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The effects of corporate brand attributes on attitudinal and behavioural consumer loyalty
Tatiana Anatolevena Anisimova
Article information:
To cite this document:
Tatiana Anatolevena Anisimova, (2007),"The effects of corporate brand attributes on attitudinal and behavioural consumer
loyalty", Journal of Consumer Marketing, Vol. 24 Iss 7 pp. 395 - 405
Permanent link to this document:
http://dx.doi.org/10.1108/07363760710834816
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Introduction
In the era of rapid advances of technology and product parity,
the range of options available to organizations to attract
consumers is decreasing. In the face of the fierce competition,
companies recognize a need for a value-adding strategy
(Normann and Ramirez, 1994). Intangibles such as corporate
credibility, integrity and corporate expertise increasingly
influence consumer responses towards brands (Merrilees
and Fry, 2002). As a result, a considerable amount of effort
within contemporary organizations is concerned with strategic
positioning in relation to various consumer groups (Dacin and
Brown, 2006).
Consumers are becoming increasingly fickle and savvy. For
organizations this implies placing more emphasis on the
individual consumer needs and expectations as well as heavily
investing in advertising (Lloyd, 2004). The determinants of
consumer demand in the automotive industry include vehicle
prices, exchange rates, incomes, and vehicle innovation and
consumer demography (IBISWorld, 2005). According to the
IBISWorld (2005) industry report Motor Vehicle
Manufacturing in Australia, the latter factor, namely,
slowing population growth and the increasing proportion of
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395
Methodology
Unit of analysis and sampling elements
The unit of analysis was the organization engaged in
corporate branding. A structured questionnaire was the
method of data collection. Survey was distributed by the
participating car manufacturer through their data-bases in
Australia. The questionnaires were distributed by mail and
were returned by reply paid post. The consumer sample
yielded 285 useable responses representing a 33.5 per cent
response rate. This was achieved in one mail-out.
The questionnaire
The questionnaire was an eight-page long, double-sided
document. Corporate activities, corporate associations, and
corporate personality and brand benefits were measured using
a seven-point Likert scale from (1) not at all to (7) to a
very great extent. Corporate values were measured using a
seven-point Likert scale from (1) strongly disagree to (7)
397
Reliability
Churchill (1979) suggests assessment of Cronbach alpha and
exploratory factor analysis (EFA) to be the first tools for the
assessment the measurement instrument quality. Measures
reliabilities were accessed by calculating Cronbach alpha
(Cronbach, 1951). The majority of measures employed in this
study exhibited reliability scores over 0.7, which is above the
acceptable level (Nunnally, 1978; de Vaus, 1995).
Establishing psychometric properties
Both types of factor analyses have been performed in this
study. Although there was an idea regarding the structure of
the data of the constructs, there were no preconceived
thoughts about the data. Exploratory Factor Analysis (EFA)
served as a preliminary stage to evaluate unidimensionality of
the constructs (Ahire and Devaraj, 2001) and to determine
hidden dimensions. Undertaking EFA was in line with
Churchills (1979) and Gerbing and Andersons (1988)
suggestion regarding the usefulness of exploratory factor
analysis as a preliminary technique in the absence of a
sufficiently detailed theoretical basis.
The sample size of 285 observations is in accordance with
Hair et al. (1998) guidelines regarding the preferred sample
size of 100 and larger. It was deemed important to employ
EFA for the above reasons and follow this up with
Confirmatory Factor Analysis (CFA) to further support the
reliability and validity of the resulting constructs. In order to
examine the total variance explained by each individual factor,
retaining only those factors with eigenvalues of greater than
one was adopted. Aggregated variables were employed to test
Table I The psychometric properties results for the corporate-level attributes constructs
Construct
Corporate activities
Corporate associations
Corporate values
Corporate personality
Smart
Dependable
Technologically refined
Functional benefits
SFL
t-value
0.79
0.66
0.56
0.72
0.78
0.81
0.49
10.386
14.247
9.030
10.386
13.364
13.189
