools used to obtain the loyalty of their customers, and in
parallel with the market seen if these tools are being efficient and effective.
The ararense supermarket sector is growing, threatening to fairness towards the brand,
based on the concept of Kotler and Keller (2006) competitors are companies that meet the
same needs of customers.
According to Kotler and Keller (2006, p.337) the bargaining power of buyers grows as they
organize and focus when the product represents a significant portion of the cost of the
buyer, when the product is undifferentiated, when the switching costs of buyers are low,
when buyers are price sensitive due to low profit margins, or when previous stages can
integrate the supply chain.
According to Kotler (2000) apud Goveia; Conception; before; Brito and Good (2011, p.34)
"have low prices is not enough to build a viable business, you need to add quality and
service for the customer to feel like you are buying based on value."
Also, according to Currie (1998) apud Goveia; Conception; before; Brito and Good (2011,
p.34) "there is no reality, there is only the reality we perceive." That is not enough just to do
marketing activities, need to investigate whether the market is realizing and appreciating
these actions so that they start to give results, This makes it increasingly difficult strategies
of loyalty in the retail sector
To Kotler and Keller (2006, p.165) the high level of consumer loyalty is based on the
performance perceived by him through your complete satisfaction. Customer satisfaction
becomes for a leading retail marketing goals.
The supermarket retail market is growing, becoming - a market with a high level of
competitiveness among competitors. Loyalty is a big competitive differential in this sector,
because loyal customers will give preference brand, are less sensitive to price and pay less
attention to competitors. (Aaker, 1998).
Then we obtained the following problem: What are the most important variables in
consumer loyalty in retail in the region of In Araras process?
From this issue addressed is the primary objective of studying the positioning of the brand
through the tools used by it for the loyalty of the market, and in parallel, is seen with these
tools are being efficient and effective for brand identity . And also the secondary objective of
studying the retail supermarket sector.
2. THEORETICAL
For this work we will discuss the following topics: supermarket retail, brands, marketing
mix, identity, and positioning.
Since the 1990s large global retailers have joined the Brazilian supermarket sector, and it
was from this decade that increased competition among retailers industry groups, as
foreign firms forced - to do the reorganizing the internal strategies of the company.
(MATTAR, 2011).
Despite strong competition from new and innovative competitors like superstores and
discount stores, supermarkets remain the kind of retail store that has more frequency of
visits from buyers. (Kotler, 2011).
To Giuliane (2009, p. 40) "retail success must create a strategy based on customer value,
satisfaction by providing solutions that surprise." Is that the retail consumer is faced with
the product materialize your dreams and transform your desires into reality.
2.2 Brand
According to Aaker (1998, p. 7) "a brand is a differentiated and / or symbol that aims to
identify the goods or services of one seller and to differentiate those goods and services from
its competitors name." But for Tomiya (2010, p.26) logo, name, packaging, communication
and desing are the consequences of a branding strategy in organizational culture, objectives
in joint positioning and brand differentiation. The challenge of brand definition is to develop
a deep set of meanings to it. If the company is just like a brand name, commits the fault of
not giving him importance. (Kotler 2011, p. 394).
For Wheeler (2012, p.16) the process of brand management, is used to develop awareness
and extend customer loyalty. Correa (2009, p.310) states that building a brand in the
consumer's mind goes through four stages: the creation of a unique concept that
differentiates the brand from competitors (differentiation), the reason that is passed by the
brand to the consumer prefer it (relevance), the emotional connection between the brand
and the consumer (estimated).
For Wheeler (2012, p.12) brands have three main functions, the navigation that helps
consumers choose the brand in various options, the security through brand communication
on the quality of the product or service, thus passing , safety for the customer in their
decision making, and engagement that brands carry through images, languages, in order to
lead the customer to identify with the brand.
A strong brand should have a clear and valuable identity may imply that the brand needs to
be changed or extended. Identity is what the organization wants your brand means. (Aaker
and Joachimsthaler, 2000, p. 49).
