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Introduction

Introduction:
Background:
Branding of high technology product has evolved along with the development of mass
production and mass marketing. High technology is set to mean ‘sophisticated knowledge
associated with some general field of endeavour’ and marketing of such high technology-
driven products is being faced by a growing set of complexities. These products are critical,
for the development of a solution to our everyday needs. However, particularly in recent years,
a remarkable contribution of technologies into business, school, and even home has changed
life in many ways. New technology has become included in every single channel of people’s
lives. The pervasive impact of technology has an impact on every human being whether it is
associated with the brand image or not. increasing competition within the high-technology
sector has led to a nearly saturated market and a high parity of products offered. Therefore, it
became more difficult for companies to maintain and communicate a “unique selling point”
(USP) for their products. In addition, economic changes, including rising living costs and a
lower purchasing power of money, have made consumers more conscious when it comes to
price. The results of both developments have made it necessary for marketers to adjust their
branding strategies in order to meet the expectations of the consumers. In order to do so, it is
necessary to understand how consumers evaluate their buying decisions and what attributes of
a high-technology product they value most.

Outline of study: In practice, brands always provided a competitive advantage to companies,


which sought to understand the wants of their target market in order to develop a package of
attributes to meet these wants. The evolution from the use of physical efforts to the use of
machines like computers, cell phones and many other products highlight the need and
importance of high-technology products. Such needs have attributed to the growth of high-
technology products at an increasingly faster rate in recent years over normal products.
Even high-tech companies that understand the importance of marketing face uncertainty and
complications in making marketing decisions and also in the understanding of consumer
requirements. Due to this, the failure of innovative products in the market is above 50 per cent
(Schoonhoven et al., 1990).
Brands have been perceived as providing greater security and a higher level of performance
while eliminating alternatives by providing a better overall customisation of perceived
preferences. As a result, consumers more often choose branded products when given the choice
between products with similar features and benefits, fully prepared to pay a premium price
To understand the influence of various market factors for particular product success or failure,
there must first be understanding of the target consumer behaviour. A consumer must usually
provide certain core benefits or competencies to the end consumers. But placing too much
importance on either technology or marketing is sure to backfire. A balance must be struck
between product innovation and marketing. Marketing can also act as a link between the
technological efforts and conversion of such knowledge to benefits for consumers. But the
marketing of high-technology products has usually been focused on technological orientation
rather than a combination of technical and market understanding. Factor that affecting the
consumer behaviour are:
1. Price
2. Use
3. Quality
4. Culture
Price :Rising living costs and a general decline in the purchasing power of money have made
consumers more price conscious in their shopping behaviour .Studying and understanding the
requirement of consumers and the motivating factors for their decision-making towards the
purchase of high-technology products can help in decision-making and enable the success of
such innovative products in the market The tendency of high technology being increasingly
offered at ever-lower prices, on the other hand, has made people more aware of actual price
differences, striven to get a mounting value for their money, greater functionality and a much
greater mass customisation. The needs of mainstream users will increasingly be satisfied with
the performance and quality provided by industry-standard products. On the other hand, argues
that concentrating on price performance, no matter if it involves branded or non-branded
products, has a negative effect on how deeply the emotional assessment engages consumers,
which again has a direct impact on people’s involvement and loyalty. The traditionally high
degree of involvement of purchasing a high-technology product, based on the product’s high
price, its complexity, and its infrequent purchase, has changed to something more commonly,
cheap and easy to operate that people perceive as interesting and fun

The use of high technology


To discuss how people, use high technology and what they intend to use it for it is
necessary to reflect on the development of the high technology industry. During the industrial
age, inventions such as the light bulb or the motor car provided products, created to satisfy real
needs of real people (Tomkins, 2005). However, as life gets busier and more stressful, people
are forced to adapt the newest features offered by high technology on a continuing basis in all
areas of their lives, even though they might not have fully understood what it can do to help
them This adaptation process is based on the evaluation of meaningful attributes that support a
consumer’s beliefs, whereas, the consumer’s frame of reference and evaluation criteria shifts
due to the constantly changing environment, which again, makes it impossible to define a
general pattern of buying behaviour. nowadays consumers expect convenience, quality and
service of a product to be available at any time and at any place.

