Consumer‐based brand equity in banking industry : A comparison of local and global banks in Turkey
Abstract
Purpose
The purpose of this paper is to examine bank brand equity from consumer perspectives by comparing the consumer‐based brand equity (CBBE) dimensions of local and global banks in Turkey. The paper determines if and how CBBE differs across three types of banks (state, private, and foreign).
Design/methodology/approach
Measurements of brand equity dimensions were drawn from the literature, which included brand awareness, perceived quality, brand image, brand association, organizational association, and brand loyalty. Data were collected from adult customers of three types of banks.
Findings
It was found that the overall CBBE, perceived quality, brand image/association, and brand loyalty were significantly higher for private banks than for state and foreign banks. Organizational association was the highest for state banks, followed by private banks, and the lowest for foreign banks. Foreign banks scored the lowest in perceived quality, brand loyalty, and the overall CBBE.
Originality/value
The results help foreign banks understand branding challenges/threats they may face from local banks in new markets. Such challenges might pertain to low levels of organizational associations and service quality perceived for foreign banks, as found in this study. The findings close the gap in the area of the brand equity theory that has not been adequately developed for the banking/financial industry.
Keywords
Citation
Pinar, M., Girard, T. and Eser, Z. (2012), "Consumer‐based brand equity in banking industry : A comparison of local and global banks in Turkey", International Journal of Bank Marketing, Vol. 30 No. 5, pp. 359-375. https://doi.org/10.1108/02652321211247417
Publisher
:Emerald Group Publishing Limited
Copyright © 2012, Emerald Group Publishing Limited