BRAND EQUITY: MEASUREMENT OF SELECT MOBILE HANDSET BRANDS
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Transcript of BRAND EQUITY: MEASUREMENT OF SELECT MOBILE HANDSET BRANDS
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 53
BRAND EQUITY: MEASUREMENT OF SELECT MOBILE HANDSET BRANDS
By: NitikaAggarwal
Assistant Professor, University of Delhi
EXECUTIVE SUMMARY
The increasing disposable income and the growing proportion of youth in the population
have ledto a growing mobile handset Industry in India. Expanding demand has led to increased
competition withBoth Indian and International players like Nokia, Samsung, LG, Panasonic,
Motorola, Siemens, etc. vyingfor space in the consumers’ purchase decisions. With so many
competitors vying for consumers’attention and tapping their purchase potential, the image of
individual brands and the valuepotential consumers attach to the available brands come into play.
The project is an attempt to measure this value in terms of Brand Equity. The report
entails the determination of the various factors that define Brand Equity and presents an
overview of the relation between them. It further explores the four mobile handset brands-Nokia,
Sony Ericsson, Samsung and LG- on the basis of the different parameters that determine Brand
Equity and how these parameters differ across brands. Recommendations have been provided
regarding the elements that each brand should focus on to magnify their Brand Equity and
combat competition.
INTRODUCTION
Background:
Given higher costs and greater competition, firms seek to increase the efficiency of
theirmarketing expenses. As a result marketers need a more thorough understanding of
consumerbehavior for making better strategic decisions about target market definition and
productpositioning, as well as better tactical decisions about specific marketing mix
actions.1Companies hence need to create perceived differences among products through
‘Branding’. This helps marketers develop a loyal consumer base by creating value that translates
into financial profits for firms. Brands thus have an importance for both consumers (reduces risk
and search cost, ensures quality, etc) and manufacturers (ensures legal backing, signals quality to
consumers, provides competitive advantage, etc.). Hence, for the longevity of a particular brand,
customers’ subjective and intangible assessment of a brand gains particular importance. This is
measured in terms of Brand Equity.
1 Measuring customer-based Brand Equity in Durable Goods Industry – N. Rajasekar, K.G Nalina
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 54
Brand Equity: In a general sense, brandequity is defined in the terms of marketing effects
uniquely attributable to the brand- for example,when certain outcomes result from the marketing
of a product or service because of its brandname that would not occur if the same product or
service would not have that name.
Kevin Lane Keller has defined consumer brand equity as "the differential effect that brand
knowledge has on the customer response to the marketing of that brand. Equity occurs when the
consumer is familiar with the brand and holds some favorable, strong and unique brand
association in memory."
Thus, Brand equity stems from the greater confidence that consumers place in a brand than they
do in its competitors. This confidence translates into consumers’ loyalty and their willingness to
pay a premium price for the brand.2
Purpose and Scope of Study:
The project aims to determine the various attributes that contribute towards building the
Brand Equity of mobile phone brands and calculate the Brand Equity for the mobile handset
brands- Nokia, Sony Ericsson, LG and Samsung. It also aims to assess the importance of the
various elements of brand Equity and the relationship among them.
The brand equity has been calculated by surveying the students of ICFAI Business School and
applying various statistical tools using SPSS.
RESEARCH DESIGN
The study entails Exploratory Research based on Primary Data. Primary data was collected
with the help of a questionnaire3 to find out the consumer perception towards the mobile phone
brands owned by the respondents, which helped define the problem more precisely and help in
identifying ways to measure Brand Equity.
Sampling
Sampling Frame
The following criteria4 were decided for sampling:
Respondents within the age group of 15-40, who are heavy users of mobile phones.
Sample consisted of working people and students who are heavy users of mobile phones.
The sample should contain users of different mobile handset brands.
2 Measuring Customer Based Brand Equity: WalfriedLassar, Banwari Mittal and Arun Sharma.
3 Refer to Annexure I
4http://www.slideshare.net/kedarsohoni/mobile-usage-in-india-an-informate-report
http://comm215.wetpaint.com/page/India:+Mobile+Landscape
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 55
Sampling Technique
Non Probability Sampling: Convenience sampling, hence data was collected from the students of
IBS.
Sample Size
101 Respondents, ICFAI Business School
Methodology
The following steps outline the scheme of the study based on the collected data:
Acquaintance with the theoretical concepts of Brand Equity and comprehension of the
scope and applications of the collected data and the different methodologies of
calculating Brand Equity.
