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Topic

Determining factors effectiveness of brand loyalty and comparison of Uniliver and Procter and Gambler

Nassrullah khan Roll no. 10-109

Introduction
Brand loyalty is the customer preference of brand over brands. It is the building long term relationship with customer and makes them loyal. The importance of brand loyalty is to get long term relation ship and make customer brand loyal by affecting a moderate impact of marketing concept. In this age of modern world the competition and rising customers is major aim of the firms.

In Pakistan Uniliver and Procter and Gambler are emphasizing on the customers. This study explores how they meet the customers demand and make them satisfy. There is an important issue of brand loyalty in business as a result sales increasing and effective marketing strategies of optimistic word-of-mouth. (Bennett-1966). The individual's experiences are effecting more significantly on relationship between brand and customer.(chang,chieng- 2006). A variety of brand experiences increase familiarity with brand. (Ha,perks-2005).

This paper determines the important marketing factor which appeals to linkage of consumers. Because marketing tells the firms what new customer want. Through marketing campaigns of sale,advatising and promotion which are important marketing factors firms acknowledged how much their consumers are satisfy with their brands. So after getting experience form consumer, its relationship with brands make a successful creation of brand personality and its image will get more affected.

Literature Review
Information exploits the modification in the measurement and gives potential to a model for market to purchase prediction.(Aakar-1972). Regular consumer are always bit more price sensitive than uncommon consumers in displaying the features.(Allenby,lenk-1995). Our studies examine how the price and service quality are used to identify the market segmentation non traditional verticals and horizontal.

This is also a fact that the increase in the number of brands result in decrease of loyalty level because of competition. Other brands are also trying to capture market share. They offer new features and make innovations. As monition in literature when brands in a market increase first loyalty level decline and gradually it become level off. So company should concentrate on satisfaction of loyal customers.

H1
 Quality has relative proportion to brand loyalty. It assumed that high price means high quality but average priced brand are assumed to be good enough as compared to the low price brands.(McConnell 1968). The respondent are treating differently the local and low price brands than the national brands either they do not have explicit label.(Myers1967).

H2
Price has converse relationship with brand loyalty.

Research Methodology
The population for data collection was regular users of product of uniliver and Procter and gambler of Pakistan . The collection related from various cities of Pakistan and the total sample size was 121. A total of 150 questionnaire were distributed out of which 121 were received back with response rate of 81%.

Results
 Correlation and regression analyses Procter and gambler Pakistan. Correlation analysis
BL Brand loyalty BQ BP 1 0.414 0.379 1 0.427 1 BQ BP

Findings Correlation analysis of Procter and gambler Pakistan

indicates a relative strong relation between the price and the brand loyalty which is (0.379). Further the quality and brand loyalty also a positive relationship each other that is (0.414). Regression Analysis
Beta Quality Price
2

t 2.231 1.797

Significant 0.030 0.078

0.308 0.248

R =.221

 Correlation and regression analyses Uniliver Pakistan. Correlation analysis


BL Brand loyalty BQ BP 1 0.512 0.406 1 0.455 1 BQ BP

Findings Correlation analysis of Uniliver Pakistan indicates a relative strong relation between the price and brand loyalty , which is (0.406). Further the quality and brand loyalty also show a positive relationship

each other that is (0.512). Regression Analysis


Beta Quality Price 0.413 0.218 t 3.514 1.860 Significant 0.001 0.068

R =.300

Discussion
Before measuring our hypothesis we proposed the hypothesis that quality is significantly proportional and price has converse relationship with brand loyalty which is as price increases loyalty must be decreases. But our finding do not support our hypothesis for price. The result of 121 questionnaire show that if prices are increasing there will be no effect on brand loyalty in both case. There are many reasons behind these results.

Conclusion
In our research we found that both quality and price are positively linked with brand loyalty in Uniliver and Procter and gambler Pakistan. But there are some other factors which can be influencing on purchasing behavior of customers and making them loyal. One of the factors which lead to basis for future research is purchasing power of consumers.

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