Brand Image & Product Knowledge on

Purchase Intention

Arun Prakash. JRVS Institute Of Management Studies

#

Outline

• Review on Brand• Review on Brand

image• Review on Purchase

Intension• Review on Product

knowledge

• Industry• Research• Result & findings• Managerial

Implications• Conclusion

#

BRAND

• The American Marketing Association defines a brand as

“a name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.”

#

Brand and Reputation can be defined similarly as the perception, a good reputation occurs when the organization’s attributes (its value proposition) coincide with the needs and interests of key stakeholders better than the value propositions available from competitive offerings.

Brand Image

# Source: Fombrun & Van Riel - 2004

#

According to Kotler (2000),

“consumer behavior occurs when consumers are stimulated by external factors and come to a purchase decision based on their personal characteristics and decision making process.”

These factors include choosing a product, brand, a retailer, timing, and quantity.

 Purchase Intention

#

He examined the following factors that may affect purchase intention:

i. Price discount (Alford and Biswas, 2002)

ii. Product familiarity (Johnson and Russo, 1984)

iii. Product characteristics (Sultan, 1999)

#

When making a purchase, consumers often rely on personal memory or experience to make a decision.

Brucks (1985) comes up with three knowledge in which the consumer rely on;

Perceived Knowledge Objective knowledge Experience-Based Knowledge

(Park and Lessig, 1981)

Product Knowledge

#

Research

#

The automobile sector is a key player in the global and Indian economy.

Manufacture of 7.9 million vehicles.

1.3 million passenger cars.

Rise from US$ 1.0 billion in 2003- 04 to US$ 2.8 billion in 2009-10

Direct employment to about 5 lakh persons

6.7% to India’s GDP

21% to India’s indirect tax revenue.

Automobile sector:

#

Recent Annual Average Growth Rates in Indian Auto Industry

#

Market share of Companies

#

H1: The higher a brand image is, the more purchase intention there is

H2: The higher product knowledge consumers possess, the more purchase intention there is.

RESEARCH Info.

#

190 questionnaires to consumers in Tamilnadu 180 remained valid while 10 were left blank to be

invalid Convenience non-probabilistic sampling Collected from Chennai & Coimbatore The 5-point Likert scale

RESEARCH Info.

#

By analyzing the data with the methods like  Correlation & Deviations

We found out,

• The higher the brand image is, the more purchase intention there is.

• The more product knowledge consumers have, the more purchase intention they have.

Result

#

The higher the status of the brand image, the more purchase intention there is.

Consumers’ purchase intentions are influenced by the amount of product knowledge−

“The higher the product knowledge consumers possess, the more purchase intention there is.”

FINDINGS AND SUGGESTIONS

#

Managerial Implications

Brand image indeed increases consumers’ purchase intention

The producers have to consider in order to reinforce the impact of branding strategies

Consumers with higher product knowledge have better consitency

The product with lower product knowledge have to rely on pricing as the main deciding factor.

#

Conclusion

A successful marketing strategy can detect the pulse of the

market.

#

Any DouBtS….

#

Thank U