ABSTRACT
This study examines the impact of branding on consumer purchase behavior among users of engine oil with special focus on Enugu metropolis. This was motivated by the fact that most engine oil companies seems to have not noticed the vital aspect of branding program in marketing their products. The specific objectives are; to determine the effect of perceived quality on consumer purchase behavior among users of engine oil, identify the influence of brand loyalty on consumer purchase behavior and ascertain the role of brand awareness on consumer purchase behavior among users of engine oil. The population of the study was 150 from which the sample size of 110 was drawn. The research instrument used was structured questionnaire. The data obtained were presented in frequency and percentage format. The analysis was done using Chi-square statistical tool and correlation test tool. The result shows that branding has influence on consumer purchase behavior. This research work recommended that business enterprises should invest heavily on the development of good and quality Engine oil as consumes purchase produces presently based on their perceived quality. It further suggested that industry players should design marketing programs that encourages repeat-purchase hence if translates into brand loyalty the research work also recommended vigorous marketing programs targeted at creating brand awareness for their products.
Keywords: Branding consumer, Purchase behavior.
TABLE
OF CONTENTS
Title
page i
Declaration ii
Certification iii
Dedication iv
Acknowledgement v
Table
of contents vi
List
of tables viii
List
of figures ix
Abstract
x
Chapter 1
Introduction
1.1 Background of the Study 1
1.2 Statement of the Problem 2
1.3 Objective of the Study 3
1.4 Research Questions 3
1.5 Research Hypotheses 3
1.6 Significance
of the Study 4
1.7 Scope
of the Study 4
1.8
Limitations of the Study 5
CHAPTER 2
Review of Related
Literature
2.1 Branding 6
2.1.1 Theoretical Framework 6
2.2 The Role of Brands 7
2.3 The
Scope of Branding 7
2.4 Brand Equity 8
2.4.1 Customer
based brand equity 8
2.5 Brand as a Logo 10
2.6 Brand as legal instrument 10
2.7 Brand
as shorthand 11
2.8
Brand as Risk Reducer 12
2.9
Brand Positioning 13
2.10 Brand as Personality 14
2.11 Brand as a cluster of values 16
2.12 Brand as vision 16
2.13 Brand as adding value 17
2.14 Brand as Identity 18
2.15
Brand as image 20
2.16 Empirical Review 21
2.16.1 A model for strategically Building Brands 21
2.16.2 Setting brand
objectives 22
2.16.3 Brand
Evaluation 23
2.16.4 Brand vision 24
2.16.5
Organizational culture 24
2.16.6
Brand objectives 24
2.16.7
Brand essence 24
2.16.8
Implementation and brand resourcing 24
Chapter 3
Research
Methodology
3.1 Research
Design 26
3.2 Area
of the Study 26
3.3 Population
of the Study 26
3.4 Sample
Size Determination 27
3.5 Sources
of Data 28
3.6 Instruments
of Data Collection 28
3.7 Methods of Data Analysis and Presentation
28
3.8 Validity
of the Research Instrument 29
3.9 Reliability
of the Research Instrument 29
Chapter 4
Data Presentation
and Analysis
4.1 Data
Presentation 30
4.2 Test
of Hypotheses 38
Chapter 5
Summary of
Findings, Recommendations and Conclusions
5.1 Summary
of Findings 42
5.2 Recommendations 42
5.3 Conclusions 43
References
Appendix
LIST OF TABLES
Table
4.1 Administration
of Questionnaire 31
Table 4.2 How long have been in the employment of
the company 32
Table 4.3 On the Level of Education of Respondents 33
Table 4.4 On whether the Respondents know what
Branding means? 34
Table 4.5 On whether Perceived Quality of Engine
oil has effect on 35
consumer purchase behaviour?
Table 4.6 On whether brand loyalty has influence on
the consumer 36
purchase
behaviour?
Table 4.7 On whether brand awareness has impact on
consumer 37
purchase behaviour?
LIST OF
FIGURES
Figure 2.1 A
balanced perspective on brand positioning as adapted from Baker,
M. J and Hart, S. J. (2008) 14
Figure 2.2 The brand as an amalgam of category values and its own unique
values
as adapted from Baker, M.J and Hart, S.J. (2008). 18
Figure 2.3 The
components of brand identity adapted from Baker, M.J and
Hart, S.J. (2008). 19
Figure 2.4 The process of
building and sustaining brands as adapted from
Baker, M.J and Hart, S. J (2008) 22
Chapter One
Introduction
1.1 Background of the Study
In
this era, globalization is increasingly important. Most of the industries are
thinking of expanding their market worldwide. However, before they can do so,
they need to study their respective market and identify the factors that will
steer them to success. Thus, the same concept applies here where the factors
which influence consumer purchasing behavior should be identified in order to
ensure the success in the oil industry for a manufacturer. Without the
purchasing stage, the consumer decision-making process in considered not
complete or not success since there will be no action taken after the
evaluation stage. A set of ideas that made sense a century ago shaped the
modern perspective on shopping (Offeh, Addo and Antwi-Donkor, 2013).
