RESEARCH PAPER

Impact of brand awareness and repeat purchase

By
Gaurish Rao
gaurish_rao96@rediffmail.com
Welingkar institute of management, Mumbai
Insplore consultants pvt ltd.
Gaurish Rao
Welingkar institute of management, Mumbai

The relation between brand awareness and repeat purchase

Abstract:

This paper presents a review about the impact of brand equity and brand awareness on the
purchasing intentions of the consumers and repeat purchase. The purpose of the paper is to
elaborate the relation between the awareness of a brand and the intention of consumer of
buying that brand. This has been done by going through different literature and articles by
different authors. It will help the readers to come across the work done by various well-
known authors at one place and hence will help to know how knowing a brand well will
affect the consumer in making decision about buying a product, and how it is related to repeat
purchase behaviour.

1.Introduction:

We are living in the 21st century and the consumer of this time is well aware about.

• What to purchase?

• Where to purchase it from?

• How to purchase it?

• Why to purchase it?

The consumer is not only well aware, but he is also conscious about the products he is
buying.

1.1 The Brand

The Brand is made by the perception and experience of the consumers; therefore, a wise
and conscious consumer only buys the brands well known to him and is also favourable.
According to (Macdonald and Sharp, 2000) even the consumers want to purchase a certain
product the recognition of brand will still be the most important and influencing factor in
making a purchase decision. When someone is buying a product and he has the name of the
brand in his mind it means that that, the consumer is highly aware about that particular brand.
And if the products satisfy its consumers, they not only remain loyal to their brand but they
also help the brand to grow by advertising their brand through their word of mouth. The
product that has higher brand awareness will grow better in the market and help the company
in earning profits. Therefore, we can say that as the brand recognition or, the number of
customers will increase and finally the market share and profits will also grow. So, the
purpose of the study is to know the effects of brand awareness on the customer purchase
intention.

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Welingkar institute of management, Mumbai

2. Literature review:

A brand is a name, term, symbol, design, or combination of them that is used to identify
and set apart the products and services offered by a seller or group of sellers from those
offered by rivals. The American Marketing Association A brand's foundation is based on two
crucial physiological factors.  as well as psychological aspects. Brand is also a "perception."
This is a consumer's cognitive interaction with the product. Perception and image have worth.
Consumer perceptions are influenced by a few rules like both practical and sentimental
experiences. Therefore, if the highest honour in the world fills the It becomes a brand when it
occupies a consumer's mental corner. A brand's logo or symbol is what gives it its
physiological nature. Will contribute to leaving a lasting impression on customers.

According to brand awareness literature, consumers are able to relate to, recognise, and
fully understand brands when they are given to them in a way that is more akin to a stimulus
response approach. Companies utilise ongoing brand-reinforcement strategies to strengthen
their brand awareness campaigns. The brand of the product has an impact on the consumer's
purchasing behaviour or decision since consumers always take the brand into consideration
before making a purchase. Consumers always make economic decisions, and the more
knowledge they have about a brand, the more likely they are to purchase it. Examples of this
include successful marketing campaigns that raise consumer awareness of a brand, sales and
promotions specific to that brand, etc.

2.1 Brand awareness and brand equity:

As stated by D.A. Aaker "Brand equity is a collection of assets (and liabilities) connected
to a brand's name and logo that increase (or decrease) the value supplied by a product or
service to a business or the consumers of the business. Brand awareness, Brand usage, Brand
judgement, Brand performance, and Brand imagery are the main categories of brand assets.

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2.1. Brand awareness: Brand awareness, or whether and when a consumer learns about a
brand, and brand image, or how the consumer connects a brand to himself, are both
considered to be part of brand knowledge (Keller, 2001). The evaluation of a brand's
accessibility in a customer's memory is called brand awareness. Through brand recall, we can
gauge it. Brand image refers to how a consumer views a certain brand (Chandon, 2003).

2.2 Brand loyalty: Brand Customer loyalty refers to the depth of their devotion to their brand
and the frequency with which they make the same purchases from that brand. No matter the
price, a devoted consumer will choose to constantly buy his brand. Businesses always want to
keep their consumers. They develop plans not merely to draw in new clients but also to keep
existing ones.

