Evaluation of the Impact of a Person’s Sense of Community on Attitudinal Loyalty and Purchase

Behavior regarding the Harry Potter Brand

MARFISI Lily2015

MASTER’S THESIS

The problematic

How does a person’s sense of community impact its attitudinal loyalty and purchase

behavior regarding the Harry Potter brand?

Plan Summary

1. Literature Review The Harry Potter Phenomenon Sense of Community Attitudinal Loyalty Purchase

2. Conceptual Model 3. Methodology 4. Data Analysis

5. Managerial Implications 6. Further Research

Literature Review:

The Harry Potter Phenomenon

Harry Potter : The Story

Written by J.K. Rowling

7 books & 8 movies

Translated into 73

languages

$8 billion at the box office

Best-sellers in over 200 countries

Over 450 000 million books

sold

$15 billion brand

Harry Potter : A Worldwide Brand

Harry Potter : The Timeline

Behind the Success of Harry Potter

The Product

The Author

The Marketing Tools

The Internet & Technologies

The Power of Fans

Behind the success of Harry Potter:The Product

Elements making a good story: Rags-to-riches Rebirth The Quest Overcoming the Monster Tragedy Comedy Voyage and Return Fairy tales, mythical creatures,

legends…

Appealed to both children and adults.

The secret ingredient: The product ages with the

consumer.

Behind the success of Harry Potter:The Author

J.K. Rowling

A rags-to-riches profile: started with nothing, and is now the richest novelist of all times.

Influential speaker for charity associations.

Declared herself brand guardian: every decision must go through her.

Ensures the consistency of the brand by refusing attractive offers.

Behind the success of Harry Potter:The Marketing Tools

1 - Teasing & scarcity: a luxurious brand

Always leave the customer wanting more

Minimum appearances from J.K. Rowling Countdowns, “incidents”… Measures of security

2 - Word-of-mouth & online buzz Letting the customers nourish the buzz

themselves Forums, comments sections, created by

distributors

3 - Brand consistency A clear and steady message Emotional involvement: stability,

sustainability, security J.K. Rowling as brand guardian Consistent message in the books

Behind the success of Harry Potter:The Internet & other technologies

A perfect timing with the rise of the Internet.

Useful means of communication.

The Internet allowed fans websites and forums to be created and to reach multiple cultures worldwide.

Cellphones were also used for marketing purposes through games and competitions (ex: cases of Flytxt, Microsoft, EA).

Limits of piracy…

Behind the success of Harry Potter:The Power of Fans (1/2)

The Online Community

Fans sites, forums, podcasts were created to: Communicate information Share fan-arts (drawings, fanfiction novels…) Discuss storylines and characters Keep fans updated on upcoming events

Unofficial websites used by distributors

Yearly “Fan Site Award”

Behind the success of Harry Potter:The Power of Fans (2/2)

Other Pottermania activities: Muggle Quidditch (“quove”) Conventions & Conferences Music Bands (“wrock”) Role-Playing Games

Fans as Influencers Fans take the role of marketers, buyers, sellers,

influencers in decisional processes for the brand.

Harry Potter today

Pottermore.com Harry Potter: The

Exhibition

The Wizarding World of Harry

Potter

Czocha College of Wizardry

Warner Bros Studio Tour

The Wizarding World of Harry

Potter

Literature Review:

Sense of Community

Sense of Community

Early works: PSOC studied within neighborhoods during the 20th century. Sense of Community: “A feeling that members have of belonging, a feeling

that members matter to one another and to the group, and a shared faith that members’ needs will be met through their commitment to be together" (McMillan & Chavis, 1986).

The Sense of Community Index Revised (SCI-2). Types of community: place, practice, interest.

Sense of Community: The variables

• Earning the right to belong to the group: boundaries, emotional safety, sense of belonging and identification, personal investment, and a common symbol system.

Membership

• Two-way influence: the group must have influence over its members and each member must have influence over the group.

Influence

• The community must be mutually rewarding for the member: his needs are met while he helps others meet theirs. He shares the same values as the community he is in.

Integration & Fulfillment of Needs

• Contact hypothesis, quality of interaction, closure to events, shared valent event hypothesis, investment, effect of honor and humiliation, spiritual bond.

