Research Article
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Year 2019, Volume: 11 Issue: 2, 32 - 47, 31.07.2019

Abstract

References

  • Aaker, D.A. (1991). Managing Brand Equity: Capitalizing on the Value of a Brand Name. New York: Free Press.
  • Aaker, D.A. (2012). Win the Brand Relevance Battle and then Build Competitor Barriers. California Management Review, 54(2), 43-57.
  • African Telecoms News. (2012). Major African Mobile Markets. http://www.africantelecomsnews.com/resources/AfricaOpp_South_Africa.shtml# Figure4. Accessed: 2015/o4/25.
  • Ahmad, F. & Sherwani, N. (2015). An Empirical Study on the Effect of Brand Equity of Mobile Phones on Customer Satisfaction. International Journal of Marketing Studies. 7(2), 59-69.
  • Al-Hawari, M. A. (2011). Do Online Services Contribute to Establishing Brand Equity Within the Retail Banking Context? Journal of Relationship Marketing, 10(3), 145-166.
  • Balaji, M.S. (2011). Building Strong Service Brands: The Hierarchical Relationship between Brand Equity Dimensions. IUP Journal of Brand Management, 8(3), 7-24.
  • Belaid, S. & Behi, A.T. (2011). The Role of Attachment in Building Consumer Brand Relationships: An Empirical Investigation in the Utilitarian Consumption Context. Journal of Product and Brand Management, 20(1), 37-47.
  • Beneke, J., Hayworth, C., Hobson, R. & Mia, Z. (2012). Examining the Effect of Retail Service Quality Dimensions on Customer Satisfaction and Loyalty: The Case of the Supermarket Shopper. Acta Commercii. 12 (1), 27-43.
  • Budac, C. & Baltador, L. (2013). The Value of Brand Equity. Economics and Finance Journal, 6, 444-448.
  • BusinessTech (2017). SA mobile subscribers in 2017: Vodacom vs MTN vs Cell C vs Telkom. https://businesstech.co.za/news/mobile/182301/sa-mobile-market-share-in2017-vodacom-vs-mtn-vs-cell-c-vs-telkom/ Accessed: 2018/09/09.
  • Cant, M. & Machado, R. (2008). Marketing Success Stories: South African Case Studies. 6th Ed. Cape Town: Oxford University Press Southern Africa.
  • Cant, M.C.P. & Erdis, C.M. (2012). Incorporating Customer Service Expectations in the Restaurant Industry: The Guide to Survival. Journal of Applied Business Research, 28, 931-941.
  • Chaudhuri, A. & Holbrook, M.B. (2001). The Chain of Effects from Brand Trust and Brand Affect to Brand Performance: The Role of Brand Loyalty. Journal of marketing, 65(2), 81-93.
  • Chowudhury, R. A. (2012). Developing the Measurement of Consumer Based Brand Equity in Service Industry: An Empirical Study on Mobile Phone Industry. European Journal of Business and Management, 4(13), 62-67.
  • Dick, A.S. & Basu, K. (1994). Customer Loyalty: Toward an Integrated Conceptual Framework. Journal of the academy of marketing science, 22(2).
  • Dorai, S. & Varshney, S. (2012). A Multistage Behavioural and Temporal Analysis of CPV in RM. Journal of Business & Industrial Marketing, 27(5).
  • Erdem, T. & Swait, J. (2004). Brand Credibility, Brand Consideration and Choice. Journal of Consumer Research, 31(1), 191-198.
  • Gao, T.T., Sultan, F. & Rohm, A.J. (2010). Factors Influencing Chinese Youth Consumers’ Acceptance of Mobile Marketing. Journal of Consumer Marketing, 27(7), 574-583.
  • Gummesson, E. (2002). Relationship Marketing in the New Economy. Journal of Relationship Marketing, 1(1), 37-57.
  • Hawkins, D. I. & Mothersbaugh, D. L. (2013). Consumer Behavior: Building Marketing Strategy, 12th Ed. New York: McGraw-Hill International Edition.
  • He, H. & Li, Y. (2011). Key Service Drivers for High-Tech Service Brand Equity: The Mediating Role of Overall Service Quality and Perceived Value. Journal of Marketing Management, 27(1–2), 77-99.
  • Hess, J., Story, J. & Danes, J. (2011). A Three-Stage Model of Consumer Relationship Investment. Journal of Product and Brand Management, 20(1), 14-26.
  • Hoffman, K.D. & Bateson, J.E.G. (2010). Services Marketing: Concepts, Strategies and Cases. 4th Ed. Belmont, California: South-Western Cengage Learning.
  • Hoyer, W.D., Macinnis, D.J. & Pieters, R. (2013). Consumer Behavior. 6th Ed. Mason, Ohio: South-Western Cengage Learning.
  • Hsieh, M.H., Pan, S.L. & Setiono, R. (2004). Product-, Corporate-, and CountryImage Dimensions and Purchase Behavior: A Multi-Country Analysis. Journal of the Academy of Marketing Science, 32(3), 251-270.