The quality issue in high technology

Quality, generally defined as an essential and distinguishing attribute of something or someone


of high-technology products has to be considered as a
fairly new topic in literature, the advantages of a brand based on the provided security
construct behind as well as the interrelated lower perceived risk has therefore to be rethought.
considering the findings of previous sections as well as the movement of the high-technology
segment towards fast moving consumer goods
The change in culture
When talking about culture, it is referred to as “human activity, the way a particular group
perceives and understands, as well as the criteria used by this group to value certain
things”, Considering the already mentioned impact of high-technology products and
their development on people’s lives, experts argue the existence of a resulting “Consumer
frustration”, which, in their opinion, arose from the pace of technological change and the
increasing amount of information necessary to make buying decisions. It has
therefore, to be mentioned that the younger generation grew up within this world of rapidly
changing innovations while the older generation has experienced increased problems in
keeping up and has even started to distrust high-technology products in general.
Literature Review
Introduction:
According to a definition given by Kapferer (2004, p. 10): A brand is a set of mental
associations, held by the customer, which add to the perceived value of a product or service.
These associations should be unique (exclusive), strong (salient), and positive (desirable).
High-technology is defined as synonymous to cutting-edge technology and state-of-the-art
technology. Within this paper, however, it is said because the “consumer electronics
segment” every occasion the term “technology” or ‘high-technologies’ used. While the high-
technology industry increased in the speed of its development and started to focus more and
more on particular consumer segments and individual needs, people became more open to
technological innovations (McDaniel and Gates, 2002). The connection with brands and the
already mentioned problem of providing a USP in present-day markets of parity plays an
important role in this context too, leading to shorter PLCs, which became reduced to a matter
of weeks from what was used to be years (Zajas and Crowley, 1995). The foremost important
change, however, are often seen within the increasing adaptation of a mass customisation
strategy (Jiang, 2004). The new toys produced by high-technology companies, like the iPod,
the BlackBerry and the Sony Playstation Portable (PSP), deliver seemingly unique benefits to
the consumer, based on their image and preference match, whereas satiety is an alarming
reality (Tomkins, 2005; The Economist, 2001; Klein, 2000; Temporal and Lee, 2000). In
order to build an effective branding strategy for present-day markets, it is, therefore,
necessary to investigate consumers’ reasons behind buying high technology

In this paper, the impact of brand image on consumer behaviour on high technology product
literature has been classified into five categories. First, an understanding of brand image is
discussed. Brand image is reviewed in general and Indian scenario, in particular, is discussed
which includes logo, colour, sounds, smell and packaging location etc. Further Brand
Personality and Brand association is also reviewed. Finally, gaps in the literature are identified.
Literature is been divided into five Sub topics
Brand Identity
Brand Perception
Brand Association
Consumer Based value system
Brand Competence & benefit
Brand logo,
Brand Sign
Colour,
sound and packaging

Brand Identity

Brand
Brand
Competence&
perceptions
Benefit
Distinctiveness Brand Benefit
Innovation
Great customer base Image Value
Culture
personality
User (end customer)

consumption
Brand
based value
Association
system

Emotional values
Functional values
Epistemic values Memory

Conditional value Product attributes


Perceived value
Brand Identity:
The First dimension that defines the brand image is brand identity. Brand identity originated
from the company itself. Company is responsible for creating a differentiating product with a
unique feature. It makes consumer easily identify and differentiate with other brands or
products, such as logo, colours, sounds, smells, packaging, location, corporate identities,
slogan, and other.

Brand image refers to consumer perceptions and encompasses a set of beliefs that consumers
have about the brand. Brand identity and brand image are related but distinct concepts. Both
are essential ingredients of strong brands. A firm can enhance brand loyalty by ensuring that
there is congruence between brand identity and brand image.