Filtration of data as per requirements of the study
Identification of the factors that define the Brand Equity for mobile handset brands by
employing Factor Analysis.
Computation of factor scores for each respondent for the respective handset brand.
Computation of Brand Equity for the various brands under the study.
ANALYSIS
Data Filtration
The total number of respondents was 101. Out of them the number of respondents for various
brands was as follows:
Brand No. of Respondents
Nokia 61
Sony Ericsson 17
LG 10
Samsung 7
Motorola 3
HTC 2
Apple 1
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 56
The brands Motorola, HTC and Apple were removed because of low number of respondents.
Post this, the analysis was carried out for Nokia, Sony Ericsson, LG and Samsung with a sample
size of 95.
Identification of factors that assess Brand Equity
Consumer behavior and the perception towards various mobile brands that they owned
were assessed with the help of Rating Scale (Likert Scale). First an Exploratory Factor Analysis
was run to test for the factor structure and determine the factors that would define Brand
Equity.Factor Analysis resulted into the following output:
Suitability of data:
The following table shows the two tests which indicate the suitability of the collected data for
factor analysis:
KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .895
Bartlett's Test of Sphericity Approx. Chi-Square 2550.772
df 630
Sig. .000
Inference:
The Kaiser-Meyer-Olkin Measure of Sampling Adequacy is a statistic which indicates
the proportion of variance in your variables which is common variance, i.e. which might be
caused by underlying factors. High values indicate that the data is fit for Factor Analysis. The
collected data had a KMO value of .895, thus indicating a very high fit of data for Factoring.
Bartlett's test of Sphericity indicates whether your correlation matrix is an identity
matrix, which would indicate that your variables are unrelated. Very small values (less than .05)
indicate that there are probably significant relationships among your variables and hence
different variables can be clustered together into a single factor. In this case there is 100%
confidence that there exists significant relationship among the variables.
Construction of Factors
A total of 7 factors were yielded which explained 69.82% of variance accounted for by
all the factors5. Ideally, the factors should have explained more than 75% of variance. This
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 57
discrepancy may be due to less number of respondents.The following table provides an overview
of the variables that need to cluster within each of the 7 factors:
Rotated Component Matrix (a)
Component
1 2 3 4 5 6 7
Associate_with_Quality 0.737
Experience_VeryGood 0.732
Dependable_Brand 0.682
Well_Known_Brand 0.658
Respected_Brand 0.65
0.515
Reliable_Brand 0.629
Hold_in_High_Esteem 0.587
RelateToPeople
0.714
Makes_Feel_Different_from_Others
0.694
Brand_Different_from_others
0.66
Makes_Think_about_Lifestyle
0.608
Strong_Emotions
0.574
Buy_Recommend_accessories_sameBrand
Unique_Brand
0.736
Likeable_Brand
0.735
Attractive_Brand
0.716
Strong_Brand_in_Market
0.676
Excellent_Customer_Service
Do_not_Mind_Paying_Premium
Consider_only_this_Brand
0.815
Never_switch
0.67
Only_brand_I_Buy&Use
0.635
Purchase_same_brand_next_time
0.562
First_Brand_that_comes_to_mind
0.545
Recommend_to_Others
Requires_Less_Service_inComparison
Frequently_visit_website
0.8
Keep_Information_updated
0.738
First_comment_Opinionate
0.737
Aware_of_Advert_Promotions
0.653
Meets_Functional_Needs
0.713
ValueForMoney
0.685
Value_FunctionalBenefits
0.622
Excites_senses
0.534
Trust_Organization
0.692
Proud_Associated_With_Organisation
0.51
0.549
Extraction Method: Principal Component Analysis.
5 For Rotated sums of Squared Loadings, refer to Annexure II
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 58
Rotation Method: Varimax with Kaiser Normalization.
a- Rotation converged in 7 iterations.
Inference:
In the above table, each number represents the partial correlation between the item and the
factor. Hence, the higher the factor loading, the higher the variable explains that particular factor.
For the purpose of the study, variables having factor loadings greater than .5 were considered.