  • Hsu, T., Hung, L. & Tang, J. (2012). An Analytical Model for Building Brand Equity in Hospitality Firms. Annals of Operations Research, 195(1), 355-378.
  • Hunt, S. D. (1997). Competing Through Relationships: Grounding Relationship Marketing In Resource-Advantage Theory. Journal of Marketing Management, 13, 31- 445.
  • Jooste, C. J, Strydom, J.W. Berndt, A. & Du Plessis. J. (2008). Applied Strategic Marketing. 3rd Ed. Johannesburg: Heinemann Publishers.
  • Juwaheer, T.D., Vencatachellum, I., Pudaruth, S., Ramasawmy, D. & Ponnusami, Y. (2013). Factors Influencing the Selection of Mobile Phones among Young Customers in Mauritius. International Journal of Advanced Research, 1(4), 326- 339.
  • Keller, K.L. (1993). Conceptualizing, Measuring and Managing Customer-Based Brand Equity. Journal of Marketing, 57(1), 1-22.
  • Khosravi, S., Shafei, R. & Salavati, A. (2012). Survey of the Effective Dimensions in Improvement of Brand Equity in Iranian Insurance Companies. Interdisciplinary Journal of Contemporary Research in Business, 3(10), 672-685.
  • Kim, J., Ma, Y.J. & Park, J. (2009). Are US Consumers Ready to Adopt Mobile Technology for Fashion Goods? Journal of Fashion Marketing and Management, 13(2), 215-230.
  • Knott-Craig. A. (2008). Reflections on the Cellular Telephone Industry in South Africa. http://hsf.org.za/resource-centre/focus/focus-66/ Accessed: 2015/09/15.
  • Kotler, P. & Keller, K. (2006). Marketing Management: A Relationship Approach. Financial Times. Upper Saddle: Prentice Hall.
  • Kuusik, A. (2007). Affecting Customer Loyalty: Do Different Factors Have Various Influences in Different Loyalty Levels? University of Tartu-Faculty of Economics & Business Administration Working Paper Series, (58).
  • Lazarevic, V. (2012). Encouraging Brand Loyalty in Fickle Generation Y Consumers. Young Consumers: Insight and Ideas for Responsible Marketers, 13(1), 4561.
  • Li, B. & Gu, H. (2009). Literature Review of Hotel Brand Equity. Journal of Beijing International Studies University, 31(3), 63-69.
  • Mcleod, D. (2014). Piggyback Cell Operators on the Rise. http://www.rdm.co.za/technology/2015/04/26/piggyback-cell-operators-on-the-rise Accessed: 2015/08/10.
  • Morgan, S. & Govender, K. (2017). Exploring Customer Loyalty in the South African Mobile Telecommunications Sector. Cogent Business & Management, 4(1), 1-16.
  • Saravanan, R. & Rao, K.S.P. (2007). Measurement of Service Quality from the Customer’s Perspective – An Empirical Study. Total Quality Management, 18(4), 435-449.
  • Seef, A. (2015). All You Need to Know about FNB’s Mobile Network. http://www.fin24.com/Tech/Opinion/All-you-need-to-know-about-FNBs-mobilenetwork-20150606. Accessed: 2015/09/09.
  • Shen, H., Yuan, Y., Zhang, Q. & Zhao, J. (2014). An Empirical Study of Customer-Based Brand Equity Model for China Economy Hotels. Journal of China Tourism Research, 10(1), 21-34.
  • Story, J. & Hess, J. (2006). Segmenting Customer‐Brand Relations: Beyond The Personal Relationship Metaphor. Journal of Consumer Marketing, 23(7), 406-413.
  • Tabachnick, B.G. & Fidell, L.S. (2001).Using Multivariate Statistics, 4th Ed. Allyn and Bacon: Boston.
  • Torres-Moraga, E., Vásquezparraga, A.Z. & Zamora-González, J. (2008). Customer Satisfaction and Loyalty: Start With the Product, Culminate With the Brand. Journal of Consumer Marketing, 25(5), 302-313.
  • Vázquez‐Casielles, R., Suárez‐Álvarez, L. & Del Río‐Lanza, A.B. (2009). Customer Satisfaction and Switching Barriers: Effects on Repurchase Intentions, Positive Recommendations, and Price Tolerance. Journal of Applied Social Psychology, 39(10):2275-2302.
  • Wang, W.T. & Li, H.M. (2012). FactorsInfluencing Mobile Services Adoption: A Brand-Equity Perspective. Internet Research, 22(2), 142-179.
  • Wilson, A., Zeithaml, V.A., Bitner, M.J. & Gremler, D.D. (2012). Services Marketing: Integrating Customer Focus across the Firm. 2nd Ed. Maidenhead, Berkshire:McGraw-Hill.
  • Yoo, B., Donthu, N. & Lee, S. (2000). An Examination of Selected Marketing Mix Elements and Brand Equity. Journal of the Academy of Marketing Science, 28(2), 195 - 211.

