Professional Documents
Culture Documents
PROJECT REPORT
Submitted by
SANJITH D
727822TPMB132
of
IN
SCHOOL OF MANAGEMENT
COIMBATORE – 641402
JUNE 2023
BONAFIDE CERTIFICATE
Certified that this project report titled “A STUDY ON CUSTOMER’S BRAND LOYALTY
TOWARDS IPHONE” is the bonafide work of SANJITH D who carried out the research under
my supervision. Certified further, that to the best of my knowledge the work reported herein does not
form part of any other project report or dissertation on the basis of which a degree or award was
---------------------
Dr.P.Shanmugha Priya
Associate Professor
DECLARATION
I affirm that the project work titled “A Study on Customer’s Brand Loyalty towards
IPhone” being submitted in partial fulfillment for the award of Master of Business
Administration is the original work carried out by me. It has not formed the part of
any other project work submitted for award of any degree or diploma, either in this or
SANJITH D
727822TPMB132
ACKNOWLEDGEMENT
A project of such a comprehensive finish cannot be completed without the help of numerous
sources and people throughout the long rugged path of success. We realize this fact and so, we
are greatly indebted to all of them and take this opportunity to thank them.
First and foremost let me sincerely thank almighty for the great opportunity and blessings that
he has showered up on me for the successful and timely completion of my Project. I wish to
pledge and reward my deep sense of gratitude for all those who have made this project come
alive.
I would like to express my heart-felt gratitude to thank to the management and staff of Sri
Krishna College of Technology, Coimbatore, the Principal Dr.M.G.Sumithra for permitting
me to take up this project.
Now I great fully thank Head of the Department Dr.N.Nirmala Devi, School of Management,
Sri Krishna College of Technology, for the active and patient support forwarded to me in
respect of this project.
I thank my parents and all other family members for their valuable and inseparable support in
completion of this project. Once again I take this opportunity to convey my sincere thanks to
each and every person who helped me directly and indirectly in the successful completion of
this project.
SANJITH D
ABSTRACT
The study investigates about the influence of various reasons on customer’s brand loyalty
towards iPhone. The independent variables considered in this research include age, gender,
user experience, brand image & trust, emotional connection, social influence, perceived value.
The dependent variable is customer brand loyalty towards iPhone.
The review begins by defining brand loyalty and highlighting its significance in the mobile
phone industry. It then explores the unique features and attributes of iPhone that have played a
vital role in fostering customer loyalty. Factors such as product design, build quality, user
interface, and innovative technologies are identified as key drivers of iPhone's brand loyalty.
The survey questionnaire measures consumer preferences, along with the identified
independent variables. The respondents were potential iPhone users. The data was analyzed
using SPSS 23. ANOVA, mean and frequencies tests were performed. The findings will help
identify significant factors that influence customer brand loyalty towards iPhone.
This study analyzes the role of customer satisfaction and the influence of Apple's marketing
strategies on brand loyalty. The findings of this review contribute to a better understanding of
the factors underlying customer brand loyalty towards iPhone. The insights gained from this
study can assist marketers, managers, and strategists in developing effective branding and
customer retention strategies. Additionally, it serves as a foundation for future research and
offers directions for exploring brand loyalty in other industries or within different customer
segments. This addresses potential challenges to brand loyalty, such as increased competition,
technological advancements, and changing consumer preferences. It highlights the importance
of continuous innovation and adaptation in sustaining brand loyalty amidst evolving market
dynamics.