Post this, the various factors were:
Factor Variables Factor Name
1
Associate_with_Quality
Perceived Quality
Experience_VeryGood
Dependable_Brand
Well_Known_Brand
Respected_Brand
Reliable_Brand
Hold_in_High_Esteem
2
RelateToPeople
Brand Associations
Makes_Feel_Different_from_Others
Brand_Different_from_others
Makes_Think_about_Lifestyle
Strong_Emotions
3
Unique_Brand
Brand Perceptions Likeable_Brand
Attractive_Brand
Strong_Brand_in_Market
4
Consider_only_this_Brand
Brand Loyalty
Never_switch
Only_brand_Buy_Use
Purchase_same_brand_next_time
First_Brand_that_comes_to_mind
5
Frequently_visit_website
Brand Awareness Keep_Information_updated
First_comment_Opinionate
Aware_of_Advert_Promotions
6
Meets_Functional_Needs
Brand Value ValueForMoney
Value_FunctionalBenefits
7 Trust_Organization Organizational
Association Proud_Associated_With_Organisation
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 59
Test for Reliability of Factors:
After an exploratory factor analysis was carried out a ‘Confirmatory analysis’ was done
that dealt with each of the individual factors. The Cronbach’s alpha (measure of reliability) was
studied for each of the factors resulted out of Factor Analysis. A higher value, greater that 0.7
was obtained for all the factors which ensured reliability of the factors. The Cronbach’s Alpha
values for the factors in the individual data sets are mentioned below:
Name of the factor No. of items Cronbach's Alpha
1)Perceived Quality 7 0.925
2)Brand Associations 5 0.828
3)Brand Perceptions 3 0.883
4)Brand Loyalty 5 0.872
5)Brand Awareness 4 0.805
6)Brand Value 3 0.755
7)Organizational Association 2 0.782
Computation of Factor Scores and Grouping of respondents on basis of the
scores
Respondents' factor scores were computed as the sum of weighted item scores (raw score
on items included in the latent variable multiplied by the item's factor loading).6 The factor
scores helped in computing a quantitative value for all the factors for all respondents which was
used in further analysis.
Next, the respondents were grouped into two groups for each factor (cut-off point: 50 percentile)
based on the factor scores.7
6http://ci.nii.ac.jp/naid/110007054271/en
http://www.biomedcentral.com/1472-6963/9/155
7 1- Below cut off point, 2- Above cut off point
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 60
FINDINGS
Correlation Analysis
Correlation Analysis was carried out to see the strength of relationship between the
various factors that define Brand Equity. The result was as follows:
Correlations
Brand_
Awarene
ss_Score
Brand_V
alue_Sco
re
Brand_Ass
ociations_S
core
Brand_Per
ceptions_S
core
Brand_L
oyalty_Sc
ore
Perceived_
Quality_Sc
ore
Orgaizational_
Association_S
core
Brand_Aware
ness_Score
Pearson
Correlation 1.000 0.346 0.438 0.430 0.478 0.368 0.307
Sig. (2-
tailed)
0.001 0.000 0.000 0.000 0.000 0.002
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
Brand_Value_
Score
Pearson
Correlation 0.346 1.000 0.522 0.540 0.544 0.629 0.495
Sig. (2-
tailed) 0.001
0.000 0.000 0.000 0.000 0.000
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
Brand_Associ
ations_Score
Pearson
Correlation 0.438 0.522 1.000 0.543 0.635 0.605 0.575
Sig. (2-
tailed) 0.000 0.000
0.000 0.000 0.000 0.000
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
Brand_Percept
ions_Score
Pearson
Correlation 0.430 0.540 0.543 1.000 0.548 0.715 0.590
Sig. (2-
tailed) 0.000 0.000 0.000
0.000 0.000 0.000
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
Brand_Loyalty
_Score
Pearson
Correlation 0.478 0.544 0.635 0.548 1.000 0.612 0.538
Sig. (2-
tailed) 0.000 0.000 0.000 0.000
0.000 0.000
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
Perceived_Qu
ality_Score
Pearson
Correlation 0.368 0.629 0.605 0.715 0.612 1.000 0.620
Sig. (2-
tailed) 0.000 0.000 0.000 0.000 0.000
0.000
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
Orgaizational_
Association_S
core
Pearson
Correlation 0.307 0.495 0.575 0.590 0.538 0.620 1.000
Sig. (2-
tailed) 0.002 0.000 0.000 0.000 0.000 0.000
N 95.000 95.000 95.000 95.000 95.000 95.000 95.000
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 61
Inference:
Ideally, the factors should not have a high correlation among themselves because that
would imply overlapping variables. In this case, though the relationship between the factors is
significant (The significance value of all the factors was very low – hence, nearly 100%
confidence in all cases), but the strength of relation is not very strong because the r-square values
are not high in all cases. The highest correlation lies between Brand Perceptions and Perceived
Quality (.715).
