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Determinants of Brand Loyalty

Among Female Millennial Cyber
Shoppers – An Empirical
Investigation
Dr. RAMESHKUMAR P M

SERSC

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 International Journal of Advanced Science and Technology
Vol. 29, No. 7, (2020), pp. 8861-8871

Determinants of Brand Loyalty Among Female Millennial Cyber

Shoppers – An Empirical Investigation
Dr. C.P. Senthil Kumar
Assistant Professor, P.G and Research Department of Commerce, Guru Nanak College
(Autonomous), Chennai, Tamil Nadu – India
M. Karthiga Priya*
Ph.D. Research Scholar (Part-Time), P.G and Research Department of Commerce, Guru
Nanak College (Autonomous), Chennai Tamil Nadu – India (*Corresponding Author)
Dr. P. Balaji
Assistant Professor, P.G and Research Department of Commerce, Guru Nanak College
(Autonomous), Chennai, Tamil Nadu – India
P. M. Rameshkumar
Guest Lecturer, Department of Corporate Secretaryship, D G Vaishnav College
(Autonomous), Chennai, Tamil Nadu – India
(*Corresponding Author: karthigapriya_m@yahoo.com)

Abstract
The present study was aimed to explore the influence of brand equity, brand reputation, brand
trust, e-word of mouth on brand loyalty among female millennial cyber shoppers in Chennai city
of Tamil Nadu. The present study adopted survey method and non-probability judgment
sampling was employed to selected primary responses in the form of questionnaires. The result
proves that except brand equity, other factors such as brand reputation, brand trust, e-word of
mouth have significant and positive influence on brand loyalty among female millennial cyber
shoppers in the study area. In addition, the result proves that Whatapp, YouTube, FaceBook and
Instagram are the most preferred social media networking sites of female millennial cyber
shoppers to know information about different branded products. brand loyalty is the key factor to
survive and succeed in the e-commerce business in India. Hence, higher is the perception on
brand reputation and brand trust; higher is the brand loyalty among female millennial
consumers.
Keywords: Brand Loyalty, Brand Equity, Brand Reputation, Brand Trust, E-Word of Mouth and
Millennials

1. Introduction
The growth and emergence of electronic commerce has rapidly changed the business paradigm in
the global and local market. The change in business phenomenon has provided lot of
opportunities and chances to change the way in which business is being conducted today across
the globe (Lohani, 2009; McCarthy & Zakrajšek, 2007). The role of internet is very imperative
for today’s shopping methods for consumers and thus, leads to the more type of multi cultural
and cross cultural management problems for the e-retailers to attract and satisfy the consumers.
There many factors predicting the cyber shopping behavior of different types of consumers in
today’s competitive business environment (Brusch & Stüber, 2014; Foscht et.al, 2013; Anderson
et.al, 2009). Virtual store atmosphere, website design, service quality, customer delight, brand
loyalty and many other factors have significant influence on the performance of cyber shopping
business firms (Devia et.al, 2018; Vezir OĞUZ, 2018). On the other hand, growth of social
media has witnessed a rapid adoption among different types of consumers especially, millennial
consumers. Many studies have proved that millennials have higher usage of social media as
compared to other age groups (Hübner Barcelos, & Alberto Vargas Rossi, 2014; Moore, 2012).

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Generational cohorts needs be understood effectively to devise appropriate strategies based on

