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THE EFFECTS OF GREEN MARKETING PRACTICES ON GREEN EQUITY AND CUSTOMER TOLERANCE

Year 2020, Volume: 7 Issue: 3, 102 - 111, 30.09.2020

Edin Guclu Sozer

https://doi.org/10.17261/Pressacademia.2020.1283

Abstract

Purpose- This study targets to fill an important gap in the green marketing literature by integrating two inter-related concepts, Green Brand Equity and Customer Based Brand Tolerance (CBBT).
Methodology- The participants of the study were female consumers aged between 18-35, users of personal care and cosmetic products and residents of Istanbul city. The product category selected for the purpose of this study was personal care and cosmetics. The research model and the respective hypothesis proposed to identify the determinants of Green Brand Equity and its effect on CBBT were tested by utilizing the Structural Equation Modeling (SEM).
Findings- The results of the study confirm that green brand satisfaction and green brand trust are the two determinants of Green Brand Equity. In turn, the results also indicate that a strong Green Brand Equity generates a positive effect on Customer Based Brand Tolerance by increasing consumers’ Performance Tolerance, Price Tolerance as well as Communication Tolerance levels towards the brand.
Conclusion- Overall, the study reports a positive impact of Green Brand Equity on Customer Based Brand Tolerance (CBBT). Academic as well as managerial implications are provided based on these findings