N-way Analysis of Variance
An n-way analysis of variance was carried out for the seven factors for the four brands.
Hypothesis:
H0: The means of factor scores for different brands are equal.
H1: The means of factor scores for different brands are unequal.
The output was as follows:
Tests of Between-Subjects Effects
Source Dependent Variable
Type III
Sum of
Squares df Mean Square F Sig.
Current_
Mobile Brand_Awareness_Score 27.035 3 9.012 1.077 0.363
Brand_Value_Score 10.105 3 3.368 2.539 0.061
Brand_Associations_Score 75.730 3 25.243 3.438 0.020
Brand_Perceptions_Score 110.061 3 36.687 10.077 0.000
Brand_Loyalty_Score 283.792 3 94.597 11.259 0.000
Perceived_Quality_Score 221.877 3 73.959 8.812 0.000
Orgaizational_Association_
Score 9.440 3 3.147 3.618 0.016
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 62
Inference:
Current_Mobile Mean N
Brand_Awareness_Score Nokia 9.16942623 61
Sony Ericsson 9.124 17
LG 7.6238 10
Samsung 9.955142857 7
Total 9.056494737 95
Brand_Value_Score Nokia 9.108983607 61
Sony Ericsson 8.621941176 17
LG 8.1912 10
Samsung 8.496428571 7
Total 8.880084211 95
Brand_Associations_Score Nokia 11.59711475 61
Sony Ericsson 10.72870588 17
LG 8.9226 10
Samsung 9.825428571 7
Total 11.02964211 95
Brand_Perceptions_Score Nokia 12.99472131 61
Sony Ericsson 12.07288235 17
LG 9.5648 10
Samsung 11.43757143 7
Total 12.35397895 95
Brand_Loyalty_Score Nokia 12.54406557 61
Sony Ericsson 9.925 17
LG 7.5137 10
Samsung 9.88 7
Total 11.34957895 95
Perceived_Quality_Score Nokia 21.24562295 61
Sony Ericsson 19.34029412 17
LG 16.5639 10
Samsung 18.96985714 7
Total 20.24416842 95
Orgaizational_Association_Score Nokia 5.25895082 61
Sony Ericsson 4.868470588 17
LG 4.2623 10
Samsung 4.984428571 7
Total 5.063936842 95
It was observed that there existed significant difference between the means of Brand
Associations, Brand Perceptions, Brand Loyalty, Perceived Quality, and Organizational
Association based on the significance values. Hence H0 was rejected for these variables while
accepted for Brand Awareness and Brand Value. These were cross-checked looking at the
Means Table:
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 63
It is seen that for LG is low in Brand awareness as compared to other brands, whose
means are nearly equal. There is no significant difference between the means for different brands
for Brand Value, but the means for other Brand Equity parameters differ greatly for the different
brands.
Crosstabulations and Chi Square Test
Once the different respondents were divided into high and low bands based on the scores
of various Brand Equity parameters, Cross tabulations were constructed to compare the different
parameters independently for the various brands. Due to missing links between the parameters of
Brand Equity (in absence of any method to calculate a combined value for Brand Equity); each
factor was studied independently for the four handset brands. The different brands were ranked
based on proportion (within current mobile) of sample in the high bands
The following table summarizes the output:
Ranks of Mobile Handset Brands
Factors of Brand Equity Nokia Sony Ericsson LG Samsung
Brand Awareness 2 3 4 1
Brand Value 1 2 4 3
Brand Associations 1 2 4 3
Brand Perceptions 1 2 4 3
Brand Loyalty 1 2 4 3
Perceived Quality 1 2 4 3
Organizational Association 1 2 4 3
Hence we see that based on different parameters of Brand Equity, Nokia ranks the highest
followed by Sony Ericsson, Samsung and LG.
Further, Chi Square was carried out to test whether
a. The population proportions could be considered equal or not
b. The differences observed among the values of sample proportions are significant or only due
to chance.