Shared Emotional Connection

Measures of Sense of Community (McMillan & Chavis, 1986)

Literature Review:

Attitudinal Loyalty

Attitudinal Loyalty

Brand loyalty = Attitudinal Loyalty + Behavioral Loyalty Attitudinal Loyalty: “The consumer’s predisposition towards a brand as a

function of psychological processes. This includes attitudinal preference and commitment towards the brand” (Jacoby & Chestnut, 1978).

Consistency in loyalty. Different measures of Attitudinal Loyalty.

Attitudinal Loyalty: The variables

• Refers to the feelings and emotions.

Affect

• Refers to the beliefs, thoughts, values, or knowledge.

Cognition

• Refers to the actions and behaviors a person is likely to have.

Behavior (conative)

Measures of Attitudinal Loyalty (Rosenberg & Hovland, 1960)

Literature Review:

Purchase

Purchase

Purchase as the final act of a consumer’s behavior from the point of view of a marketer.

Not necessarily monetized.

Personal investment.

Ex: Reading the books, watching the movies, participating in a Harry Potter-related activity, purchasing merchandise…

2. Conceptual Model

The Conceptual Model

P1: Sense of Community has a positive impact on Attitudinal Loyalty.

H1: Membership, Influence, Integration and fulfillment needs, and Shared emotional connection have a positive impact on the Affective dimension of Attitudinal Loyalty.

H2: Membership, Influence, Integration and fulfillment needs, and Shared emotional connection have a positive impact on the Cognitive dimension of Attitudinal Loyalty.

H3: Membership, Influence, Integration and fulfillment needs, and Shared emotional connection have a positive impact on the Behavioral dimension of Attitudinal Loyalty.

P2: Attitudinal Loyalty has a positive impact on Purchase.

H4: Affect has a positive impact on Purchase.

H5: Cognition has a positive impact on Purchase.

H6: Behavior has a positive impact on Purchase.

Problematic: How does a person’s sense of community impact its attitudinal loyalty and purchase behavior regarding the Harry Potter brand?

The Final Model

Sense of Community

Membership

Influence

Integration & Fulfillment needs

Shared Emotional Connection

Attitudinal Loyalty

Affect

Cognition

Behavior

Purchase

Purchase behavior

Independent Var. (phase 1)

Independent Var. (phase 2)

Dependent Var. (phase 1)

Dependent Var. (phase 2)

3. Methodology

Methodology: A quantitative study

Type of research: formal, applied, deductive, causal, positivistic.

Collect primary data: questionnaire.

Measure and analyze numerical data.

Assess the preferences and behaviors of people.

Doesn’t explain the “why” of the answer.

Objective research.

Development of study

design

• Gathering of secondary data (Literature Review)• Sampling• Building the questionnaire

Data Collection

• Pretesting• Implementing the questionnaire

Data Analyses

• SPSS calculations• Results analyses

Conclusions

• Conclusions deduced from previous results analyses• Conclusions on the overall research study

Research Steps of the Quantitative Study (Hermel, 1995)

Methodology: The Research Steps

• Sense of Community• Harry Potter: Attitudinal Loyalty and PurchaseThemes & variables

• Closed questions• 7-point Likert scales of agreement and frequency

Types of questions & their scales

• Electronic questionnaire: Qualtrics softwareMethod to collect the information

• The community of interest of the respondent: 24 items (SCI-2) + 1 question (nature of community)

• His or her relationship with the Harry Potter brand: Attitudinal Loyalty (12 items); Purchase (7 items)

• 3 demographic questions: age, gender, country of origin

• Items shuffled

Structure, length, and number of items

• English• FrenchLanguage• Clarity of the questions• Anonymous respondents• Length of the questionnaire

Limitations

Methodology: The Questionnaire

Methodology: Data Analysis

Demographics

Frequency Analysis (normal distribution)

Reliability Analysis (consistency and validity of measurements)

Multiple Regressions Analysis Use of Forced entry and Stepwise methods Levels of regression: aggregate and group level (Fans and

Non-Fans)

4. Data Analysis

Data Analysis: Demographics (1/2)

Age

Non Fans Fans

Country of Origin

Non Fans Fans

602 respondents60% female, 40% male

Data Analysis: Demographics (2/2)

Community of Interest

Non Fans Fans

Data Analysis: Reliability Analysis

Cronbach Alphas in the reliabilities of the Sense of Community variables

Cronbach Alphas in the reliabilities of the Attitudinal Loyalty variables

Cronbach Alpha in the reliability of the Purchase variable

All of the Cronbach Alphas are above 0.7, so all the variables are reliable and consistent.