Keywords

Green marketing green brand equity brand equity customer based brand tolerance

References

  • Aaker, D. A. (1991). Managing Brand Equity. New York: Free Press.
  • Agustin, C. & Singh, J. (2005). Curvilinear Effects of Consumer Loyalty Determinants in Relational Exchanges. Journal of Marketing Research, 42(1): 96-108.
  • Aytekin, P. (2007). Yeşil Pazarlama Stratejileri. Sosyal Bilimler, 5(2): 1-20.
  • Bagozzi, R. P., & Yi, Y. (1990). Assessing Method Variance in Multitrait-Multimethod Matrices: The Case of Self-Reported Affect and Perceptions at Work. Journal of Applied Psychology, 75(1):547-560.
  • Baumgartner, R. J., & Rauter, R. (2017). Strategic perspectives of corporate sustainability management to develop a sustainable organization. J. Clean. Prod. 140: 81–92.
  • Bekk, M., Spörrle, M., Hedjasie, R., & Kerschreiter, R. (2016). Greening the competitive advantage: antecedents and consequences of green brand equity. Quality & Quantity, 50(4): 1727–1746.
  • Biel, A. L. (1992). How Brand Image Drives Brand Equity. Journal of Advertising Research, 12(November): RC6-RC12.
  • Butt, M. M., Mushtaq, S., Afzal, A., Khong, K. W., Ong, F. S., & Ng, P. F. (2016). Integrating behavioral and branding perspectives to maximize green brand equity: a holistic approach. Business Strategy and the Environment, 26(4): 507-520.
  • Cantele, S. & Cassia, F. (2020). Sustainability implementation in restaurants: A comprehensive model of drivers, barriers, and competitiveness-mediated effects on firm performance. International Journal of Hospitality Management, 87(2020): 1-10.
  • Chang, N. J., & Fong, C. M. (2010). Green product quality, green corporate image, green customer satisfaction, and green customer loyalty. African Journal of Business Management, 4(13): 2836-2844.
  • Chen, Y. (2010). The Drivers of Green Brand Equity: Green Brand Image, Green Satisfaction, and Green Trust. Journal of Business Ethics, 93(2): 307-319.
  • Cretu, A. E., & Brodie, R. J. (2007). The influence of brand image and company reputation where manufacturers market to small firms: A customer value perspective. Industrial Marketing Management, 36(2): 230-240.
  • Davis, D. F., Golicic, S. L. & Marquardt, A. J. (2008). Branding a B2B service: Does a brand differentiate a logistics service provider? Industrial Marketing Management, 37(2008): 218-227.
  • Doney, P. M. & Cannon, J. P. (1997). An Examination of the Nature of Trust in Buyer-Seller Relationships. Journal of Marketing, 61(April): 35-51.
  • Doorn, M. (2012). Tolerance. Sociopedia.isa. 1-15.
  • Elliot, R. & Yannopoulou, N. (2007). The nature of trust in brands: a psychosocial model. European Journal of Marketing, 41(9/10): 988-998.
  • Faircloth, J. B., Capella, L. M., & Alford, B. L. (2001). The Effect of Brand Attitude and Brand Image on Brand equity. Journal of Marketing Theory and Practice, 9(3), 61-75.
  • Fornell, C. & Larcker, D. (1981). Evaluating Structural Equation Models with Unobservable Variables and Measurement Error. Journal of Marketing Research, 18(1): 39-50.
  • Gefen, D. & Straub, D. W. (2004). Consumer Trust in B2C e-Commerce and the Importance of Social Presence: Experiments in e-Products and e-Services. Omega 32(6): 407–424.
  • Gulati, R. (1995). Does familiarity breed trust? The Implications of repeated ties for contractual choice in alliances. The Academy of Management Journal, 38(1): 85-112.
  • Ha, M. T. (2020). Investigating green brand equity and its driving forces. Management Science Letters, 10(2020): 2385-2394.
  • Jalilvand, M. R., Samiei, N., & Mahdavinia, S. H. (2011). The Effect of Brand Equity Components on Purchase Intention: An Application of Aaker’s Model in the Automobile Industry. International Business and Management, 2(2): 149-158.
  • Jevons, C. and Gabbott, M. (2000). Trust, Brand Equity and Brand Reality in Internet Business Relationships: An Interdisciplinary Approach. Journal of Marketing Management, 16(6): 619–634.
  • Kabadayı, E. T. & Aygün, İ. (2007). Determinants of Brand Loyalty and The Link Between Brand Loyalty and Price Tolerance. Boğaziçi Journal, 21(1-2): 21-35.
  • Kang, S. H. & Hur, W. M. (2012). Investigating the antecedents of green brand equity: a sustainable development perspective. Corporate Social Responsibility and Environmental Management, 19(5): 306-316.
  • Keller K. L. (1993) Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing, 57(1): 1-22.
  • Kent, R. J. & Allen, C. T. (1994). Competitive Interference Effects in Consumer Memory for Advertising: The Role of Brand Familiarity. Journal of Marketing, 56(July): 97-105.
  • Kim, K. H., Kim, K., Kim, D., Kim, J., & Kang, S. (2008). Brand equity in hospital marketing. Journal of Business Research, 6(1): 75-82.
  • Kim, H. & Kim, W. G. (2005). The relationship between brand equity and firms ‘performance in luxury hotels and chain restaurants. Tourism Management, 26(2005): 549–560.
  • Kotler, P. & Keller, K. L. (2016). Marketing Management. 15th Edition. Tamil Nadu: Pearson.
  • Kumar, P. (2015). State of green marketing research over 25 years (1990-2014): Literature survey and classification. Marketing Intelligence & Planning, 34(1): 137-158.
  • Leone, R. P., Rao, V. R., Keller, K. L., Luo, A. M., McAlister, L. & Srivastava, R. (2006). Linking Brand Equity to Customer Equity. Journal of Service Research, 9(2): 125-138.
  • Levy, S. J. (1985). Dreams, fairy tales, animals, and cars. Psychology and Marketing, 2(2): 67-81.
  • Namkung, Y., & Jang, S. C. (2013). Effects of restaurant green practices on brand equity formation: Do green practices really matter? International Journal of Hospitality Management, 33: 85–95.
  • Ng, P., Butt, M., Khong, K., & Ong, F. S. (2014). Antecedents of Green Brand Equity: An Integrated Approach. Journal of Business Ethics, 121(2): 203–215.
  • Oliver, R. L. (1993). Cognitive, affective, and attribute bases of the satisfaction response. Journal of Consumer Research, 20(3): 418-430.
  • Ostrom, A., & Iacobucci, D. (1995). Consumer trade-offs and the evaluation of services. Journal of Marketing, 59(1): 17-28.
  • Ottman, J. A. (1992). Green Marketing, NTC Business Books, Chicago: USA.
  • Polonsky, M. (1994). An Introduction to Green Marketing. Electronic Green Journal, 1(2).
  • Singh, J. & Sirdeshmukh, D. (2000). Agency and Trust Mechanisms in Consumer Satisfaction and Loyalty Judgements. Journal of the Academy of Marketing Science, 28(1): 150–167.
  • Solomon, M. R. (2018). Consumer Behavior: Buying, Having and Being. 12th Edition. UK: Pearson.
  • Sözer, E. G. (2019). Customer Based Brand Tolerance (CBBT): Scale Development and Validation. Business & Management Studies: An International Journal, 7(5), 2610-2635.
  • Taylor, S.A., Celuch, K. & Goodwin, S. (2004). The importance of brand equity to customer loyalty. Journal of product and Brand Management, 13(4-5): 217-227