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 64
The results were as follows:
Current_Mobile
Brand_Awareness_Score (Banded) Chi-square 5.066
Df 3
Sig. .167(a)
Brand_Value_Score (Banded) Chi-square 7.389
Df 3
Sig. .060(a)
Brand_Associations_Score (Banded) Chi-square 9.117
Df 3
Sig. .028(*,a)
Brand_Perceptions_Score (Banded) Chi-square 15.689
Df 3
Sig. .001(*,a)
Brand_Loyalty_Score (Banded) Chi-square 16.477
Df 3
Sig. .001(*,a)
Perceived_Quality_Score (Banded) Chi-square 12.836
Df 3
Sig. .005(*,a)
Orgaizational_Association_Score
(Banded)
Chi-square 8.627
Df 3
Sig. .035(*,a)
Results are based on nonempty rows and columns in each innermost sub table.
* The Chi-square statistic is significant at the 0.05 level.
a More than 20% of cells in this sub table have expected cell counts less than 5. Chi-square results may be invalid.
Inference:
The lower the significance value, the less likely it is that the two variables are
independent (unrelated). Hence, it can be inferred that the variables are not independent in cases
of Brand Loyalty, Brand Perceptions and Perceived Quality for the different brands while the
other factors are independent of each other for different brands.
Regression Analysis
Regression Analysis was carried out for each factor of Brand Equity (assuming the other
factors to be independent).
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 65
The following output was obtained for each parameter:
Dependent Variable: Brand Awareness
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) 1.619 2.147 0.754 0.453
Brand_Value_Score 0.109 0.299 0.044 0.365 0.716
Brand_Associations_Score 0.197 0.133 0.191 1.477 0.143
Brand_Perceptions_Score 0.331 0.181 0.248 1.827 0.071
Brand_Loyalty_Score 0.249 0.112 0.287 2.228 0.028
Perceived_Quality_Score -0.074 0.136 -0.083 -0.547 0.586
Orgaizational_Association_Score -0.220 0.373 -0.074 -0.589 0.557
Inference:
It is observed that among all the variables, Brand Perception and Brand Loyalty are most
significant indicators of Brand Awareness.
Regression Analysis gives us the following equation for predicting the level of Brand
Awareness:
Brand Awareness = 1.619 + .109(Brand Value) + .197(Brand Associations) + .331 (Brand
Perceptions) + .249(Brand Loyalty) -.074(Perceived Quality) - .220 (
Organizational Association)
Dependent Variable: Brand Value
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) 4.033 0.636 6.338 0.000
Brand_Associations_Score 0.045 0.048 0.106 0.933 0.354
Brand_Perceptions_Score 0.051 0.066 0.093 0.773 0.442
Brand_Loyalty_Score 0.058 0.041 0.163 1.420 0.159
Perceived_Quality_Score 0.125 0.047 0.343 2.683 0.009
Orgaizational_Association_Score 0.083 0.133 0.068 0.621 0.536
Brand_Awareness_Score 0.014 0.038 0.034 0.365 0.716
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 66
Inference:
It is observed that among all the variables, Perceived Quality is the most significant
indicator of Brand Value.
Regression Analysis gives us the following equation for predicting the level of Brand Value:
Brand Value = 4.033 + .045(Brand Associations) + .051 (Brand Perceptions) + .058(Brand
Loyalty) +.125(Perceived Quality) + .083 (Organizational Association) +
.014(Brand Awareness)
Dependent Variable: Brand Associations
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) -1.406 1.697
-
0.829 0.410
Brand_Perceptions_Score 0.047 0.146 0.036 0.325 0.746
Brand_Loyalty_Score 0.243 0.087 0.289 2.795 0.006
Perceived_Quality_Score 0.146 0.106 0.168 1.372 0.173
Orgaizational_Association_Score 0.606 0.288 0.209 2.100 0.039
Brand_Awareness_Score 0.123 0.083 0.127 1.477 0.143
Brand_Value_Score 0.219 0.235 0.092 0.933 0.354
Inference:
It is observed that among all the variables, Brand Loyalty and Organizational
Associations are the most significant indicators of Brand Associations.
Regression Analysis gives us the following equation for predicting the level of Brand
Associations:
Brand Associations = -1.4063 + .047 (Brand Perceptions) + .243(Brand Loyalty)
+.146(Perceived Quality) + .606 (Organizational Association) +
.123(Brand Awareness) + .219(Brand Value)
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 67
Dependent Variable: Brand Perceptions
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) 1.328 1.235 1.075 0.285
Brand_Loyalty_Score 0.024 0.066 0.038 0.369 0.713
Perceived_Quality_Score 0.305 0.071 0.456 4.275 0.000
Orgaizational_Association_Score 0.416 0.211 0.186 1.971 0.052
Brand_Awareness_Score 0.110 0.060 0.147 1.827 0.071
Brand_Value_Score 0.133 0.172 0.072 0.773 0.442
Brand_Associations_Score 0.025 0.078 0.033 0.325 0.746
Inference:
It is observed that among all the variables, Perceived Quality, Organizational
Associations and Brand Awareness are the most significant indicators of Brand Perceptions.