To combine the two large brand (external audience - tangible, and internal stakeholders -
intangible assets), it is necessary to develop a prism. These dimensions must be described
for each brand, with the aim of clarifying the brand identity and its main external
perceptions. Tomiya (2010, p. 52)
For Wheeler (2012, p.21) brand identity helps to differentiate from your competitors in
building awareness and strengths of an organization, building brand value, through
increased awareness, recognition and loyalty, those in which the company collaborate to be
well - successful. To be effective, the brand identity needs to focus on customers,
differentiate the brand from competitors and represent what the organization can do with
time. (Aaker and Joachimsthaler, 2000 p.50).
Based on the idea of Aaker and Joachimsthaler (. 2000 p 51) the positioning of the brand is
part of the brand identity and value proposition that will be actively transmitted to the
public - target. Positioning is what the brand wants to be their consumers. (Correa, 2009,
p.313).
To Tomiya cited Aaker (2010, p.60) brand positioning should start her identity. The
proposed positioning has to be differentiated, unique and communicated to the public -
target, leaving the clear advantages of the brand with key competitors.
The placement must submit a description of consumers and what they want versus the
competitive advantages of the company, and are references for consumers to use or buy the
brand. (Tybout and Sternthal cited tomiya, p.60).
Thus, Kotler and Armstrong (2007, p.10) define marketing mix as "a set of marketing that
the company uses to implement its marketing strategy tools." For that, these tools are
subdivided into four major groups, known as the 4P's of marketing, price, place, product
and promotion. The 4P's represent the views of the company regarding their own marketing
tools to influence your target market in the buying decision. (Kotler and Keller, 2006).
2.6 Product
Kotler and Armstrong (2007, p.200) define the product "as something that can be offered to
a market for the appraisal, acquisition, use or consumption and that might satisfy a want
or a need."
To Kotler (2011), the product it is the most basic tool in the marketing mix, it is what the
company offers to its consumers in a tangible way, the main features of the product are:
quality, design, brand and packaging. Another relevant factor is that the products sold
involve physical goods, services, people, organization and ideas.
Consumers seek variety, based on this, companies should consider the five product levels
(core benefit, basic product, expected product, augmented product and potential output),
which contained, generate customer value, and together form a hierarchy value (Kotler and
Keller, 2006).
2.7 Promotion
To Kotler and Keller (2006, p.42), "promotion involves activities that communicate the
strengths of the product and persuade target customers to buy it."
Communication tools are essential in order to have a placement of the image in the market,
because this way there is an attachment, making it efficient and effective tool in the
dissemination process. (Kotler and Keller, 2006).
Kotler and Keller (2006) cite some examples of communication used by retailers within the
concept of promotion such as advertising, sales, discount coupons, loyalty programs, food
samples and coupons in the stores shelves or boxes.
2.8 Price
The tools price, according to Kotler and Armstrong (2007), within the concept of the
marketing mix are related to the list price, discounts, concessions, terms of payment and
financing conditions. Thus "retailers can also be classified according to the prices they
charge." (Kotler and Armstrong, 2007, p.332).
Among the tools of the marketing mix, price is just a revenue generator, the others produce
costs. (Kotler and Keller, 2006). The price is extremely important to the company's position
in relation to its target. (Kotler, 2011).
But to become effective, it must be tied directly to the cost (customer view within the 4 C's)
because customers are not concerned only with the price but also the cost to obtain, use
and dispose of the product, targeting this cost, the customer wants the product with more
accessibility and convenience for him to obtain the lowest possible cost. (Kotler and Keller,
2006)
Thus, Kotler (2011) presents some factors for the correct price setting in its definition:
Following these six steps, the price will be determined appropriately in order to satisfy both
parties, ie, the exchange ratio will be acceptable, the consumer will consider fair and the
company will obtain the expected results.
2.9 Square
The concept of square, also known as point-of-sale, includes variables such as coverage,
assortment, and inventory locations. (Kotler and Armstrong, 2007).
To Ratto and Landi (2003) define the location and point to the installation of the shop is one
of the most important decisions that retailers need to take, because the influence of location
on the other characteristics of these operations is very significant. Factors influencing the
decision point are related to the market, with competition and the possibility of operating
the store.
