DIMENSIONS OF BRAND COMMUNICATION, BRAND IMAGE AND BRAND TRUST AS ANTECEDENTS OF BRAND LOYALTY

 

Osama Bin Ahsan

 

Abstract

         Brand loyalty is one of the most influencing factors on customer and its purchase decision in which the most important factors which are determined by the customers are brand image and brand trust. The determination of this paper was to examine the brand attributes towards the brand loyalty with the mediating effect of brand trust. This research is based on quantitative methodology. The paper is based on the data of a textile industry Al-Karam brand customer and the responses will be collected through close ended questionnaire. Similarly, the measuring technique would be based on 5 point likert scale ranging from strongly agree, agree, neutral, disagree, strongly disagree. Furthermore, data simulation purpose different methods will be used, for data clearing, reliability, validity and analyze the effect relationship SMARTPLS will be used. Similarly, the research paper significance is that it is helpful for students marketing either undergraduate or graduate. It is also helpful for those who want to launch their brand whereas; it is also helpful in commercial sector of marketing. By obtaining new variables such as uncontrolled communication, controlled communication and brand name we have highlighted the impact of these variables on brand loyalty. Moreover, different scholars are more than welcomed to explore more different attributes and highlight its impact on brand loyalty. 

 

Keywords: Brand trust, brand loyalty, brand communication, brand name, brand image.

 

Introduction

 

The central key area of interest for both marketing researchers and specialist is brand loyalty. This concept has taken over the past recent years in which companies are in search for establishing brand loyalty for their customers (Russell-Bennett, R, C., & Worthington, 2013). Brand loyalty produces frequent benefits like creating barriers for the competitors, minimizing customers procurement cost, producing better sales and revenue and obstructing customer’s vulnerability to marketing efforts of rivals (Knox & Walker, 2003) (Rundle-Thielie & Mackay, 2001).Therefore, the marketers have used brand loyalty as a planned effective tool to offer an edge over the competitors (Keller & Lehmann, 2006) (Runyan & Droge, 2008). Furthermore, it has been discussed that one of the most crucial concern for a particular firm is the retention of its existing customer and how to make them loyal towards their brands (Russell-Bennett, McColl-Kennedy, & Coote, 2007). Moreover, it has been stated by Rosenberg & Czepiel, (1983) the cost of attracting a new customer, is six times more to retain then the cost of holding your existing ones. Furthermore, (Krishnamurthi & Raj, 1991) has stated that customers that are loyal are having less price sensitivity and the base of loyal customer gives a competitive advantage over their competitors (Aaker, 1991). Large numbers of loyal customers are considered as the major asset for both the company and the brand itself which is also defined as the main factor of the equity.

 

Similarly, (Russell-Bennett, R, C., & Worthington, 2013) proposed a question on why consumer purchase brand timely? Many different authors have highlighted the psychological ideas in the form of trust, commitment, satisfaction and perceived value in order to explain the consumer brand loyalty (Morgan & Hunt, 1994) (Sirdeshmukh, Singh, & Sabol, 2002) (Harris & Goode, 2004) (Woodside & Walser, 2007) (He, Li, & Harris, 2012)have explained consumer brand identification and brand loyalty through consumer self-expression, self enhancement, and self-esteem while other scholar (He, Li, & Harris, 2012), have linked both social identity and psychological constructs to explain the brand loyalty. 

 

Problem Statement

 

It has been observed in other research papers that many variables which impact on the brand loyalty as stated by (Salinas & Pérez, 2009) (Bibby, 2011) is that brand image is defined as the image developed by the consumer or customer who contains meaning brand symbol and consumers integration with its products and services. Whereas, brand communication is defined by the idea of any product which is brought up and marketed with different features as compared to the others products which is easily distinguished by the consumers as suggested by (Runyan & Droge, 2008). Furthermore, brand trust is defined as the mode of satisfaction of a consumer desire over a product that he or she purchases (Zhou, Zhang, Su, & Zhou, 2012) similarly, brand trust acting as a mediating variable as explained by (Hoek, J., & Gendall, 2000) states that the relationship explains the consumers’ attachment to brand through communication which describes the brand image and communication relationship. However, brand image often reflects what customer thinking is with respect to brand and its attributes which also integrates its memory towards the brand image and brand trust. Similarly, the mediating variable brand trust itself impacts as elaborated by (Chaudhri & Holbrook, 2001) that customer thinking over a particular brand results in trustworthiness and sincerity towards its loyalty. Furthermore, loyalty is defined as the purchase of the product repeatedly with positive impacts by its loyal customer to others which leads a brand to its profit maximization (Caruana, 2002).