Regression Analysis gives us the following equation for predicting the level of Brand
Perceptions:
Brand Perceptions = 1.328 + .025 (Brand Associations) + .024(Brand Loyalty)
+.305(Perceived Quality) + .416 (Organizational Association) +
.110(Brand Awareness) + .133(Brand Value)
Dependent Variable: Brand Loyalty
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) -4.385 1.943
-
2.257 0.026
Perceived_Quality_Score 0.196 0.124 0.190 1.573 0.119
Orgaizational_Association_Score 0.375 0.344 0.109 1.090 0.279
Brand_Awareness_Score 0.214 0.096 0.186 2.228 0.028
Brand_Value_Score 0.389 0.274 0.138 1.420 0.159
Brand_Associations_Score 0.335 0.120 0.282 2.795 0.006
Brand_Perceptions_Score 0.063 0.171 0.041 0.369 0.713
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 68
Inference:
It is observed that among all the variables, Brand Awareness and Brand Associations are
the most significant indicators of Brand Loyalty.
Regression Analysis gives us the following equation for predicting the level of Brand Loyalty:
Brand Loyalty = -4.385 + .335 (Brand Associations) + .063(Brand Perceptions)
+.196(Perceived Quality) + .375 (Organizational Association) +
.214(Brand Awareness) + .389(Brand Value)
Dependent Variable: Perceived Quality
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) 2.592 1.666 1.556 0.123
Orgaizational_Association_Score 0.508 0.288 0.152 1.765 0.081
Brand_Awareness_Score -0.046 0.083 -0.041 0.547 0.586
Brand_Value_Score 0.605 0.225 0.220 2.683 0.009
Brand_Associations_Score 0.143 0.105 0.125 1.372 0.173
Brand_Perceptions_Score 0.563 0.132 0.377 4.275 0.000
Brand_Loyalty_Score 0.140 0.089 0.144 1.573 0.119
Inference:
It is observed that among all the variables, Brand Value, Brand Perceptions and
Organizational Associations are the most significant indicators of Perceived Quality.
Regression Analysis gives us the following equation for predicting the level of Perceived
Quality:
Perceived Quality = 2.592 + .143 (Brand Associations) + .563(Brand Perceptions)
+.140(Brand Loyalty) + .508 (Organizational Association) -
.046(Brand Awareness) + .605(Brand Value)
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 69
Dependent Variable: Organizational Association
Coefficients(a)
Model
Unstandardized
Coefficients
Standardized
Coefficients
t Sig. B
Std.
Error Beta
1 (Constant) 0.867 0.607 1.428 0.157
Brand_Awareness_Score -0.018 0.030 -0.053 0.589 0.557
Brand_Value_Score 0.053 0.085 0.064 0.621 0.536
Brand_Associations_Score 0.079 0.038 0.228 2.100 0.039
Brand_Perceptions_Score 0.102 0.052 0.227 1.971 0.052
Brand_Loyalty_Score 0.035 0.033 0.122 1.090 0.279
Perceived_Quality_Score 0.067 0.038 0.224 1.765 0.081
Inference:
It is observed that among all the variables, Brand Associations and Brand Perceptions are
the most significant indicators of Organizational Association.
Regression Analysis gives us the following equation for predicting the level of Organizational
Association:
Organizational Association = .867+ .079(Brand Associations) + .102(Brand Perceptions)
+.035(Brand Loyalty) + .067 (Perceived Quality) -
.018(Brand Awareness) + .053(Brand Value)
CONCLUSIONS
Nokia has the highest Brand Equity followed by Sony Ericsson, Samsung and LG.
Brand Awareness and Brand Value do not vary much across various brands. Hence, there
weightage in the calculation of Brand Equity would be low.
Brand Loyalty, Brand Perceptions and Perceived Quality of different brands are very
closely related to each other. This may imply that comparative assessment is done by
consumers of the brands based on these parameters.
Organizational Association and Brand Associations are also linked with each other, thus
implying the importance of secondary associations in building Brand Equity.