Kotler and Armstrong (2007) contend that they should be available to the consumer when
he wants to, at the time he wants and where he wants. If this process is impaired may
compromise on consumer satisfaction and therefore compromise their loyalty. On the other
hand, if the efficiency, not just consumers, but the company also will benefit, as will
guarantee the satisfaction of its consumers, automatically win their loyalty, as already
mentioned, brand loyalty will bring many benefits to the company, among they increased
profitability.
2.10 Loyalty
For Mazota et al. (2003) Brand loyalty is the core brand value. Farris and Bendle et al.
(2010, p. 62) argue that loyalty is based on several factors, among them, if customers are
satisfied and are willing to indicate the brand, brand values that are hidden and which are
communicated by the "faithful" of effectively have a strong image and brand experience.
Aaker (1998, p.41) identifies five levels of consumer loyalty brand since its absence (price
sensitive and indifferent to consumer brands) to the consumer effectively compromised.
To reach the top of the pyramid is necessary to work for a long time, the mark will never
have loyal customers in the short term. To be the brand of choice of the consumer it must
be valued before his eyes. So for that brand can gain loyal customers, you need to create
branding strategies in the long term and seek feedback from customers. (OLIVEIRA, 2008,
p. 206). For Grewal and Levy (2011, p.193) with brand loyalty occurs when a consumer
uses the services or products of a brand repeatedly for years without replacing it by other
brands in the same segment. Loyal customers bring to the company a major source of value
for several reasons, among them the low price sensitivity, the low cost of the company
before advertising to win those customers, disclosing the brand beyond them mouth-mouth,
thus bringing customers and isolation of potential competitors because when the client has
a high level of loyalty, it does not change the brand even if competitors obtain a variety of
incentives.
According to Aaker (2012, p. 195) "Management of loyalty is the key issue for strategic
success."
3. METHODOLOGY
3.1 Research type
The article was built on top of an exploratory-descriptive study. Malhotra (2004, p.100)
states that exploratory research is significant in situations where the researcher does not
have the knowledge necessary to continue the research project. For Hair et. al (2005, p.86)
descriptive research is used to measure the characteristics addressed in a research
question. Thus we obtained a qualitative result with the case study and a quantitative
result with the descriptive research.
Descriptive research has as its target audience people who used the mark in Tiradentes
days of collection and who were willing to answer the questionnaire, that audience was
selected from the non-probabilistic convenience sampling which according to Hair et. al
(2005) this type of sampling is not meant to be statistically representative of the population,
however, the researcher uses methods such as their professional experience and
convenience to select the sample elements. We applied a quantitative descriptive research
technique which was based on a questionnaire, and the convenience sampling, since such
sampling involves selecting sample elements that are more available to provide the
necessary information. (Hair et. Al.2005).
The data collection period lasted two weeks (start date x versus date order), with a total
number of 514 correspondents.
For the formation of the interview were drawn from issues related to the quantitative
survey, with the goal to tie the article getting a better review for possible answers.
3.4 Methods
For the analysis of the variables the type of Likert scale was used, according to Bell (2008)
cited in Machado et. al. (2012, p.7) these scales are used to unlock the power of feeling or
attitudes towards the subject of the questions. The research methods were performed on
the four grocery stores Tiradentes brand. The questionnaire was applied at the outlet of the
brand stores, aiming to give up the post-consumption data, because when interviews are
held in the output of an establishment, people are chosen bearing in mind the fact that just
to use the property. Hair et. al. (2005). To achieve the objective of the paper a comparative
analysis of the case study (indoors) and descriptive research (external environment) is
required.
For the case study questions (Appendix A) were based in Hair et.al (2005), as to the
descriptive research questions (Appendix B) used the questionnaire Psychologist Yoo (2002)
and the translation of keys were used (2010)
In Figure 6 show the procedures and instruments for data collection case study,
observation, in-depth interviews and document analysis proposed by Alves -
Gewandsznajder and Mazzotti (2001). When seeking different ways to investigate one point,
seeks to triangulation. (Alves-MAZZOTTI and GEWANDSZNADER, 2001). This triangulation
is used to maximize the credibility of the qualitative study, Alves - Gewandsznajder and
Mazzotti (2001) stated that triangulation is a procedure that stands out to maximize
credibility.
