s aqarT velos mecn ierebaTa erovnu li ak ad em iis moam be, t. 9, #1, 2015 BULL ET IN OF THE GEORGIAN NATIONAL ACADEM Y OF SCIENCE S, vols. 9, no. 1, 2015 Management Analysis the Influence of Trusting a Brand, Brand Logo and Brand’s Character on Deciding to Buy, Considering Loyalty Mediator Role for a Brand Niloofar Naziri*, Behrooz Ghasemi*, Soheil Sarmad Saeidi* * Department of Management, Islamic Azad University, Central Tehran Branch, Tehran, Iran ABSTRACT. Nowadays, to value customers and influence on deciding to buy a product, marketers should have more concentration on brand making strategy and also creation and maintenance of loyal customers’ base. By increasing competence between brands, manager’s face more challenges in adapting their brands to customers changed understandings and tastes. In order to create and maintain loyalty to a brand, managers evaluate relevant and irrelevant aspects of products. Today, managers intend to impress a favorable powerful and unique brand in customers’ minds. Managing a brand and loyalty of customers seems to be necessary to gain a rivalry advantage. Researches indicate that entity and character, quality, impressiveness and loyalty and brand preference are among variables and factors of brands. Considering the importance of brand logo, brand character, reliability and its influence on customers, this research is intended to study influence of these variables on deciding to further purchase according to the role of customers’ loyalty mediator factor in garment industry.This research is operational and surveyed-field type from the perspective of information gathering method, has a descriptive nature and correlational type. To analyze assumptions and evaluating total fitting of conceptual model, structural equations modeling (minimum of partial squares approach) has been used. Statistical population of this research is consumers of Nike and Addidas trade marks in Tehran.Results obtained from this research demonstrates that there is a positive and meaningful relationship between these three variables: “trusting a brand”, “ brand logo”, “ brand character” and “ loyalty to a brand” and also between these three variables: “trusting a brand”, “ brand logo”, “ brand character” and “ deciding to further purchase” and also between “ loyalty to a brand” and “deciding to further purchase”.© 2015 Bull. Georg. Natl.Acad. Sci. Key words: loyalty to a brand, deciding to further purchase, reliability of a brand, brand logo, structural equation model, squares INTRODUCTION In the competitive conditions of today’s markets, achieving a suitable position in consumers’ mind in order to make them to be loyal to the company or the brand is too important and one of the factors to gain such a position in customers’ mind, is the special value of the trademark and the brand. The value of trademark is the ultimate ideality or added value that a product such as Coca cola can create. One of the main reasons about the importance of this concept is its strategic role in achieving competitive advantage. This competitive advantage is obtained from markets. Consumers have too many decisions to purchase different things every day and deciding to purchase is the central and main point of marketing efforts. Through examinations and detailed studies of many great companies about “deciding to purchase” subject is to answer these principal questions: what kind of products, consumers buy? © 2015 Bull. Georg. Natl. Acad. Sci. 482 N.Naziri Where do they buy? How and how much? Why and when?In order to buy a product or receiving a service, consumers do a series of actions that we call: consumer’s deciding process. After determining their needs, consumers begin to gather information and then according to the information, evaluate purchasing options and finally decide to buy (Jalilvand and Ebrahimi, 1390).Therefore, nowadays the influence on deciding to purchase products makes marketers to have more concentration on brand making strategy and also creation and maintenance of loyal customers’ base (Hamid, 2013). By increasing competence between brands, managers face more challenges in adapting their brands to customers changed understandings and tastes (Gadswar, 2008). It is so important to understand that creation of value for customers is not obtained only by operational ideality of products or services (Jamal and goode, 2001). From customers’ behavior point of view, value is not because of product or service. It is important that this value is in their minds, potentially or de facto (kapferer, 2008). Therefore focusing on addressees’ mind and how to create mental value (Tominan, 1999) play and key role in long-time creation of value. So, brand strategic management and implementing brand making policies are very important in strategic management of organizations.Nowadays, brand making is a vital importance in markets to create loyalty in customers, profit making and also strength of the organization (Bartlet and Gooshal, 2009). This concept also can act as a powerful mean to setting company sources in order to develop strategic competitive advantage. Although some advantages are not known very good these days, but it can be observed that present focusing on brand making according to values and culture, makes companies to have excess concentration on their brand character so responding to change process has been reduced (Aker and Keler, 2010).Today, brand making has been introduced as a multiple challenge process for companies (Barvised and Robinson, 2011). Need to distinguish customized products in market, need to attract and keep personnel who have high capabilities in order to support the creation of value process, need to identifying incremental expectances and favors of beneficiaries in order to protect legality of the