The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry

Year 2019, Volume: 11 Issue: 2, 32 - 47, 31.07.2019

Abstract

The South African mobile telecommunications environment has become
increasingly competitive, with non-traditional players like FNB and Mr Price
joining the fold. Therefore, to succeed and ensure survival in such an industry, it
is imperative for mobile operators to build brand equity as it ensures customer
retention, repeat purchase patronage and safeguards the customer base from
competitive activity. In this regard, this study examined the influence of
customer-based brand equity on customer satisfaction and brand loyalty in South
Africa’s mobile cellular services. To this end, the influence of perceived quality,
brand awareness, brand associations on customer satisfaction and brand loyalty in
the South African mobile telecommunications industry was investigated.
A quantitative approach was undertaken with data collected by a survey from 240
Generation Y respondents through a structured self-administered questionnaire.
Reliability and validity tests were performed to validate the scales used in the
study. Correlation analysis and multiple regression analysis were performed to
ascertain the influence and nature of relationships between the dimensions of
brand equity and customer satisfaction as well as between customer satisfaction
and brand loyalty.
Significant positive relationships were established between perceived quality,
brand awareness, brand associations and customer satisfaction as well as brand loyalty. Perceived quality had the strongest influence on customer satisfaction,
followed by brand awareness and brand association respectively. Results also
showed a significant positive relationship between customer satisfaction and
brand loyalty.
The implication from the findings was that service providers of mobile
telecommunications in South Africa should focus on customer satisfaction and its
antecedents to develop a cadre of loyal customers. Brand managers should place
significant effort primarily on building brand equity and brand equity dimensions,
which have high importance towards customer satisfaction and ultimately brand
loyalty.