2.3 Perceived Quality: The degree to which a brand meets the expectations of its customers
is referred to as perceived quality. It isn't a reflection of the actual quality of the goods;
rather, it's a consumer's subjective opinion about a certain company or item.As quality has
increasingly come to be driven by consumers, this phenomena is crucial, and businesses are
trying hard to capitalise on it in order to gain a competitive edge. This is because a product's
perceived quality also depends on its overall public perception. This aids businesses in
gaining faithful and constant clients.

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Welingkar institute of management, Mumbai

Brand awareness is a primitive level of brand knowledge, involving at least identification

of the name of a brand or a structure that has been developed on detailed information. Brand
awareness is the fundamental and foremost limitation in any brand related search, and it is the
ability of a consumer to recognize and recall a brand in different situations. Brand awareness
effects the decision making of a consumer about a product. When a consumer is going to buy
something, he considers a brand.

If the consumer knows well about his brand, he will have more opportunities for buying
and he will always make wise economic decision. The most important goal of a company is
building a strong brand which not only affects the short-term revenues, but it is also fruitful
in long term. Therefore, the goal of a good brand management team is to guild a brand that
work out last for decades and can add up more products. (Kapferer,2004; Keller, 2003). The
Brand Equity Model by Aaker and Customer Based Brand Equity Model by Keller focus on
the consumer’s perception and evaluation of brand.

3. Factor Influencing Brand awareness:

There are different variables which affect the consumer’s awareness about a brand which are;

3.1 Name:

A brand's name is the first element that draws a customer to it. Customers will be persuaded
to purchase the product if the company has an appealing brand name.

3.2 Advertising:

A successful advertisement aids an organisation in raising brand recognition. Advertisement

has a significant impact on society at large. A compelling TV commercial will draw more
viewers, and a satisfied client will spread word of mouth about the company (Word of
Mouth). The celebrity who is promoting the company is also a crucial component of the
product's advertisement. Companies use well-known individuals as brand ambassadors,
which draws customers to the company.

3.3 Sales & Promotions:

Sales and advertising campaigns also raise brand recognition. Companies employ a variety of
strategies to promote their brand through freebies, samples, and the gifting of one of their
well-known products together with their own. Own brand or in association with any other
business.

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Welingkar institute of management, Mumbai

4. Consumer purchase intention:

"Any individual or group who makes use of any good or service." The consumer, who
pays for the goods or services produced, is essential to the economic system. If there is
insufficient consumer demand, manufacturers will become unmotivated to produce, which
will have an impact on the economy.

To have a purchase intention is to intend to acquire a good or a service. It speaks to a

customer's desire to purchase a specific product from a specific brand.

Engel, Blackwell, and Miniard (1995) established the consumer purchase intention model
that is the most well-known. This model breaks down the buying process into five steps.

1. Identification of the problem

2. Searching Information

3. Evaluating the substitutes

4. Making Decision

5. Behaviour after Purchase

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Welingkar institute of management, Mumbai
Unplanned buying, partially Planned buying, and fully Planned buying" are three
categories of purchase intention. Sometimes, consumers make decisions while shopping
based on their gut instincts. This kind of choice falls under the category of an impromptu
purchase. When a buyer makes a partially planned purchase, they decide on the product
category before leaving for the store and the brand once there. The next step is the fully
planned purchase decision, which implies the customer makes decisions on the brand and the
goods before going into the store.

4.1 Influences on consumer purchase decision:

The Marketing Dictionary says that the consumer’s purchase intention is influenced by
different external or internal factors.

 Trigger: Anything that prompts a buyer to purchase a product from a specific brand
is referred to as a trigger. It could be a catchy TV commercial, unique packaging, or
some other feature of the product that draws customers in.
 Outcome Expectation: consumer’s expected outcome from a particular product or service
from a certain brand also affects his purchase intention.
 Recommendation: a recommendation from the side of a worthy and reliable source can help
the customer to purchase the brand.
 Personal Association: customer’s emotional and personal association also affects his
purchase intention of buying any certain brand.

The degree of satisfaction that a consumer expects and receives has a significant impact
on his or her desire to make a purchase. If the brand satisfies the consumer, he will stick with
it and buy it frequently; nevertheless, if not, the consumer may promote the brand negatively.