 

Moreover, the central point of this research is to combine these variables with the inclusion of the attributes of brand communication named as controlled communication, uncontrolled communication and brand name, and to examine its impact on the mediating variable brand trust and then on brand loyalty.

 

Significance and Scope of Research

 

The significance of this research is that it can help many students who are pursuing their studies in undergraduate, postgraduate, M.S/M.Phil. and PhDs candidates in the field of marketing. It can also help many different marketing experts in the field and various organizations to work on its branding technique to improve its brand attributes towards their customers.

 

The scope of this research can be used in different dimensions like in commercial as well as textile business. Many people can get benefit from this research in order to open up the firm and make goods for customer in the border perspective.

 

Objectives of Research

Impact of Controlled Communication on Brand Communication

Impact of Uncontrolled Communication on Brand Communication

Impact of Brand Name on Brand Communication

Impact of Brand Communication on Brand Image

Impact of Brand Communication on Brand Trust

Impact of Brand Image on Brand Trust

Impact of Brand Trust on Brand Loyalty

Literature Review

Brand Communication

 

“Brand communication is when that idea or image of a product or service is marketed so that the distinctiveness is identified and recognized by many consumers” Jones & Kim, (2011). According to (American Marketing Association-AMA, 1960) a brand is defined as the name or symbol of an organization goods or services which distinguish them from their market rivals. Brand is an asset that offers different customers the tangible products via proficiencies which are provided in market place(Runyan & Droge, 2008). Brand communication is not only taken as the acknowledgement of brand by the advertisement experts but also a quality standard is also to be retained (Sahin, Zehir, & Kitapçi, 2011). Brand communication has been a vital role in forming a constructive brand element (Keller & Lehmann, 2006). Brand communication itself integrates with brand relationship by creating a positive reinforcement on brand attributes such as brand trust and brand satisfaction for the customers (Runyan & Droge, 2008) (Sahin, Zehir, & Kitapçi, 2011). Furthermore, the objectives of brand communication have revealed that the number of higher recalls of a brand determines the brand awareness among the customer’s satisfaction level (Zehir, Sahin, Kitapci, & Ozsahin, 2011). Moreover as stated by (Sahin, Zehir, & Kitapçi, 2011) brand communication has been categorized into indirect communication and direct communication. Indirect communication consists of TV, radio, print advertisement which only helps in improving brand attributes like brand trust and satisfaction (Hoek, Dunnett, Wright, & Gendall, 2000) (Zehir, Sahin, Kitapci, & Ozsahin, 2011). Direct communication primarily focuses on existing customer and its buying behavior (Low & Lamb, 2000) (Sahin, Zehir, & Kitapçi, 2011).

 

Controlled Communication

 

The most upfront concern related the advertising service has been highlighted in the intimacy theory (Stern, 1997). Controlled communication in terms of advertising is being stated as the most necessary instrument in communication of service. Whereas the research on the advertising indicates that it can increase the quality perceived (Cobb-Walgern, Ruble, & Donthu, 1995). Furthermore, the objective of the study is to identify that controlled communication such as advertising is to link consumer and its importance which indicates its feeling towards the brand.

 

Uncontrolled Communication

 

The stronger impact on brand attitude of uncontrolled communication is word of mouth and free publicity (Swanson & Kelle, 2001) (Bansal & Voyer, 2000)(Hauss, 1993). Furthermore, the effect of negative word of mouth is having more influence on brand attitude rather than a positive word of mouth on uncontrolled communication (Ennew, Banerjee, & Li, 2000). Word of mouth communication is the imperative foundation of information for top support of consumer (Mangold, Miller, & Brockway, 1999). According to purchase intension Mangold, Miller, & Brockway, (1999) has suggested that word of mouth lower the risk supposed and ambiguity regarding the purchase of products and services. However, Murray, (1991) has stated that word of mouth is declared to be the greater source of confidence and tendency to purchase a product after having the word of mouth in a positive manner.

Brand Names

Brand name is described as “based on product name alone, customers form instant, non-neutral attitudes about the product that may prove difficult to change through the use of subsequent communications” (Zinkhan & Martin, 1987). The vital role in marketing the goods is being played by brand name which creates high awareness of brand and gives strong consumer feedback and priority to the brand itself which defines the success of the brand (Chan & Huang, 1997). The significance of brand is determined by the consumer recalling the brand name and its benefits (Janiszewski & van Osselaer, 2000), which plays an essential role in the status and choice of the brand (Holden & Vanhuele, 1999). It was being observed that shortage of material shows a really good impact on brand name as it becomes substitute for the omitted variables (Degeratu, Rangaswamy, & Wu, 2000).