References

  • Aaker, D.A. (1991). Managing Brand Equity: Capitalizing on the Value of a Brand Name. New York: Free Press.
  • Aaker, D.A. (2012). Win the Brand Relevance Battle and then Build Competitor Barriers. California Management Review, 54(2), 43-57.
  • African Telecoms News. (2012). Major African Mobile Markets. http://www.africantelecomsnews.com/resources/AfricaOpp_South_Africa.shtml# Figure4. Accessed: 2015/o4/25.
  • Ahmad, F. & Sherwani, N. (2015). An Empirical Study on the Effect of Brand Equity of Mobile Phones on Customer Satisfaction. International Journal of Marketing Studies. 7(2), 59-69.
  • Al-Hawari, M. A. (2011). Do Online Services Contribute to Establishing Brand Equity Within the Retail Banking Context? Journal of Relationship Marketing, 10(3), 145-166.
  • Balaji, M.S. (2011). Building Strong Service Brands: The Hierarchical Relationship between Brand Equity Dimensions. IUP Journal of Brand Management, 8(3), 7-24.
  • Belaid, S. & Behi, A.T. (2011). The Role of Attachment in Building Consumer Brand Relationships: An Empirical Investigation in the Utilitarian Consumption Context. Journal of Product and Brand Management, 20(1), 37-47.
  • Beneke, J., Hayworth, C., Hobson, R. & Mia, Z. (2012). Examining the Effect of Retail Service Quality Dimensions on Customer Satisfaction and Loyalty: The Case of the Supermarket Shopper. Acta Commercii. 12 (1), 27-43.
  • Budac, C. & Baltador, L. (2013). The Value of Brand Equity. Economics and Finance Journal, 6, 444-448.
  • BusinessTech (2017). SA mobile subscribers in 2017: Vodacom vs MTN vs Cell C vs Telkom. https://businesstech.co.za/news/mobile/182301/sa-mobile-market-share-in2017-vodacom-vs-mtn-vs-cell-c-vs-telkom/ Accessed: 2018/09/09.
  • Cant, M. & Machado, R. (2008). Marketing Success Stories: South African Case Studies. 6th Ed. Cape Town: Oxford University Press Southern Africa.
  • Cant, M.C.P. & Erdis, C.M. (2012). Incorporating Customer Service Expectations in the Restaurant Industry: The Guide to Survival. Journal of Applied Business Research, 28, 931-941.
  • Chaudhuri, A. & Holbrook, M.B. (2001). The Chain of Effects from Brand Trust and Brand Affect to Brand Performance: The Role of Brand Loyalty. Journal of marketing, 65(2), 81-93.
  • Chowudhury, R. A. (2012). Developing the Measurement of Consumer Based Brand Equity in Service Industry: An Empirical Study on Mobile Phone Industry. European Journal of Business and Management, 4(13), 62-67.
  • Dick, A.S. & Basu, K. (1994). Customer Loyalty: Toward an Integrated Conceptual Framework. Journal of the academy of marketing science, 22(2).
  • Dorai, S. & Varshney, S. (2012). A Multistage Behavioural and Temporal Analysis of CPV in RM. Journal of Business & Industrial Marketing, 27(5).
  • Erdem, T. & Swait, J. (2004). Brand Credibility, Brand Consideration and Choice. Journal of Consumer Research, 31(1), 191-198.
  • Gao, T.T., Sultan, F. & Rohm, A.J. (2010). Factors Influencing Chinese Youth Consumers’ Acceptance of Mobile Marketing. Journal of Consumer Marketing, 27(7), 574-583.
  • Gummesson, E. (2002). Relationship Marketing in the New Economy. Journal of Relationship Marketing, 1(1), 37-57.
  • Hawkins, D. I. & Mothersbaugh, D. L. (2013). Consumer Behavior: Building Marketing Strategy, 12th Ed. New York: McGraw-Hill International Edition.
  • He, H. & Li, Y. (2011). Key Service Drivers for High-Tech Service Brand Equity: The Mediating Role of Overall Service Quality and Perceived Value. Journal of Marketing Management, 27(1–2), 77-99.
  • Hess, J., Story, J. & Danes, J. (2011). A Three-Stage Model of Consumer Relationship Investment. Journal of Product and Brand Management, 20(1), 14-26.
  • Hoffman, K.D. & Bateson, J.E.G. (2010). Services Marketing: Concepts, Strategies and Cases. 4th Ed. Belmont, California: South-Western Cengage Learning.
  • Hoyer, W.D., Macinnis, D.J. & Pieters, R. (2013). Consumer Behavior. 6th Ed. Mason, Ohio: South-Western Cengage Learning.
  • Hsieh, M.H., Pan, S.L. & Setiono, R. (2004). Product-, Corporate-, and CountryImage Dimensions and Purchase Behavior: A Multi-Country Analysis. Journal of the Academy of Marketing Science, 32(3), 251-270.