Prism of brand identity


When products are not characterized by huge amount and a big quantity of substitutes, the
personality behind, the attention is currently drawn to the importance of brand identity
(Kapferer, 2003). The understanding of brand identity signifies that superficial attitude
towards brand is being changed and the importance of comprehensive brand
analysis is being stressed. The concept of identity is significant due to the reasons, indicated
below:
1)a brand needs to be strong;
2)a brand has to be real
Thus, brands have to be secured from the image of idealism, changeability and opportunism.
The composition of band identity is characterized by
the prism of identity (Figure 1) (Kapferer, 2003).
Literature Review for Brand Identity

Study Objective Use Context Conclusion

Nandan, S An Exploration of The A Brand image and brand identity are


Brand Identity–Brand Communications associated with each other and are
Image Linkage Perspective essential ingredient for strong brand.
A firm ensures the brand loyalty
Maria Sääksjärvi(2011) Relationships Among Brand Extension Both before the internet era and in
Brand Identity, Brand internet era brand image has to work
Image and Brand hard in introductory stages. Brand
Preference, image manifest into consumer
preference for the brand
Burmann C., (2017) The Concept of Identity- Brand The self-perception about brand and
Based Brand Management Management brand image is determine the internet
target group and they are the primary
group
Chevalier M Relationships Among Offline Brand The capacity of a brand to be
Brand Identity, Brand Extension recognized as unique, over time,
Image and Brand without confusion, thanks to the
Preference
elements that individualize it. Brand
identity is the capacity of a brand to
be recognized as unique, over time,
without confusion, thanks to the
elements that individualize it.

Catherine ssViot Can Brand Identity Predict Product& Brand Each brand comes from a unique
Brand Extensions' Success Management culture characterized by values. His
or Failure? model, called “identity prism”, helps
explain the paramount differences
between competing brands
Brand Perception: Kotler’s (2000) model of brand perceptions is popular in the marketing
literature and widely adopted by practitioners in developing their strategies. The meanings
given to the brand are categorized into attributes; benefits (functional and emotional); values;
culture; personality; and users (Kotler, 2000).
Simply, Brand perception is sum of feeling a consumer has about a brand These thoughts and
feeling happens when a consumer is aware of the brand and what follows when consumer
hears, sees, or interacts with the brand and its products.

Why it matters?

Brand perception is important because it reflects what consumer thinks about a company’s
culture. Nowadays internet affect the opinion of the common consumers. Once consumers
formulate a perception in their minds, whether positive, negative, or neutral, it 's hard
to change their beliefs. That's why companies are trying hard to measure brand
perception on their own. These associations, which may be more or less conscious, are
often the fruit of exposure to the brand and are linked, for example, to seeing advertising
spots, street posters and press advertisements, and also, last but not least, to consumption of
the brand. The perception of a brand is in fact the fruit of a complex process of gathering and
elaborating information acquired in a way which may be more or less conscious depending
on whether the exposure to the brand is direct and therefore aware, or indirect and therefore
unaware.
De Chernatony and Dall'Olmo Riley, (1997) presented taxonomy of brand perspective as
input perspective, output perspective and evolutionary perspective. Input perspective include
Legal instrument, Logo, Company and Identity of brand. Output Perspective includes image,
personality, relationship, adding value regarding brand while Evolutionary perspective is
about brand as evolving entity.
How to measure the brand perception?
Brand Perception of consumers is very important to what consumer thinks currently about
the brand, what is position of brand in the mind of consumers? Brand perception can be can
be measure by the fooling ways
Consumer Survey:

Consumer survey is a scaling technique that can help strengthen business branding. it is most
effective branding tools that allow firms to efficiently measure brand perception and its link
to overall business strategy. There are couple of approaches that will enables you to capture
customer feedback efficiently

Customer satisfaction (CSAT) survey allow firms to measure customer sentiments after a
specific experience. CSAT could be done after a store visit, conversation with customer support
or purchase. CSAT can be done online through free tools such as Survey Monkey or classic
pen and paper after a physical transaction. It is also a good idea to incentivize customers when
they participate in the survey to attract more respondents.

