1
BRAND EFFECT ON CONSUMER
PREFERENCE
A
Dissertation
Submitted to the
MOHANLAL SUKHADIA UNIVERSITY
University College of Science for the degree of
MASTER OF SCIENCE
in Statistics
By
DHANANJAY SEN, PRIYANKA JAIN, REENA KUNWAR
SOLANKI, SURYABHAN SINGH RAO, VARUN JOSHI,
YUKTI NAGAR
Under the Supervision of
DR. PRADEEP KUMAR VISHWAKARMA
University College of Science
DEPARTMENT OF MATHEMATICS AND STATISTICS
UNIVERSITY COLLEGE OF SCIENCE
UDAIPUR
2023-2024
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ACKNOWLEDGEMENT
I would like to express my heartfelt gratitude and appreciation to the individuals who have
contributed to the successful completion of this project. Their guidance, support, and
encouragement have been invaluable throughout this journey.
First and foremost, I would like to express my heartfelt thanks to my supervisor, Dr. Pradeep
Kumar Vishwakarma (Assistant Professor, Department of Mathematics & Statistics at
Mohanlal Sukhadia University, Udaipur, Rajasthan) for their invaluable mentorship,
expertise, and guidance throughout the project. His dedication to teaching and commitment to
excellence have inspired me to strive for academic excellence and pursue my interests with
passion and diligence.
Furthermore, I extend my deepest gratitude to my parents for their unwavering love, support,
and encouragement throughout my academic journey. Their belief in me has been a constant
source of motivation, and I am truly grateful for their sacrifices and guidance.
I am also indebted to my friends for their camaraderie, laughter, and moral support during
challenging times. Their friendship has enriched my life in countless ways and I am fortunate
to have them by my side.
Lastly, I would like to thank all the participants who generously contributed their time and
insights to this study, without whom this project would not have been possible.
Once again, to everyone who has contributed to this project directly or indirectly, I offer my
deepest appreciation. Thanks to all for being a part of this journey.
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ABSTRACT
This project deals with the results of the survey work, whose purpose is to examine the
impact of brand on influencing consumers to purchase a product. The aim of the project is to
focus the fact that the brand has an impact on customer decision-making process. The
primary data of my survey work has been collected by using a quantitative method of
questionnaire. Into this quantitative survey work, a total of 500 respondents were involved,
out of which, 100 respondents were gave their opinion on this project. An established
questionnaire was pilot tested and revised before it was used. The data obtained from this
questionnaire was analyzed and concluded with descriptive and inferential statistical analysis.
The summary of our results has been tabulated and described graphically. Furthermore, the
Chi-square test and Logistic regression were used as the desired statistical methods.
Keywords – Brand and their effects, Consumer preference, Primary Data, statistical methods,
Chi-square test and Logistic regression.
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SUPERVISOR’S CERTIFICATE
This is to certify that the work reported in the dissertation entitled
“--------------”, submitted by ------------- at Department of Mathematics and
Statistics, University College of Science, MLSU, Udaipur (Raj.) is a bonafide
record of her original work carried out under my supervision. This work has not
been submitted elsewhere for any other degree or diploma.
(Signature of Supervisor)
(…..)
-------,
Department of Mathematics and Statistics,
University College of Science, MLSU, Udaipur (Raj.) Date
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TABLE OF CONTENTS
Page
S. No. Content Number
1 Introduction
2 Literature review
3 Material and Methods
3.1 Study Design and Sample
3.2 The Survey instrument and Data Collection
4 Data Analysis
5 Results & Conclusions
6 Field experiences & Difficulties
7 References
8 Questionnaire
LIST OF TABLES & FIGURES
Page
S. No. Content heading
Number
3.1 Distribution of mean of brand as customer preferences
3.2 Distribution of how customer care about brand as customer
3.3 Distribution of attributes attract to buy a branded Product
Distribution of Influencing factors in decision of purchasing
3.4
branded product.
