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Article
Publication date: 1 June 2003

Eidan Apelbaum, Eitan Gerstner and Prasad A. Naik

Investigates the extent to which expert evaluations of quality impact price premiums of national brands over the store brands. Using data from Consumer Reports, finds that…

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Abstract

Investigates the extent to which expert evaluations of quality impact price premiums of national brands over the store brands. Using data from Consumer Reports, finds that the average quality of store brands exceeds the average quality of national brands in 22 out of 78 product categories. Yet store brands typically do not charge price premiums, while national brands do (28.7 percent price premium on average). When national brands have higher quality, however, they increase the price premium from 28.7 percent to 50.4 percent on average. Regression analysis predicts that a national brand would command 37 percent price premium over a store brand that offers the same quality, a finding that highlights the handsome returns on building brand equity.

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Journal of Product & Brand Management, vol. 12 no. 3
Type: Research Article
ISSN: 1061-0421

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Article
Publication date: 1 December 2021

Halil Erdem Akoglu and Oğuz Özbek

Adopting the brand resonance approach, this research aimed to reveal the effect of emotional (perceived quality) and rational (brand trust) factors between brand

Abstract

Purpose

Adopting the brand resonance approach, this research aimed to reveal the effect of emotional (perceived quality) and rational (brand trust) factors between brand experience and brand loyalty.

Design/methodology/approach

This article uses the brand resonance model to examine the above-mentioned relationship. The sample of the study consisted of 385 sports consumers between the ages of 18 and 65 years. An online survey was used to collect data and surveys were delivered to sports consumers via social media. Using SmartPLS 3.0 software, a partial least squares structural equation modeling analysis was conducted in this study.

Findings

The results support the hypotheses and demonstrate the importance of quality and trust in building customer loyalty for companies in the sports industry. Brand experience has a positive direct effect on perceived quality, brand trust and brand loyalty. It has been revealed that there is an important intermediary role of perceived quality and brand trust that manages the relationship between customers' brand experience and brand loyalty.

Practical implications

The findings of this study are essential for brands that want to develop and are included in the sports industry in the online shopping environment, which increases with the development of technology to create long-term loyalty in customers.

Originality/value

It reveals two mediating roles in the relationship between brand experience and brand loyalty, namely perceived quality and brand trust. These research results help to understand the processes of shaping the loyalty of sports consumers towards sports brands. Unlike previous studies, it examines this relationship in the sports industry by adding new mediator variables and contributes to the development of the model.

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Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

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Article
Publication date: 8 October 2021

Annarita Colamatteo, Fabio Cassia and Marcello Sansone

Driven by the disruptive effects of the Covid-19 pandemic, the ongoing debate about the international location of firms' manufacturing activities has increasingly…

Abstract

Purpose

Driven by the disruptive effects of the Covid-19 pandemic, the ongoing debate about the international location of firms' manufacturing activities has increasingly highlighted the specific benefits and costs of near-shoring versus far-shoring. However, the effects of near-shoring versus far-shoring on customer perceived quality and purchase intention have not been examined. Thus, this study aims to develop a conceptual model and provide new evidence to fill this gap. In particular, the study explores the roles of brand familiarity and corporate social responsibility (CSR) to explain the different levels of perceived quality and purchase intention in relation to near-shoring versus far-shoring.

Design/methodology/approach

This study includes two analyses of data collected from a sample of Italian customers. The first analysis consists of a 2 (high/low brand familiarity) × 3 (domestic insourcing, near-shoring, far-shoring) factorial design, and data are assessed via analyses of variance (ANOVA). The second analysis evaluates the suggested model in the two scenarios (near-shoring and far-shoring) via partial least squares–structural equation modelling (PLS-SEM) multigroup analysis.

Findings

Results showed that customer perceived quality and purchase intention were significantly higher for near-shoring than for far-shoring, but only when brand familiarity was low. No significant difference was found for participants with a high level of brand familiarity. In addition, the level of a brand's pre-offshoring perceived CSR was negatively related to perceived quality, and this was conceptually justified by the CSR-washing effect. Again, this effect was found only when brand familiarity was low.