 

Brand Image

 

“Brand image has been defined as the consumer’s mental picture of the offering and it includes symbolic meanings that consumers associate with the specific attributes of the product or service” (Salinas & Pérez, 2009) (Bibby, 2011). Sääksjärvi & Samiee, (2011) “defined brand image as a series of or the sum the total of brand associations held in the memory of the consumers that led to perceptions about the brand” while (Low & Lamb, 2000), “defined it as the reasoned or emotional perceptions consumers attach to specific brands”. In business market brand image is described as the most essential role when it comes to distinguish between products and services (Mudambi, Doyle, & Wong, 1997) (Shankar & Fuller, 2008). Brand image according to marketers are generally observed on the basis on how consumer gauge the product or service provided (Crety & Brodie, 2007). Moreover, the brand image quality describes consumer perception regarding the product provided (Sääksjärvi & Samiee, 2011). However, the primary topics for marketing business have progressively more been the main focus on brand image (Torres & Bijmolt, 2009).

 

Brand Trust

 

“Trust can be defined as the extent to which a consumer believes that a certain brand he or she has confidence in satisfies his or her desire” (Zohu, Zhang, Su, & Zhou, 2012) which describes that consumer is keen to have interest on brand as they have believe  in the benefits of the brand (Carroll & Ahuvia , 2006). According to (Pavlou, Liang, & Xue, 2007), “brand trust is the willingness of the average consumer to rely on the ability of the brand to perform its stated function”. The key role of trust is to lower the ambiguity and unclear evidence regarding any brand and make them feel contented with brand (Gefen, Karahanna, & Straub, 2003) (Pavlou, Liang, & Xue, 2007).

 

Brand Loyalty

 

“Brand loyalty is a prerequisite for a firm's competitiveness and profitability” (Chaudhuri & Holbrook, 2001). According to Algesheimer, Dholakia, & Hermann, (2005) brand loyalty provide more way forward in marketing compensations which links to low marketing cost and attract more customers. Brand loyalty in marketing term is the way in which consumer states the gratification with products or services performance established (Ballester & Aleman, 2001) (Coulter, Price, & Feick, 2003). A purchase of a single brand product in terms of perceived quality, price or class indicates consumer brand loyalty (Ching & Huang, 2006).

 

Brand Communication and Brand Image

 

Communication is essentially important when it comes to establishing a brand image as stated by(Narayanan & Manchanda, 2010). Liaising and escalation of attributes of a brand including of its benefits to customers in the commencing stages is one core task that a marketer must be able to perform.(Chaudhri & Holbrook, 2001). Marketers must have the capability to interface the brand’s fundamental benefit to the customers as suggested by (Su & Rao, 2010) this reviews the product’s attributes or services and examines how brand may play a key role in solving the demand of customers in product consumptions and aid them to prevent any defaults or problems they may experience (Salinas & Pérez , 2009).

 

Furthermore, Pavlou, Liang, & Xue ( 2007) suggest that the basic motive of brand communication is to broaden the advantages of the brand. In simple terms, the purpose is to liaise the applicable attributes that achieves the satisfaction of the consumers to meet the customer desires. For instance, self-esteem and social identity additionally, it is a requirement that marketers liaise experiences of consumers associated with a brand. For example, the satisfaction experience of the consumers associated with using a particular brand and how this drives their pleasure and happiness which overall makes them to re-buy the brand from which they attained happiness and pleasure. Overall, this stimulates the minds of the customer towards brand image. Hence, if the level of brand communication is high, the higher the probability for brand image expected level that the consumer will likely to conceptualize.

H1: Brand communication has a positive significant effect on brand image

 

Brand Communication and Brand Trust

 

A simple objective of brand communication is to ensure that the audience is aware to the brand as stated by (Su & Rao, 2010). This will as a result enhance the awareness of the brand so that consumers may purchase their preferable brands that satisfy them at optimum level (Sääksjärvi & Samiee, 2011).As per the author (Shankar, Azar, & Fuller, 2008), the relationship between the satisfaction of the consumers with the brand performance incorporates of higher possibility of a positive brand attitude. According to Low & Lamb, (2000) clarifies that brand attitude allows customers attach to their preferable brands which eventually results in brand loyalty and trust.

 

Therefore, a reasonably amount of effort is elicited by marketers on brand communication to develop and maintain the positive attitude of consumers to their brands. (Grace & O'Cass , 2005). Additionally, if marketers input a high level of brand communication, the expected customers’ brand trust will result in higher equivalently. Previous evidences (Su & Rao, 2010)have established a positive relationship between brand communication and brand trust. Therefore, in the context of South Africa, brand communication tends to lead directly to brand trust.

