33
brand‘s value and do not miss the customer loyalty through the preservation of the
brand‘s characteristic.
3. The Benefit of Brand
Brand can be beneficial to customers, brokers, manufacturers, and
public Nisha Jain, 2010, as follows:
a. For the buyer, the brand benefits are: 1 Help buyer identify the product that they likedislike
2 Identify marketer 3 Helps reduce the time needed for purchase
4 Helps buyer evaluate quality of products especially if unable to judge products characteristics
5 Helps re duce buyers‘ perceived risk of purchase
6 Buyer may derive a psychological reward from owning the brand b. For sellers, the brand benefits are:
1 Differentiate product offering from competitors 2 Helps segment market by creating tailored images,
3 Brand identifies t he companies‘ products making repeat purchases
easier for customers. 4 Reduce price comparisons
5 Brand helps firm introduce a new product that carries the name of one or more of its existing products, half as much as using a new
brand, lower cost designs, advertising and promotional costs. 6 Easier cooperation with intermediaries with well known brands
34
7 Facilitates promotional efforts. 8 Helps foster brand loyalty helping to stabilize market share.
9 Firms may be able to charge a premium for the brand. According to the Temporal and Lee 2002:44, the reason the brand is
important for consumers is due to: a. Brand gives the option
Human choice and loved the brand gives them the freedom to choose. Along with her increasingly fragmented market, the
company sees the importance of giving different options to different consumer segments. Brands can provide options, allowing
consumers to distinguish the various companies offer. b. Brand facilitate decision
Brand made the decision to buy easier. Consumers may not know much about a product hes attracted, but the brand can make it
easier to choose. Well-known brands attract a lot more attention than those who do not, usually because the brand is known and
trustworthy.
4. Trust in a Brand
Trust in a brand is defined as the customer wishes to rely on a brand with the risks faced because of expectations for the brand that will lead to
positive results Lau and Lee, 1999, quoted by Aditya, 2011:40. Brand trust is the willingness of the average consumer to rely on the ability of the
brand to perform its stated function and propose a strong impact of brand
35
trust on attitudinal and repurchases loyalty. Brand trust leads to higher levels of loyalty as trust creates exchange relationships that are highly
valued Chaudhuri and Holbrook, 2001:91.
Building a strong brand with loyal customers is of strategic importance for marketing managers because it provides substantial
competitive and economic benefits to a firm, such as less vulnerability to competitive marketing actions, reduced marketing costs, higher rates of
return on investment through increases in market shares, better cooperation with intermediaries, favorable word of mouth and greater
extension opportunities Delgado-Ballester and Munuera-Aleman, 2005. Trust in brand from the consumer point of view is the confidence that
a brand is a psychological variable reflecting the number of initial assumptions that involve the accumulation of credibility, integrity and
excellence that is attached to a particular brand. Therefore, companies should be able to establish three important points to retain the trust of
customers in order to create commitment of customers now and in the future Gurvez Korchin, 2003.
There are three factors that influence trust in a brand. Third of this factor relate to three entities which come within in relation between
consumer and brand. As for the third factors are brand characteristics, company characteristics, and consumer-brand characteristics. Then, Lau
and Lee positioned that trust in brand will generate to brand loyalty. The
36
third relationship factors of trust in brand can be described as follows Lau and Lee 1999 quoted by Hasan Afzal et al., 2010:45:
1 The brand‘s characteristics play a vital role in determining whether a
consumer decides to trust in. The brand‘s properties such as brand
reputation, brand predictability and brand competence have an important function in shaping consumer trust. Brand predictability,
brand reputation and brand competence assist for developing consumer trust in brand. Before purchasing a brand, consumers judge brand
through these characteristics. High demand of brand indicates high reputation in the mind of consumers. Reputation means
trustworthiness, integrity, and honesty. It can be seen from past experience of third part
y‘s trustworthiness, integrity, and honesty. Brand reputation can be judged from consumer opinion, comments,
estimation and beliefs, if people are suggesting the usage of a brand then it is considered
as a sign of good reputation. A brand‘s reputation refers to the attitude of consumers that the brand is good and reliable.
Brand reputation can be developed through advertising and public relations, and it enhances its quality. Brand predictability is ability of
one buyer which is perceived by the other buyer. It is a brand which allows customer to perceive brand characteristics, with trust that brand
will satisfy their needs. Predictability is also dependent on product attributes and brand worth. When a consumer predicts about a brand
while being used by other consumer, then this shows that he predicts
37
about that product. Knowledge-based trust, stranded in behavioral certainty survives while one party has sufficient knowledge concerning
another to recognize and forecast its likely performance that it will perform trustworthily. Kelly and Stahelski 1970 quoted by Hasan
Afzal 2010:46 argued that predictability enhances trust, even if the other party is predictability untrustworthy, because the ways in which
trust is violated can be predicted. A brand‘s predictability enhances confidence because the consumer knows that nothing unexpected may
happen when it is used. As such, brand predictability enhances trust in a brand because predictability builds positive expectations. Brand
competence is a competent brand is one that has the ability to crack a customer‘s problem and to meet the need competent brand includes
crucial elements for solving consumers‘ problem. Utilization of brand is only one way to find out brand competency, good brands are that
which are able to satisfy the needs of a customer and its attributes must be compatible with
customer‘s needs. Brand ability is the properties of brand which are perceived by customer as value.
2 The characteristics of the company behind a brand also influence the degree t
o which consumers trust in brand. A consumer‘s knowledge about the company behind a brand is likely to affect their assessment
of the brand. The characteristics of the company proposed to affect a consumer‘s trust in a brand are the customer‘s trust in the company
that will not deceive customer , the company‘s reputation in the
38
customer‘s mind as big company, the perceived motives of the company can influences confidence. Hence, when a consumer
perceives paid attention by the company behind a brand to be ben
evolent and acting in the consumer‘s best interest. 3 Therefore, consumer-
brand characteristics can affect a consumer‘s trust in a brand. These characteristics include similarity between the
consumer‘s self –concept and the brand‘s image, liking for the brand, and brand personality. Self-concept denotes the totality of an
individual‘s thoughts and feelings with reference to himself or her as an object and brand‘s image can be described as the set of human
characteristics associated with a given brand. Liking for the brand denotes a certain fondness one party has towards another party because
the party finds the other party pleasant and agreeable. According to Fournier, S, 1998 quoted by Ali Sorayaei and Marjan Hasanzadeh,
2012:80 brand personality, defined as all personality traits used to characterize a person and associated with a brand, is a concept within
the field of relational marketing. It helps better understand the development and maintaining of relations between brands and
consumers. In addition, it explains how those relationships impact consumers‘ behavior.
39
D. CUSTOMER LOYALTY 1.
Kategori