Research limitations/implications

The findings contribute to advancing the current understanding of the multiple effects of the offshoring decision and clarify that near-shoring and far-shoring have different effects for customers with low brand familiarity. The findings also emphasise that the far-shoring decision can elicit the perception of decoupling between the firm's CSR claims and CSR actions, thus decreasing perceived quality.

Practical implications

This study provides managers with additional inputs to make more informed decisions regarding offshoring. While the post-pandemic scenario seems to favour near-reshoring over far-shoring due to agility considerations, this study also provides additional evidence of the superiority of near-reshoring from the customer's perspective.

Originality/value

This is the first study to examine and prove the differential effects of near-shoring versus far-shoring on the customer's perceptions and behaviours.

Details

The TQM Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1754-2731

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Article
Publication date: 25 August 2021

Sherry Xueer Yu, Guang Zhou and Jing Huang

This article sought to explore the effect of brand origin on consumer preference and examine the moderating effects of decision focus (buying for self vs buying for…

Abstract

Purpose

This article sought to explore the effect of brand origin on consumer preference and examine the moderating effects of decision focus (buying for self vs buying for others) and product quality.

Design/methodology/approach

The authors conducted two studies to test our hypotheses. In Study 1, the authors explored consumers' general preferences for domestic and foreign brands. Based on the evidence, Study 2 further explored the moderating roles of decision focus and product quality.

Findings

In general, consumers in developing countries prefer foreign brands. The effect can be moderated by the decision focus that this preference will be more obvious when consumers buy for others than when they buy for themselves. Product quality can also moderate the role of decision focus; in other words, consumers' preference for foreign brand when buying for others will be stronger when the product quality is low than when the product quality is high.

Practical implications

Foreign brands have a natural appeal to local consumers in developing countries. Moreover, foreign brands can also invoke consumers' awareness of buying for others (such as giving gifts) to boost sales. Domestic brands are at a disadvantage comparing to foreign brands, but they can increase their attractiveness by invoking consumers' awareness of rewarding themselves. In addition, domestic brands need to improve product quality to fundamentally improve their competitiveness.

Originality/value

The research contributed to literature by combining decision focus and product quality in studying consumer preference for domestic and foreign brands from the perspective of construal level theory, which provides valuable insights in the field of international marketing and consumer behavior.

Details

Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

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Book part
Publication date: 24 October 2015

Sarah (Song) Southworth and Minjeong Kim

There is a rising number of Asian brands expanding to Western nations. However, one of the biggest challenges is their reputation of inferior quality. The objectives of…

Abstract

Purpose

There is a rising number of Asian brands expanding to Western nations. However, one of the biggest challenges is their reputation of inferior quality. The objectives of this research are to examine the U.S. consumers’ quality perception of Asian brands and what steps can be taken to improve their perceived quality to ultimately influence patronage intentions. This study also considers how age influences U.S. consumers’ perceived quality and patronage intentions.

Methodology/approach

An online experiment using 328 U.S. female subjects was conducted to examine how quality cues (brand origin and product design) influence their perceived quality of Asian brands. The study also examines how age (due to different levels of exposure of Asian brands) moderates the relationship between product cues and perceived quality.

Findings

The findings showed that there was a difference between the younger (Generation X and Y) and older (Baby boomers and Swing) group’s perceived quality of these Asian brand origins, namely Japan and China. Product design had an impact on perceived quality, but age was not a moderating factor.

Implications

Chinese and Japanese brands can use these differences in perception of brand origins to market accordingly. Product design cues can also be used effectively to both age groups by Asian brands to improve the perceived quality of U.S. consumers.

Originality/value

This research provides novel insight on U.S. consumers’ perceived quality and patronage intentions from different Asian brand cues. The study also contributes to the body of literature on how the relationship between specific Asian brand cues and perceived quality may differ as a function of age.