the segments like, baby boomers, millennials, Gen Z and etc., inevitably to survive in the global
market (Parment, 2013; Xu, 2007). Millennials group is the group needs to targeted due to
enhancement in economic conditions, life style and spending behavior towards online shopping.
The millennial groups are highly sociable, tech savvy, interactive in social media, higher internet
users (Suresh et.al, 2020) and regular cyber shoppers makes strong impact in Indian economy on
digital and e-commerce industry as compared to other old generation cohorts (Kim & Ammeter,
2008; O'Donnell, 2006). There are many brands needs to be established to attract the millennial
consumers towards the many industries in near future for the purpose of enhancement in
customer loyalty (Kandampully et.al, 2015; Bilgihan et.al, 2013; Jeong, Oh, & Gregorie, 2005;
Jagadeesan & Balaji. 2017). Branding is the key factor helps the manufacturer to retain the
existing customers and also to attract new customers towards their products. There are many
factors establishes the relationship of a customer towards a particular brand such as, customer
satisfaction, customer delight, customer experience, service quality satisfaction, brand reputation,
technology integration, social media marketing, customer loyalty, brand trust and brand equity
etc. These factors play an imperative role for the creation of brand loyalty among the consumers
and it is very imperative to understand the role of brand equity, brand reputation and brand trust
to survive in a competitive business environment. The promotional methods and tools are very
important key factors to reach the products right time to the right buyer and e-word of mouth is
one such promotional tools which is less costlier for e-retailers to promote their products in cyber
shopping environment.
2. LITREATURE REIVEW
2.1 Brand Equity
The relationship between the customer and stakeholders of the company was predicted
through the brand equity of the company. The brand equity is classified into two types such as,
customer-based brand equity and corporate brand equity Shamma, & Hassan, (2014). The total
brand equity valuation is the key element to address the exact relationship between customers
and corporate Shamma, & Hassan, (2011). The assessment of brand value is purely based the
perception of the customer rather than the corporate executives. But, still customer perception is
not a sufficient factor to predict the value of the particular brand. There are two types of
approach to calculate the value of brand as suggested by Keller, (1993) focused on “Customer
Based Brand Equity” and Simon & Sullivan, (1993) given importance to financial performance
indicators such as, sales, profits and operating margin of the company. This study considered
brand equity as key element to predict the brand loyalty of the customers in Indian context.
2.2 Brand Reputation
Branding and corporate reputation are the two side of same coin to establish a successful
brand in the global market. The reputation of the corporate was evaluated by several factors such
as, size of the company, customer base of the product, value of the brand and other factors
(Hillenbrand, C & Money, K. 2007; Davies et.al, 2004). Brand reputation acts as key element to
attract more consumers to their product especially, in e-commerce business. The reputation of
the company and brand name of the company was considered by all consumer brand preferred
consumers in online shopping platform (Gommans et.al., 2001; Ha, 2004; Ha & Perks, 2005).
The corporate reputation kindles the consumers to take their critical purchase decisions in
technological environment. Brand reputation helps the corporate to process more and more at
global level. The estimation of brand reputation needs more careful consideration to eliminate
under or over estimation of brand reputation.
2.3 Brand Trust
Brand trust is a key element to create customer-brand relationship for long duration in a highly
competitive business environment (Riki Wijayajaya, & Tri Astuti, 2018). The trust of the
consumer towards online retailing as compare to traditional retailing is a top prior consideration
for every e-retailer. Online retail branding is complex process which requires the trust of the