Net Promoter Score (NPS) looks into how likely a customer will recommend a brand. Focusing
on customer loyalty, this type of survey is conducted at particular stages of the customer
lifecycle. An NPS survey can be given to customers who have been using a product or service
for a specified period. NPS is also a useful tool to identify brand advocates or detractors.
Product Surveys is another brand in Customer satisfaction (CSAT) survey allow firms to
measure customer sentiments after a specific experience. CSAT could be done after a store
visit, conversation with customer support or purchase. CSAT can be done online through free
tools such as Survey Monkey or classic pen and paper after a physical transaction. It is also a
good idea to incentivize customers when they participate in the survey to attract more
respondents.

Net Promoter Score (NPS) looks into how likely a customer will recommend a brand. Focusing
on customer loyalty, this type of survey is conducted at particular stages of the customer
lifecycle. An NPS survey can be given to customers who have been using a product or service
for a specified period. NPS is also a useful tool to identify brand advocates or detractors.

Product Surveys is another branding tool that measures product satisfaction and stickiness.
Product Surveys is an excellent way to gather unique and creative customer ideas that could be
a valuable input in a company’s brand positioning strategy. Product Surveys are also ideally
given to customers who have been using the brand for quite some time.

tool that measures product satisfaction and stickiness. Product Surveys is an excellent way to
gather unique and creative customer ideas that could be a valuable input in a company’s brand
positioning strategy. Product Surveys are also ideally given to customers who have been using
the brand for quite some time.

Social Media Listing:

To efficiently do this, use social media listening tools. These branding tools makes companies
to look insight out its brand and social media presence across various modes. There is a wide
range of branding tools initiated from small to midsized business (SMBs) up to enterprises that
offer a free trial and a suite of features. Social media listening tools enables alerts and
notifications, Boolean search, community and follower demographics, influencer score and a
lot more. You learn these branding tools to fine-tune your social media target, know which are
your brand influencers and who among your customers has a potential to be brand ambassadors.

Literature Review For Brand Perception:

Name Objective User context Conclusion

Fioroni M., Titterton Brand Perception and the Brand Stroming The perception of a brand is
G. Power of the a complex process of
Subconscious. In: Brand
Storming
gathering &elaborating
information acquired.
Jonah Berger The Influence of Brand consumer preferences,
Product Variety on product line length can also
Brand Perception and indirectly affect brand
Choice choice through influencing
perceived brand quality.

Janina Haase, Effects of consumer Consumer Market Implicit perception always


Klause-Peter sensory perception on acts through explicit
Wiedmann brand performance perception, brand
experience plays a major
role as a mediator between
consumers’ sensory
perceptions and their
responses
Frank Bachmann Consumer perceptions An owner-based Owners of luxury brands or
of luxury brands perspective detailed the moderated
effects of luxury value on
related attitudinal outcomes

Brand Association:
Brand association are important for any organisation for various of reasons. First, they help
consumers process and retrieve the information can help differentiate or position the brand.

Second, if the association are positive, they will establish beneficial attitudes and feeling and
provides a reason to buy. Lastly, brand associations may be exploited to create effective brand
extensions (Aaker, 1991). Overall, the selection, creation, and maintenance of brand
associations are Lastly, brand associations may be exploited to create effective brand
extensions (Aaker, 1991). Overall, the selection, creation, and maintenance of brand
associations are among the most important steps in the management of brand equity (Aaker,
1991). among the most important steps in the management of brand equity (Aaker, 1991).

The final brand association feature is relevance. Campbell (2002) mentions that the brand
associations that practitioners should focus on are those that are “meaningful and relevant to
cues The final brand association feature is relevance. Campbell (2002) mentions that the brand
associations that practitioners should focus on are those that are “meaningful and relevant to
customers” (p. 213) and Hart and Murphy (1998) state the successful branding is founded on
creating distinctiveness in a consumer relevant way. tomers” (p. 213) and Hart and Murphy
(1998) state the successful branding is founded on creating distinctiveness in a consumer
relevant way.

Features of Brand association.

