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THE INFLUENCE OF FACEBOOK PAGE ACTIVITIES ON CUSTOMER BRAND

LOYALTY: AN EXPLORATORY STUDY ON LEV’S PIZZA

Background of the Business

Lev's Pizza located in Sicisican, Palawan, has become a local favorite, due to its delicious
pizzas. The history of Lev's Pizza begins with its founder, Lev, who introduced his passion of
authentic Italian cuisine to the island of Palawan. Lev, a native of Sicily, Italy, travelled to
Palawan with the goal of teaching Sicilian-style pizza to the locals. Lev’s has 7 branches and
they started their business in Palawan during the pandemic. Lev's Pizza quickly became
famous with both locals and visitors, because to its tasty toppings, crunchy crust, and great
quantities. What sets Lev's Pizza is its dedication to using fresh, locally sourced ingredients
in combination with traditional Sicilian recipes, delivering a genuine and memorable dining
experience. Today, Lev's Pizza continues to delight customers with its tasty pizzas, friendly
service.

Marketing Problem

Lev's Pizza faces significant challenges with decreased afternoon and evening low customer
number, resulting in lost revenue and underutilized resources. Additionally, the absence of a
Facebook page and having only contact number restricts accessibility for potential customers,
hindering information access and order placement.

Research Gap

Based on our review on past literature and studies, most of them do not directly explore the
relationship between Facebook page activities of businesses and its impact to customer
loyalty. For instance, a study conducted by Richard and Guppy (2014) revolved around the
influence of Facebook activities to consumer purchase intention. Richard and Guppy also
suggested that future research should explore the relationship of Facebook page activities on
consumer brand loyalty as their study concluded that some of the respondents affected by
Facebook activities such as online sales promotions, announcements, are not directly
influencing their purchase intention. Hence, the study anchored on the study of Richard and
Guppy (2014), aims to explore the relationship of Facebook activities to building consumer
brand loyalty and not just mere purchase intent.

Rationale
It is no doubt that social media is a powerful platform for many businesses to thrive in the
completive market. Most of the business maximizes the opportunities it brought; however,
Lev’s Pizza is not one of them. The business has yet to leverage the benefits from social
media particularly Facebook who is the most used social media platform. The business faces
problem in having low number of customers that visits and purchases Lev’s Pizza, they think
it is because of not having Facebook page where consumers can conveniently order or ask
queries with the them. Hence, the study aims to determine if there is a relationship between
Facebook page activities of a business such as online posting and online interaction to the
customer brand loyalty. The findings of the study will help Lev’s Pizza decide whether to
create Facebook page or not. Additionally, the findings might help Lev’s Pizza craft offers
dedicated to their loyal customer as they currently do not have promotions which might affect
the low customer retention.

THE IMPACT OF TASTE, PRICE, AND PLACE ON CONSUMER PURCHASE


INTENTION: A CASE OF CAEF’S SPECIALTY COFFEE

Background of the Business

Kaef Coffee is located in Paljeks Central Market, Barangay Sicsican. They serve a
variety of coffees and desserts that will delight to those who enjoy both coffee and sweets.
Aside from the food and drinks on their menu, you can appreciate the shop's pleasant lighting
and design. They were successful in launching their coffee shop and attracting the attention
of both local and foreign customers utilizing social media. They are open from 3 p.m. until 11
p.m., when a significant volume of clients is expected. Kaef Coffee has already been in
operation for two months and aims to expand once it becomes successful.

Marketing Problem

The problem that Kaef Coffee is facing is the buying power of their customers
because not all of their potential customers can afford the price of the products they offer,
because their target customers are high income people who can afford pay for their product.
When it comes to the location of their business, their market is really difficult because their
coffee shop is not known because their business has only been running for 2 months. When it
comes to the number of their customers, they have more customers on weekends and less on
weekdays. They cannot operate in the morning because it is hot so they operate from 3pm to
11pm because they are still thinking about operating in the morning if they can sell.

Research Gap

A study by Paiva et.al (2017) explored the attributes considered by coffee consumers during
their buying decision process from which physical and mental or psychological attributes
were studied. Their study suggested to look on the impact of price, taste, and place on the
buying decision of consumer.