Some of these old-fashioned ideas are
people shop for dollar value, which shopping decisions make practical sense or
that shopping is mostly about acquiring needed goods and services. The new mode
of thought in the shopping environment is no longer sufficient to identify
simple customer demand and try to satisfy them. Modern shoppers buy things to
reward themselves, to satisfy psychological needs or to make themselves feel
good. Modern shoppers buy things because they are expensive. They buy things to
make a statement, to show off their personality or to boost their self-esteem.
Purchased items have become an affirmation of the psyche. Retailers need to
change in order to suit the modern shopping behaviour. It is no longer
significant to see a shopper as a rational creature making decisions. It is no
longer enough to think that the shopper acts in a way that makes sense from an
economic of logical point of view (Pooler, 2003).The buying process is a
combination of mental and physical activities that ends with an actual purchase
of a particular products. Hence the interest to study the connection between
“what consumers buy” and “why consumers buy what they buy”. In this scenario,
brands play a leading role in customer purchase decision making. In a
globalized market, brands not only represent the name or the symbol of the
company that produce products or services (Lamba, 2017).
A set of ideas that made sense a
century ago shaped the modern perspective on consumer purchase behaviour. Some
of these out-dated ideas include consumers who buy for naira value, but it is
no longer business as usual hence consumer purchase behaviour are what it used
to be. Modern consumers buy products because it’s expensive thereby making a
statement - show off their personality or boost their self-esteem. It is no
longer enough to think that the consumer acts in a way that makes sense from an
economic of logical point of view (Pooler, 2003).
The consumer purchase decision making
is incomplete without the purchasing stage hence there will be action. Nowadays
consumers are so genuinely connected to brands that when they purchase any
product or service. As this connectivity increases, the researcher deems it fit
to explore the level at which brands so often influence the consumer’s final
choice on engine oil.
1.2 Statement of the Problem
With the high influx of engine oil
products into Nigeria, consumers in their quest for satisfaction continuously
made several purchase decisions relating to their choice of engine oil.
Currently, brands to a large level have contributed to inadequate sales turnover
and also in the marketing of engine oil products in Enugu metropolis.
There
are many brands of engine oil that are on sale in Enugu metropolis but the
researcher will concentrate more on Mobil brand , believing that whatever comes
out of the study could be reflected on the other key players in the industry.
1.3 Objective of the Study
The main
objective of this study is impact of brand on consumer purchase behaviour among
users of engine oil, while the specific objectives are;
i.
to
determine the effect of perceived quality on consumer purchase behaviour among
users of engine oil
ii.
to
identify the influence of brand loyalty on consumer purchase behaviour among
users of engine oil
iii.
to
ascertain the role of brand awareness on consumer purchase behaviour among
users of engine oil
1.4 Research
Questions
The
following research questions will guide the researcher in this study
i.
what
are the effect of perceived quality on consumer purchase behaviour among users
of engine oil?
ii.
how
does brand loyalty influence consumer purchases behaviour among users of engine
oil?
iii.
what
are the impact of brand awareness on consumer purchase behaviour among users of
engine oil.
1.5 Research Hypotheses
The
following research hypotheses will guide the researcher in trying to find
answers to the research questions developed above for the study;
Ho: Perceived quality does not have effect on
the consumer purchase behaviour among users of engine oil.
Ho: Brand loyalty does not influence consumer
purchase behaviour among users of engine oil.
Ho:
Brand awareness does not have impact
on consumer purchase behaviour among users of engine oil.
1.6 Significance of the Study
This
study will be beneficial to companies/manufacturers of engine oil while consumers or users of engine oil will
benefit immensely from this study as it is anticipated that the study will
uncover some of the reasons consumer buy what buy and how the consumer buy
their favourite engine oil.
This
stems from the fact that good brands help companies to gain advantages over
competitors.
Finally,
the study will not only be of benefit to the researcher but also to the
readers, as adequate knowledge and understanding, will be gained from the
information contained in the study.
1.7 Scope of the Study
The
scope of this study is “evaluation of brands on consumer purchase behaviour
among users of engine oil” with specific interest on Mobil Oil. The research
study will be conducted in Enugu metropolis based respondents.
1.8 Limitations of the Study
In
this study, the researcher anticipated some critical challenges in the
following area;
Time:
time constraint is a very critical area that the researcher will be confronted
due to the fact that the study has to be combined with other academic exercise.
Respondents:
the researcher envisages challenges from the respondents as many may not be
willing to co-operate with the researcher instructions resulting in delays.
Finance:
the researcher has already stated facing challenges on this as area.
Inaccessible
relevant materials: having to do with a company that is operating in a
competitive market, there is every tendency that the officials of the company
will not be willing to release some vital information/material for fear of
competitor’s invasion in their strength area (competitive edge).
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