  • Hsu, T., Hung, L. & Tang, J. (2012). An Analytical Model for Building Brand Equity in Hospitality Firms. Annals of Operations Research, 195(1), 355-378.
  • Hunt, S. D. (1997). Competing Through Relationships: Grounding Relationship Marketing In Resource-Advantage Theory. Journal of Marketing Management, 13, 31- 445.
  • Jooste, C. J, Strydom, J.W. Berndt, A. & Du Plessis. J. (2008). Applied Strategic Marketing. 3rd Ed. Johannesburg: Heinemann Publishers.
  • Juwaheer, T.D., Vencatachellum, I., Pudaruth, S., Ramasawmy, D. & Ponnusami, Y. (2013). Factors Influencing the Selection of Mobile Phones among Young Customers in Mauritius. International Journal of Advanced Research, 1(4), 326- 339.
  • Keller, K.L. (1993). Conceptualizing, Measuring and Managing Customer-Based Brand Equity. Journal of Marketing, 57(1), 1-22.
  • Khosravi, S., Shafei, R. & Salavati, A. (2012). Survey of the Effective Dimensions in Improvement of Brand Equity in Iranian Insurance Companies. Interdisciplinary Journal of Contemporary Research in Business, 3(10), 672-685.
  • Kim, J., Ma, Y.J. & Park, J. (2009). Are US Consumers Ready to Adopt Mobile Technology for Fashion Goods? Journal of Fashion Marketing and Management, 13(2), 215-230.
  • Knott-Craig. A. (2008). Reflections on the Cellular Telephone Industry in South Africa. http://hsf.org.za/resource-centre/focus/focus-66/ Accessed: 2015/09/15.
  • Kotler, P. & Keller, K. (2006). Marketing Management: A Relationship Approach. Financial Times. Upper Saddle: Prentice Hall.
  • Kuusik, A. (2007). Affecting Customer Loyalty: Do Different Factors Have Various Influences in Different Loyalty Levels? University of Tartu-Faculty of Economics & Business Administration Working Paper Series, (58).
  • Lazarevic, V. (2012). Encouraging Brand Loyalty in Fickle Generation Y Consumers. Young Consumers: Insight and Ideas for Responsible Marketers, 13(1), 4561.
  • Li, B. & Gu, H. (2009). Literature Review of Hotel Brand Equity. Journal of Beijing International Studies University, 31(3), 63-69.
  • Mcleod, D. (2014). Piggyback Cell Operators on the Rise. http://www.rdm.co.za/technology/2015/04/26/piggyback-cell-operators-on-the-rise Accessed: 2015/08/10.
  • Morgan, S. & Govender, K. (2017). Exploring Customer Loyalty in the South African Mobile Telecommunications Sector. Cogent Business & Management, 4(1), 1-16.
  • Saravanan, R. & Rao, K.S.P. (2007). Measurement of Service Quality from the Customer’s Perspective – An Empirical Study. Total Quality Management, 18(4), 435-449.
  • Seef, A. (2015). All You Need to Know about FNB’s Mobile Network. http://www.fin24.com/Tech/Opinion/All-you-need-to-know-about-FNBs-mobilenetwork-20150606. Accessed: 2015/09/09.
  • Shen, H., Yuan, Y., Zhang, Q. & Zhao, J. (2014). An Empirical Study of Customer-Based Brand Equity Model for China Economy Hotels. Journal of China Tourism Research, 10(1), 21-34.
  • Story, J. & Hess, J. (2006). Segmenting Customer‐Brand Relations: Beyond The Personal Relationship Metaphor. Journal of Consumer Marketing, 23(7), 406-413.
  • Tabachnick, B.G. & Fidell, L.S. (2001).Using Multivariate Statistics, 4th Ed. Allyn and Bacon: Boston.
  • Torres-Moraga, E., Vásquezparraga, A.Z. & Zamora-González, J. (2008). Customer Satisfaction and Loyalty: Start With the Product, Culminate With the Brand. Journal of Consumer Marketing, 25(5), 302-313.
  • Vázquez‐Casielles, R., Suárez‐Álvarez, L. & Del Río‐Lanza, A.B. (2009). Customer Satisfaction and Switching Barriers: Effects on Repurchase Intentions, Positive Recommendations, and Price Tolerance. Journal of Applied Social Psychology, 39(10):2275-2302.
  • Wang, W.T. & Li, H.M. (2012). FactorsInfluencing Mobile Services Adoption: A Brand-Equity Perspective. Internet Research, 22(2), 142-179.
  • Wilson, A., Zeithaml, V.A., Bitner, M.J. & Gremler, D.D. (2012). Services Marketing: Integrating Customer Focus across the Firm. 2nd Ed. Maidenhead, Berkshire:McGraw-Hill.
  • Yoo, B., Donthu, N. & Lee, S. (2000). An Examination of Selected Marketing Mix Elements and Brand Equity. Journal of the Academy of Marketing Science, 28(2), 195 - 211.
There are 49 citations in total.

