The Impact of Marketing Communication on Consumer Brand Loyalty
Chapter One
OBJECTIVES OF THE STUDY
The objectives of the study were:
- To give suitable suggestion where necessary for the improvement of product.
- To know whether brand helps to meet the needs and wants of target markets.
- To show the impact of brand strategy on sales turnover
- To identify the common problem to brand loyalty.
- To know whether brand affect PZ Cusson Nigeria plc, Aba growth negatively.
CHAPTER TWO
LITERATURE REVIEW
Introduction
This chapter analyses the literature available in books and journals on how the four marketing communication strategies in this study affect consumer purchase behavior on FMCG goods. The marketing communication strategies are the independent variables under study and they include: advertising, sales promotions, personal selling and social media. They therefore guide the 4 priorities for this chapter: Section 2.2 discusses how advertising affects consumer purchase behavior of FMCG goods, section 2.3 discusses how sales promotions affects consumer purchase behavior of FMCG goods, section 2.4 discusses how personal selling affects consumer purchase behavior of FMCG goods and finally section 2.5 covers how social media affects consumer purchase behavior of FMCG goods.
The Effects of Advertising on Consumer Purchase Intention
Etzel, et al., (2007) describes advertising as consisting of all activities involved in presenting to a group a non-personal, oral or visual, openly sponsored identified message regarding a product, service, or idea. The message, called an advertisement, is disseminated through one or more media and is paid for by the identified sponsor. These media include broadcast (television and radio), online (emails, websites, social media) and print (newspapers, billboards, brochures, etc.). This study and the literature review in this section mainly observes purchase behavior as a result of advertising exposure regardless of the channel used.
Advertisements are made to not only promote products and the brand but also increase the likelihood that people will buy the products. A positive attitude toward an advertisement predicts a positive attitude toward the brand and also increases the likelihood that the consumer will want to purchase products from the brand in the future (Storme et al., 2015). According to a study done by Saadeghvaziri et al., (2013), the results show that attitude toward online advertising is a statistically significant and positive predictor of web users’ purchase intention. Infact, attitude
toward Web advertising explained 38 percent of the variance in respondents’ purchase intention. Web advertising consists of different forms such as emails, pop up messages, Web sites, and banner ads. These findings suggest that marketers should invest time and money into providing consumers with the afore mentioned beliefs that will likely lead to forming positive attitudes. These positive attitudes, in turn, will likely result in favorable consumer behavior (Saadeghvaziri et al., 2013). In agreement to this, Massey, et al., (2013) research findings show that if respondents like an advertisement, this will improve their attitude towards the advertiser, and this in turn will improve their attitude towards the brand. This is important because one’s attitude towards the brand strongly influences purchase intent across all four cultural groups, for both the ethical and unethical advertisements.
On the other hand, in a study done by Fam-Kim, et al., (2013) in five Asian cities (Hong Kong, Shanghai, Jakarta, Bangkok and Mumbai) more than two thirds of the respondents in each city claimed they would not purchase the advertised product/service if it consists disliked executions (Fam-Kim, et al., 2013). The dislike attributes in this case were: style, meaningless, character, exaggeration, irresponsive, violent and hard sell (Fam-Kim, et al., 2013). Massey, et al., (2013) also suggest that when advertising to culturally conservative groups, caution is required. According to his findings, such groups have lower purchase intent when they do not like the advertisement. Massey’s results therefore suggest that advertisers should factor in this additional stage of evaluation, i.e. building attitude towards the advertiser and the brand into their communication strategy (Massey, et al., 2013). This confirms that advertising can affect either negative or positive purchase behavior.
Besides positive and negative purchase behaviors, Massey, et al., (2013) also finds that advertising has both indirect and direct effects. He confirms that regardless of cultural group, or the perceived ethicality of the advertisement, the effects of the antecedent variables on purchase intent are mainly indirect, and operate via the universal paths. These universal paths are consistent with persuasive hierarchy models (Vakratsas & Ambler, 1999), as they represent a hierarchy in which earlier effects are a
precondition to actions such as purchase. Hence according to the persuasive hierarchy models, if mothers think an advertisement is ethical (cognitive response), they will in turn, like the advertisement (affective response), and will intend to purchase that product (conative response).