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consumer towards their product and brand in a continuous cycle (Jones and Kim, 2010; Chen-Yu
et.al, 2016; Arrora, 2017). The brand trust is always focused on idea and experience of the
customer to store the information in their minds (Kim and Jones, 2009; Balaji & Baskaran,
2018). Correspondingly, the attitude of the customer towards particular product or brand in the
form of trust is very important to be more positive for the growth of the corporate in a particular
nature of industry.
2.4 E-Word of Mouth
E-Word of Mouth (e-WOM) is informal communication between two or more parties using
electronic platform for the exchange of ideas, expressions, experience or information to
indoctrinate the others (Chen et.al, 2017; Heo, 2018). E-Word of Mouth is given much
importance among customers since, the communicator is not having a persuasion to sell the
particular product rather, and the individuals only recommends the product for usage or purchase
in online platform (Baber et.al, 2016; Ladhari & Michaud, 2015). It is very powerful tool for
customer engagement and customer commitment towards particular product or service offered
via online platform. This key term act as a advisor, motivator and antecedent to determine the
purchase behavior of the consumer towards particular branded product in e-commerce business.
2.5 Brand Loyalty
Consumer’s commitment and attitude towards particular brand act as a key driver to promote
particular brand in online business environment to facilitate the consumers. Most importantly,
loyal consumers will repeatedly purchase the product over a period of time, whenever, there is a
need or demand for the branded product (Van Doorn et.al, 2010; Ramaseshan, & Stein, 2014).
The loyalty among consumer towards particular brand has been created with the help of many
factors such as, customer satisfaction, delight, good experience, attraction, sustainability in
quality, brand equity, brand reputation, brand trust and e-word of mouth promotional tool
(Kandampully, et.al, 2015). The today’s consumers are not afraid of technological adoption. So,
interestingly the consumer brand loyalty creation in online business environment is most difficult
and imperative aspect for the success of the brand architecture (Choi, et.al, 2016). The existing
literature proves that more number of studies have focused on brand equity, brand reputation,
brand trust, and e-word of mouth promotion etc., to determine and predict the consumer behavior
towards brand acceptance and brand engagement. There is a need and gap in the existing
literature to explore the relationship of brand equity, brand reputation, brand trust and e-word of
mouth on brand loyalty among cyber shoppers especially, among millennial generation cohorts
in India.
3. STATEMENT OF THE PROBLEM
The present study aims to solve the problems pertaining to the determinants of brand loyalty
among cyber shoppers in the e-commerce industry. The cyber shoppers are having higher
exposure to technology and better socio-economic conditions to make regular purchase in online
platform to satisfy their regular needs and wants. There is a need to understand the cyber
shopping phenomenon to attract the consumers towards particular branded product. The
attraction and engagement of consumer towards particular brand was determined by brand
loyalty. The present study aims to solve the problems faced by different stakeholders on cyber
shopping platform to enhance the brand loyalty among millennials to increase profitability and
brand performance in e-commerce business environment.
4. CONCEPTUAL FRAMEWORK OF THE STUDY

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Brand Equity

Brand Reputation
Brand Loyalty
Brand Trust

E-Word of Mouth

Figure 1: Conceptual Model

The study aims to explore the influence of independent variables (Brand Equity, Brand
Reputation, Brand Trust and E-Word of Mouth) on dependent variable (Brand Loyalty) among
female millennial cyber shoppers.

5. AIMS OF THE STUDY

This study was aims to explore the influence of brand equity, brand reputation, brand trust and
e-word of mouth on brand loyalty among female millennial cyber shoppers in Chennai city Tamil
Nadu. Further, an attempt needs to be made to explore the preference towards different social
media networking sites (SNS) of the respondents.

6. RESEARCH METHODLOGY
The present study was adopted empirical and exploratory research design to explore the
perception of female millennial cyber shoppers in Chennai city on significant factors influences
the brand loyalty in cyber shopping. The structured questionnaire was designed based on the
existing literature review and survey method were adopted to gather the primary data from
female millennial respondents those who uses different social media networking sites and
follows different brands in social media networking sites to know the information and ideas to
make their purchase decision on branded products. The non-probability judgment sampling
technique was adopted to select the respondents from the overall population of the study.

7. SAMPLE SIZE
The samples selected for the study consist of female cyber shoppers from the age group of
nineteen years to less than thirty years. The sample of study consist of only females hailing from
the occupational status of students, salaried employees, self-employed and house wife and those
who are residing in Chennai city. The total sample size of 614 was finalized for the present study
after the elimination of incomplete responses and responses having higher extreme values.

8. QUESTIONNAIRE DESIGN AND SCALING PATTERN

The structured questionnaire with six sections was finalized to gather the perception of female
millennial cyber shoppers in Chennai city of Tamil Nadu. The section one deals with four
demographic profiles such as, Age (In Years), Family Monthly Income (In Rupees.), Time
Spending in Social Media Platform (In Hours) and amount spent on cyber shopping per month
(Rupees) on appropriate interval and nominal scales. The section two deals with four variables
related to brand equity in appropriate 5 point Likert scale. The section three deals with four
variables related to brand reputation in appropriate 5 point Likert scale. The section four deals
with four variables related to brand trust in appropriate 5 point Likert scale. The section five
deals with four variables related to e-word of mouth in appropriate 5 point Likert scale. The
section six deals with four variables related to brand loyalty in appropriate 5 point Likert scale.