8.164
0.50
0.79
0.83
0.91
0.53
0.74
0.64
8.145
13.295
13.986
15.321
9.562
13.295
10.628
0.66
0.61
0.80
0.72
0.70
0.56
9.809
9.809
10.159
9.656
8.795
7.865
0.74
0.76
0.86
0.75
0.79
0.94
0.87
0.60
0.95
0.92
0.63
12.760
12.750
12.375
14.4111
13.194
11.068
11.068
11.232
25.657
25.657
12.812
0.70
0.78
0.60
0.66
0.60
0.76
10.915
12.096
9.430
10.256
9.259
12.096
Model fit indices: x 25:644; DF 9; Probability level 0:002; CMIN=DF 2:849; GFI 0:975;
AGFI 0:921; RMSEA 0:081; TLI 0:958; NFI 0:973; CFI 0:982; Holtier default 240; Cronbach
alpha 0:865
Sponsorship of worthy social activities in Australia
Sponsorship of national sporting events
Strong support of research into technology
Advancement in robotic technology
Development of aircraft technology
The Australian outback
Providing consumer-specific motoring solutions
Model fit indices: x2 33:437; DF 12; Probability level 0:001; CMIN=DF 2:786; GFI 0:968;
AGFI 0:926; RMSEA 0:079; TLI 0:964; NFI 0:969; CFI 0:979; Holtier default 223; Cronbach
alpha 0:871
A good corporate citizen
A successful auto manufacturer
A company at the forefront of technology
A manufacturer of outstanding cars
An auto manufacturer with strong environmental awareness
A manufacturer of stylish cars
A committed player in the Australian automobile market
Model fit indices: x2 10:931; DF 4; Probability level 0:027; CMIN=DF 2:733; GFI 0:988;
AGFI 0:935; RMSEA 0:078; TLI 0:961; NFI 0:984; CFI 0:990; Holtier default 345; Cronbach
alpha 0:838
Customer focus
Constant innovation
Respect for the individual
Practical technology
Ecologically responsible motoring
Community orientation
Model fit indices: x2 104:259; DF 37; Probability level 0:000; CMIN=DF 2:818; GFI 0:942;
AGFI 0:897; RMSEA 0:080; TLI 0:954; NFI 0:953; CFI 0:969; Holtier default 164; Cronbach
alpha 0:917
Sporty
Bold
Smart
Refined
Intelligent
Socially-responsible
Trustworthy
Genuine
Technologically advanced
Technologically sophisticated
Ambitious
Model fit indices: x2 19:501; df 7; probability level 0:007; cmin=df 2:786; gFI 0:977;
AGFI 0:932; RMSEA 0:079; TLI 0:959; NFI 0:971; CFI 0:981; Holtier default 270; Cronbach
alpha 0:851
Consistent quality
Value for money
Fuel efficiency
Aesthetically appealing car features
Individuality
Practicality
(continued)
399
Table I
Construct
Emotional benefits
Symbolic benefits
Internal consistency
0.8718
0.8867
0.8449
0.70
0.48
0.52
0.73
0.75
0.83
0.8864
0.8891
0.8531
0.78
0.67
0.76
0.80
0.64
0.83
0.8519
0.9310
0.9417
0.70
0.74
0.66
0.82
0.51
0.83
t-value
0.61
0.83
0.76
0.84
0.89
12.395
17.108
14.415
17.437
18.939
0.85
0.67
0.83
0.85
0.80
0.88
0.93
11.768
16.854
19.645
20.775
18.536
22.613
22.613
Corporate-level constructs
Corporate activities
Corporate associations
Corporate values
Corporate personality constructs
Smart
Dependable
Technologically refined
Marketing-level attributes
Functional benefits
Emotional benefits
Symbolic benefits
SFL
Conclusion
The goal of this paper was to determine the influence of
corporate brand constituents on consumer loyalty. For this,
five hypotheses were formulated that related each of the
400
Table III Corporate brand multiple regression models on consumer attitudinal loyalty
Corporate brand variables
Model 1
0.034
0.153
0.476 * * *
Model 2
Loyalty
Model 3
0.533 * * *
0.374
0.368
56.016 * * *
0.285
0.282
112.575 * * *
0.440 * * *
0.021
0.262 * * *
0.391
0.385
60.243 * * *
Model 4 (aggregated)
0.065
0.039
0.351 * * *
2 0.140
0.305 * * *
2 0.024
0.255 * * *
0.468
0.454
34.750 * * *
Model 1
0.010
0.220 * *
0.369 * * *
Loyalty
Model 3
0.303
0.296
40.814 * * *
Model 4 (aggregated)
0.037
0.030
0.186
0.549 * * *
Model 2
0.301
0.299
122.006 * * *
0.025
0.458 * * *
0.046
0.199 * *
0.377
0.371
56.727 * * *
0.328 * * *
2 0.010
0.186 * *
0.407
0.392
27.127 * * *
Managerial implications
This study identified a number of significant linkages that can
support managerial decisions on positioning and branding
strategies. First, the literature seems to pinpoint the lack of
understanding of the nature and practices involved in
corporate branding. The present study proposes a hierarchy
of five dimensions that have implications for conventional
marketing as well as corporate marketing. Although the
importance of building corporate associations was highlighted
in the literature (i.e. Brown and Dacin, 1997), it was found
that the link between corporate activities and corporate image
associations in consumers memory and consumer loyalty is
not straightforward in regard to consumer attitudinal loyalty.
However, this is not to say that companies should not focus
401
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