Ratioanale

In the 2022, 80% or 8 out of 10 of the Filipino adults drink an average of 2.5 cups of coffee
every day and the average cost of a cup of coffee in a coffee shop is $3.02 which is about 160
in Philippine peso (Laurico et.al, 2021). The growing consumption of Filipinos to coffee has
drawn interest of many businesses in putting up coffee shops from which Specialty Caef is
one of them. However, as new entrants in the coffee market, Specialty Caef has been dealing
with difficulty in knowing the preference of Palawenos towards purchasing specialty coffee
in coffee shops. Consumers have varying factors that affect their purchase intent. What
people want is more than a cup of coffee; actually, they want a café to satisfy their needs
(Lee, 1998). Moreover, it gives more choices for consumers who would choose a coffee to
consume according to their individual needs, such as coffee quality, pricing, space,
environment, or brand image (Kai, 2001). Hence, it is important for Specialty Caef to
determine the consumers preference of choosing coffee shop and whether the measured
variable; price, taste, and place affect their purchase intent. The outcome of the study will
provide significant insights for researchers in crafting the best marketing strategies and
identify areas for improvement based on consumer attitude. Furthermore, the implementation
of the strategies hopes to increase the sale and establish loyalty among consumer of Specialty
Caef”s Coffee.
CONSUMER PERCEPTION TO WOW SABOR’S REBRANDING STRATEGY: AN
EXPLORATORY STUDY

Background of the Business

In its nearly nine years of existence, Wow Davao Lechon Manok and Crunchy Liempo, under
the leadership of COO Ms. Zoey Laurel, has navigated numerous challenges, circumstances,
and achievements, contributing to the local economy by providing job opportunities and
advance economic growth. Recognizing the importance of continuous improvement not just
for profit but also for societal impact, Wow Davao stick to this principle.

Marketing Problem

Due to the increasing competition in the market for roasted meat, Wow Davao is facing
difficulty in attracting and maintaining customers with their brand. Brand has been defined as
“the sum of all associations, feelings, attitudes and perceptions that people have related to the
tangible and intangible characteristics of a company, product or service” (Brandeo, 2014).
Highlighting the importance of brand in consumer buying decision, it is indeed important that
businesses should make their brand appealing for target customers. Wow Davao was
established in 2015 and has yet to undergo rebranding, noticed the importance of brand
recognition in purchase intent of customers. This year, they officially launched their new
brand name which is Wow Sabor and made some changes with color, symbols, tagline and
other stuff. The business fear that customers do not like the new brand and might not
patronize their products because of the sudden change.

Research Gap

According to Juntunen et al. (2015), defined rebranding as the change or modification of the
brand in order to stimulate a change in attitudes, perceptions and behavior of customers.
Rebranding strategy can be employed or viewed in two different ways the first one being
related to changes in the visual identity of an organization, that is to say changing the logo
and name of the organization. Rebranding was mostly used in big corporations, that is why
most the literature were focused in the corporations only. For instance, a study of Nyagada
et.al (2018) revolved around the effect of rebranding strategy on consumer brand preference
through changes in content, digitalization, and programming. A similar study conducted by
Chemayiek (2005) who also focused on consumer perception of corporate rebranding but is
focused in airline industry. Based on the review of past literature and studies, there exist lack
of literature and studies on consumer perception towards rebranding strategy that directly
points out the food industry.

Rationale

With the rising competition in food industry, numerous businesses are finding ways to thrive
in the market. Recently, Wow Davao officially changed their branding to Wow Sabor. A very
noticeable changes is not only evident on their brand name but also on their logo, color
associated with the brand, slogans, and other visual items. This sudden change has led to
Wow Sabor’s shift on marketing strategies which they can only done well by exploring
consumer perception towards the new branding. The study aimed to analyze the consumers’
perception on brand image, consumer attitude towards the brand, and their purchase
intention. The outcome of the measured variables will be significant for Wow Sabor in
making necessary adjustment on their branding such as the use of graphic icon or content,
choice of color, logo design, and slogan. Identifying consumer perception towards the brand
will increase brand loyalty and improved brand image.
Reference

Juntunen M, Saraniemi S, Halttu M, Tähtinen J. Corporate brand building in different stages

of small business growth. Journal of Brand Management; 2010.

Nyagadza, B., Chodeva, T. I. N. A. S. H. E., & Vingirayi, I. S. H. U. M. A. E. L. (2018).


Rebranding strategy affect on brand preference: Perspectives from a Zimbabwean
corporation. Journal of Global Economics, Management and Business Research, 10(3), 124-
136.

Chemayiek, T. T. (2005). Consumer's Perception Of Corporate Rebranding Strategy By


Kenya Airways (Doctoral dissertation).

Richard, J., & Guppy, S. (2014). Facebook: Investigating the influence on consumer purchase
intention.

Sá, F. B. D., Paiva, R. V. C. D., Souki, G. Q., & Moura, L. R. C. (2017). Attributes
considered by coffee consumers during their buying decision process: a study using factorial
analysis.

Laurico, K. R., N., Lee, J. Y., Lee, B. H., & Kim, J. H. (2021). Consumers’ valuation of local
specialty coffee: the case of Philippines. The Journal of the Korean Society of International
Agriculture, 33(4), 338–348. https://doi.org/10.12719/ksia.2021.33.4.338

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