Details

Primary Language English
Journal Section Research Article
Authors

Mudanganyi Marvelous This is me

Muposhi Asphat This is me

Shamhuyenhanzva Roy Malon This is me

Publication Date July 31, 2019
Published in Issue Year 2019 Volume: 11 Issue: 2

Cite

APA Marvelous, M., Asphat, M., & Roy Malon, S. (2019). The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry. International Journal of Business and Management Studies, 11(2), 32-47.
AMA Marvelous M, Asphat M, Roy Malon S. The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry. IJBMS. July 2019;11(2):32-47.
Chicago Marvelous, Mudanganyi, Muposhi Asphat, and Shamhuyenhanzva Roy Malon. “The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry”. International Journal of Business and Management Studies 11, no. 2 (July 2019): 32-47.
EndNote Marvelous M, Asphat M, Roy Malon S (July 1, 2019) The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry. International Journal of Business and Management Studies 11 2 32–47.
IEEE M. Marvelous, M. Asphat, and S. Roy Malon, “The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry”, IJBMS, vol. 11, no. 2, pp. 32–47, 2019.
ISNAD Marvelous, Mudanganyi et al. “The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry”. International Journal of Business and Management Studies 11/2 (July 2019), 32-47.
JAMA Marvelous M, Asphat M, Roy Malon S. The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry. IJBMS. 2019;11:32–47.
MLA Marvelous, Mudanganyi et al. “The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry”. International Journal of Business and Management Studies, vol. 11, no. 2, 2019, pp. 32-47.
Vancouver Marvelous M, Asphat M, Roy Malon S. The Influence of Customer-Based Brand Equity on Customer Satisfaction and Brand Loyalty: Evidence from South African Mobile Telecommunications Industry. IJBMS. 2019;11(2):32-47.