After observing a normal distribution in the Frequency Analysis…

Data Analysis: Multiple RegressionsAt the aggregate level (1/2)

Summary Table of the Stepwise Regressions at the Aggregate Level

Summary Table of the Forced Entry Regressions at the Aggregate Level

a: Model 1; b: Model 2

Detailed tables p. 54 - 58

Data Analysis: Multiple RegressionsAt the aggregate level (2/2)

PHASE 1:

Shared emotional connection (SEC) is the only predictor for the affective, behavioral, and cognitive aspects of Attitudinal Loyalty.

SEC predicts about 5-7% of the model.

Affect: SEC deals with the feelings and emotions of a member in regard to his community (people got emotionally attached to the story).

Cognition: SEC relates to shared events (community events are a big part of the Harry Potter buzz).

Behavior: SEC refers to the future of the community (Pottermore…).

PHASE 2:

Both behavioral and cognition aspects of Attitudinal Loyalty impact Purchase behavior (more than 60% of the model is explained).

Data Analysis: Multiple RegressionsAt the group level (1/2)

Summary of the Forced Entry Regressions at the Group Level

Summary of the Stepwise Regressions at the Group Level

a: Model 1; b: Model 2 Detailed tables p. 61 - 71

Data Analysis: Multiple RegressionsAt the group level (2/2)

PHASE 1:

The Harry Potter fan group acts similarly to the aggregate level: Shared emotional connection is the only predictor of the 3 components of Attitudinal Loyalty.

The variables included in the sense of community of non Harry Potter fans predict randomly (or not at all) the variables from their attitudinal loyalty towards the brand.

PHASE 2:

Behavioral intentions impact the purchase behavior of both fans and non fans.

The fans’ purchase behavior is also impacted by their affective sense of AL (they are more influenced by their feelings).

The non fans’ purchase behavior is also impacted by their cognitive sense of AL (they do not have feelings towards the brand but are influenced by their knowledge of it).

5. Managerial Implications

Managerial Implications (1/4)

Shared Emotional Connection

Affect

Behavior

Cognition

At the aggregate level and the fans group level:

At the non-fans group level:

P1: Sense of Community has a positive impact on Attitudinal Loyalty

Sense of Community Attitudinal Loyalty

Influence

Shared Emotional Connection

Membership

Affect

Cognition

Sense of Community Attitudinal Loyalty

Managerial Implications (2/4)

Sense of Community does impact Attitudinal Loyalty.

Harry Potter touches the emotional side of its customers.

Focusing on the SEC side of people will influence positively their feelings, their knowledge, and their purchase intentions towards the brand.

Marketers should concentrate on: Shared events and group activities, The long-term faith in the group, The emotional attachment to the group, The feeling of involvement within the group.

Managerial Implications (3/4)

P2: Attitudinal Loyalty has a positive impact on Purchase

At the aggregate level and the non-fans group level:

Behavior

Cognition

Attitudinal Loyalty

Purchase Behavior

Purchase

At the fans group level:

Behavior

Affect

Attitudinal Loyalty

Purchase Behavior

Purchase

Managerial Implications (4/4)

Attitudinal Loyalty does impact Purchase.

Marketers should take into account the affective and the behavioral dimensions of attitudinal loyalty when targeting customers likely to become fans of the new Harry Potter-like product they are launching.

Marketers should also focus on communicating the right message through marketing campaigns in order to spread better knowledge of the brand to everybody, and incite them to buy the product.

Conclusion

A quantitative study

602 respondents

The sample was analyzed in its entirety, then divided into fans/non-fans.

Only Shared emotional connection impacts positively the affective, cognitive and behavioral aspects of Attitudinal Loyalty.

The behavioral aspect of AL impacts positively Purchase behavior.

Moreover, the affective aspect of AL impacts Purchase within the fans, and the cognitive aspect of AL impact Purchase within non-fans.

6. Further Research

Further Research

Limited percentage of explanation of the models of phase 1 (5-10%).

Other external factors could have predicted the outcome, such as: Influence of the Author Cross-cultural and worldwide aspect of the brand

Analysis of the relationship between Sense of Community and Purchase.

Research on other similar brands such as The Lord of the Rings, Twilight, The Hunger Games…

Comparison among these series of books adapted into movies, between the successes and the failures (His Dark Materials, Eragon).

Generational phenomenon continuation with Game of Thrones…

Thank you !