9. TEST OF NORMALITY AND RELIABILITY

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The primary data collected from 614 women cyber shoppers were subjected to test of
normality and reliability and results are presented in Table 1.
Table 1: Descriptive Statistics & Normality Test of Brand Equity, Brand Reputation,
Brand Trust, E-Word of Mouth and Brand Loyalty Variables

Skewness Kurtosis Tests of Normality

Reliability
No. Statistic Statistic Shapiro-
Variables of Mean
Std. Kolmogorov- (Cronbach’s
Deviation Std. Std. Wilk
Items Smirnova Alpha
Error = Error = (Sig- Value)
(Sig-Value)
0.099 0.197 Value)
Brand 0.925
4 3.127 0.789 -0.845 0.365 0.161 (0.000) 0.620
Equity (0.000)
Brand 0.966
4 3.160 0.833 -0.392 -0.334 0.115 (0.000) 0.745
Reputation (0.000)
0.959
Brand Trust 4 3.229 0.781 -0.429 -0.304 0.131 (0.000) 0.672
(0.000)
E-Word of 0.980
4 3.239 0.753 -0.069 0.067 0.079 (0.000) 0.673
Mouth (0.000)
Brand 0.968
4 3.137 0.759 -0.456 0.220 0.106 (0.000) 0.610
Loyalty (0.000)

Table 1 indicates the result of test of normality and descriptive statistics of the brand equity,
brand reputation, brand trust, e-word of mouth and brand loyalty variables. The Kolmogorov-
Smirnov Test and Shapiro-Wilk Test of normality results prove that data is normality distributed
and fit for higher order analysis. Further, The Cronbach’s Alpha co-efficient test was adopted to
test the internal consistency and reliability of the structured questionnaire used for the study and
result proves that values of the all variables are above 0.600 hence, the scale is more consistent
and highly reliable in nature.

10. DATA ANALYSIS AND RESULTS

The demographic profiles age, family monthly income, time spent on social media platform
and amount spent for online shopping per month has been measured using appropriate levels of
measurement and subjected to frequency distribution and descriptive statistics. The results are
presented in Table 2.

Table 2: Demographic Characteristics of the respondents

Description Minimum Maximum Mean Std. Deviation

Age (In Years) 19 29 21.75 2.094
Family Monthly Income (In Rs.) 10000 22000 15456.03 4683.857
Time Spending in Social Media
1 12 3.85 3.097
Platform (In Hrs)
Amount Spend for Shopping Frequency (%)
< Rs.2500 486 (79.2%)

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Rs. 2501 to Rs.5000 48 (7.8%)

Rs. 5001 to Rs.7500 8 (1.3%)
> Rs.7500 72 (11.7%)

** Sample Size (N) = 614.

Table 2 shows that average age of the respondents is 21.75 years with standard deviation value
of 2.094 years and age of the respondent ranges from 19 years to 29 years. The average family
monthly income of the respondent is 15.456.03 rupees with standard deviation value of 4683.857
rupees and monthly family income of the respondent ranges from Rs.10,000 to Rs.22,000. The
time spent by the respondents in social media platforms are ranges from one hour to twelve hours
per day. The average time spent on social media is 3.850 hours with higher standard deviation
value of 3.097 hours. Frequency distribution reveals that majority of the respondents are
spending less than Rs.2,500 per month for online shopping on branded products.

Table 3: Reverse Weighted Mean Based Ranking on Preference of Social Media

Networking Sites (SNS)

Social Media Networking

Mean SD Rank
Sites
FaceBook 5.22 2.342 III
Whatsapp 6.20 2.185 I
Instagram 4.83 2.589 IV
YouTube 5.73 2.334 II
Twitter 3.53 2.476 V
TikTok 3.12 2.388 VI
ShareChat 2.88 2.112 VII
Others 2.64 2.165 VIII