The Effects of Advertising Media Channels on Purchase Intention
As earlier established, advertising media include broadcast (television and radio), online (emails, websites, social media) and print (newspapers, billboards, brochures, etc.). Consumers once had a limited number of media channels from which to obtain product information and were forced to rely on word of mouth (WOM) and print media (e.g. newspapers, magazines) to learn about products in which they were interested (Woo et al., 2015). This changed radically in the twentieth century, as the number of media channels increased with the advent of radio and television (TV), revolutionizing the ways in which consumers could access information (Woo et al., 2015). Over the past two decades, the advent of the internet has again fundamentally altered the quantity and quality of information available to consumers. As a type of “new media,” the internet contains all of the information that was available from older media and, when used in conjunction with personal media devices such as smartphones and Tablets, allows consumers to obtain information anywhere, at any time (Woo et al., 2015).
CHAPTER THREE
RESEARCH METHODOLOGY
Introduction
In this chapter, we would describe how the study was carried out.
Research design
Research design is a detailed outline of how an investigation took place. It entails how data is collected, the data collection tools used and the mode of analyzing data collected (Cooper & Schindler (2006). This study used a descriptive research design. Gill and Johnson (2002) state that a descriptive design looks at particular characteristics of a specific population of subjects, at a particular point in time or at different times for comparative purposes. The choice of a survey design for this study was deemed appropriate as Mugenda and Mugenda (2003) attest that it enables the researcher to determine the nature of prevailing conditions without manipulating the subjects.
Further, the survey method was useful in describing the characteristics of a large population and no other method of observation can provide this general capability. On the other hand, since the time duration to complete the research project was limited, the survey method was a cost effective way to gather information from a large group of people within a short time. The survey design made feasible very large samples and thus making the results statistically significant even when analyzing multiple variables. It allowed for many questions to be asked about a given topic giving considerable flexibility to the analysis. Usually, high reliability is easy to obtain by presenting all subjects with a standardized stimulus; observer subjectivity is greatly eliminated. Cooper and Schindler (2006) assert that the results of a survey can be easily generalized to the entire population..
Research settings
This study was carried out in PZ Cusson Nigeria plc, PZ Cusson Nigeria plc was founded in England in 1984 by Peterson (British) and Zochonis (Greek). It has its head office in Manchester, England.
The Company was incorporated in Nigeria as a private company on the 4th December 1948 under the name D.B. Nicholas and company limited. The name was change to Algbon Ind. Ltd. In 1953 and to associated ind. Ltd. On 19th July 1972, it was converted to a public company.
The Aba plant of cussons is located at Margeret Avenue, Eziama, Aba north of Abia state. The Aba plant specializes in the manufacturing of soap (toilet, laundry and medicated) some of the brands produced here includes: Joy, imperial, Premier, Venus, Ava, Cussons and baby soap, Canoe, Duck, Tempo, Robert medicated and robber and antiseptic soap. One company’s fiscal year ends every month. The company renders some social services to its host communicates such as employment especially unskilled labour, provisions of food, roads, water borehole and free technical education at its head office training school in Lagos.
Sources of Data
The data for this study were generated from two main sources; Primary sources and secondary sources. The primary sources include questionnaire, interviews and observation. The secondary sources include journals, bulletins, textbooks and the internet.
Population of the study
A study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitute of individuals or elements that are homogeneous in description (Udoyen, 2019). The population of the study were all the staff in PZ Cusson Nigeria plc Aba Abia state.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of hundred and twenty (120) questionnaires were administered to respondents of which 100 were returned. The analysis of this study is based on the number returned.
DATA PRESENTATION
Table 4.1: Demographic data of respondents
CHAPTER FIVE
CONCLUSION AND RECOMMENDATION
CONCLUSION
In this study, our focus was to carryout a critical analysis on the impact of marketing communication on consumer brand loyalty. The study specifically was aimed at looking In a competitive economy such as Nigeria, with many competing companies of consumer products, and many brand names, ways of increasing sales and hence profit have been a serious problem to marketers. This study reviewed and anchored its framework on conversational theory.
The study adopted the survey research design and randomly enrolled participants in the study. A total of 100 responses were validated from the enrolled participants where all respondent are active workers in PZ Cusson Nigeria plc, Aba.
The findings revealed the that Branding help the company to meet the needs and wants of their target market. The findings also revealed that that Branding positively affects organizational growth. Also it revealed that an effective product sale depends on the influence of brand loyalty.
