• Title/Summary/Keyword: Brand Switching

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A Study on the Impact of Customer Equity on Customer Loyalty in the Korean Retail Industry: Mediation of Customer Satisfaction and Switching Costs (고객가치가 고객충성도에 미치는 영향에 관한 연구: 고객만족과 전환장벽을 매개변수로)

  • Kim, Soon-Hong
    • Journal of Distribution Science
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    • v.10 no.11
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    • pp.79-88
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    • 2012
  • Purpose - The objective of this paper is to suggest that a company's CRM activities have an effect on customer loyalty in the Korean retail industry. Typically, Korean customers use large local marts with convenience in the absence of any other choice. Therefore, this study aims to shed light on the fact that customers do not break away from their preferred retail stores, either owing to their stringent loyalty (the lie loyalty) or difficulty in turning to alternative choices. Research design, data, methodology - By surveying a sample of 200 hyper-markets through a questionnaire, and excluding dubious and missing responses, I obtained 181 samples to be included in the empirical analysis. The survey was conducted for two weeks during October 2011. AMOS and SPSS18 statistical packages were used for conducting statistical analysis for this study. This paper was developed using the concept of customer equity on CRM, which is known to have a positive impact on customer loyalty through the satisfaction and switching-barrier parameters. The hypothesis of this paper is that customer equity is composed of relationship equity, value equity and brand equity, and that the relationship equity variable has positive effects on the value equity and brand equity amongst other types of customer equity. Moreover, customer equity influences customer loyalty through parameters including customer satisfaction and switching costs in the Korean retail industry. Results - According to the results of the analysis, it was confirmed that relationship value had a positive effect (+) on all variables, including the perceived QoS (Quality of Service), store brand images, economic value, and store convenience. It was also confirmed that the assumption that the perceived QoS (Quality of Service), economic value, and store convenience had a positive effect on customer satisfaction was shown to be statistically significant, with a p-value below 0.05. Only the store brand value variable had an effect on the switching-cost variable with respect to the causal sequence of the variables, including the perceived QoS, store brand value, economic value, and store convenience. The remaining variables did not seem to influence the switching-cost variable. On the other hand, another effect showed that customer satisfaction had a statistically significant influence on the switching-costs variable. Moreover, the customer satisfaction and switching-cost variables also had a statistical influence on customer loyalty. Conclusions - The CRM activities had an influence on various variables (including perceived QoS, perceived economic value, store brand value, and store convenience) pertaining to customer values. Customer satisfaction and switching-cost had some effects on customer loyalty as a parameter. This confirms that stringent loyalty exists with respect to customer loyalty in the retail industry. The fact that the variable had such a statistically significant influence on the switching-cost and store brand equity variables means that consumers react to the reputation of a brand, confidence about the store, and quality confidence. The implications of this study in the retail industry should be further extended to devise strategies for customer retention.

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A Theoretical Study of Promotion Activities by Types of Retailing (소매 업태에 따른 판촉활동에 관한 이론적 연구)

  • park, jin ho;Lee, Su dong
    • Journal of Service Research and Studies
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    • v.7 no.4
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    • pp.15-38
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    • 2017
  • The purpose of this study is to look into the consumers who show the consumption patterns of brand switching and repeated purchasing, find the decision factors of their brand switching and repeated purchasing, analyze the difference in marketing response variables being represented as corporate promotion activities in the brand switching and repeated purchasing process, and provide a suggestion to apply the result to marketing Therefore, it tries to help the firms, which develop push marketing as the result of excessive competition between distributors and sales competition focusing on external appearance, recognize consumers as individual substances; to propose proper efficient promotion activities; to let consumers increase loyalty to their trademark and continue to purchase their products repeatedly; and to induce competitor brand consumers to do brand switching. The results of this study are presented as follows: First, consumers who prefer events, price discount, samples, and product premium which means the products with brand or logo on them had the feature of repeated purchasing. Secondly, service benefit, point-type promotion, cost-saving satisfaction didn't affect brand switching, and only the consumers who prefer coupon-type promotion did brand switching. Thirdly, a distribution type produced the moderating effect between the repeated purchasing and coupon and coupon-type promotion, and between brand switching and service benefit.

The Effects of Multi-Shop's Store Image on the Store Loyalty and Brand Switching Behavior (멀티샵의 점포이미지가 점포충성도 및 상표전환행동에 미치는 영향에 관한 연구)

  • Lee, Seung-Hee;Jo, Se-Na
    • Journal of the Korean Home Economics Association
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    • v.45 no.1
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    • pp.51-61
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    • 2007
  • The purpose of this study was to examine if multi-shop's store image affects store loyalty and brand switching. Two hundred fifty females and males who have purchased fashion products in multi-shop participated in this survey. For data analysis, descriptive statistics, factor analysis, Pearson's correlation and regression analysis were used for this study. The results were as followed. First, respondents' the most favorite multi-shop was MUE, followed by Boon the shop and ABC mart. Second, store image was classified into four factors such as store atmosphere, service of store, store recognition and product variety. Store loyalty was classified into five factors such as emotional relationship, pursue of novelty, trust about salesperson, satisfaction about service, and active loyalty. Third, result revealed that 'product variety' and 'store atmosphere', 'store recognition', 'service of store' accounted for 39.6% of the explained varience in store loyalty, and 'store recognition' accounted for 4% of the explained varience in brand switching behavior, while 'trust about salesperson', 'pursue of novelty' accounted for 5% of the explained varience in brand switching behavior. Based on these results, multi-shop's fashion marketing strategy would be suggested.

