Brand Loyalty

Knowledge Center

12manage is looking for contributors...

   

Description of Brand Loyalty. Explanation.

Contents

  1. Summary
  2. Forum
  3. Best Practices
  4. Expert Tips
  5. Resources
  6. Print
 

Definition Brand Loyalty . Description.


Brand Loyalty (BL) is the situation when a consumer is reluctant to switch from buying and consuming the product from the brand he knows and trusts. It is part of a firm's Relational Capital.


It consists of a consumer's commitment or preference to repurchase the brand and can be demonstrated by repeated buying of the product or service or other positive behaviors such as word of mouth advocacy. It is more than simple repurchasing behavior, since customers may repurchase a brand also due to:

  • Situational constraints.

  • A lack of viable alternatives.

  • Out of convenience.

Such loyalty is then referred to as "Spurious Loyalty".

 

Factors Leading to Brand Loyalty

 

Studies have been conducted how BL is created or what factors determine BL. The most common mentioned antecedents to BL are the following:

  1. Satisfaction (brand reputation): BL is often seen as a way for consumer to show that they are satisfied with certain goods and services.

  2. Perceived Quality: This is the perception that customers have about the ability of certain goods to satisfy their needs and wants. In other words, it is about a customer’s perception about the quality a certain product has with regard to its intended purpose. Perceived quality is a factor often seen as indirectly affecting BL through overall satisfaction.

  3. Brand Trust: Although the relationship between brand trust and BL is difficult to analyze because brand trust measurements are lacking, several studies have found that brand trust creates positive attitudes towards brands which in turn causes increased commitment and BL. Furthermore, brand trust might also lead to an increased desire to create a long-term relation with a brand.

3 reasons why Brand Loyalty is important:

  1. Higher sales volume. Through reducing customer loss.

  2. Premium pricing ability. As loyal consumers are less sensitive to price changes, generally, they are willing to pay more for their preferred brand.

  3. Lower costs for advertising, marketing and distribution. Brand loyalists are willing to search for their favorite brand and are less sensitive to competitive promotions.

Source: Delgado-Ballester, E. And J.L. Munuera-Alemán (2001) “Brand trust in the context of consumer loyalty” European Journal of Marketing Vol. 35 Iss. 11/12 pp 1238-1258.


Brand Loyalty Forum
  Reasons for Switching of Mobile Phone Brand
I will like to known some of the factors that will...
     
 
  Mediating Factors in the Satisfaction-Loyalty Relationship
Of course there exists a relationship between Sati...
     
 
  Brand Loyalty versus Brand Commitment
Hi. Can anyone help me in differentiating brand lo...
     
 
  Brand and Client's Loyalty in Banking
In my countryside (Binh Duong province, Vietnam) w...
     
 
  Multi-brand Loyalty Concept
What is meant with Multi-brand Loyalty? Thanks for...
     
 
  Relationship Between Brand Loyalty and Brand Trust
Hi, I need to know about the impact of brand trust...
     
 
  Measuring Brand Loyalty
Companies use different marketing strategies to cu...
     
 
  Customer Versus Brand Loyalty?
Hi to all. Can anyone help me in differentiating b...
     
 
  How to Collaborate with Already Existing Brands
Hi, I need some inputs about approaching the estab...
     
 
  Relationship Between Brand Loyality and Brand Equity
Are the terms "brand loyality" and "brand equity" ...
     
 
  Brand Loyalty Questionare
Hi, I need a questionaire on brand loyalty. Who ca...
     
 

Brand Loyalty Special Interest Group


Special Interest Group

 

Best Practices - Brand Loyalty Premium

Expert Tips - Brand Loyalty Premium
 

The 22 Laws of Branding (Trout & Ries)Sign up

1. The Law of Expansion: The power of a brand is i...
Usage (application): Branding, Brand Recognition
 
 
 

Brand Engagement of Consumers in the Digital AgeSign up

Edelman argues that nowadays people are connecting...
Usage (application): Branding, Brand Management, Marketing, Advertising
 
 
 

Three Dimensions in How Global Brands are Evaluated by ConsumersSign up

Holt et al. (2004) researched how people evaluate ...
Usage (application): Global Branding, Corporate Reputation, CSR, Globalization
 
 

Resources - Brand Loyalty Premium

Brand Stretching and ExtensionSign up

Presentation that is mainly about Brand Stretching...
Usage (application): Brand Management, Brand Identity, Global Brand, Meta Brand
 

Martin's Trust Model: The Trust MatrixSign up

An important determinant of the reputation of your...
Usage (application): Trust, Corporate Reputation, Corporate Branding, Corporate Image
 

Steve Jobs on Brand Strategy and Core ValuesSign up

In this video Steve Jobs gives a presentation on M...
Usage (application): Marketing, Branding, Strategic Vision, Core Values
 

The Internet / Social Media RevolutionSign up

Video shows how fast social media is growing. And ...
Usage (application): Social Media, Internet Strategy, Internet Impact, Digital Revolution
 

Customer Loyalty: Retaining Customers And Solving Customer ComplaintsSign up

Presentation about loyalty that also include strat...
Usage (application): Customer Loyalty, Customer Retention, Brand Loyalty
 

Introduction to Managing BrandsSign up

Presentation about brand management. Table of cont...
Usage (application): Brand Management, Brand Loyalty, Brand Equity
 

How Sponsoring Enhances and Supports other Marketing ElementsSign up

Fiona Green explaines that sponsoring is valuable ...
Usage (application): Initial Understanding of the Added Value of Sponsoring
 

Understand the Basics Behind Sport SponsoringSign up

A sponsorship is a business contract between a com...
Usage (application): Initial Understanding of Sport Sponsoring
 

Jennifer Aaker on BrandingSign up

Jennifer Aaker explains the difference between bra...
Usage (application): Jennifer Aaker on Branding
 

Customer Value, Satisfaction and LoyaltySign up

Simple presentation about Customer Value, Satisfac...
Usage (application): Customer Retention, Consumer Managment
 

A Consumer Perspective of Cause Related MarketingSign up

Delanie Nielsen explains that for consumers not on...
Usage (application): Initial Understanding of Cause Marketing
 
 

News about Brand LoyaltySign up


     
 

Videos about Brand LoyaltySign up


     
 

Presentations about Brand LoyaltySign up


     
 

Books about Brand LoyaltySign up


     
 

More about Brand LoyaltySign up


     

Compare also: Brand Personality  |  Brand Identity Prism  |  Unbranding  |  Unaided Recall  |  Brand Recognition  |  Nielsen Ratings  |  Relationship Marketing  |  Customer Relationship Management  |  Ambient Advertising

Special Interest Group Leader

You here


 

Return to Management Hub: Marketing  |  Strategy


More on Management  |  Return to Management Dictionary  | 

 

This ends our Brand Loyalty summary and forum.



About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
© 2018 12manage - The Executive Fast Track. V14.1 - Last updated: 19-7-2018. All names ™ of their owners.