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Tydskrif vir Geesteswetenskappe

On-line version ISSN 2224-7912
Print version ISSN 0041-4751

Abstract

MOOLLA, A I  and  BISSCHOFF, C A. A simplified model to measure brand loyalty of fast-moving consumer goods. Tydskr. geesteswet. [online]. 2015, vol.55, n.4, pp.652-664. ISSN 2224-7912.  http://dx.doi.org/10.17159/2224-7912/2015/v55n4a10.

Since the emergence of branding as an approach to marketing, the concept has been received with a great deal of interest and has stimulated ever-increasing research in the area. Businesses have realised the importance of retaining existing customers and have begun to identify and apply ways to build long-term relationships with customers. These relationships with customers require an understanding of customer needs, business requirements and the influences that create a long-term relation, which is more commonly known as brand loyalty. Several research studies, including this one, present the results of brand loyalty research in the form of a conceptual model. From an academic viewpoint, the identification and application of all the relevant influences are essential in the construction of a model that can guide the promotion of brand loyalty. The extensive review of literature and previously tested brand loyalty models resulted in the identification of initially 58, then 26, and eventually the final 12 influences that directly affect brand loyalty. These influences have been well researched and documented by Moolla and Bisschoff in their research to construct a model that could measure brand loyalty. The primary theoretical background and concepts in brand loyalty for this article ranged from the history of branding to the results of brand loyalty studies conducted over the past five years, as well as from seminal older sources. However, although the measuring model already explained a significant portion of the variance, a total of 12 constructs as measured by 50 criteria could be challenging in data collection and measurement. Therefore, the primary objective of the research was to diminish the number of constructs and criteria within the constraint of not diminishing the proportion of variance explained by the model. This reduction of the initial 12 brand loyalty influences presented an even more manageable research model that can be employed to measure brand loyalty. The empirical study was conducted among 550 customers who had access to a wide range of fast-moving consumer goods. The results were analysed by the process of factor analysis. The results showed that the 12 brand loyalty influences could successfully be limited to nine, whereas the number of criteria employed to measure them could be reduced to 39. Interestingly, the original two influences "culture" and "brand performance" combined to form a new brand loyalty influence, signifying that the performance of a brand is culturally influenced. This is an important finding in a culturally diverse business environment (such as South Africa, for example). In addition, the constraint could be maintained, and the variance explained improved marginally from 89.07% to 90.27%. The uniqueness and value of the research are embedded in the evaluation of each brand loyalty influence that is collectively assembled in one model. As a result, an important contribution of the study is therefore the simplification of the brand loyalty model, which enables managers to measure and strategically manage brand loyalty.

Keywords : Brand loyalty; model; brand influences; fast-moving consumer goods; FMCG; measuring brand loyalty; factor analysis.

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