The Antecedents and Consequence of Brand Personality in the Service Environment (서비스 환경에서 브랜드 개성의 결정요인과 결과)

  • Kim, Hyoung-Gil;Kim, Youn-Jeong;Kim, Jung-Hee
    • Science of Emotion and Sensibility
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    • v.10 no.2
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    • pp.221-241
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    • 2007
  • It was intended in this study to identify how much contributions are made in establishment of brand personality by inputting service experience, price, advertisement, and physical environment in the service industries. Also, this study examines how service brand personality affects brand identification and repurchase intention by switching barrier. Data were collected from consumers with experience of use in Seoul and Gyeonggi-do. The result of analysis of this study was as follows: 1) It was identified that service experience, price, advertisement, and physical environment influenced on brand personality, 2) it demonstrates that service brand personality influenced on brand identification, switching barrier, and repurchase intention.

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A Study on the Factors Influencing the Brand Switch and Repurchase of Consumer. (소비자의 브랜드전환 및 재구매의 영향요인에 관한 연구)

  • Kim, Se-Hwan
    • Journal of Industrial Convergence
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    • v.2 no.2
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    • pp.69-84
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    • 2004
  • The purpose of this study is to investigate factors affecting the brand switch and repurchase of consumers. A model was created in this study. The model has the following three features. First, a brand was divided pioneer and follower brand. Customers' recognition for the difference between the pioneer and follower brand was examined. The new definition of the brands was set up: "The pioneer brand-The first setting up brand in the customers' recognition and the follower brand-all brands besides the pioneer one. Second, the two cases were assumed for the brand switching of customers: repurchasing of the pioneer brand, switching from pioneer to follower one. Lastly, a choice factor for brands of customers was composed of price, prototypicality. Based on the features, influencing factors depending on customers' choice for products generally was investigated.

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A Study on the Effect of Customer's Repurchasing and Switching Intention on Characteristic of e-brand Loyalty (e-브랜드애호도의 특성이 소비자 재구매 및 전환의도에 미치는 영향에 관한 연구)

  • Hong, Sang-Jin
    • Journal of the Korea Safety Management & Science
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    • v.12 no.2
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    • pp.139-146
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    • 2010
  • The advent of Internet has greatly increased the ability of companies to conduct their business faster, more accurately, over a wider range of time and space, at reduced cost and with the ability to customize and personalize customer offerings. However it may be difficult for companies to sustain a long-run survival in competition environment of e-business. The purpose in this study is to analyze the relationship among site loyalty characteristics, customer's repurchasing intention and switching intention of internet shopping mall. The results showed that reputation variables of internet shopping mall only affected significantly e-loyalty. And the relationship among e-brand loyalty, customer's repurchasing intention and switching intention was significantly supported.

The Relationships among Social Influence, Use-Diffusion, Continued Usage and Brand Switching Intention of Mobile Services (사회적 영향력과 모바일 서비스의 사용-확산, 그리고 지속적 사용 및 상표 전환의도 간의 관계에 대한 연구)