 Strength
 Favourability
 Uniqueness
 Relevance
 Number

Strength: Strength of association is defined as the intensity of the link between the association
and the brand node. Associations have multiple strengths, i.e. they have stronger or weaker
connections to the node. The stronger the association, the more accessible the association will
be via spreading activation. One of the central goals of any marketing campaign is to influence
the strength of consumers' associations with the brand and exposure to marketing messages
should increase association strength

Favourability: Degree to which the association is perceived as a positive or negative feature


for a brand. Brand associations vary in terms of favourability or valence. Some associations
are seen as more positive or negative than others, and marketers certainly strive to create those
more favourable associations. Favourability of consumers predisposition towards a brand is
perhaps the most basic of all brand association and is at the fundamental of many
conceptualisations of brand

“A strong brand should focus on consistently achieving net positive associations,” and
statistically links association favourability to high levels of brand equity.

Uniqueness: Association uniqueness is defined as the degree to which the association is


perceived as a distinct and different brand feature within the product category. Some
associations are more unique than others. This means that some associations may be shared
with many competing brands and be typical for a product category while others may be unique
to just one or a smaller number of brands. Marketers often use brand‐positioning strategies in
an attempt to differentiate via unique associations, and this differentiation is often a source of
competitive advantage

Relevance: The relevance of the association is defined as how much people perceive the
association as a valuable, important, and purchase decision driving feature for a brand within
the product category. Some brand associations are more relevant to consumers than others
Name Objective User context conclusion
Till, B., Baack, Strategic brand association Brand association map process
D. and Waterman, B. maps: developing brand shows managers clear, consumer‐
insight driven, strategic view of the
associations their brand has, and
how those associations may (or
may not) be serving to
differentiate their brand.
Jenni Romaniuk & The relationship between Presence of unique associations
Elise Gaillard unique brand associations, was not positively related to past
brand usage and brand usage or a stronger brand
performance preference. A brand's share of
unique associations was also
poorly correlated with current
brand share
George S. Low The measurement and Brand associations differ across
dimensionality of brand brands and product categories,
associations brand associations for different
products should be measured
using different items.
Mark S. Glynn and The importance of brand‐ Product brand‐specific associations (i.e.
Roderick J. Brodie specific associations in Management attributes which differentiate a
brand extension brand from the competition) can
dominate the effects of the parent
brand to the point where they
reverse extension evaluations
Tser-Yieth Chen Factors influencing brand Brand strategies to consumers
association according to the different
segments in order to strengthen
positive brand association.

Name objective User context conclusion


Kit Hong Wong, The effects of consumption Brand Switching Consumption values are positive, a
Hsin Hsin Chang, values and relational positive causation will be created.
Chih Heng Yeh benefits on smartphone Consumer switching cost Becomes
brand switching behaviour another issue that needs to be
considered to prevent consumer
switching behaviour
Ramkissoon, H How consumption values Consumption values derived from a
affect destination image destination and discusses their
formation usefulness in destination image
Elyette Roux Values Associated with Hierarchy among luxury values,
Luxury Brand Consumption according to which refinement
and the Role of Gender appears as the most important one
from a consumer perspective

Brand Competence and Benefit:


The fifth key area is brand competence and benefit. Brand competence and benefit are the
values, advantages and distinctive competencies offered by a brand in solving consumer
problems, which makes end customer to get benefit because their needs, desires, dreams and
obsessions manifested by what it has to offer. Values and benefits here can be functional
(Keller, 1993), emotional, symbolic or social (Wijaya, 2012), such as product brand of a clothes
detergent with benefits and competences are being able to clean clothes to be cleaner
(functional benefit/ value), make the wearer is more confident and feel comfortable (emotional
benefit/ value), be a symbol of a clean lifestyle of modern society (symbolic benefit/ value),
and inspire greater community to care about a healthy lifestyle and environmental preservation
(social benefit/ value). Benefits, advantages and distinctive competencies of a brand will affect
the brand image of the product, individual or institution and company.
Gap identification:

CHAPTER 3
Objective of study:
1. Discover consumer’s behaviour in terms of adaptation of high-
technology products in order to improve the design of marketing
strategies for high-technology brands.
2. Analyse people’s buying behaviour and determine the main drivers for
adapting high-technology products.
3. Examine a change in the generational perception and involvement
regarding high-technology products.
4. Discover and evaluate the perception of branded and non- branded
high-technology products.