List Of Table
List Of Charts
CHAPTER 1 INTRODUCTION
3.6 Hypothesis 17
4.1 Findings 27
4.2 Suggestions 28
4.3 Conclusion 30
Bibliography 31
LIST OF TABLE
1.1 INTRODUCTION
iPhone is a line of smartphones produced by Apple Inc. Apple's own iOS mobile
operating system. The first-generation iPhone was announced by then-Apple CEO Steve
Jobs on January 9, 2007. Since then, Apple has annually released new iPhone models and iOS
updates. The iPhone was the first mobile phone to use multi-touch technology. Since the
iPhone's launch, it gained larger screen sizes, video-recording, waterproofing, and many
accessibility features. The iPhone is one of the two largest smartphone platforms in the world
alongside Android, and is a large part of the luxury market. The iPhone has generated large
profits for Apple, making it one of the world's most valuable publicly traded companies. The
first-generation iPhone was described as a "revolution" for the mobile phone industry and
subsequent models have also garnered praise. The iPhone has been credited with popularizing
the smartphone and slate form factor, and with creating a large market for smartphone apps, or
"app economy".
Over the years, Apple has continued to innovate and release new versions of the
iPhone with enhanced features and capabilities. The iPhone 3G, released in 2008, introduced
support for 3G networks and GPS navigation. The iPhone 4, launched in 2010, featured a
high-resolution Retina display and a front-facing camera for video calls. The iPhone 4S,
released in 2011, introduced Siri, Apple's voice assistant. In 2012, Apple unveiled the iPhone
5, which featured a larger screen and a thinner design. The iPhone 5s, released in 2013,
introduced Touch ID, a fingerprint sensor for enhanced security. The iPhone 6 and 6 Plus,
launched in 2014, increased the screen size even further and introduced Apple Pay, a mobile
payment system. In 2016, Apple released the iPhone 7 and 7 Plus, which removed the
headphone jack and introduced water resistance. The iPhone X, launched in 2017, marked the
10th anniversary of the iPhone and introduced a bezel-less design, Face ID facial recognition,
and wireless charging. Subsequent iterations included the iPhone XS, XS Max, and XR in
2018, which focused on improved performance and camera capabilities. The iPhone 11 series
in 2019 introduced a new dual-camera system and Night mode for low-light photography. In
2020, Apple unveiled the iPhone 12 lineup, featuring 5G connectivity, MagSafe magnetic
charging, and a flat-edge design reminiscent of the iPhone 4.
1
The iPhone 13 series, released in 2021, offered improved cameras, a smaller notch, and a
more powerful A15 Bionic chip. Throughout its history, the iPhone has become an integral part of
people's lives, offering not only communication but also a platform for entertainment, productivity,
and creativity through a vast array of apps and services. It has continuously pushed the boundaries
of innovation and set new standards in the smartphone industry, solidifying its position as one of
the most influential and coveted devices in the world.
Growth of iPhone:
The growth of the iPhone over the years has been nothing short of phenomenal, solidifying
its position as one of the most successful consumer electronics products in history. Since its launch
in 2007, the iPhone has experienced remarkable expansion and has become a significant revenue
generator for Apple Inc. The iPhone's global expansion played a vital role in its growth trajectory.
Initially available in the United States, Apple gradually expanded its market presence to other
countries, catering to the increasing demand for smartphones worldwide. Strategic partnerships
with telecom carriers and distribution agreements helped Apple penetrate new markets and reach a
broader customer base.
The introduction of new technologies and innovations also fueled the iPhone's growth. With each
new iteration, Apple introduced features that resonated with consumers and pushed the boundaries
of what a smartphone could do. From improvements in camera technology to advancements in
performance and battery life, Apple consistently delivered new features that enticed existing
iPhone users to upgrade and attracted new customers to join the ecosystem.
In summary, the growth of the iPhone can be attributed to factors such as its groundbreaking
features and user-friendly design, the expansion of its app ecosystem, its global market reach,
strategic partnerships, continuous innovation, and Apple's strong brand image. The iPhone's
remarkable growth trajectory reflects its ability to meet and exceed consumer expectations,
solidifying its status as a market leader in the smartphone industry.
2
Consumer Preference:
3
their personal iPhones for work-related tasks, leading to increased productivity and flexibility.