Details

International Marketing in the Fast Changing World
Type: Book
ISBN: 978-1-78560-233-7

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Book part
Publication date: 11 June 2009

Anca E. Cretu and Roderick J. Brodie

Companies in all industries are searching for new sources of competitive advantage since the competition in their marketplace is becoming increasingly intensive. The…

Abstract

Companies in all industries are searching for new sources of competitive advantage since the competition in their marketplace is becoming increasingly intensive. The resource-based view of the firm explains the sources of sustainable competitive advantages. From a resource-based view perspective, relational based assets (i.e., the assets resulting from firm contacts in the marketplace) enable competitive advantage. The relational based assets examined in this work are brand image and corporate reputation, as components of brand equity, and customer value. This paper explores how they create value. Despite the relatively large amount of literature describing the benefits of firms in having strong brand equity and delivering customer value, no research validated the linkage of brand equity components, brand image, and corporate reputation, simultaneously in the customer value–customer loyalty chain. This work presents a model of testing these relationships in consumer goods, in a business-to-business context. The results demonstrate the differential roles of brand image and corporate reputation on perceived quality, customer value, and customer loyalty. Brand image influences the perception of quality of the products and the additional services, whereas corporate reputation actions beyond brand image, estimating the customer value and customer loyalty. The effects of corporate reputation are also validated on different samples. The results demonstrate the importance of managing brand equity facets, brand image, and corporate reputation since their differential impacts on perceived quality, customer value, and customer loyalty. The results also demonstrate that companies should not limit to invest only in brand image. Maintaining and enhancing corporate reputation can have a stronger impact on customer value and customer loyalty, and can create differential competitive advantage.

Details

Business-To-Business Brand Management: Theory, Research and Executivecase Study Exercises
Type: Book
ISBN: 978-1-84855-671-3

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Article
Publication date: 10 May 2021

Kwame Owusu Kwateng, Amina Lambert Yobanta and Kofi Amanor

This study sought to examine the differential effect of brand quality and brand prestige on brand purchase intentions of mobile phones by students in Ghana. The study also…

Abstract

Purpose

This study sought to examine the differential effect of brand quality and brand prestige on brand purchase intentions of mobile phones by students in Ghana. The study also examined the moderating role of network effect, system quality and self-efficacy on the relationship between brand quality and prestige on purchase intentions.

Design/methodology/approach

A quantitative research approach was adopted with data collection executed through the application of a questionnaire that was self-administered. A total of 518 completed questionnaires received from the respondents were used for the analysis. Statistical analysis was pursued using a sequential analytical procedure concentrating on purchasing intentions or actual purchases with respect to the choice of mobile phone brands.

Findings

The findings indicate that the network externality, system quality and self-efficacy can stimulate the choice of mobile phone brands. The moderating effect of network externality, self-efficacy and system quality were found to be mixed.

Practical implications

Mobile phone companies should skew their investments toward improving the quality of the brand whiles developing effective marketing and differentiation strategies to enhance the brand image and create prestigious brands.

Originality/value

This paper provides researchers with a contemporary perspective toward understanding the key factors that guide students to have informed purchase intentions and enable mobile phone companies to evaluate their strategies

Details

Journal of Contemporary Marketing Science, vol. 4 no. 1
Type: Research Article
ISSN: 2516-7480

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Abstract

Details

Review of Marketing Research
Type: Book
ISBN: 978-0-85724-726-1

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Article
Publication date: 14 February 2018

Afzaal Ali, Guo Xiaoling, Mehkar Sherwani and Adnan Ali

The purpose of this paper is to apply the concept of traditional branding constructs – brand image, brand satisfaction, brand trust and brand loyalty to an unexplored…

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3934

Abstract

Purpose

The purpose of this paper is to apply the concept of traditional branding constructs – brand image, brand satisfaction, brand trust and brand loyalty to an unexplored field of Halal products – Halal brand image, Halal brand satisfaction, Halal brand trust and Halal brand loyalty. In addition, this study seeks to elaborate the relationships among brand perceived quality, Halal brand image, Halal brand satisfaction, and Halal brand trust, Halal brand loyalty and consumer purchase intention.