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 70
Scope for further Research:
Further Research can be carried out in three areas:
The linkage between the various factors can be further studied to develop a formula /
model for calculating Brand Equity and giving it a quantified value
The relationship between Perceived Quality and Brand Perceptions needs to be further
analyzed to gain more insights into Brand equity
Factors affecting perceived quality should be further studied as it is related to most of the
other variables that define Brand Equity.
RECOMMENDATIONS
Mobile handset companies should also emphasize on the Organizational Associations
while marketing their products as they help build up brand associations which result in
building loyalty and resulting into purchase.
Loyalty being least for LG, they should focus on building positive associations and
perceptions and increasing brand awareness through various marketing strategies.
Sony Ericsson needs to emphasize more on Brand Awareness to further strengthen its
Brand Equity.
Among the various indicators of Brand Equity, Nokia needs to concentrate most on
building Brand Awareness by updating websites, increasing visits to webpage (through
offers, interactive mediums, etc.) and overall inducing consumer curiosity of Nokia
products.
LIMITATIONS
The project had the following drawbacks:
The study was conducted in 2010. So the results might be not completely applicable now.
The different factors affecting Brand Equity have been individually studied but their
combined effect could not be analyzed.
All the factors were reliable indicators of Brand Equity, yet it could not be assessed which
factors had comparatively greater effect on the Brand Equity of mobile phones.
The difference in the sample sizes for different brands may have obscured the results to an
extent though crosstabs were used to minimize the effect of the difference.
The limitations of individual statistical procedures could not be done away with.
The sample size was small and hence may not represent the entire population
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 71
Annexure I
I. Demographic Details (Tick where necessary)
A. Name: _________________________________________________________________
B. Age: 15-25 26-40 41-60 60 Above
C. Gender: Male Female
D. Occupation: Student Business Homemaker Office
Professional Others (Please specify)
__________________________
II. Mobile Brand Details
A. Which is/are the Current Mobile Brand(s) you are using?
_______________________________________________________
B. Since how long are you using the current mobile brand (in months)?
__________________________________________________________________________
C. Specify the mobile services you use.
Voice calls Download games Play Games Text messages
Picture messages Download ring tones Wireless Internet Access
Others (Please Specify) ______________________________________________
III. Brand Experience
A. What is your experience with the Mobile Phone you are using? Please read the statements
one by one and rate it according to the following scale:
Rating Strongly
Disagree
Somewhat
Disagree
Neither Disagree
Nor Agree
Somewhat
Agree
Strongly
Agree
Code in
Grid
1 2 3 4 5
(Tick the required rating)
Statements 1 2 3 4 5
The brand provides good value for the money.
The brand meets my functional needs.
This brand provides excellent customer service.
I value the functional benefits provided by the mobile phones of this
brand.
Using this brand excites my sense.
I have strong emotions for this mobile phone brand.
I can relate to other people through this mobile phone brand.
This brand tries to make me think about lifestyle.
It is a well-known brand in the market.
It is a strong brand in the market.
CASIRJ Volume 6 Issue 1 [Year - 2015] ISSN 2319 – 9202
International Research Journal of Commerce Arts and Science http://www.casirj.com Page 72
It is an attractive brand.
It is a likeable brand.
It is a Unique brand.
I do not mind paying a premium for this brand.
I would recommend this brand to family/ friends.
I would never switch over to other brands.
This is the first brand that comes to my mind when I think of mobile
phones.
This is the only brand that I buy and use.
My use experience with this brand has been very good.
When I think of this brand, I think of quality.
The brand is a respected brand.
I hold the brand in high esteem.
I trust the organization.
I am proud to be associated with this organization.
This brand is very different from the others.
This brand makes me feel different from others.
I would buy this brand the next time I upgrade my mobile.
I buy/ recommend accessories of this brand only.
The brand is reliable.
I keep myself updated about this brand irrespective of my purchase
intentions.
The brand is dependable.
I frequently visit the brands' website.
I am aware of the advertisements and promotions of the brand.
I am the first to comment/ form opinions whenever a new phone is
launched of the brand.
This brand requires less service compared to other brands.
I would consider this brand while purchasing mobile phones.
REFERENCES
MALHOTRA NARESH. Marketing Research – An Applied Orientation. Pearson Education, Inc.
KELLER KEVIN, KOTLER PHILIP. Marketing Management
www.statsoft.com (basics on statistics)
White papers