Moreover, iPhones seamlessly integrate with various IT infrastructure components, allowing
connectivity to corporate networks, cloud services, and other devices. Apple's focus on
security and privacy, along with its robust developer tools and frameworks, has set industry
standards and fostered innovation within the IT sector. With features like augmented reality
(AR) and machine learning (ML) support, the iPhone has opened up new possibilities for IT
applications, such as immersive experiences and intelligent image recognition. Overall, the
Apple iPhone has left an indelible mark on information technology, reshaping mobile
computing, app development, enterprise mobility, and user experiences in profound ways
Market insights:
The iPhone has consistently been a dominant player in the global smartphone market,
capturing a significant share and generating substantial market insights. Apple's iPhone has
garnered a reputation for its premium design, cutting-edge technology, and seamless user
experience, which has propelled it to become one of the most sought-after smartphones
worldwide.
One key market insight is the iPhone's ability to command a premium price. Despite fierce
competition, Apple has successfully positioned the iPhone as a premium product, attracting a
loyal customer base willing to pay a premium for its brand value, user experience, and
ecosystem integration. This pricing strategy has contributed to Apple's profitability and
financial success.
Another market insight is the strong customer retention and brand loyalty associated with the
iPhone. Apple's ecosystem, including iCloud, App Store, and seamless integration with other
Apple devices, creates a stickiness that encourages customers to remain within the Apple
ecosystem. The company's focus on customer satisfaction, regular software updates, and long-
term support for older devices further enhances loyalty among iPhone users.
The iPhone's market insights also highlight the significant influence of the App Store. With
millions of apps available, the App Store has not only created a lucrative platform for
4
developers but also provided a rich app experience for users. The App Store's curated
selection, stringent security measures, and quality control have helped maintain a high
standard for apps, ensuring a positive user experience.
Additionally, the iPhone's market insights reveal its impact on the enterprise market. Apple's
emphasis on security, device management capabilities, and enterprise integration has led to
widespread adoption of iPhones in business environments.
5
CHAPTER-II
THEORETICAL PERSPECTIVE
According to the study by Liowina Adlin Hokky, Innocentius Bernarto (2020) ”The
Role of brand trust and brand image on brand loyalty on Apple iPhone smartphone users”, it
shows brand trust positive effect on brand loyalty on apple iPhone smartphone user and brand
image positive effect on brand trust. Tools used for analysis is hypothesis test, R-square
evaluation, measurement model evaluation.
According to the study by Frydom Nainggolan, Anas Hidayat (2020), “The effect of
country of origin, brand image, price fairness and service quality on loyalty towards iPhone
mobile users mediated by consumer satisfaction”, The country of origin had positive and
significant effect on brand image. This means that the better the brand image as seen by
customers of iPhone. Hypothesis and Data collection method is used.
6
According to the study by Rasekhar Bhagavatula, Blasé UR, Kevin IACOVINO, Su
Mon KYWE, Lorrie Faith CRANOR (2015), “Biometric authentication on iPhone and
android: usability, perception and influence on adoption”, In this study, Biometric
authentication and systems is used, we found a mix of success of failure in one of first large
scale deployment of biometric authentication for average users.
According to the study by Matthew Jacques Whampy Limpele (2013), “The Effect of
brand equity on price premium of iPhone”, To check the correctness of hypothesis,
quantitative methods, sampling data collection, data analysis, multiple regression is adopted.
The findings are Apple company should maintain all aspects that create the value of apple
iPhone all independent variables have stronger and positive relationship with price premium,
brand association.
7
According to the study by John Laugesen (2010), “A Study on what factors contributed
to the success of Apple iPhone”, Tools used for analysis is Simple percentage method,
Hypothesis test and survey method. From the study it is identified that research contributes to
academics as it develops a theoretical success model brand on real life success of the iPhone.
According to the study by Rich Ling, Pal Roe (2009), “The iPhone and mobile access
to the internet”, The data is collected and finally analyzed. Sampling technique is used in this
research. Users of iPhone use the internet more than the others. This shows same users altered
their behaviors as result of adoption of iPhone.