3.5 Distribution of Price sensitive of customer.
3.6 Distribution of Switch Product.
Table Number Content heading Page
6
Number
4.1 Demographic Variable
Frequency distribution of attributes based on order of
4.2
preference.
Percentage distribution of factors that influence to buy
4.3
branded product.
4.4 Percentage distribution of Price Sensitivity of customer.
4.5 Percentage distribution of Switch the brand Product.
Bivariate table for Gender and Quality attribute to buy
4.6
Branded product.
4.7 Calculation of the Chi- Square (𝛘2) test.
4.8 Results of chi-square test.
4.9 Summary of logistic regression
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1. INTRODUCTION: -
In today’s dynamic and highly competitive marketplace, where consumers are
presented with an overwhelming array of choices, the role of branding in shaping customer
preferences has never been more significant, A brand is more than just a logo or a product; it
embodies the values, personality, and promises of a company, creating a unique identity that
resonates with consumers on an emotional level.
Since market conditions are constantly changing, the new role of brand management
as an integral part of holistic marketing is more important than it ever was. According to the
current situation, it is very important that enterprises manage their brand so they can flexibly
fulfill desires and wishes of their customers. In order to create a competitive brand, they need
to pay attention to their customers constantly. In current market environment, customers are
overwhelmed with plenty of brands and products. The branding effect on customer
preferences is a multifaceted phenomenon, influenced by various factors such as brand
reputation, perceived quality, their individual attitudes, emotional attachment, professed
values but also by the environment in which they spend their lives. A strong brand not only
attracts attention but also instills trust and confidence in consumers, leading to increased
brand loyalty and advocacy.
2. LITERATURE REVIEW: -
2.1 Effects of Brand on Consumer Preferences: A study in Turkmenistan 2015 by authors
Abdurrahman ISIK, Mehmet Fatih YASAR, this study aims to investigate the effects of
brand name on consumer preferences in Turkmenistan. This study sought to investigate
specifically, the influence of brand name on consumer’s preferences by utilizing structural
equation modeling (SEM) technique. Moreover, all possible correlations between these
dimensions or domains of brand name and consumer preferences are also empirically tested.
The results suggest that, brand name variable have statistically significant relationships with
consumer preferences variable. The findings of the study indicated positive correlations
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among the two variables with high factor loadings. Brand name of a product has significant
impact on the overall preferences of the consumers.
2.2 Consumer choice and preference of brand categories 2012 by author Sanjoy Ghose in
Marketing and the Associate dean of Research and doctoral Program at the Sheldon B. Lubar
School Of business, University of Wisconsin-Milwaukee. Oded Lowengart is an Associate
Professor at Department of Business Administration and Dean of the Guilford Glazer Faculty
of Management, Ben-Gurion University of the Negev, Israel. The entire focus of the present
research is to understand the phenomena of consumer choice and preference in the backdrop
of such a market. They model consumer choice in the context of these different categories of
brands by using a multinomial discrete choice model. The estimated model provides us with
several diagnostic findings of managerial interest especially with respect to what kinds of
product attributes differentially affect choice probabilities of different categories of brands–
the international, the national and the private.
2.3 The influence of Price Differences and Brand Familiarity on Brand Preferences 2015 by
KENT B. MONROE is Associate Professor of Marketing at the University of
Massachusetts, Amherst. The research was supported by a grant from the University of
Massachusetts Research Council, and by financial assistance provided by CPC International
and Stanley Home Products. Peter LaPlaca, University of Connecticut, conducted the
experiments in Troy, New York. Using a complex experimental design, the effects of price
and brand familiarity on brand preferences are examined. Results of the research suggest that
changes in brand preferences are asymmetric, and that brand familiarity is a dominant cue.
Also, a methodological finding questions the validity of forced-choice experiments.