Design/methodology/approach

A theoretical model with hypothesised relationships is developed and tested with the help of structural equation modelling procedure in AMOS. This research used the questionnaire survey method to collect data from 347 consumers in Pakistan who had the experience of purchasing Halal milk brand.

Findings

The empirical results suggest that perceived brand quality has a significant and positive influence on the Halal brand image, Halal brand satisfaction, Halal brand trust, Halal brand loyalty and purchase intention. Similarly, the Halal brand image, Halal brand satisfaction, Halal brand trust and Halal brand loyalty significantly influence consumer Halal brand purchase intention.

Research limitations/implications

The Muslim population is growing in many parts of the world, including non-Muslim countries. Although this study’s focus is limited to Pakistani Muslims, findings related to the effects of brand perceived quality, Halal brand image, Halal brand satisfaction, and Halal brand trust and Halal brand loyalty on intentions may not be equally valid for Muslim consumers in others Muslim and non-Muslim countries and for other types of products.

Practical implications

The findings indicate that ignoring the important quality elements of a brand could be costly to marketers who failed to realise the importance of traditional brand attributes whilst embracing Halal brand marketing initiatives. In addition, Halal branding can allow the businesses to access to new markets, to enjoy more competitive advantages and to increase their profitability by selling at higher prices with higher profit margins.

Originality/value

Although previous research has explored the relevant issues about brand image, brand satisfaction, brand trust and brand loyalty, none highlights these traditional constructs to an unexplored field of Halal products.

Details

Management Decision, vol. 56 no. 4
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 6 February 2017

Marc Elsäßer and Bernd W. Wirtz

Reaching customer satisfaction and brand loyalty in a business-to-business setting is still an area of rising interest to both researchers and practitioners. Compared to…

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4560

Abstract

Purpose

Reaching customer satisfaction and brand loyalty in a business-to-business setting is still an area of rising interest to both researchers and practitioners. Compared to consumer branding, there is notably very little known about the success factors of industrial branding and how to convince buyers rationally and emotionally in business-to-business markets. Therefore, this paper aims to examine the success factors of branding in a business-to-business setting and analyze their performance impact on customer satisfaction and brand loyalty.

Design/methodology/approach

In total, 258 buyers of mechanical and plant engineering companies participated in an online survey. Data analysis was performed by using confirmatory factor analysis and structural equation modeling.

Findings

The results reveal that rational brand quality consists of the three dimensions, product quality, service quality and distribution quality, whereas consistent advertising style, brand image, country-of-manufacture image and salesperson’s personality are dimensions of emotional brand associations. All dimensions positively influence customer satisfaction and brand loyalty.

Originality/value

This study offers a certain value compared to the relevant literature mentioned in literature review. Compared to a large majority of the papers, the integration of rational and emotional factors in an integrative and complex model implies novelty. For example, Davis et al. (2008) and Baumgarth and Binckebanck (2011) focus on specific exogenous factors in their studies, namely, brand awareness and brand image, respectively, sales force impact combined with product quality and non-personal communication. In contrast, Van Riel, Pahud de Mortanges and Streukens (2005), Chen et al. (2011) and Chen and Su (2012) conceptualized a more complex model but did not separate rational and emotional factors. Jensen and Klastrup (2008) were the only authors who made this separation, but they did not include well-known emotional success factors such as brand image or country-of-manufacture image in their research model. Furthermore, an endogenous causal chain representing an observable consumer behavior is missing. This paper fills this gap.

Details

Journal of Business & Industrial Marketing, vol. 32 no. 1
Type: Research Article
ISSN: 0885-8624

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