  • Sang-Hoon Kim;Hyun Jung Park;Bang-Hyung Lee
    • Asia Marketing Journal
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    • v.12 no.3
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    • pp.1-24
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    • 2010
  • Typically, marketing literature on innovation diffusion has focused on the pre-adoption process and only a few studies explicitly examined consumers' post-adoption behavior of innovative mobile services. Besides, prior use diffusion research has considered the variables that determine the consumers' initial adoption in explaining the post adoption usage behavior. However, behavioral sciences and individual psychology suggest that social influences are a potentially important determinant of usage behavior as well. The purpose of this study is to investigate into the effects of network factor and brand identification as social influences on the consumers' use diffusion or continued usage intention of a mobile service. Network factor designates consumer perception of the usefulness of a network, which embraces the concept of network externality and that of critical mass. Brand identification captures distinct aspects of social influence on technology acceptance that is not captured by subjective norm in situations where the technology use is voluntary. Additionally, this study explores the effect of the use diffusion on the brand switching intention, a generally unexplored form of post-adoption behavior. There are only a few empirical studies in the literature addressing the issue of IT user switching. In this study, the use diffusion comprises of rate of use and variety of use. The research hypotheses are as follows; H1. Network factor will have a positive influence on the rate of use of mobile services. H2. Network factor will have a positive influence on variety of use of mobile services. H3. Network factor will have a positive influence on continued usage intention. H4. Brand identification will have a positive influence on the rate of use. H5. Brand identification will have a positive influence on variety of use. H6. Brand identification will have a positive influence on continued usage intention. H7. Rate of use of mobile services are positively related to continued usage intention. H8. Variety of Use of mobile services are positively related to continued usage intention. H9. Rate of use of mobile services are negatively related to brand switching intention. H10. Variety of Use of mobile services are negatively related to brand switching intention. With the assistance of a marketing service company, a total of 1023 questionnaires from an online survey were collected. The survey was conducted only on those who have received or given a mobile service called "Gifticon". Those who answered insincerely were excluded from the analysis, so we had 936 observations available for a further stage of data analysis. We used structural equation modeling and overall fit was good enough (CFI=0.933, TLI=0.903, RMSEA=0.081). The results show that network factor and brand identification significantly increase the rate of use. But only brand identification increases variety of use. Also, network factor, brand identification and the use diffusion are positively related to continued usage intention. But the hypotheses that the use diffusion are positively related to brand switching intention were rejected. This result implies that continued usage intention cannot guarantee reducing brand switching intention.

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Analysis of Market Share using Brand Switching Matrix in the Korean Mobile Market (상표전환행렬을 이용한 이동통신 시장점유율 분석)

  • Seong, Gi Seong;Kang, Man Su;Suk, Yeung Ki
    • The Journal of the Korea Contents Association
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    • v.14 no.6
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    • pp.385-396
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    • 2014
  • In the Korean mobile market, the mobile phone has reach the stage of maturity in terms of demand. Since the long-term evolution(LTE) service was introduced in 2011, there have been drastic changes in the market structure. The purpose of this paper is to examine the user intension of brand switching, to analyse the market share among 3 major mobile service companies using the brand switching matrix and to provide some insights. The results show that the smartphone subscriber rate provided by Ministry of Science, lCT and Future Planning agrees with the market share by brand switching matrix of this study. The potential rate of costumer retention would be arranges in order of SKT>KT>LGU+. The preference of mobile service company on switch be in order of SKT>KT>LGU+. The future market share be SKT 63.55%, KT 21.99%, LGU+ 14.36%. The potential rate of costumer retention fell sharply over the past year, suggesting the drastic fluctuations in market share for a while.

A Study on Effects that Service Factors of Telecommunication Company and Switching Benefit Influence to the Customer Satisfaction and Switching Intention (이동통신사 서비스 요인과 전환혜택이 고객만족도와 전환의도에 미치는 영향에 관한 연구)

  • Gu, Seung Hwan;Kang, Ho Seok;Jang, Seong Yong
    • Korean Management Science Review
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    • v.31 no.2
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    • pp.87-103
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    • 2014
  • This study looks for the service factors influencing to conversion among the domestic telecommunication companies and finds out the effect which the switching benefit affect the customer satisfaction and the switching intention. Eight service factors of the telecommunication company such as usability, call quality, terminal quality, auxiliary service, rates, after service, application and brand image are selected and verified using the structural equation model. Auxiliary service, rates and brand image give positive (+) effects to the customer's satisfaction, but the application gives negative (-) effects to the customer's satisfaction. Switching benefit affects significantly to the switching intention, but not to the customer satisfaction. The customer satisfaction gives a positive effect to the switching intention. The telecommunication service factors influence to customer satisfaction and switching intention, and switching benefit also influences to switching intention. It was analyzed that the significant influencing service factors were a little different among the telecommunication companies.

Moderating effect Switching Barrier on Coffee-shop customer Satisfaction and Loyalty (커피전문점에서 전환장벽을 고려한 고객만족과 충성의 관계)

  • Kim, Pan-Su;Han, Jang-Hyeop
    • Proceedings of the Safety Management and Science Conference
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    • 2011.11a
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    • pp.683-694
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    • 2011
  • This study analysed impact of service quality on customer satisfaction and loyalty in the take-out coffee shop. The switching barrier was also studied as a moderating effect. Particularly, this study focused on relationships between customer loyalty and switching barriers. A lot of previous studies interest only in customers satisfaction. This study also analysed relationships among service quality, customer satisfaction, switching barriers and brand loyalty. Eventually, service quality significantly affects customer satisfaction, moderating effects, brand loyalty and marketing performance. SERVQUAL model which was established by PZB (1988) was used as a service quality factors. The impact on customer satisfaction was analysed using multiple regression analysis. Simple regression analysis was used to find effects of customer satisfaction and customer loyalty. Additional factors of switching barriers was classified based on previous studies. Hierarchical multiple regression analysis was used to find factors of customer loyalty among switching barriers. In the result, we can find that the importance of tangibles, responsiveness in service quality factors and contract cost, search cost and continuous cost in moderating effects.

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