According to Judith and Richard (2002), brand loyalty and predicted quality are inextricably
linked and undoubtedly affect consumers' willingness to buy. The perceived cost of buying
the product is a significant aspect that influences the intention to buy. Consumers who are
price sensitive are more drawn to the less expensive products, but those who value quality
over quantity are less likely to purchase low-cost goods, regardless of their merits. These
shoppers believe that only pricey goods may be of great quality. A well-packaged and well-
marketed brand will always be favoured over a product that is packaged poorly. An attractive
package also draws customers to the goods.

A consumer's sense of risk affects his intention to purchase. As local and private items
carry a significant level of risk, consumers typically avoid them. As a result, people choose
well-known national or worldwide brands over private products because the risk element in
these products is much lower.

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Welingkar institute of management, Mumbai

Consumer behaviour influences both the need for and intention to manufacture goods,
and it also motivates producers to develop their processes. Before presenting any product, a
producer needs to have solid knowledge of his target market's purchasing habits. When
purchasing any product, a consumer must go through numerous processes. Understanding
consumer behaviour enables marketers to provide explanations for what, where, when, how,
and why of product consumption.

5. Consumer repeat purchase and buying habits:

Customers choose more rapidly from a set of alternatives that includes one well-known
brand than they do from a set that exclusively contains unknown brands. The likelihood of
choosing the original brand based on awareness decreased after being exposed to competing
options, although most people continued to select the high-awareness brand they first
selected. In a study sponsored by two Australian universities, consumers sampled fewer
brands during product trials where one of the brands was familiar to them than during studies
where all of the brands were unknown.

Awareness differentials seem to be a powerful influence on brand choice in a repeat

purchase consumer product context. Consumers show a strong tendency to use awareness as a
heuristic and show a degree of inertia in changing from the habit of using this heuristic.
Brand awareness is a critical factor in repeat purchases.

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Gaurish Rao
Welingkar institute of management, Mumbai
According to a study published in the Journal of Marketing, brand awareness and repeat
business are strongly correlated. In fact, the study discovered a correlation between stronger
brand awareness and a larger propensity for repeat business. Gaining brand awareness is one
of the main objectives for any organisation. Customers are more inclined to make repeat
purchases when they are familiar with a brand. Businesses must put a lot of effort into their
branding, marketing, and customer service in order to raise recognition. For businesses,
branding is essential since it aids in customers' retention of the company's identity and values.
Additionally, marketing is crucial since it spreads awareness of the business and its goods.
Customer service is crucial since it promotes the development of relationships with clients
and guarantees their satisfaction.

6.Conclusion:

It has been determined that consumers will prefer to purchase the brands they are familiar
with after reading all the information provided and gathered by the noteworthy articles. A
consumer is never confident in purchasing novel goods. A prudent consumer will always
conduct market research or consult with a reliable source before making any purchases. After
being fully informed about what, how, and where to buy? He'll purchase the item. A
consumer won't purchase a product if he learns anything unpleasant about it. Therefore, we
can conclude that businesses must work really hard to create a favourable perception of their
brand. A corporation will need to continually trigger its brand and advertise more and more to
spread awareness of it to the vast audience in order to maintain its customer base.

Branding your product with proper information and if you provide product quality then
only customer will be loyal to your brand. Brand awareness is different thing but branding
your trust, truth is most important thing. Repeat purchase happens only when there is
satisfaction.

7. References:

1. Mosavi, S. A., & Kenarehfard, M. (2013). The impact of value creation practices on brand trust and
loyalty in a Samsung Galaxy online brand community in Iran. International Journal of Mobile
Marketing, 8(2), 75-84. 53.

2. Aaker, D. A. (1996). Measuring brand equity across products and markets. California Management
Review, 38(3), 102.

3. Ailawadi, K. L., Neslin, S. A., & Gedenk, K. (2001). Pursuing the value-conscious consumer: Store
brands versus national brand promotions. Journal of Marketing, 65(1), 71-89.

4.https://www.sciencedirect.com/science/article/abs/pii/S0148296398000708#:~:text=In
%20summary%2C%20awareness%20differentials%20seem,habit%20of%20using%20this
%20heuristic.

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 Insplore consultants pvt ltd.
Gaurish Rao
Welingkar institute of management, Mumbai
5. https://koreascience.kr/article/JAKO202026061031341.page