2.4 An Attitude model for the Study of Brand Preference 2015 by author Framk M. Bass is
Professor of Industrial Administration, Purdue University, and W. Wayne Talarzyk is Assistant
Professor of Marketing, The Ohio State University. They thank the AAAA Educational Foundation
for its support of this research. This study of consumer brand preference was an application of
a model of consumer attitudes; the basic hypothesis was that measures specific to the
preference alternatives, rather than more general measures such as those of socioeconomic
and personality characteristics, would lead to successful predictions. While the approach is
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intuitively appealing and seemingly obvious, this study is the first to publicly present results
from testing the hypothesis.
2.5 Impact of Brand on Consumer Behavior 2015 by author Henrieta Hrablik Chovanová
Slovak University of Technology in Bratislava, Faculty of Materials Science and Technology
in Trnava, 16 Paulínska St., 917 24 Trnava, Slovakia, Aleksander Ivanovich Korshunov
Kalashnikov Izhevsk State Technical University, Department of Higher Mathematics,
Physics and Chemistry of Votkinsk Branch, 7 Studencheskaya St., 426069 Izhevsk, Russia,
Dagmar Babčanová Slovak University of Technology in Bratislava, Faculty of Materials
Science and Technology in Trnava, 16 Paulínska St., 917 24 Trnava, Slovakia The paper
deals with the results of the primary research which purpose was to examine the impact of
brand on influencing consumers to purchase a product. The goal of the paper is to stress the
fact that the brand has an impact on customer decision making process. As the statistical
method was used chi-square test. Based on above stated subject area of research have been
formulated two hypotheses focused on relationship between the age of respondents and
purchasing branded products and between the age of respondents and brand preference. We
have found that purchasing of branded products and preference of brand origin depends on
the age of consumers.
3. MATERIAL AND METHODS: -
3.1 Study Design and Sample
The research was conducted in Udaipur, Rajasthan. A questionnaire was used in order to
collect primary data. The used questionnaire in this research consisted of 7 common and 13
specialized questions. We took two ways to fill the questionnaire, one Google Form and the
other hardcopies of questionnaire. Approximately 500 hardcopies of questionnaire were
delivered in person randomly using a simple random sampling method. A total of 800
responses were collected through online & offline forms and 500 survey forms were excluded
from the analysis due to missing data. Thus, exactly 100 complete forms (59% male, 41 %
female) were evaluated for further analysis. All data was collected in December 2023.
3.2 The Survey instrument and Data Collection: -
For the purpose of gathering information from respondents was designed a questionnaire, a
research instrument consisting of a series of questions Questionnaire started with basic
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demographic information covering participant’s gender, marital status, address and
occupation. According to research topic participants were asked that they have ever used
branded products. Out of 100 respondents, 96 respondents had used branded products.
Descriptive Summary of Questionaire
1. What do you mean by a Brand?
Customer Preferences
65
23
7
2 3
Better Commu- Competitive Good Value High Quality other
nication Strat- Pricing
egy
No. of customers 7 2 23 65 3
Figure 3.1: Distribution of mean of brand as customer preferences
From above graph, we can see that out of 100 respondents, maximum consumers have chosen
the high quality in selecting their brands, although 23% selected good value and a very
percentage of consumers have selected the other preferences.
Question: “How much do you care about using Brands?” To check responses of participants
as they really care about brands, the question had four options – “Strongly”, “Slightly”, “Not
Much” and “Never”.
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Customer Preferences
52
26
20
Never Not Much Slightly Strongly
No. of customers 2 20 52 26
Figure 3.2: Distribution of how customer care about brand as customer
Question: “What attributes attract you to buy branded products?” The question had four
options and the options are “Brand Name”, “Price Range”, “Product Design” and “Quality”.
Each option was chosen as order of preference i.e., “1”, “2”, “3”, & “4”.