Was held with the manager marks an in-depth interview, this type of interview allows
dealing with complex issues that could hardly be properly investigated through
questionnaires, exploring them in depth. (ALVES - MAZZOTTI and GEWANDSZNAJDER
2001.). Then he drew up a roadmap with only a few questions to guide the interview.
(Writing Qualitative ANNEX B). Alves - Mazzotti and Gewandsznajder (2001, p.169) consider
documents "any written record that can be used as a source of information." The document
analysis will be used to check and complete the data obtained by other techniques. (ALVES
- MAZZOTTI and GEWANDSZNAJDER, 2001). We conducted unstructured observation in
four stores of the brand, to confirm the data collected, as unstructured observations are
free, without a way to preset registration. (ALVES - MAZZOTTI and GEWANDSZNAJDER,
2001). The analysis of content raised was based on the idea Alves - Gewandsznajder and
Mazzotti (2001) who claim that the content needs to be organized and understood through
an ongoing process to identify relationships and dimensions, with the goal of uncovering
meanings. Descriptive statistics "includes everything that is related to data that are
designed to summarize and analyze data without interfering in something that can go
beyond these data." (FREUND, 2004 p.18).
One objective of descriptive research is to obtain a quantitative result thus applied the
questionnaire because they "are used to collect quantitative data from a large number of
people in a quick and convenient way." (Hair et. Al, 2005, p 157). For the validation of the
factor analysis that allows synthesizing the volume of information collected on variables in a
significantly smaller number of variables and factors. (Hair et. Al. 2005). The reliability
analysis is needed to estimate what is the reliability of the measurements and average
statistics made on the sample. (Quantitative Questionnaire Appendix B). These data were
tabulated in Excel and statistically analyzed with the aid of the software Statistic Package
for Social Science (SPSS), enabling the application of quantitative analysis. Rey (2003),
states that the concept of regression in statistics is related to positive or negative that the
dependent variable suffers when there is a one-unit increase in the independent variable.
We used the Multiple Regression, which according to Hair et.al. (2005) is the most realistic.
Loyalty was used as the dependent variable, and the marketing mix as independent
variables in multiple regression, it is possible to insert independent variables of the same
type in the equation and estimate a single dependent variable. (HAIR et.al.2005). Was
analyzed by regression analysis of randomness that comes from two or more variables, or
external factors that may influence the concealment of some functional relationships. (Rey,
2003); multicollinearity by analysis that provides more accurate estimators of regression
coefficients. (Werkema and Aguiar, 1996); through the analysis of normality, which involves
the verification of hypotheses and development of confidence intervals and also
heteroscedasticity which analyzes the level of discrepancy between the independent
variables. (Bussab, 1998).
Place Gujarati Alpha Conbrach's are measures of reliability. These range from 0 to 1. The
closer to 1, the degree of reliability is attributed. Being 0.60 and 0.70 limits for acceptable
values, ie, they are the minimum acceptable for a variable to be below those numbers they
are not acceptable to the Alpha's Conbrach. (Hair, 2005 p.90 ).
Factor for Hair (2005, p.90) consists of a linear combination of the original variables,
namely the case of pools variable factor in explaining or summing the set of 'n' variables in
a single factor "x".
Correlation to assess whether there is a relationship between the behavior of two or more
variables and the extent to which this interaction occurs. A positive correlation (0 <r <1)
indicates that the two variables tend to increase or decrease simultaneously. A negative
correlation coefficient (-1 <r <0) when said variable value tends to increase the other tends
to decrease, and vice versa. The value "1" or "-1" indicates a perfect linear relationship. The
value "0" indicates no linear relationship between the variables. (Hair et.al, 2005, method
313).
4. ANALYSIS OF RESULTS
In this chapter discusses the results of the in-depth interview with the owner and the data
analysis descriptive survey of consumers of Tiradentes. Initially we present the diagnosis of
vision of the retail supermarket brand. In the analysis of sequence data to descriptive
research with consumers is presented.
