Antecedents and consequence of consumer brand identification

UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business Luu Kien Quoc ANTECEDENTS AND CONSEQUENCE OF CONSUMER-BRAND IDENTIFICATION MASTER OF BUSINESS (Honours) Ho Chi Minh City – Year 2014 UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business Luu Kien Quoc ANTECEDENTS AND CONSEQUENCE OF CONSUMER-BRAND IDENTIFICATION ID: 22120105 MASTER OF BUSINESS (Honours) SUPERVISOR: Dr Nguyen Thi Mai Trang Ho Chi Minh City – Year 2014 ACKNOWLEDGEMENT This thesis could not be accomplished without the valuable support of many people whose contributions will never be forgotten Therefore I would like to express my gratitude to them The first sincere thank I would like to give to my supervisor, Prof Nguyen Thi Mai Trang, for giving me the position in a very interesting and challenging project I had anticipated the difficulties in dealing with too much strange economy theories and new academic definition before I started master thesis, but I had not expected so many tough problems to be encountered Luckily we could manage to overcome and to reach the target in the end Thank you so much for giving me chances to correct my mistakes during the project and teaching me many new things I really appreciate your quick action whenever I need your advices and instructions, your direction in writing our articles and also your day and night correction for my thesis So thanks you again, Madame! I would like to express my gratitude to Professor Nguyen Dong Phong, Professor Nguyen Dinh Tho, Dr Tran Ha Minh Quan for their valuable time as the members of the proposal examination committee Their comments and meaningful suggestion were contributed significantly for my completion of this research My sincere thanks are given to all of my teachers at International Business School – University of Economics Ho Chi Minh City for their teaching and guidance during my Master course Best regard, ABSTRACT The purpose of this research is to extend consumer-brand identification into social identity literature in Vietnam smartphone market We this by developing a conceptual model showing how predictors effect on consumer-brand identification and influence of consumer-brand identification on brand loyalty The model was tested using cross-sectional data; 166 respondents were students of university of Science Results from study show that brand-self similarity has no influences on consumer-brand identification; brand social benefit and brand prestige-distinctiveness have positive relationship with consumer-brand identification The positive influence of consumer-brand identification with brand loyalty was also confirmed Keywords: Social identity theory, consumer-brand identification, brand loyalty, brand-self similarity, brand prestige, brand distinctiveness, brand social-benefit Abbreviation CBI Consumer-brand identification BS Brand-self similarity BSB Brand social benefit BP Brand prestige BD Brand distinctiveness BPD Brand prestige-distinctiveness BL Brand loyalty VIF Variance Inflation Factor Table of Contents ACKNOWLEDGEMENT ABSTRACT Abbreviation LIST OF FIGURES LIST OF TABLES Chapter INTRODUCTION 1.1 RESEARCH BACKGROUND 1.2 RESEARCH PROBLEM 1.3 RESEARCH OBJECTIVES 1.4 RESEARCH SCOPES 1.5 SIGNIFICANCE OF THE STUDY 1.6 THE STRUCTURE OF THE STUDY Chapter LITERATURE REVIEW AND HYPOTHESES 2.1 SOCIAL IDENTITY THEORY 2.2 CONSUMER – BRAND IDENTIFICATION 2.3 BRAND LOYALTY 11 2.4 ANTECEDENTS OF CBI 12 2.4 2.4.1 Brand-self similarity 12 2.4.2 Brand prestige 13 2.4.3 Brand distinctiveness 15 2.4.4 Brand social benefit 16 THE RESEARCH MODEL 18 2.5 SUMMARY 18 Chapter METHODOLOGY 19 3.1 RESEARCH DESIGN 19 3.2 MEASURES OF THE CONSTRUCTS 19 3.3 RESEARCH PROCESS 21 3.3.1 Qualitative research 22 3.3.2 Quantitative research ……….23 3.4 DATA ANALYSIS METHOD 25 3.4.1 Cronbach’s alpha 25 3.4.2 Exploratory Factor