Attributed attract to buy a brand Product
55
50
45
45
35
31 30 30 29
26 27 26
25 24
18
16 15
15 13
11
9
Brand name Price range Product design Quality
1th 26 11 13 50
2nd 31 30 24 15
3rd 16 30 45 9
4th 27 29 18 26
1th 2nd 3rd 4th
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Figure 3.3: Distribution of attributes attract to buy a branded Product
Question: “What influence you to buy branded products?” Respondents were given four
options “Advertisement”, “Attractive packaging”, “Family / Friends” and “Other”
Influencing factors in decision of purchasing branded
product
44
36
11 9
Advertisement Attractive packaging Family / Friends other
Figure 3.4. Distribution of Influencing factors in decision of purchasing branded product.
Questionnaire also consisted questions related to consumers preferences, such as –
Question: “Are you price sensitive customer?” respondents answered in “Yes” and “No”.
Price sensitive customer Perference
NO
24%
Yes
76%
Figure 3.5 Distribution of Price sensitive of customer.
Question: “Will you like to switch your brand preference if another brand offers a significant
price discount on the same product & same quality?” To investigate expected switching
whether a customer will switch due to less price or discount
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Switch Brand Product
60
54
50
40
32
30
20
14
10
0
May be No Yes
Figure 3.6 Distribution of Switch Product.
3.3 Analysis: -
The Microsoft Excel version 2402 software was used to assess the data. Chi-square test and
Logistic regression, using version 2402of Microsoft office, were used to analyze the data..
Chi-square is a statistical test that help us determine if there’s a significant association
between two categorical variables. By comparing observed frequencies with expected
frequencies, the chi-square test helps us to understand if there’s a relationship or the
differences due to chance. In our dataset chi-square test was applied on two variables, the
first one is “Gender” and the second one is “What attributes attract you to buy branded
products?”. We have been formulated a hypothesis focused on relationship between the
gender of respondents and the attributes that attracts them to purchase brand products.
H0: There is no relationship between gender and Quality attribute.
We have used another Statistical method i.e. Logistic regression, which is a statistical
analysis method used to model the relationship between the categorical dependent variable
and one or more independent variables. The logistic function takes any real-valued number
and maps it to a value between 0 &1. Logistic regression is commonly used when the
outcome of interest is binary, meaning it have two possible outcomes. In our case, these two
variables are “Gender” and “Are you price sensitive customer?”. It helps us understand how
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the independent variables influence the probability of a particular outcome occurring. The
formula for the logistic function is –
−z
P ( Y =1∨ X )=1 ¿ 1+e ¿
The variable “z” is linear combination of independent variables, which is then transformed
using the logistic function. By estimating the coefficients of the independent variables,
logistic regression helps us understand how they contribute to probability event occurring.
The significance level for acceptance was set as p < 0.05.
4. RESULT: -
This study has three demographic variables: gender, marital status, occupation. The
distribution of the respondents over the demographic variables is presented in Table 1 A total
of 100 persons participated in the survey. As displayed in Table 1, the majority of study
participants were male (59%) while female respondents constitute 41%. The distribution of
100 respondents over marital status variable, 92% respondents are unmarried, while 8% are
married. In terms of respondents’ occupation, 74 of the 100 respondents were students, 14
were salaried, 7 were merchant and remaining 5 respondents were engaged in other.
Table 4.1 Demographic Variable
Variables Frequency Percentage (%)
Gender
Female 41 41%
Male 59 59%
Marital Status
Married 8 8%
Unmarried 92 92%
Occupation
Merchant 7 7%
other 5 5%
Salaried 14 14%
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Student 74 74%
n = 100
For the purpose of this paper, we decide to analyze two questions from the total amount of 20
questions. The first question was: “What attributes attract you to buy branded products?”
Table – 4.2: Frequency distribution of attributes based on order of preference.
What attributes attract you to buy branded products?
Brand Name
1 26
2 31
3 16
4 27
Price Range
1 11
2 30
3 30
4 29
Product Design
1 13
2 24
3 45
4 18
Quality
1 50
2 15
3 9
4 26
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Within this question we investigated product’s internal factors in decision-making process of
purchasing a branded product, not external factors, e.g. advertising of the product. The
quality is the key factor in decision-making process of purchasing a branded product. Brand
name is second important factor, product design is the third most important and the last one is
Price range.
