Beruflich Dokumente
Kultur Dokumente
Building brand equity in this competitive environment is a very challenging and difficult task. Companies
are now focused on meeting customers’ imminent desires by providing appropriate experiences. This study
explores the association between brand equity dimensions, overall brand equity and customer satisfaction
based on David Aaker’s brand equity model, in the context of branded shoes market in Pakistan. The
data obtained from 75 respondents through a survey using multiple regression analysis. The results establish
significant association between the dimensions of brand equity, customer satisfaction and overall brand
equity.
Introduction
The concept of brand equity was brought to light initially in the late 1980s. Brand equity
is an intangible asset which creates an association between the brand and its consumers.
Brand equity can be viewed from three perspectives—financial, brand extension and the
consumer. In this research, we focus on the consumer perspective. According to Keller
(2003) “the power of a brand lies in what customers have learned, felt, seen, and heard
about the brand as a result of their experiences over time.” One way of knowing how
customers are familiar with the brand is through brand equity. According to David Aaker,
brand equity has four dimensions—brand loyalty, brand awareness, brand association and
perceived quality. He states that “brand equity helps the customer to interpret and process
information about the product, and also affects the customer’s confidence in the purchase
decision and the quality of user experience.”
The branded shoes market in Pakistan is facing a challenging environment due to
growing competition and increasing number of brands. A large number of branded shoes
are competing in the market, and customers are showing increasing preference for branded
shoes. Companies are therefore more focused on establishing strong brand identity for
their products, in order to attract customers and build customer satisfaction. Brand equity
research plays a vital role in helping brand managers to build brand equity and gain
competitive advantage. This research studies the association between brand equity
dimensions, overall brand equity and customer satisfaction.
* MS Scholar, Institute of Business & Management, University of Engineering & Technology, Lahore, Pakistan;
Plz chk and
and is the corresponding author. E-mail: zoyiatanveer606@gmail.com
confirm the * * Lecturer, Institute of Business & Management, University of Engineering & Technology, Lahore, Pakistan.
author info E-mail: rabnawazlodhi@uet.edu.p
© 2016 IUP.
Empirical All of
Study Rights Reserved.
Branded Shoes to Measure Effect of Brand Equity 1
on Customer Satisfaction Through David Aaker’s Brand Equity Model
Literature Review
Brand Equity
Many researchers like Kotler, Keller and Aaker have provided definitions and models about
brand equity. David Aaker was the first to introduce the concept of brand equity (during
the 1980s). Aaker (1991) described brand equity as “a set of brand assets and liabilities
linked to a brand, its name and symbol that add to or subtract from the value provided
by a product or service.”
Farquhar (1989) stated that we can generate brand equity by ‘adding value’ to the
product. Keller (1993) introduced the customer-based brand equity model. He defined
brand equity as “the differential effect of brand knowledge on consumer response to the
marketing of the brand” and highlighted four steps to build and manage a brand. Kapferer
(1992) came up with the brand identity prism. Yoo et al. (2000) described brand equity as
“the difference in consumer choice between the focal branded product and an unbranded
product, given the same level of product features.” In conclusion, all the researchers agreed
that added value can generate brand equity by enhancing consumer association and
perception about a particular brand.
According to Liaogang et al. (2007), generating brand equity and managing it is an
important issue for the companies. Generating brand equity helps the companies in
product differentiation and getting competitive advantage. According to Park and
Srinivasan (1994), “brand equity is incremental utility and value endowed to a product
or service by its brand name.” According to Chen and Tseng (2010), “it is considered as
a source of competitive advantage by many firms.”
Customer Satisfaction
According to Howard and Sheth (1969), satisfaction is “the buyer’s cognitive state of
being adequately or inadequately rewarded for the sacrifices he has undergone.” Oliver
(1981) describes customer satisfaction as “the summary psychological state resulting when
the emotion surrounding disconfirmed expectations is coupled with the consumer’s prior
feelings about the consumption experience.” Vavra (1997) defined customer satisfaction
as “a satisfactory post-purchase experience with a product or service given an existing
purchase expectation.” According to these studies, customer satisfaction increases the
purchase intent.