H2: Brand communication has a positive significant effect on brand trust

 

Brand Image and Brand Trust

 

An extensive literature review suggests that often perceptions of brand and its associations within the consumers’ memory reflects the brand image(Lee & Tan, 2003). Hence, the consumer is likely to comprise of high confidence for the branded product as well as its attributes if the brand is favorable.

 

(Bennetta, Charmine, & McColl-Kennedy, 2005). As a result, brand image become substitute for inherent product attributes which will raise consumers’ confidence in a specific brand (Pavlou, Liang, & Xue, 2007). If the consumer puts in more confidence in their preferable brand, then there will be a higher probability that they will trust their brand. Cretu & Brodie (2007) suggests that several research findings convey that there is a positive connection between brand image and brand trust. However, the current study also suggests that confidence of consumer enhances due to favorable brand trust which consequences in brand trust (Del Rio, Vazquez, & Iglesias, 2001).

H3: Brand image has a positive significant effect on brand trust

 

Brand Trust and Brand Loyalty

 

Where consumers may feel vulnerable in cases when they realize that they may rely on the trusted brand, trust may reduce the uncertainty levels (Agustin & Singh, 2005). Further trust of consumer is obtained when the brand constantly meets the interests and customer expectations. For example, before consumers commence trusting a specific brand, they will likely to conclude whether the brand has reliable functionality, whether the quality of the brand is credible or brand safety (Bart, Shankar, Sultan, & Urban, 2005). Hence, a consumer’s exceptional thought process of a brand provides the result of a brand trust (Chaudhri & Holbrook, 2001).

 

Purchase loyalty is obtained from reinforcement of consumers’ repetitive behavior of buying the brand as discussed by (Delgado, Muneura, & Yagu''e, 2003). Following this, a brand that constantly improves to uphold its promise of quality or value to customers is a trustworthy brand that achieves this through superior performance and warranting consumers (Chiou & Droge, 2006). Hence, an assertion can be made that if there is a high level of brand trust elicited by consumers then there is also a higher expected brand loyalty. To conclude, brand loyalty can be achieved through brand trust.

H4: Brand trust has a positive significant effect on brand loyalty

 

Research Methodology

 

Method of Data Collection

 

This study is Quantitative, and the methods used for collecting data are by questionnaire and online forms which have been given through using the technique of simple random from the customers of various sources. The process of gathering data was completely discretionary, no rewards or benefits given to any respondents. Questionnaire were relied on 28 questions and demographic information as gender, age group, income level and qualification and responses based on five point likert scale which are 5= strongly agree, 4= agree, 3= neutral, 2= disagree, 1= strongly disagree. Collecting period was not specific; some of them given response during their lunch time and online responses were taken within three days’ time period.

 

Sampling

 

Data was taken from the customers using Alkaram brand from different shopping malls. Furthermore, random sampling technique was used to collect the data which was taken from the majority respondent’s age group of 21-30 with minimum qualification of bachelor’s degree with their income level above Rs.40000.

 

 

Statistical Techniques:

 

In the statistical techniques excel was used to determine the missing values, unengaged responses clearing data, normality and outliers of the data. Moreover, Smart PLS is used to determine the construct reliability and validity of the study whereas, discriminant validity covering two tables of cross loading and Fornell-Larcker criteria. Coefficient of correlation explains the R-square table of the study and co-linearity Statistics explains the outer values. Furthermore, bootstrapping results tells about the path coefficient of the study in which it states the acceptance and rejection of the hypotheses.      

 

Result and Analysis

 

Following are the results and analysis of the study.

 

Table 1: Construct Reliability and Validity

 

 

According to the authors (Wallen & Franenkel, 1996) the values of cronbach’s alpha are accepted between 0.7 to 0.99 ranges. As the above table shows the values of brand loyalty, brand image, brand trust and controlled communication are accepted under the given reference. Similarly, second author (Hinton , Cozens, & Brownlow, 2004) stated that values between 0.5 to 0.7 are accepted due to which brand image and uncontrolled communication are accepted. However, the values of rho A which are above 0.7 containing brand image, brand loyalty, brand name, brand trust, controlled communication, uncontrolled communication are stated by (Rothbard & Edwards, 2003). Whereas, (Hall, 2010) the values of average variances exceeded than 0.5 are accepted which covers the brand image, brand loyalty, brand name, brand trust, controlled communication, uncontrolled communication (0.581, 0.630, 0.518, 0.642, 0.544, 0.507) correspondingly.

