Brand Loyalty
Brand Loyalty
One of the most desirable traits that marketers would like to see in the consumers they are positioning their product towards is loyalty to their brand. Brand loyalty can be defined as “the extent of the faithfulness of consumers to a particular brand, expressed through their repeat purchases, irrespective of the marketing pressure generated by the competing brands.” (Business Dictionary, 2012) An expression of brand loyalty from consumers can help companies to experience significant growth not only through repeat purchases, but also word-of-mouth: brand-loyal consumers who talk among their peers about their purchasing behaviour may talk positively about the brand they like, which allows these consumers to try these recommended brands – which they might not have tried otherwise – thus expanding a business’ market and increasing its profits.
Since brand loyalty can play a significant role in a business’ performance, it is important that marketers understand the different factors that lead to consumers showing brand loyalty. One of the main contributing factors to brand loyalty is satisfaction. According to Ha, Janda and Park’s (2009), satisfaction can be achieved through a “rich employee-related customer orientation”. In addition, the perceived quality of the product on offer was found to have a positive effect on South Korean consumers’ satisfaction and brand loyalty.
The need for a high level of customer orientation is further discussed and confirmed by Lee, Knight and Kim (2008), who commented that a consumer-oriented approach was crucial in market strategies to appeal to Korean consumers. In addition, the authors gave the example of Wal-Mart’s entry into the Korean market to demonstrate the need for foreign companies to adapt their strategies in order to successfully appeal and cater to Korean consumers.
Yoon and Kim (2000) provide two more contributing factors to building brand loyalty among consumers. Going on the fact that
One of the most desirable traits that marketers would like to see in the consumers they are positioning their product towards is loyalty to their brand. Brand loyalty can be defined as “the extent of the faithfulness of consumers to a particular brand, expressed through their repeat purchases, irrespective of the marketing pressure generated by the competing brands.” (Business Dictionary, 2012) An expression of brand loyalty from consumers can help companies to experience significant growth not only through repeat purchases, but also word-of-mouth: brand-loyal consumers who talk among their peers about their purchasing behaviour may talk positively about the brand they like, which allows these consumers to try these recommended brands – which they might not have tried otherwise – thus expanding a business’ market and increasing its profits.
Since brand loyalty can play a significant role in a business’ performance, it is important that marketers understand the different factors that lead to consumers showing brand loyalty. One of the main contributing factors to brand loyalty is satisfaction. According to Ha, Janda and Park’s (2009), satisfaction can be achieved through a “rich employee-related customer orientation”. In addition, the perceived quality of the product on offer was found to have a positive effect on South Korean consumers’ satisfaction and brand loyalty.
The need for a high level of customer orientation is further discussed and confirmed by Lee, Knight and Kim (2008), who commented that a consumer-oriented approach was crucial in market strategies to appeal to Korean consumers. In addition, the authors gave the example of Wal-Mart’s entry into the Korean market to demonstrate the need for foreign companies to adapt their strategies in order to successfully appeal and cater to Korean consumers.
Yoon and Kim (2000) provide two more contributing factors to building brand loyalty among consumers. Going on the fact that
Bibliography: Business Dictionary, 2012. What is brand loyalty? Business Dictionary, published 2012, < http://www.businessdictionary.com/definition/brand-loyalty.html> Ha, H. Y., Janda, S., Park, S. K., 2009. Role of satisfaction in an integrative model of brand loyalty: Evidence from China and South Korea, International Marketing Review, Vol. 26, no. 2, pp. 198-220 John Walker & Sons, 2012. Our Labels. Johnnie Walker, published 2012, Johnnie Walker Singapore, 2012. Johnnie Walker Singapore, Facebook, updated 11 October 2012, Kabani, S., 2012. How to build brand loyalty through social media, The Business Journals, published 24 August 2012, Lee, M. Y., Knight, D., Kim, Y. K., 2008. Brand analysis of a US global brand in comparison with domestic brands in Mexico, Korea, and Japan, Journal of Product & Brand Management, Vol. 17, no. 3, pp. 163-174 Yoon, S. J., Kim, J. H., 2000. An empirical validation of a loyalty model based on expectation disconfirmation, Journal of Consumer Marketing, Vol. 17, no. 2, pp. 120-136