Analysis (EFA) 26 3.4.3 Multiple regression 26 3.5 SUMMARY 28 Chapter DATA ANALYSIS 29 4.1 DESCRIPTIVE STATISTIC 29 4.2 RELIABILITY ANALYSIS 30 4.3 EXPLORATORY FACTOR ANALYSIS (EFA) 33 4.4 4.3.1 EFA for all variables 33 4.3.2 Correlation analysis of all variables 36 REGRESSION ANALYSIS 37 4.4.1 Multiple regression analysis 37 4.4.2 Simple linear regression 40 4.5 DISCUSSION 42 4.6 SUMMARY 44 Chapter CONCLUSION 45 5.1 CONCLUSION 45 5.2 MANAGERIAL IMPLICATIONS 46 5.3 LIMITATIONS AND FUTURE RESEARCH 48 Reference 50 APPENDICES 60 Appendix A: Guidelines for In-depth Interview Respondents’ information 60 Appendix B: Questionnaire (English Version) 66 Appendix C: Questionnaire (Vietnamese version) 69 Appendix D TABLE 71 Appendix E PLOT AND DIAGRAM 73 LIST OF FIGURES FIGURE Proposed research model…………………………………………………… 18 FIGURE Research procedure………………………………………………………… 27 FIGURE Refined research model…………………………………………………… 355 LIST OF TABLES TABLE Brand personality framework (aaker, 1997) 20 TABLE Qualitative research for reducing brand-self similarity variable 23 TABLE 3 Result of collecting questionnaires 24 TABLE Sample characteristics 30 TABLE Reliability test result 31 TABLE Reliability test result of brand-self similarity after deleted item similarity5 322 TABLE 4 Reliability test result of brand-self similarity after deleted item similarity5, and similarity1 333 TABLE Rotated component matrix 344 TABLE Reliability test result of brand prestige distinctiveness 366 TABLE Correlations of all variables 366 TABLE Coefficients BS, BPD, BSB – CBI 388 TABLE Model summary 388 TABLE 10 ANOVA 399 TABLE 11 Coefficients of CBI - BL 41 TABLE 12 Model summary 41 TABLE 13 ANOVA 41 TABLE 14 Summary of hypotheses testing result 444 Chapter INTRODUCTION 1.1 RESEARCH BACKGROUND In early of the 21st century, the mobile phone market experiences the boom of smartphone with the significant increasing of smartphone and changing in market share of many mobile-phone companies Agile manufacturers with advantage of smartphone reach a miracle development and dominate regular phone manufactures For years, smartphones as the new experiences and advanced utility of consumer which has brought massive profit for manufacturers may be peaking Robert (2013) predicts the possibility that smartphone market has reached the high point sales and now slowing growth The prediction is strengthened by the lowest smartphone sales growth in nine years of European in 2013, as 12% Additionally, over half of people who own a cell phone in US have a smartphone, and filling rate of the rest is much slower These situation poses out a batch of problems that the administrators need to be concerned to maintain growing trend in saturated period Smartphone as a small brand of device in the past are now become the most important sector of every mobile phone manufacturers The contrary with developed countries is emerging markets that Vietnam is a typical example in South East Asia With GDP growth rate of about 5.42 percent in 2013 (GFK, 2013), Vietnam become a potential market for both international and domestic brand (Nguyen et al., 2011) In mobile phone areas, Vietnam is the fastest-growing market for smartphone in South-east Asia in the first-three quarter of 2013 and the values from January to September are more than double those of the same period in previous, this report additionally posits that half of all handset sold are now smartphones (GFK, 2013) Notably, GFK forecasted that the ratio of smartphone users will increase fast from 23% in 2013 to 25% in 2014 and contributes around 82% of the total revenue of the market in 2014, and now in September 2014, the ratio of Vietnamese smartphone owner is much higher with 63 Nhan Minh Nhat Duy (AMD Corp) Nhan Thuy Uyen (AMD Corp) Nhan Minh Tam I gain a lot from Respondent did not suggest any interaction with minor change other customers/ users of brand X I gain a lot from interaction with other customers of brand X Being a customer Respondent agree to keep using of brand X makes original sentence me feel like I belong to a special group Being a customer of brand X makes me feel like I belong to a special group Nguyen Thi Ngoc Thao (Marketing departmentBig C) Nguyen Van Hien (Lecturer-HCMUS) Nhan Minh Nhat Duy (AMD Corp) Nhan Thuy Uyen (AMD Corp) Nhan Minh Tam Nguyen Thi Ngoc Thao (Marketing departmentBig C) Nguyen Van Hien (Lecturer-HCMUS) Brand-self similarity Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) I am intelligence Respondents suggested adding “ I think” into sentence to make its meaning more clear I think I am intelligent Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) I am up-to-date Respondents suggested adding “person” into sentence to make its suitable with Vietnamese I am an up-to-date person Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam I am down-to-earth Respondents suggested adding “person” into sentence to make its suitable with Vietnamese I am a down-toearth person 64 company) Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) I am imaginative Respondents suggested adding “brain” into sentence to make its meaning clear I have imaginative brain Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) I am charming Respondents suggested using “attractive personality” I have an attractive personality Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) Brand X intelligence is Respondents agree with origin version Brand X is intelligence Brand X is up-to- Respondents agree with origin date version Brand X is upto-date Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) Brand X is down- Respondents agree with origin to-earth version Brand X is down-to-earth Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) Brand X imaginative Brand X has imaginative power is Respondents suggested adding “power” to make sentence clear 65 Nguyen Thi Ngoc Thao (Marketing departmentBig C) Pham The Anh (Brizz company) Luu Bich Tram (Gam company) Brand X charming is Respondents suggested using “attractive characteristic” Brand X has attractive characteristic 66 Appendix B: Questionnaire (English Version) QUESTIONNAIRE: THE ANTECEDENTS AND CONSEQUENCE OF CONSUMERBRAND IDENTIFICATION: A STUDY IN HCMC, VIETNAM PART FILTERING QUESTION Have you use smartphone?  Yes  No If your answer is Yes, please continue to the questions below If your answer is No, please stop here Thanks you Please choose the brand name of your smartphone that you are using (Please choose only brand that you have use most often Your chosen brand will be Brand X in questions below.) O Nokia O Samsung O LG O Apple O FPT O HTC O Philips O OPPO O Sony-erricson O Lenovo others:…………………………… PHẦN THE ANTECEDENTS OF CONSUMER-BRAND IDENTIFICATION Please choose one number to show your level of agreement (1 = Strongly disagree to 7= Strongly agree) Strongly disagree  agree Strongly Câu hỏi Brand X is intelligent Brand X is up-to-date Brand X is down-to-earth 67 Brand X is imaginative 7 Brand X is charming Brand X has a distinctive identity Brand X is unique 10 Brand X stands out from its competitors 11 Brand X is very prestigious 12 Brand X is one of the best brands of smartphone 13 Brand X is a first-class, high-quality brand 14 Brand X offers me the opportunity to socialize 15 I feel a sense of kinship with other people who use brand X 16 I gain a lot from interaction with other customers/ users of brand X 17 Being a customer of brand X makes me feel like I belong to a special group 18 I feel a strong sense of belonging to brand X 19 I identify strongly with brand X 20 Brand X embodies what I believe in 21 Brand X is like a part of me 22 Brand X has a great deal of personal meaning for me 23 I stick with brand X because I know it is the best for me 24 I will buy brand X the