RECOMMENDATION
Based on the responses obtained, the researcher proffers the following recommendations:
Advertising’s Effects on Purchase Intention
The key recommendations derived from the conclusions on the first objective ‘effects of advertising on purchase intention’, are described. Advertisement initiatives to increase trial usage should incite word of mouth and optimize on great experience for great results. Advertising budgets should have priorities on TV advertising and online marketing since they are the main channels of information. Advertisements should be more concentrated in the evening from 7pm onwards because this is when consumers interact with the main channels’ TV and internet. Nonetheless target newspapers readers because newspaper have the strongest positive association for influencing purchase probably because readers go through the information provided more keenly. Internet follows in influencing purchase probably for the same reason as newspaper readers. Brands should build familiarity and trustworthiness because this is most important.
When advertising build familiarity, trustworthiness and provide adequate product information to connect with consumers since these are the most important elements to them. Quality of advertisements can currently be improved by increasing product
information and price information since these are the most unmet gaps in the advertisement content. Use ‘celebrities or famous people’ and ‘discounts or deals’ to drive purchase since they had the strongest, positive correlation. Eliminate factors that cause potential disliking to avoid promoting non-purchase of a brand.
Sales Promotion’s Effects on Purchase Intention
The key recommendations resulting from the conclusions on the second objective; effects of sales promotions on consumer purchase decisions, are described. Sales promotions should be frequent enough to leverage on the bimonthly to monthly shopping frequency. Competitions and free gifts are underutilized compared to their leading awareness hence increase frequency of these promotions. Price discounts are the most widely used however there is potential to get more effective results through ‘extra amounts’ e.g. buy 2 get 1 free. Leverage on training sales representatives and effective TV communication since they are the main sources of knowledge on sales promotions. Sales promotions should be used to boost immediate sales since they promote temporary switch of brands. Support marketing strategies should be used to promote permanent switching. Marketers should look into loyalty points as consumers anticipate using them the most over the next 3 months. Marketers should bias their sales promotions to household item followed by clothes which drive impulse purchase
Personal Selling’s Effects on Purchase Intention
The key recommendations derived from the conclusions for the third objective; the effects of personal selling on consumer purchase decisions, are described. Marketers should maintain current performance on personal selling as most customers are happy across the various factors which include the types of products it is done for; household and personal care. Consumers also appreciate the extra convincing efforts implemented for food items. Marketers should also maintain the dissemination of information given as it results in majority taking action and purchasing the product. And it increases the trustworthiness and image of a brand. Marketers should bias recruitment of sales persons to women as they drive purchase more than men. Personal selling initiatives should also be done on social media where consumers have had higher incidence of interacting with the same
Social Media’s Effects on Purchase Intention
The key recommendations derived from the conclusion for the fourth objective; effects of social media marketing on consumer purchase decisions on FMCG products, are as follows. Marketer should use Facebook and WhatsApp for achieving wide reach since they are most frequent and widely used. Marketers should use Facebook and Twitter for providing adequate product information. Marketers should use Pinterest, WhatsApp, and Instagram for effective results since they drive purchase better. Product information should focus on promotions and the functions of the product since these information types influence purchase on half of the consumers. Marketers should sell clothes, personal care, food items and household items on social media as they are most popular product categories on these platforms. Social media marketing should be leveraged on because it is perceived to be more creative and attractive compared to other marketing platforms.
REFERENCES
- Ahearne, M., & Rapp, A. (2010). The role of technology at the interface between salespeople and consumers. Journal of Personal Selling & Sales Management. Vol. 30 No. 2, pp. 111 120.
- Al Jabri, I. M., & Sohail, M. S. (2012), “Mobile banking adoption: application of diffusion of innovation theory”, Journal of Electronic Commerce Research, Vol. 13 No. 4, pp. 379 391.
- Almale. B. D., Vankudre A. J., Bansode-Gokhe S. S., & Pawar V. K. (2014). An epidemiologic study of occupational stress factors in Mumbai police personnel. Indian J Occup Environ Med. 2014;18:109–12.
- Anderson, E. T., & Simester, D. I. (2014). Reviews without a purchase: low ratings, loyal customers, and deception. Journal of Marketing Research, Vol. 51 No. 3, pp. 249 269.
- Anderson, J., & Gerbing, D. (2001). The effect of sampling error on convergence, improper solutions, and goodness of fit indices for maximum likelihood confirmatory factor analysis. Psychometrika, 49, 155 173.
- Andzulis, J., Panagopoulos G., & Rapp A. (2012). A Review of Social Media and Implications for the Sales Process. Journal of Personal Selling & Sales Management, 32, no. 3: 305 316.
- Antioco, M., Smeesters, D., & Le Boedec, A. (2012). Take Your Pick: Kate Moss or the Girl Next Door? — The Effectiveness of Cosmetics Advertising. Journal of Advertising Research, Vol. 52, No. 1, pp. 15 30.
