The Effect of Brand Image On

Consumer Preferences
RESEARCH CONDUCTED BY: AMEER AHMED KHAN
SUBMITTED TO: MUHAMMAD IMRAN KHAN
Chapter 1: Introduction

Background of the study:

 Herbs and spices have always been synonymous with human civilization and
since earlier civilizations; these spices have been used to taste our foods. Also,
spices have influenced human practices such as exploration and commerce,
because they represent highly prized products, and therefore have an indirect
influence on human culture.No matter what industry or service it is, Brand image
is the main factor which relates to the overall understanding and feeling of a brand
by the customer and also has an impact on consumer preferences.
Chapter 1: Introduction

Statement of the problem:

 Consumer preferences change when the luxuries of yesterday are the needs of
today. The survival of the market is based on the satisfaction of the customer.
 The increasing quest for creativity and modern technologies to please themselves
has somewhat made the consumers confuse as to what must be bought and what
not
Chapter 1: Introduction

Research objective:
 The objective of the research is to examine the effect of brand image, product
packaging and design, and price on the spices and herbs’ consumer preference in
Karachi, Pakistan.

Research question:
 What is the effect of brand image, product packaging and design, and price on
consumer preference?
Chapter 1: Introduction

Significance of the study:

 This research has provided several significant additions to the existing body of research
works related to this topic.
 The contribution of this study is that it offered credible evidence for a causal link
between consumer preferences and brand image concerning the spice industry of
Karachi.
 The research will certainly guide the academicians, managers, and practitioners to
ensure optimum success.
 this analysis is also intended to lead to the improvement of the Pakistani spice markets.
 this analysis can be helpful for practitioners to examine the potential long-term effect of
Brand image on consumer preference.
Chapter 1: Introduction

Scope of the study:

 Research has aimed to examine the impact of Brand Image, Product Packaging, and
Design, and Price on Consumer Preference in the spice industry of Karachi, Pakistan.
 The independent variables that are used in this study are Brand Image, Product
Packaging, and Design and Price.
 The dependent variable is Consumer Preference.
 The study has used the quantitative approach.
 The target population of the current study is the consumers of the herbs and spices of
Karachi
 The convenience sampling technique had been applied.
 the effect of independent variables had been examined on the dependent variable
Chapter 1: Introduction

Model Hypotheses:
 H01: Brand image has significantly positive effect on consumer preference.
 Ha1: Brand image has no significantly positive effect on consumer preference.
 H02: Product packaging and design has significantly positive effect on consumer
preference.
 Ha2: Product packaging and design has no significantly positive effect on
consumer preference.
 H03: Price has significantly positive effect on consumer preference.
 Ha3: Price has no significantly positive effect on consumer preference.
Chapter 2: Literature Reviews

This section comprises of the relevant literatures related to the conceptual model.
 The study conduct in US among the customers of the restaurants in Miami to
examine the effect of brand image on the consumers attributes preference.
 The study conducted in the Port Harcourt, River state to observe the impact of
brand image on the consumer taste preference for the bottle water
Chapter 3: Methodology

Research Approach:
 The quantitative research approach supports in quantifying the data collected
represent the findings of the study numerically and statistically.
 The quantitative research approach supports in quantifying the data collected
represent the findings of the study numerically and statistically.
Chapter 3: Methodology

 Research Design:
 Non-experimental research design used to examine the relation among two or
more variables statistically.
 The current study had focused on examining the relation among brand image,
price, packaging design, and consumer preference statistically
Sample Size:
 In order to have effective analysis the data had been collected from 100
respondents.
Chapter 3: Methodology

Sampling Technique:
 One of the kind of non-probability sampling technique is convenience sampling
technique.
 The data in the current study had been collected from consumers of the herbs and
spices
Data Analysis Technique:
 The value of the independent variables is typically calculated by the population or
sample.
 In the current study the effect of independent variables had been examined on the
dependent variable, hence the multiple regression analysis technique was applied.
 Chapter 4: Results and Findings
Descriptive statistics:

The following table 1 has showed the demographic results of respondents.