company and need to present an enduring, strong and reliable of company in order to safeguard the continuity of the company against rivals and investors are obvious among complexities of the relations and needs of the company to become well-known and popular. In order to make and maintain loyalty to a brand, managers evaluate relevant and irrelevant aspects of products (Kapferer, 2004). Today, managers intend to impress a favorable powerful and unique brand in customers’ minds. Managing a brand and loyalty of customers seems to be necessary to gain a rivalry advantage. Researches indicate that entity and character, quality, impressiveness and loyalty and brand preference are among variables and factors of brands (Larche and et. Al). Considering the importance of brand logo, brand character, reliability and its influence on customers, this research is intended to study influence of these variables on deciding to further purchase according to the role of customers’ loyalty mediator factor in garment industry. RESEARCH THEORY BASES Ranjbarian and et. Al (1391) in a research showed that in chain stores, perceived quality influences on perceived value and also customers’ satisfaction and deciding for further purchase. In addition, perceived value influences on customers’ satisfaction and deciding for further purchase. Customers’ satisfaction influences on deciding for further purchase. Sadeghiani (1388), in his research, by applying special value pattern of Accer brand, investigates the relationship between independent variables such as loyalty to a brand, brand quality, perceived quality of the brand, association of the brand and brand popularity on an international and local brand special value from customers’ point of view. In his research, Ja’farnejad (1388) states that there is a meaningful difference in innovation index between company’s customers and experts points of view. This difference results from different perceives of innovation concept from both sides.Ghorabi (1388), showed in a research that observing qualitative standards influences on the brand logo of Gostaresh Foolad industry. Bahreinizade and Tavasoli (1392) showed in a research that customer’s special value and customer’s satisfaction has a direct influence on loyalty of customers and special value of value, special value of relations and special value of trademark has indirect influence on customers’ loyalty. Parhiakar and et. Al shows in a research that there is not any direct relationship between brand logo popularity and consumers’ loyalty.Moradi and Zare’ee (2011) confirmed the relationship between awareness, perceived quality and loyalty to a brand via these two variables. Rahimnia an Ftemi (1391) showed that the indirect influence of successful relations to customers on brand logo is more than its direct influence that shows the important role of brand special value in creating brand logo.ShahHosseini and et. Al (1390) demonstrates that combination process marketing has influence on oral propaganda customers’ decision to purchase, whereas this variable doesn’t have any relationship to inner perceives.GilaniNia and Moosavian (1389) showed in a research that loyalty, awareness and quality have influence on brand special value. Awareness of a brand is one of the impressive factors of loyalty of customers to a brand.Dolatabadi and et. Al. (1393) demonstrates that mediator variables are confirmed. In other words, findings of this research confirm the importance role of brand entity in impressiveness of a brand, and also preference and trusting a brand to predict the loyalty to a brand level. Bull. Georg. Natl. Acad. Sci., vols. 9, no. 1, 2015 Analysis the Influence of Trusting a Brand, Brand Logo and Brand’s Character on Deciding to Buy, Considering Loyalty Mediator Role for a Brand 483 Boo and et. Al. (2009) confirms brand special value concept based on customers and additionally, shows that brand popularity has positive influence on brand value but it can’t have any direct influence on customers ‘ loyalty to a brand. Kim and et. Al. (2011) showed in their research that brand entity influences on all the variables. Zoobja and wooris (2006) mentioned the effect of brand satisfactory level and loyalty to a brand. Papoo and Coaster showed that there is positive relationship between brand satisfactory and awareness level, perceived quality and loyalty to a brand.Kim and et. Al. (2008) confirmed that customers’ satisfaction have positive influence on brand awareness level, perceived quality and loyalty to a brand.Kim and et. Al. (2008), Delgadoo and Bulster and et. Al. (2005) and also Chen (2010) confirmed that reliance is an important factor that shapes the relations and this reliance increases popularity, perceived quality and loyalty to a brand.Norzalita AbolAziz and NoorjayaMahdeyasin (2010) find out that organization performance has a deep influence on their access to special value for organization’s brand. Chin Foo Chen and Van Shian Sang (2010) find out that there isn’t any positive and meaningful relationship between perceived quality and brand special value and also between brand logo and brand special value. Bavelangma and Lin Jang (2010) showed in a research that loss of a product occurs because of changes in customers purchase behavior.Kayaman and Arsly (2007), by using perceived quality aspects in their article and analyzing their relations to loyalty and brand logo concluded that brand special value aspects influence on brand logo. In their article, Joo and Chen (2010) showed that hotels often use advertisement to establish connections with customers and service marketing to help guests to get information relative to brand.Trusting a brand: Consumer’s imagination based on trademark as an entity that possess character, should behave according