Monday, June 20, 2011

Brand Loyalty - Tenarra.

Brand loyalty, in marketing

, consists of a consumer's commitment to repurchase or otherwise continue using the brand and can be

demonstrated by repeated buying of a product or service, or other positive

behaviors such as word of

mouth advocacy.

Brand loyalty is more than simple repurchasing, however. Customers may repurch

ase a brand due to situational constraints, a lack of viable

alternatives, or out of convenience. Such loyalty is referred to as "spurious loyalty"


True brand

loyalty exists when customers have a high relative attitude toward the brand

which is then exhibited through repurchase behavior.

This type of loyalty can be a great asset to the firm: cust

omers are willing to pay higher prices, they may cost less to serve, and can bring new customers to the firm. For example, if Joe has brand loyalty to Company A he will

purchase Company A's products even if Company B's are cheaper and/or of a higher quality.

From the point of view of many marketers, loyalty to the brand — in terms of consumer usage — is a key factor.

A second dimension, however, is whether the customer is committed to the brand. Philip Kotler, again, defines four patterns of behaviour:

1. Hard-core Loyals - who buy the brand all the time.

2. Split Loyals - loyal to two or three brands.

3. Shifting Loyals - moving from one brand to another.

4.Switchers - with no loyalty

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