Year 2020, Volume: 7 Issue: 3, 102 - 111, 30.09.2020

Edin Guclu Sozer

https://doi.org/10.17261/Pressacademia.2020.1283

Abstract

References

  • Aaker, D. A. (1991). Managing Brand Equity. New York: Free Press.
  • Agustin, C. & Singh, J. (2005). Curvilinear Effects of Consumer Loyalty Determinants in Relational Exchanges. Journal of Marketing Research, 42(1): 96-108.
  • Aytekin, P. (2007). Yeşil Pazarlama Stratejileri. Sosyal Bilimler, 5(2): 1-20.
  • Bagozzi, R. P., & Yi, Y. (1990). Assessing Method Variance in Multitrait-Multimethod Matrices: The Case of Self-Reported Affect and Perceptions at Work. Journal of Applied Psychology, 75(1):547-560.
  • Baumgartner, R. J., & Rauter, R. (2017). Strategic perspectives of corporate sustainability management to develop a sustainable organization. J. Clean. Prod. 140: 81–92.
  • Bekk, M., Spörrle, M., Hedjasie, R., & Kerschreiter, R. (2016). Greening the competitive advantage: antecedents and consequences of green brand equity. Quality & Quantity, 50(4): 1727–1746.
  • Biel, A. L. (1992). How Brand Image Drives Brand Equity. Journal of Advertising Research, 12(November): RC6-RC12.
  • Butt, M. M., Mushtaq, S., Afzal, A., Khong, K. W., Ong, F. S., & Ng, P. F. (2016). Integrating behavioral and branding perspectives to maximize green brand equity: a holistic approach. Business Strategy and the Environment, 26(4): 507-520.
  • Cantele, S. & Cassia, F. (2020). Sustainability implementation in restaurants: A comprehensive model of drivers, barriers, and competitiveness-mediated effects on firm performance. International Journal of Hospitality Management, 87(2020): 1-10.
  • Chang, N. J., & Fong, C. M. (2010). Green product quality, green corporate image, green customer satisfaction, and green customer loyalty. African Journal of Business Management, 4(13): 2836-2844.
  • Chen, Y. (2010). The Drivers of Green Brand Equity: Green Brand Image, Green Satisfaction, and Green Trust. Journal of Business Ethics, 93(2): 307-319.
  • Cretu, A. E., & Brodie, R. J. (2007). The influence of brand image and company reputation where manufacturers market to small firms: A customer value perspective. Industrial Marketing Management, 36(2): 230-240.
  • Davis, D. F., Golicic, S. L. & Marquardt, A. J. (2008). Branding a B2B service: Does a brand differentiate a logistics service provider? Industrial Marketing Management, 37(2008): 218-227.
  • Doney, P. M. & Cannon, J. P. (1997). An Examination of the Nature of Trust in Buyer-Seller Relationships. Journal of Marketing, 61(April): 35-51.
  • Doorn, M. (2012). Tolerance. Sociopedia.isa. 1-15.
  • Elliot, R. & Yannopoulou, N. (2007). The nature of trust in brands: a psychosocial model. European Journal of Marketing, 41(9/10): 988-998.
  • Faircloth, J. B., Capella, L. M., & Alford, B. L. (2001). The Effect of Brand Attitude and Brand Image on Brand equity. Journal of Marketing Theory and Practice, 9(3), 61-75.
  • Fornell, C. & Larcker, D. (1981). Evaluating Structural Equation Models with Unobservable Variables and Measurement Error. Journal of Marketing Research, 18(1): 39-50.
  • Gefen, D. & Straub, D. W. (2004). Consumer Trust in B2C e-Commerce and the Importance of Social Presence: Experiments in e-Products and e-Services. Omega 32(6): 407–424.
  • Gulati, R. (1995). Does familiarity breed trust? The Implications of repeated ties for contractual choice in alliances. The Academy of Management Journal, 38(1): 85-112.
  • Ha, M. T. (2020). Investigating green brand equity and its driving forces. Management Science Letters, 10(2020): 2385-2394.
  • Jalilvand, M. R., Samiei, N., & Mahdavinia, S. H. (2011). The Effect of Brand Equity Components on Purchase Intention: An Application of Aaker’s Model in the Automobile Industry. International Business and Management, 2(2): 149-158.