to consumers’ expectations (Balid and Behi, 2011).Brand logo: Symbolic and operational believes, unite final perception of the brand for the customer (Broodi and et. Al.).Trademark character: is a strategic tool that helps understanding trademark including individual perceptions of trademark, distinguish among trademarks entity and finally creating brand special value of trademark entity (Aker, 1996).Loyalty to a trademark: It refers to the attitude to be loyal to a trademark and can be shown as consumers’ first option in selecting a brand (Yoo and Dantoom, 2001). Deciding for purchase: Select a brand in consumers’ minds among other brands. RESEARCH METHOD The present research is operational because it is intended to use its results in Nike and Addidas agency. And also, considering that it has been done to investigate the relationship between brand logo, trusting to a brand, brand character and loyalty to a brand and deciding for further purchase. According to this, some assumptions have been set, so it is an assuming-test research. Of course, according to some questions and performed investigations, some of the research findings are of descriptive researches and has been fulfilled via correlational and surveyed methods. Considering that research data gathered by using questionnaire and polling method. Field study (questionnaire) and library study methods have been used for gathering information. The statistical population of the research is consumers of Nike and Addidas in Tehran. Because of the infinite number of examinees, sampling method was used.Considering the small amount of samples in the research and investigate the effect of variables, analyzing method is partial least square root (PLS). In the present research, considering that the sample volume is limited, it was impossible to use parametric methods of prediction such as multi-variable regression method. Therefore, using PLS is suitable in these cases. In PLS method, research assumption test via analyzing path coefficients and explicated variance valued IR2 is possible (Vinzee and et. Al.,2010). Furthermore, self-managing method (200 subsamples) to calculate statistic values of T is used in order to determine the meaningful state of path coefficients. Path coefficients are used for determining the share of each predicting variable in explicating variable variance. And values of R2 indicate the variable explicated variance via predicting variables. In addition, Estoun-geyser Q2 coefficient is used to investigate predicting ability of dependent variables from dependent variables. Positive values of this coefficient indicates the ability of prediction (Vinzee and et. Al., 2010). RESEARCH FINDINGS Normal distribution test In this research, Kolmogroff-Smirnoff test has been used to become sure of the normal state of data. To analyze data, we assume data to be normal and set its variable to zero and test it by 5% of error level. Therefore if the results show a number equal/greater than 0.05, there won’t be any reason to reject zero assumption that indicates the normal state of data. In other words, data distribution would be normal.To perform this test, statistical assumptions are set as follow: Zero (0) assumption: data distribution for each variable is normal. One (1) assumption: data distribution for each variable is not normal Bull. Georg. Natl. Acad. Sci., vols. 9, no. 1, 2015 484 N.Naziri Table 1: results obtained from Kolmogroff-Smirnoff test Trust to a Brand logo Brand Loyalty to a brand character brand Quantity Average Normal parameters Standard deviation Absolute Most value differences Positive Negative Kolmogrof-Sminroff statistics Meaningful test 396 3.4402 396 3.4111 396 3.4263 396 3.3439 Deciding for further purchase 396 3.3434 0.82007 0.83583 0.95252 0.90626 0.89523 0.104 0.100 0.103 0.086 0.84 0.072 -0.104 2.064 0.056 0.075 -0.100 1.997 0.081 0.054 -0.103 2.045 0.062 0.058 -0.86 1.714 0.076 0.063 -0.084 1.666 0.098 As can be observed from above table, data distribution is normal for all the indexes because meaningful test is greater than 0.05.Result of trusting a brand and loyalty to a brand assumption: The value of beta for trusting a brand and loyalty to a brand path is equal to 0.258. Because the t value is calculated, this path is 2.937 and it can be said that there is a positive and meaningful relationship between trusting a brand and loyalty to a brand. Result of brand logo and loyalty to a brand assumption: The value of beta for brand logo and loyalty to a brand path is equal to 0.386. Because the t value is calculated, this path is 5.558 and it can be said that there is a positive and meaningful relationship between brand logo and loyalty to a brand. Result of brand character and loyalty to a brand assumption: The value of beta for brand character and loyalty to a brand path is equal to 0.291. Because the t value is calculated, this path is 4.586 and it can be said that there is a positive and meaningful relationship between brand character and loyalty to a brand. Result of trusting a brand and deciding for further purchase assumption: The value of beta for trusting a brand and deciding for further purchase path is equal to 0.166. Because the t value is calculated, this path is 1.988 and it can be said that there is a positive and meaningful relationship between trusting a brand and deciding for further purchase Result of brand logo and deciding for further purchase assumption: The value of beta for brand logo and deciding for further purchase path is equal to 0.187. Because the t value is calculated, this path is 1.776 (alfa= 0.1) it can be said that there is a positive and meaningful relationship between brand logo and deciding for further purchase Result of brand character and deciding for further purchase assumption: The value of