External influencing factors of the customer’s decision making process were also surveyed in
the next question (Table – 4.3), which was: “What influence you to buy branded products ?”
Table – 4.3 Percentage distribution of factors that influence to buy branded product.
Influence to buy branded Frequency Percentage (%)
Advertisement 44 44
Attractive packaging 11 11
Family / Friends 36 36
other 9 9
Grand Total 100 100
Within this question we investigated product’s external factors in decision-making process of
purchasing a branded product e.g. Advertising, packaging, recommended by family or friends
etc. As we can see, customers are highly influenced by the advertisement of products,
secondly buy any product on the recommendation of family members or friends.
Table 4.4 Percentage distribution of Price Sensitivity of customer.
Price sensitive customer Frequency Percentage (%)
NO 24 24
Yes 76 76
Grand Total 100 100
Table 4.5 Percentage distribution of Switch the brand Product.
Switch product if offers a price Frequency Percentage (%)
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discount on same product and
quality.
May be 32 32
No 14 14
Yes 54 54
Grand Total 100 100
Chi-Square Analysis
Analysis 1: We wish to see the association between gender and quali. For this we have our
desired hypothesis:
Ho
Hi1
Table 4.6: 2 x 4 contogecy table for Bivariate table for gender and Quality attribute to
buy Branded product.: Observed data
Gender
Order of Quality Attribute Female Male Row Total
1 15 35 50
2 6 9 15
3 5 4 9
4 15 11 26
Column Total 41 59 100
Table 4.7 Calculation of the Chi- Square (𝛘2) test.
Quality Attribute Expected Number (O-E)^2/E
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(1) Female Male Female Male
(2) (3) (4) (5)
1 20.5 29.5 1.4756098 1.02542
2 6.15 8.85 0.0036585 0.00254
3 3.69 5.31 0.4650678 0.32318
4 10.66 15.34 1.7669418 1.22787
Table 4.8 Results of chi-square test.
Results Values
Chi- Square test X2 6.290301
Degree of freedom df 3
p- value 0.09831
Tabulated value (0.05, df) 7.81473
From the above analysis, we can observed that the calculated value of Chi Square statistic is
----. On comparing it with Chi Square tabulated, i.e. 6.29…at 7 degree of freedom. Now, we
conclude that our desire null hypothesis H0 may be accepted at 5% level of significance.
Further, we can also see that the p-value of our analysis is comes ou=t to be 0.09..which is
greater than 0.05, hence we may accept our null H0.
It means that there is no association between ….. Hence consumer
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Table 4.9 Summary output of logistic regression.
Summary
Intercept Gender (X)
Coefficients 1.268511325 -0.192371893
Standard Error 0.377307714 0.481409442
P-value 0.000773781 0.689450116
Odd Ratio 3.555555556 0.825
Lower 95% 1.697237272 0.321127493
Upper 95% 7.448560976 2.119485297
Lower 95% 1.697237272 0.321127493
Upper 95% 7.448560976 2.119485297
5 CONCLUSIONS: -
1. maximum consumers have chosen the high quality in selecting their brands, although
23% selected good value and a very percentage of consumers have selected the other
preferences.
2.
The purpose of this study was to examine the relationship between gender and quality
attribute with Chi-square test, between gender and price sensitivity with logistic regression.
These results of this study provide support for the concept that brand variable effects
consumers’ preferences. The Chi-square test and logistic regression results of this study
revealed that a hypothesis (H0) has a statistical significance relationship
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6 QUESTIONNAIRE:-
https://forms.gle/F3VvuZxgYUni8g8L8
1.Abdurraha, ISIK and Yasar, M. F. (2015), Effects……………, Eurasian…………, 8(16),
pp. 1539-150, DOI