  • Jevons, C. and Gabbott, M. (2000). Trust, Brand Equity and Brand Reality in Internet Business Relationships: An Interdisciplinary Approach. Journal of Marketing Management, 16(6): 619–634.
  • Kabadayı, E. T. & Aygün, İ. (2007). Determinants of Brand Loyalty and The Link Between Brand Loyalty and Price Tolerance. Boğaziçi Journal, 21(1-2): 21-35.
  • Kang, S. H. & Hur, W. M. (2012). Investigating the antecedents of green brand equity: a sustainable development perspective. Corporate Social Responsibility and Environmental Management, 19(5): 306-316.
  • Keller K. L. (1993) Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing, 57(1): 1-22.
  • Kent, R. J. & Allen, C. T. (1994). Competitive Interference Effects in Consumer Memory for Advertising: The Role of Brand Familiarity. Journal of Marketing, 56(July): 97-105.
  • Kim, K. H., Kim, K., Kim, D., Kim, J., & Kang, S. (2008). Brand equity in hospital marketing. Journal of Business Research, 6(1): 75-82.
  • Kim, H. & Kim, W. G. (2005). The relationship between brand equity and firms ‘performance in luxury hotels and chain restaurants. Tourism Management, 26(2005): 549–560.
  • Kotler, P. & Keller, K. L. (2016). Marketing Management. 15th Edition. Tamil Nadu: Pearson.
  • Kumar, P. (2015). State of green marketing research over 25 years (1990-2014): Literature survey and classification. Marketing Intelligence & Planning, 34(1): 137-158.
  • Leone, R. P., Rao, V. R., Keller, K. L., Luo, A. M., McAlister, L. & Srivastava, R. (2006). Linking Brand Equity to Customer Equity. Journal of Service Research, 9(2): 125-138.
  • Levy, S. J. (1985). Dreams, fairy tales, animals, and cars. Psychology and Marketing, 2(2): 67-81.
  • Namkung, Y., & Jang, S. C. (2013). Effects of restaurant green practices on brand equity formation: Do green practices really matter? International Journal of Hospitality Management, 33: 85–95.
  • Ng, P., Butt, M., Khong, K., & Ong, F. S. (2014). Antecedents of Green Brand Equity: An Integrated Approach. Journal of Business Ethics, 121(2): 203–215.
  • Oliver, R. L. (1993). Cognitive, affective, and attribute bases of the satisfaction response. Journal of Consumer Research, 20(3): 418-430.
  • Ostrom, A., & Iacobucci, D. (1995). Consumer trade-offs and the evaluation of services. Journal of Marketing, 59(1): 17-28.
  • Ottman, J. A. (1992). Green Marketing, NTC Business Books, Chicago: USA.
  • Polonsky, M. (1994). An Introduction to Green Marketing. Electronic Green Journal, 1(2).
  • Singh, J. & Sirdeshmukh, D. (2000). Agency and Trust Mechanisms in Consumer Satisfaction and Loyalty Judgements. Journal of the Academy of Marketing Science, 28(1): 150–167.
  • Solomon, M. R. (2018). Consumer Behavior: Buying, Having and Being. 12th Edition. UK: Pearson.
  • Sözer, E. G. (2019). Customer Based Brand Tolerance (CBBT): Scale Development and Validation. Business & Management Studies: An International Journal, 7(5), 2610-2635.
  • Taylor, S.A., Celuch, K. & Goodwin, S. (2004). The importance of brand equity to customer loyalty. Journal of product and Brand Management, 13(4-5): 217-227
There are 43 citations in total.

Details

Primary Language English
Subjects Business Administration
Journal Section Articles
Authors

Edin Guclu Sozer This is me 0000-0003-4984-4629

Publication Date September 30, 2020
Published in Issue Year 2020 Volume: 7 Issue: 3

Cite

APA Sozer, E. G. (2020). THE EFFECTS OF GREEN MARKETING PRACTICES ON GREEN EQUITY AND CUSTOMER TOLERANCE. Journal of Management Marketing and Logistics, 7(3), 102-111. https://doi.org/10.17261/Pressacademia.2020.1283

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