beta for brand character and deciding for further purchase path is equal to 0.395. Because the t value is calculated, this path is 3.106 and it can be said that there is a positive and meaningful relationship between brand character and deciding for further purchase. Result of loyalty to a brand and deciding for further purchase assumption:The value of beta for loyalty to a brand and deciding for further purchase path is equal to 0.311. Because the t value is calculated, this path is 3.349 and it can be said that there is a positive and meaningful relationship between loyalty to a brand and deciding for further purchase. Results obtained from research assumptions are given in table 11-4 Path Table 2: coefficients of research conceptual model path Path coefficient Trusting a brand 0.258 Brand logo 0.386 Brand character 0.282 Trustinga brand 0.166 Loyalty to a brand Loyalty to a brand Loyalty to a brand deciding for further purchase Brand logo deciding for further purchase Brand character deciding for further purchase Loyalty to a brand deciding for further purchase For loyalty to a brand For loyalty to a brand deciding for further purchase deciding for further purchase Bull. Georg. Natl. Acad. Sci., vols. 9, no. 1, 2015 Result of t assumption 2.93 5.55 4.58 1.988 0.187 1.776 0.395 3.106 0.311 3.349 0.773 0.34 0.427 0.29 485 Analysis the Influence of Trusting a Brand, Brand Logo and Brand’s Character on Deciding to Buy, Considering Loyalty Mediator Role for a Brand As can be seen from the following figure, determination coefficient for dependent variable of loyalty to a brand is equal to 0.773 and for dependent variable of deciding for further purchase is equal to 0.427. Calculated path coefficients and t values for completed model of research theory are given in the following figure. Trusting a brand 0.427𝑅 0.166 )1.988( deciding for further purchase 0.258 )2.93( Brand logo 0.386 )5.55( 0.311 )3.349( Brand character 0.282 )4.58( loyalty to a brand CONCLUSION 0.773𝑅 First main assumption There is a meaningful relationship between “trusting a brand”, “ brand logo”, “ brand character” and “ loyalty to a brand”. Results obtained from tests show that there is a positive and meaningful relationship between “trusting a brand”, “ brand logo”, “ brand character” and “ loyalty to a brand”. Results show that “trusting a brand”, “ brand logo” and “ brand character” can predict about 77 percent of changes in “ loyalty to a brand”. So the first assumption is approved. Therefore it can be said that improving the level of “trusting a brand”, “ brand logo” and “ brand character” in customers up to 95% can increase “ loyalty to a brand” level. Second main assumption There is a meaningful relationship between “trusting a brand”, “brand logo”, “brand character” and “ deciding for further purchase”. Results obtained from tests show that there is a positive and meaningful relationship between “trusting a brand”, “ brand logo”, “brand character” and “ deciding for further purchase”. Third main assumption There is a meaningful relationship between “loyalty to a brand” and “ deciding for further purchase”. Results obtained from tests show that there is a positive and meaningful relationship between “ loyalty to a brand” and “deciding for further purchase”. Results of second and third assumptions show that “trusting a brand”, “ brand logo”, “ loyalty to a brand” and “ brand character” can predict about 48 percent of changes in “ deciding for further purchase”. Therefore it can be said that improving the level of “trusting a brand”, “ brand logo”, “loyalty to a brand” and “ brand character” in customers up to 95% can increase “ deciding for further purchase” level. Subsidiary assumption 1: There is a meaningful relationship between trusting a brand and loyalty to a brand Results show a positive and meaningful relationship between “trusting a brand” and “ loyalty to a brand” variables. So the first assumption is approved. Therefore it can be said that improving the level of “trusting a brand” in customers up to 95% can increase “ loyalty to a brand” level. Subsidiary assumption 2: There is a meaningful relationship between brand logo and loyalty to a brand Results show a positive and meaningful relationship between “brand logo” and “ loyalty to a brand” variables. So the second assumption is approved. Therefore it can be said that improving the level of “brand logo” in customers up to 95% can increase “ loyalty to a brand” level. Subsidiary assumption 3: There is a meaningful relationship between brand entity and loyalty to a brand Results show a positive and meaningful relationship between “brand character” and “ loyalty to a brand” variables. So the third assumption is approved. Therefore it can be said that improving the level of “brand character” in customers up to 95% can increase “ loyalty to a brand” level. Subsidiary assumption 5: There is a meaningful relationship between brand logo and deciding for further purchase Results show a positive and meaningful relationship between “brand logo” and “deciding for further purchase” variables. So the fifth assumption is approved. Therefore it can be said that improving the level of “brand logo” in customers up to 95% can increase “deciding for further purchase” level. Bull. Georg. Natl. Acad. Sci., vols. 9, no. 1, 2015 486 N.Naziri Subsidiary assumption 6: There is a meaningful relationship between brand entity and deciding for further purchase Results show a positive and meaningful relationship between “brand character” and “deciding for further purchase” variables. So the sixth assumption is approved. Therefore it can be said that improving the level of “brand character” in customers up to 95% can increase “deciding for further purchase” level. 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