Issues in Research:
As brands within the high-technology sector have enjoyed a high perception, the
impact of branding on the world distracted from the association between
products and companies drawing attention to the things that were associated with
the brand image. Companies nowadays use a brand name/brand image to
represent them to the outside world, an increasing competition within the high-
technology sector has led to a nearly saturated market and a high parity of
products offered. Therefore, it became more difficult for companies to maintain
and communicate a “unique selling point” (USP) for their products. In addition,
economical changes, including rising living costs and a lower purchasing power
of money, have made consumers more conscious when it comes to price. The
results of both developments have made it necessary for marketers to adjust their
branding strategies in order to meet the expectations of the consumers. In order
to do so, it is necessary to understand how consumers evaluate their buying
decisions and what attributes of a high-technology product they value most.

Scope of Research:
Market driving organizations create value by engaging in innovative activities both, within the
organization and outside it. The second-dimension underlying market driving appears to be
change. Market driving organizations act as change agents or catalysts. Authors identified three
levels at which market driving activity might
take place:
1. Industry level: activity focused on driving change to the nature of competition by altering
the structures and/or functions of industry participants.
2. Market level: activity focused on driving change in one or more market space(s) within an
industry by altering customer preferences and behaviours.
3. Product level: activity focused on driving change to specific products/services within a
market by altering the standards for that offering.
They conclude that many high-technology products could not operate in isolation, but instead
function within a larger ecosystem of products and services and market driving firms can
proactively engage in developing inter-firm networks to support a specific technological
format.
Research variables:
1. Price
2. Use
3. Quality
4. Culture

Research hypothesis
H1. Buying decisions of high-technology products are mainly based on price.

H2. People primarily purchase high-technology products for prestige.

H3. Brand names become less important whilst quality is


still perceived as an important factor in buying decisions.

H4. Perceptual change of cultures affected the adaptation process of high


technology.

Research Methodology:
Research Design:

In the initial phase of the study, exploratory research was conducted to identify the major
motivating factors for buying high-technology products through secondary data analysis and
pilot study. In the later part, descriptive research was conducted through framing and analysing
the structured questionnaire. The secondary data was gathered through journals, books and
internet. Primary data was collected by organizing personal interview.
Sample size and sampling technique
Since the sample size primarily depends upon the degree of accuracy that is
needed, the prepared questionnaire was sent out via e-mail and manually in order
to reach a large number of people. The aimed number of primarily targeted
respondents was set to 70. However, those people were also asked to pass on the
e-mail, and therefore the link that led to the web page with the questionnaire, to
some of their friends and relatives. The obtained snowball sampling effect
provided a very high number of people reached and therefore provided a number
of 94 responses, which increased the actual number of people that responded,
which again increased the credibility of the findings made .Considering the just
mentioned way of distribution and the obtained snowball effect a non-probability
technique was chosen.

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Contents
Introduction: ........................................................................................................................................................... 1
Background: ........................................................................................................................................................ 1
Outline of study .................................................................................................................................................. 1
Literature Review ................................................................................................................................................... 4
Introduction: ....................................................................................................................................................... 4
Brand Identity: .................................................................................................................................................... 6
Brand Perception: ............................................................................................................................................... 9
Brand Association: ............................................................................................................................................ 11
Brand Competence and Benefit: ...................................................................................................................... 14
Gap identification: ............................................................................................................................................ 15
CHAPTER 3 ............................................................................................................................................................ 15
Objective of study ............................................................................................................................................. 15
Issues in Research: ............................................................................................................................................ 16
Scope of Research: ........................................................................................................................................... 16
Research variables: ........................................................................................................................................... 17
Research hypothesis ......................................................................................................................................... 17
Research Methodology: .................................................................................................................................... 17
Research Design ............................................................................................................................................ 17
Sample size and sampling technique .......................................................................................... 18
Bibliography .......................................................................................................................................................... 18

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