8
9
CHAPTER-III
RESEARCH METHODOLOGY
BUSINESS RESEARCH:
Business research is a process of acquiring detailed information of all the areas of
business and using such information in maximizing the sales and profit of the business. Such a
study helps companies determine which product/service is most profitable or in demand. It
refers to the systematic investigation and analysis of various aspects of a business or industry
to gather information, insights, and knowledge that can be used to make informed decisions
and solve business-related problems.
Business research can encompass a wide range of activities, such as market research,
competitor analysis, consumer behavior studies, financial analysis, feasibility studies, trend
analysis, and strategic planning. The primary objective of business research is to support
decision-making processes by providing reliable and relevant information about the market,
customers, competitors, industry trends, and internal operations.
Primary objective:
To identify the reason that helps in building the brand loyalty towards iPhone.
Secondary objective:
To identify the areas of improvement in iPhone
10
3.2 VARIABLES FOR THE STUDY
Dependent Variable
A dependent variable is one whose outcome depends on the manipulation of the
independent variables. The dependent variable is the customer loyalty towards iPhone.
11
Independent Variables
An independent variable is the one that controls the dependent variable. The
independent variables include age, gender, user experience, brand image & trust,
emotional connection, social influence, perceived value.
Age:
Age is a measure of the amount of time that has passed since a person or
an object came into existence or was born. It is commonly measured in years,
although it can also be measured in months, days, hours, or other units of time.
Gender:
Gender is a social and cultural construct that encompasses the roles,
behaviors, and identities associated with being male, female, or non-binary.
User experience:
User experience refers to the overall perception and subjective experience
of an individual when interacting with a product, service, or system, such as a
website, application, or device. It encompasses factors such as ease of use,
satisfaction, efficiency, effectiveness, and enjoyment. Researchers often focus on
understanding and evaluating user experience to improve the design and usability
of products and services.
12
Emotional connection:
Emotional connection refers to the deep and meaningful bond or
attachment that individuals feel towards a person, brand, product, or experience. It
is a powerful and subjective experience that goes beyond rational and logical
considerations. Emotional connections are often driven by feelings, emotions, and
personal experiences.
Social influence:
Social influence refers to the process by which individuals or groups affect
the attitudes, beliefs, behaviors, and decisions of others. It encompasses the ways
in which people are influenced by their social interactions, the norms and values
of their social groups, and the broader social and cultural context in which they
live.
Perceived value:
Perceived value refers to the subjective assessment or judgment made by
consumers regarding the worth, desirability, or benefits they expect to receive
from a product, service, or offering. It is the perceived benefit that consumers
believe they will gain in relation to the cost or sacrifices they incur.
13
3.3 THEORETICAL FRAMEWORK
INDEPENDENT VARIABLES
Age
Gender
User Experience
DEPENDENT VARIABLE
Social influence
Perceived value
The researcher has tried to examine the dependent and independent variable. The
framework presents the relationship between the dependent and independent variables. An
independent variable is the one that controls the dependent variable. The independent
14
variables include age, gender, user experience, brand image & trust, emotional connection,
social influence, perceived value. A dependent variable is one whose outcome depends on the
manipulation of the independent variables. The dependent variable is the customer loyalty
towards iPhone.
15
were analyzed using mean scores and standard deviations to establish the relationship between
the various independent variables and the dependent variable. The SPSS (Statistical package
for social sciences) and Microsoft excel were used to analyze the data.
For the primary objective, “To identify the reason that helps in building the brand loyalty
towards iPhone.”, the tool used for analysis is One-way ANOVA. As the objective has two
different type of scale (i.e) Income of the respondents – Nominal scale, loyalty of customer on
iPhone.
Analysis of variance (ANOVA)
Analysis of variance (ANOVA) is a collection of statistical models and their associated
procedures and in which the observed variance is divided into components due to different
16
explanatory variables. We show the model for a simplified ANOVA with one type of
treatment at different levels.