 

Discriminant Validity:

 

Table no 2: Cross Loadings:

 

 

Table no 3: Fornell-Larcker Criteria:

 

 

	Brand Communication	Brand Image	Brand Loyalty	Brand Name	Brand Trust	Controlled Communication	Uncontrolled Communication
Brand Communication
Brand Image	0.390	0.763
Brand Loyalty	0.580	0.335	0.793
Brand Name	0.847	0.256	0.465	0.720
Brand Trust	0.568	0.470	0.598	0.512	0.801
Controlled Communication	0.875	0.398	0.498	0.579	0.491	0.738
Uncontrolled Communication	0.540	0.179	0.332	0.296	0.143	0.312	0.712

 

The discriminant validity is evaluated by using cross loading and fornell-larcker criterion ratio of correlation. According to the author (Hair, Hult, Ringle, & Sarstedt, 2014) all the values are the square root of AVE which should be greater than the coefficient of the construct as shown in the table. The diagonal value indicates the square root of AVE and they are greater than the values of coefficient and its states that data is discriminately valid. Moreover, the cross loading values should be greater than the other loadings in the table having the cut-off values greater than 0.70 as stated by (Hair, Hult, Ringle, & Sarstedt, 2014) and all the values in the table are not cross loading with any other construct in the table.

 

Coefficient of Correlation:

 

Table 4: R Square

 

 

 

Falk and Miller (1992) stated the values of R square have to be 0.1. According to the table brand image is explaining its impact 15.2%, brand loyalty explains 35.7%, brand name explains 71.7%, brand trust explains 39.5%, controlled communication explains 76.6% and uncontrolled communication explains 29.1% of data.

 

Co-linearity Statistics:

 

Table 5: Outer Values

 

 

Researchers have found no issue of co-linearity in the result as shown as all the values are above 1.0 which is said by Barret,  (1972) that values above 1.0 are acceptable.

Bootstrapping Result

 

Table 6: Path coefficient

 

 

As the Above table shows that brand image (t=4.415, p value=0.000<0.05) and brand name (t=29.099, p value=0.000<0.05) so that the researchers fail to reject the null hypotheses. Similarly, brand trust (t=5.567, p value=0.000<0.05), controlled communication (t=30.593, p value=0.000<0.05) and uncontrolled communication (t=4.806 p value=0.000<0.05), brand image (t=3.684, p value=0.000<0.05) and brand loyalty (t=8.368, p value=0.000<0.05) so researchers has failed to reject the null hypothesis.

 

Discussions

 

According to the study the researcher have found there is significant impact of Brand image on brand communication Brand communication which is not only taken as the acknowledgement of brand by the advertisement experts but also a quality standard is also to be retained (Sahin, Zehir, & Kitapçi, 2011). Brand communication has been a vital role in forming a constructive brand element  (Keller & Lehmann, 2006). Furthermore the researchers have also found that brand name is having impact on brand communication where the vital role in marketing the goods is being played by brand name which creates high awareness of brand and gives strong consumer feedback and priority to the brand itself which defines the success of the brand (Chan & Huang, 1997).Moreover it is also stated that brand trust is having significant impact on the study where the key role of trust is to lower the ambiguity and unclear evidence regarding any brand and make them feel contented with brand (Gefen, Karahanna, & Straub, 2003) (Pavlou, Liang, & Xue, 2007).

 

Similarly, if the consumer puts in more confidence in their preferable brand then there will be a higher probability that they will trust their brand. (Cretu & Brodie , 2007)suggest that several research findings convey that there is a positive connection between brand image and brand trust. However, the current study also suggests that confidence of consumer enhances due to favorable brand trust which consequences in brand trust (Del Rio, Vazquez, & Iglesias, 2001).

 

Conclusion

 

It has been studied that the promotions and advertisement of Alkaram are acted favorably which provides a positive impact of the customer on the through their advertisement. Moreover, the publicity has told a lot about this brand with different ideas as well it tells a lot about its name and its products that a customer needs to know. The brand image tells a lot about the product quality and its position in the market. Whereas, the brand trust tells us whether to rely on its brand and it delivers what it promises and loyalty of Alkaram keeps the customer intact where he will buy this brand and the customer will be committed to buy this brand.  

 

Limitation and Recommendation

 

          The limitation of this study is that at the very first place is by increasing the sample size and secondly the research criteria can not only be in Karachi but can be done in other cities of Pakistan as well. The study can also be enhanced further by adding more variables further such as brand involvement, brand experience and brand satisfaction in order to enhance the research and its results. The research is limited also due to time constraints and less sample size due to which results can be further enhanced much more.

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