4.2.1 Reliability
First we analyzed the degree of confidence of individual variables. Where we got the results
shown above.
The form of analysis was based on the idea of Hair et.al (2005) on the size of the Cronbach's
alpha coefficient, as already mentioned in the table. Rated up to LE1, LE2, LE3 (loyalty
variable) issues as very good, where it can be concluded that the combined of LE1, LE2 and
LE3 measure loyalty issues coherently.
The questions, NL1, NL2, NL3 (variable level of loyalty) are classified as good, with this
result we obtain a set of questions that measure levels Loyalty consistently. P01, PO2, PO3
(variable products) make up a group that issues can be classified as moderate, this result
can also conclude that PO1, PO2, PO3 measure product consistently.
Have questions formed by PA1, PA2, PA3 (group variable square), PAO1, PAO2, PAO3
(group promoting variable), PE1, PE2, PE3 (group variable price) classified as low intensity
of association, and up as a result groups that do not consistently measure the variables
square, promotion and price.
LE(OVERAL)=PAO1+PAO2+PAO3+PE1+PE2+PE3+PE4+PO1+PO+PO3+PA1+PA2+PA3+
Based on this result it was found that these variables influence the fairness in 42.6. But
this value is a relationship that is mild to social science. It found the need to perform a
correlation of these pure variables, obtaining the result of the individual influence of each
variable to the loyalty, where he managed the variable that explains the most and the least
variable that explains the fairness, performing the analysis of the pure variables, ie, LE1,
LE2, LE3, PE1, PE2, PE3, PE4, PA1, PA2, PA3, PO1, PO2, PO3, PAO1, PAO2, PAO3, NL1,
NL2, NL3.
LE=PAO1+PAO2+PAO3+PE1+PE2+PE3+PE4+PO1+PO+PO3+PA1+PA2+PA3+
Transforming LE1, LE2, LE3, NL1, NL2, NL3 issues only one factor can obtain a result that
represents a significant intensity relative to the social science regression analysis.
Based on this improvement in results, we used factor in all the independent variables,
transforming PAO1, PAO2, PAO3 factor in Deal; PE1, PE2, PE3, PE4 factor in price; PO1,
PO, PO3 in product and factor PA1, PA2, PA3 in square factor. Thus originated the following
regression equation:
After traveling for several features and analysis, one can arrive at the result that the square
factors, price, product and promotion influence the loyalty factor in 60.7, this being a result
that represents a relationship of intense and fully acceptable to social science.
Aiming to enhance data analysis, there was an individual detailing the influence of each
factor in relation to the loyalty factor by analyzing the correlation of factors.
This analysis was based on the idea, mentioned by Hair et.al (2005), where the correlation
between loyalty and loyalty square x x promotion are classified as mild, almost
imperceptible, may be concluded that the plaza and promoting factors are practically
insignificant in the construct of the loyalty factor.
Looking at the price and loyalty loyalty x product afforded a moderate correlation, this
analysis price and product are the factors that correlate with the loyalty factor. Thus it is
concluded that price and product are the factors that most influence the construct of
loyalty.
5. FINAL
According to the proposal problematic, it can be stated that you get the expected results to
achieve the proposed objectives, for which the brand positioning (internal environment) to
variable product (variety) is the tool that most influences the loyalty of its consumers . Also
found that for the brand identity (external environment) the product factor is the most
efficient and effective tool used by the brand.
For positioning the second tool that most influences the loyalty of its consumers is the
promotion variable for the identity that variable is no longer as relevant, is the third most
important tool in the construct of loyalty.
Have a variable price for the brand identity is the second most important tool to form
loyalty. But for brand positioning this variable is not considered a relevant tool in the
construct of loyalty from its consumers process for the brand if only price she would not
have the image.
For brand positioning variable square is the most important third variable in the process of
loyalty, but to identity this variable is not considered such an important tool in your
construct of fairness.
Finally one can understand that the variable product (variety) is the tool used by the brand
that will most influence the market for loyalty with retailers.
Importantly, innovation and usefulness of the methodology and research methods of this
study. A source of analysis and cross between the internal and external environments,
presented the relationship between positioning and brand identity.
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