Hypothesis Development
Brand Loyalty and Brand Equity
Sheth and Park (1974) concluded that loyalty has three dimensions. The first one is
emotive dimension, which includes fear, respect and obedience. The second is evaluation
dimension, which is based on basic usage benefits assessment. The third one is behavioral
dimension. According to this theory, rational customers exhibit loyalty. According to
Solomon (1992), the buying decision towards a product turns into a habit (loyalty) as a
Brand
Loyalty
H1
Brand H5 Customer
Perceived H2 Equity
Quality Satisfaction
H3
Brand
Awareness
H4
Brand
Association
Reliability
Cronbach’s alpha was used to measure reliability of the scale used in this study. While the
acceptable value for reliability should be greater than 0.7, a Cronbach’s alpha of 0.909 was
obtained for the 26-item scale used here. This shows that the data is reliable and
consistent.
Regression Analysis
Regresson analysis was done to test the hypotheses. Table 2 provides the findings of
Conclusion
Marketers of branded shoes in Pakistan are facing challenges due to brand conscious
environment and increasing competition in the market. The aim of this research was to
verify the applicability of the David Aaker’s brand equity model in this context. This study
Author: plz
has confirmed that in the context of the branded shoes market in Pakistan, the four
c r o s s - c h k dimensions—brand loyalty, perceived quality, brand awareness and brand association—
and suggest have a positive impact on brand equity, which in turn has a positive impact on customer
satisfaction. The coefficient is highest for overall brand equity (0.952), indicating that
brand equity has a strong influence on customer satisfaction. Among the dimensions of
brand equity, brand association ( = 0.708) has the strongest impact on brand equity,
followed by brand awareness ( = 0.496) and perceived quality ( = 0.475).
The implication is that marketers should increase overall brand equity, and in
particular focus on brand association, brand awareness and perceived quality in order to
increase customer satisfaction. The limitations of this research is that it is confined to a
single country, Pakistan and deals with only one product, branded shoes. Wider
applicability can be explored by conducting the study taking other countries into
consideration and for different product categories.
References
1. Aaker D A (1991), Managing Brand Equity: Capitalizing on the Value of a Brand Name,
The Free Press, NY.
2. Assael H (1998), Customer Behavior and Marketing Action, Cincinnati, South-Western
College Publication, Ohio.
1. Gender:
Male Female
2. Age:
18-25 years 26-35 years
36-45 years 46 years and above
3. Education Level:
High School Graduate
Postgraduate Doctorate
4. Occupation:
Student Government Sector
Private Sector Self-Employed
5. Annual Income (PKR):
Up to 3 lakh 3-6 lakh
6-9 lakh 9-12 lakh
6. Marital Status:
Single Married
7. Which brand of shoes are you purchasing: _________
Brand Loyalty:
1) I intend to buy other products of this brand.
Strongly agree Agree
Neutral Disagree
Strongly disagree
2) I say positive things about this brand to other people.
Strongly agree Agree
Neutral Disagree
Strongly disagree
3) I have or would recommend it to other people or someone who seeks my advice. Author: plz
note the
Strongly agree Agree change
Neutral Disagree
Strongly disagree
4) If this brand raises its price, I would continue to buy its products.
Strongly agree Agree
Neutral Disagree
Strongly disagree
Brand Awareness:
1) Which of the following attributes do you associate with the brand?
Affordable Modern
Stylish Durable
Other
2) Where have you seen advertisements for this shoe brand?
Billboard Magazine
Internet TV
Any other
3) Overall how would you rate the quality of this shoe brand?
Very high High
Average Low
Very low
4) Of your last three purchases how many were from this brand?
1 2 3
4 5
Brand Association:
1) Do you tend to purchase the same brand repeatedly?
Strongly agree Agree
Neutral Disagree
Strongly disagree
4) How would you rate the value for money of the product?
Excellent Above average
Perceived Quality:
1) Compared with your expectations, how do you rate the quality of the products
supplied?
Poor Fair
Average Good
Excellent
2) What is the likelihood of your recommending it to others?
Poor Fair
Average Good
Excellent
3) How do you rate the delivery performance?
Poor Fair
Average Good
Excellent
4) Overall, how do you rate Weir & Carmichael as a supplier?
Poor Fair
Average Good
Excellent
Brand Equity:
Reference # 25J-2016-09-xx-01