SSTotal = SSError + SSTreatments
Correlation
As for the secondary objective, “to identify the areas of improvement and customer support &
concerns”, the tool used for analysis is Correlation. As the variables in the objective is in Interval
scale, so Correlation is used for analyzing the Influence of the risk and return on the investment of
investors. • CORRELATION r = n ∑ X Y − ∑ X ∑ Y ( n ∑ X 2 − ( ∑ X ) 2 ) ⋅ ( n ∑ Y 2 − ( ∑ Y )
2)
TABLE NO.1
Case Processing Summary
N %
Cases Valid 102 100.0
Excluded a
0 .0
Total 102 100.0
Reliability Statistics
Cronbach's
Alpha N of Items
.684 11
17
The results in Table No.1 shows that the respective constructs consisted of highly correlated
manifesting variables, bearing Cronbach’s alpha thresholds of 0.. In short, the manifesting
variables in the summated scale measured the respective constructs in a consistent and
meaningful way (i.e) highly reliable.
Validity determines the level at which a research instrument measures that which it is
designed to measure and the truthfulness of the research outcome. It tests whether the research
instrument allows the researcher to measure what he sets out to measure. Validity is also
determined by posing a number of questions where upon the researcher seeks for answers to
his questions in the research of others. If the validity or trustworthiness can be optimized or
verified then a more reliable and defendable result will lead to high quality result and
generalizability. A pilot study was used to validate the research instrument. A pilot study was
carried out on a sample that was taken from 10 to 20 respondents in order to measure the
validity. The respondents faced some problems in answering the questions, so the researcher
removed those question like frequency of visiting shopping mall before it was opened in your
city, status symbol, sales person from the questionnaire.
3.6 HYPOTHESIS
During the process of literature review, many predictions were highlighted. It was not
easy to make it clear that what results can be expected options from the study. Keeping in
view all this, at this stage it was necessary to formulate hypothesis. The hypothesis is a
statement of what is expected to find according to predictions from theory. It predicts a
relationship between or among different variables.
18
Hypothesis 1:
H1: There is a significant relationship between age and brand loyalty of iPhone.
Ho: There is no significant relationship between age and brand loyalty of iPhone.
19
CHAPTER-IV
DATA ANALYSIS AND INTERPRETATION
TABLE NO. 2
Frequency Percent
Male 70 68.6
Female 32 31.4
Total 102 100.0
CHART NO. 2
Interpretation:
From the above table and chart it is inferred that the majority of the respondents are
male with 68.6% and female with 31.4%.
20
TABLE NO. 3
CHART NO. 3
Age
Interpretation
From the above table and chart it is inferred that the majority of the respondents are
between the age group of 18-25 years contributing 82.4%. The group between 26-35 years
contributes 17.6%.
21
TABLE NO.4
USAGE OF IPHONE
CHART NO.4
USAGE OF IPHONE
Interpretation
The table provides usage of iPhone among iPhone. It is seen from the table that 48.0%
use iPhone less than one year, 30.4% use iPhone for 1-2 years, 21.6% use iPhone for more
than 2 years.
22
TABLE NO. 5
CHART NO. 5
Interpretation
From the above table and chart it is inferred that the 50.0% of the respondents says it is
extremely important when it comes to iPhone.37.3% of respondents says it is somewhat
important when choosing iPhone.12.7% of respondents says not important when it comes to
choosing the iPhone.
23
TABLE NO. 6
How satisfied are you with the customer support provided by Apple?
Interpretation
The researcher sought the respondents are satisfied with customer support by apple are
67.6%. Neutrally satisfied with customer support by apple are 31.4%. And 1% of respondents
are not satisfied with customer support provided by apple.
TABLE NO. 7
Are there any specific challenges are concerns you have experienced with iPhone?
Interpretation
This table shows that the 77.5% of respondents doesn’t have any concerns while using iPhone,
but the remaining of 22.5% have some concerns while using the iPhone.