Table 1: Descriptive Statistics (n = 100)
  Frequency Percent
Male 40 40.0
Gender
Female 60 60.0
Less than 25 30 30.0
25 to 34 23 23.0
Age Group (Years)
35 to 44 25 25.0
45 or above 22 22.0
Intermediate 22 22.0
Undergraduate 29 29.0
Education
Graduate 20 20.0
Postgraduate 29 29.0
Less than 25,000 29 29.0
25,000 to 50,000 18 18.0
Monthly Income (PKR)
50,001 to 75,000 25 25.0
More than 75,000 28 28.0
Shan Foods 23 23.0
National Foods 13 13.0
Mehran Foods 13 13.0
Preferred Brand
Ahmed Foods 15 15.0
Kausar 22 22.0
Others 14 14.0
Chapter 4: Results and Findings
Reliability analysis:

The following table 2 has showed the results of reliability analysis.

Table 2: Reliability Analysis

Variable Name N Items Cronbach's Alpha

Brand Image 5 0.637

Product Packaging and Design 5 0.800

Price 4 0.864

Consumer Preference 4 0.826

Overall Instrument 18 0.914

 Chapter 4: Results and Findings
Multiple regression analysis:

The following table 3 has showed the results of multiple regression analysis.
Table 3: Multiple Regression Analysis
  Beta Std. Error T-Stats Prob. VIF
(Constant) -1.119 0.667 -1.677 0.097 N/A
Brand Image 0.890 0.146 6.072 0.000 3.822
Product Packaging and Design 0.132 0.102 1.292 0.199 2.446
Price 0.230 0.087 2.647 0.009 1.975
Dependent Variable: Consumer Preference
R-Square = 0.648; Adjusted R-Square = 0.637
F-Statistics (Prob.) = 58.946 (0.000)

Table 4: Hypothesis Testing Summary

Null Hypothesis Decision/Findings
H01: Brand image has significantly positive effect on consumer preference. Accepted
H02: Product packaging and design has significantly positive effect on consumer preference. Rejected
H03: Price has significantly positive effect on consumer preference. Accepted
Chapter 5: Conclusion and Recommendations

Conclusion:
 Due to the constantly evolving culture and economy, consumer preferences and
tastes are changing with each passing day in modern times
 Branded packaged goods are more popular with consumers.
 Brand Image, Product Packaging, and Design and Price are significantly linked to
consumer preference, as per the outcome of the study.
 Brand image determines the identity and prestige of the brand, which becomes
guidelines for consumer preference and desire later on.
Chapter 5: Conclusion and Recommendations

Managerial recommendations:
 Managers should check if the experience, product quality, and service quality
standards are consistent with the general vision of the company and target the
perceptions of consumers to create a positive brand image.
 The findings of this research indicate that the industry manager should build a
complete quality management framework for industries to constantly track
consumer expectations of quality attributes and brand image.
 A sophisticated information system for quality management is therefore required
to enhance consumer preference.
 As the research results have shown that Product Packaging and Design has a
significant effect on consumer preference,
Chapter 5: Conclusion and Recommendations

Limitations of the study:

 Several shortcomings are to be discussed
 In this analysis, the survey was done in one location, so the constraint would be
geographical.
 Secondly, as opposed to the population targeted, the small sample size is the
biggest drawback this research could have
 The industry targeted here are the herbs and spice industry of Karachi; hence the
results cannot be generalized to the other industries.
 While the research is done through quantitative data analysis, the research results
become limited when the data is quantitatively analyzed.
Chapter 5: Conclusion and Recommendations

Future research recommendations:

 Related studies would help endorse our findings in other cultural and
administrative settings since other towns and regions can also be considered. To
make this analysis more relevant and to validate the findings it has provided, the
research should be re-conducted to collect more information from the participants.
 Future studies should explore this subject from the perspective of other nations
 future studies should conduct a comparative analysis of how Asian countries work
to increase the brand image to influence consumer preference as compared to their
European and North American counterparts.