Tables 3 reveals the preference of the respondents towards different social media networking
sites in their day-to-day life based on their usage. The respondents most preferred social media
networking site is Whatsapp (Rank 1; Mean = 6.20) followed by Youtube (Rank 2; Mean =
5.73), FaceBook (Rank 3; Mean = 5.22), Instragram (Rank 4; Mean = 4.83), Twitter (Rank 5;
Mean = 3.53), TikTok (Rank 6; Mean = 3.12), ShareChat (Rank 1; Mean = 2.88) and Others
(Rank 1; Mean = 2.64) social media networking sites in their order of preference. Similar studies
(Balaji & Murthy, 2019; Sasikumar & Balaji, 2020; Archana & Balaji, 2019) also prove that
Whatapp, Youtube, FaceBook and Instragram are the most preferred social media networking
sites among the respondents.
Table 4: Multiple Linear Regression Results for Significant Predictors of Brand Loyalty of
Female Millennial Cyber Shoppers

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Table 4 reveals that OLS Model has a goodness of fit for multiple regression analysis and the
linear combination of brand reputation, brand trust, time spending in social media platform (in
hrs), age (in years), e-word of mouth was significantly related to Brand Loyalty {F = 93.253,
p<0.001}. The multiple correlation coefficient is 0.475, indicating that 47.5% of the variance of
the respondents’ brand loyalty can be accounted for by brand reputation, brand trust, time
spending in social media platform (in hrs), age (in years), e-word of mouth. The significant
predictors such as, brand reputation, brand trust, time spending in social media platform (in hrs),
age (in years), e-word of mouth have significant and positive influence on brand loyalty of
respondents whereas, brand equity do not have significant influence on the brand loyalty of the
respondents. Higher is the brand reputation, brand trust, social media usage, age and e-word of
mouth higher is the brand loyalty and vice-versa.

11. IMPLICATIONS AND CONCLUSION

The ultimate aim of the study is to explore the relationship of brand equity, brand reputation,
brand trust, e-word of mouth with brand loyalty among millennial cyber shoppers in the study
area. The empirical evidences supports that except brand equity, other key factors such as, brand
reputation, brand trust and e-word of mouth have significant and positive influence on brand
loyalty among millennial cyber shoppers. The present study adds further knowledge to the
existing body of knowledge to predict, determine and understand the brand loyalty among the
different type of consumers. The stakeholders of e-commerce business firms are suggested to
focus on brand reputation rather than the brand equity which has more financial aspect of the
business. The brand reputation can be inculcated among the millennial consumers in the form of
customer satisfaction, brand trust, better performance and better reviews about the brand. E-
word of mouth has significant role to enhance the brand loyalty among consumers especially,
online business platform. The female consumers are became more critical decision makers due
to the existing users expression and experience on the particular product or service. Hence, they
suggested to focus on the improvement on the product reviews positively. The branded product
manufacturers are advised to adopt customer driven approach rather than the corporate driven
approach to increase the value of the brand in online business. The corporate are suggested to
focus on building the brand trust among the female consumer to enhance the brand loyalty
among consumers to retain the existing consumers of the particular brand. To conclude, the
cyber shopping female consumers are have higher accessibility to different kind of information to
take their purchase decision. So, brand loyalty is the key factor to survive and succeed in the e-
commerce business in India. Hence, higher is the perception on brand reputation and brand trust;
higher is the brand loyalty among female millennial consumers.

12. LIMITATIONS AND SCOPE FOR FURTHER RESEARCH DIRECTIONS

The present study was only limited to female consumers of cyber shopping and aged from
nineteen years to thirty years. So, findings of the study may not be generalized to all the female
consumers in India. The limitations applicable to judgment sampling are also applicable to

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Vol. 29, No. 7, (2020), pp. 8861-8871

present study since; the same was adopted for the data collection process. Owing to time and
cost constraint the study sample was restricted to only 614, may be higher sample will give more
accurate and generalized findings. The present study covers the study area of Chennai city of
Tamil Nadu alone. Hence, the findings may not be generalized to entire state or country as a
whole. This study may be extended to other gender to get more valuable insights to understand
male consumer behavior towards e-commerce industry. The other age groups such as, generation
Z or baby boomers can be exclusively focused to serve suggestions to the stakeholders of cyber
shopping industry in India. Further, this study can be extended to study the perception and
attitude of consumers towards brand on holistic approach to provide more valuable insights and
suggestions to the consumers, e-retailers, e-marketers etc., in near future.

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