24
TABLE NO. 8
Hypothesis Testing -1
Hypothesis 1
H0: There is no significant difference in level of brand loyalty towards iPhone.
H1: There is a significant difference in level of brand loyalty towards iPhone.
ANOVA
Within
88.554 100 .886
Groups
Within
159.912 100 1.599
Groups
25
Interpretation
From the above table, F value is greater than 0.05, so it is inferred that the all factor are
influenced by iphone. So accept alternative hypothesis (H1) and reject null hypothesis (H0).
So there is a significant difference in level of brand loyalty towards iPhone.
26
TABLE NO.9
Hypothesis Testing 2
Hypothesis 2
H0: There is no significant difference in level of brand loyalty towards iPhone.
H1: There is a significant difference in level of brand loyalty towards iPhone.
Correlations
N 102 102
How likely are you Pearson Correlation -.014 1
to recommend Sig. (2-tailed) .892
iPhone to others? N 102 102
27
Chapter-V
4.1 FINDINGS
Majority of the respondents are male (68.6 percent)
It is seen from the analysis that majority of the respondents belong to the age group 18-
25 years.
It is seen from the analysis that majority of the respondents use iPhone less than a
year.
It is identified that the majority of the respondents says that brand loyalty is
extremely important when it comes to iphone
It is found that the majority of the respondents doesn’t experience any specific
concerns while using iPhone.
Majority of the respondents are satisfied with customer support provided by Apple
It is found that the performance and speed is main reason that major of the customer
choose iPhone over other brands.
It is found that more customization option is the recommended features from the
customers, they would like to see in future.
The study shows the level of brand loyalty towards iphone. So the level of brand
loyalty is higher for iPhone among the iPhone users.
28
4.2 SUGGESTIONS
30
4.3 CONCLUSION
31
BIBLIOGRAPHY
1. Frydom Nainggolan and Anas Hidayat, The Effect Of Country Of Origin, Brand
Image, Price Fairness, And Service Quality On Loyalty Toward iPhone Mobile
Users, Mediated By Consumer Satisfaction. EJBMR, European Journal of Business
and Management Research Vol. 5, No. 1, February 2020.
2. Rich Ling and Pål Roe Sundsøy, The iPhone and mobile access to the internet.
Pre-conference workshop at the International Communication Association (ICA)
Conference Chicago, Illinois 20 – 21 May 2009.
6. Liowina Adlin Hokky, Innocentius Bernarto, The Role of Brand Trust and Brand
Image on Brand Loyalty on Apple Iphone Smartphone Users in DKI Jakarta
Journal of Management, 12 (1) (2021) 474-482.
7. Rasekhar Bhagavatula, Blasé UR, Kevin IACOVINO, Su Mon KYWE, Lorrie Faith
CRANOR, and Marios SAVVIDES ,Biometric authentication on iPhone and Android:
Usability, Per perceptions, and influences on adoption ceptions, and influences on adoption.
10. John Laugesen, What Factors Contributed to the Success of Apple's iPhone? What
Factors Contributed to the Success of Apple's iPhone?
32
ANNEXURE/APPENDIX
1. Name:
4. How long have been using iPhone: Less than 1 year [ ] 1-2 years [ ] More than 2
years
5. What are the main reasons you choose an iPhone over other smartphone brands:
1 2 3 4
Camera quality
Security & privacy
Performance and speed
User interface and ease to use
6.Are there any feature or improvements you would like to see in future iPhone models:
Strongly agree Agree Neutral Disagree Strongly disagree
Improved camera
capabilities
Faster performance
Enhanced security
Feature
More customization
Options
33
7.How important is brand loyalty when it comes to choosing an iPhone:
Extremely important[ ] Somewhat important[ ] Not important[ ]
9.Are there any specific challenges are concerns you have experienced with iPhone:
Yes[ ] No[ ]
10.How satisfied are you with the customer support provided by apple:
Satisfied[ ] Neutral[ ] Dissatisfied[ ]
34