next time I buy smartphone 25 I intend to keep purchasing brand X 26 I’m intelligent 68 27 I’m up-to-date 28 I’m down-to-earth 29 I’m imaginative 30 I’m charming 31 How long have you use smartphone O < months O -12 months O over 12 months to years O over years Please fill the information below Gender O Male Age O 18-25 O Female O 26-35 O 36-45 O 46-55 O>55 Education O Highschool O collegue-university -oOo Thanks you O post-graduate 69 Appendix C: Questionnaire (Vietnamese version) PHIẾU CÂU HỎI KHẢO SÁT: “TIỀN ĐỀ VÀ HỆ QUẢ CỦA NHẬN THỨC KHÁCH HÀNG VỀ THƯƠNG HIỆU ĐIỆN THOẠI THÔNG MINH: NGHIÊN CỨU TẠI THÀNH PHỐ HỒ CHÍ MINH” PHẦN THÔNG TIN GẠN LỌC Anh chị có sử dụng điện thoại thông minh hay không   Có Không Nếu câu trả lời có, anh/chị vui lòng tiếp tục trả lời phần sau bảng câu hỏi Nếu câu trả lời không, anh/chị vui lòng dừng trả lời bảng câu hỏi Xin cám ơn Anh chị vui lòng cho biết thương hiệu điện thoại thông minh mà anh chị sử dụng ( Vui lòng chọn thương hiệu mà anh chị dùng thường xuyên Thương hiệu anh chị chọn gọi thương hiệu X phần câu hỏi đây) O Nokia O Samsung O LG O Apple O FPT O HTC O Philips O OPPO O Sony-erricson O Lenovo Khác:…………………………… PHẦN CÁC YẾU TỐ ẢNH HƯỞNG ĐẾN NHẬN THỨC CỦA KHÁCH HÀNG VỀ THƯƠNG HIỆU ĐIỆN THOẠI THÔNG MINH Hoàn toàn phản đối Phản đối Phản đối nhẹ Không ý kiến Đồng ý nhẹ Đồng ý Hoàn toàn đồng ý Xin Anh/Chị vui lòng chọn số biểu thị "mức độ đồng ý" cho câu trả lời Anh/Chị, ứng với câu hỏi đây: = Hoàn toàn phản đối > 7= Hoàn toàn đồng ý Thương hiệu X phát triển với chiến lược thông minh Thương hiệu X có cập nhật liên tục yếu tố lạ (1 = Hoàn toàn phản đối, = Phản đối, = Phản đối nhẹ, = Trung hòa, = Đồng ý nhẹ, = Đồng ý, = Hoàn toàn đồng ý) Câu hỏi 70 Thương hiệu X phục vụ nhu cầu thực tế khách hàng Thương hiệu X mang tư sáng tạo 7 Thương hiệu X có sức thu hút mạnh mẽ Thương hiệu X có nhận diện khác biệt với thương hiệu khác Thương hiệu X độc đáo so với thương hiệu khác 10 Thương hiệu X bật so với đối thủ cạnh tranh 11 Thương hiệu X uy tín 12 Thương hiệu X thương hiệu điện thoại thông minh tốt 13 X thương hiệu chất lượng cao 14 Thương hiệu X giúp thuận lợi giao tiếp xã hội 15 Tôi thấy quen thuộc có cảm giác hiểu người sử dụng thương hiệu X 16 Tôi nhận nhiều lợi ích từ giao tiếp với người sử dụng thương hiệu X 17 Là khách hàng thương hiệu X cho cảm giác thuộc nhóm đặc biệt 18 Tôi có ấn tượng sâu sắc thương hiệu X 19 Tôi sử dụng gắn bó với thương hiệu X 20 Thương hiệu X đáp ứng điều kì vọng 21 Thương hiệu X phần quan trọng 22 Thương hiệu X có ý nghĩa thân 23 Tôi dùng thương hiệu X biết tốt cho 24 Tôi có kế hoạch mua điện thoại thương hiệu X vào lần 71 25 Tôi muốn tiếp tục mua sử dụng điện thoại thương hiệu X 26 Thấy thấy người thông minh 27 Tôi người ưa thích cập nhật 28 Tôi nhìn nhận thứ cách thực tế 29 Tôi yêu thích sáng tạo 30 Tôi có khả thu hút người khác 31 Bạn sử dụng điện thoại thông minh thương hiệu X bao lâu? O < tháng O -12 tháng O 12 tháng - năm O > năm Xin anh chị vui lòng trả lời thông tin Giới tính Độ tuổi 46-55 O NAM O NỮ O 18-25 O 26-35 O 36-45 O O>55 Trình độ học vấn Sau đại học O Dưới lớp 12 O Cao đẳng – đại học -oOo Xin chân thành cảm ơn đóng góp anh chị Appendix D TABLE O 72 Total Variance Explained of Variables Extraction Sums of Squared Rotation Sums of Squared Initial Eigenvalues Loadings Loadings % of Cumulative % of Cumulative % of Cumulative Factor Total Variance % Total Variance % Total Variance % 8.484 40.402 40.402 8.484 40.402 40.402 3.364 16.018 16.018 1.798 8.561 48.963 1.798 8.561 48.963 3.328 15.848 31.866 1.475 7.021 55.984 1.475 7.021 55.984 2.983 14.205 46.071 1.355 6.452 62.436 1.355 6.452 62.436 2.678 12.751 58.823 1.010 4.811 67.247 1.010 4.811 67.247 1.769 8.424 67.247 942 4.488 71.734 768 3.655 75.389 649 3.090 78.479 623 2.965 81.444 10 536 2.553 83.997 11 478 2.275 86.271 12 445 2.117 88.388 13 402 1.913 90.301 14 361 1.717 92.019 15 324 1.544 93.563 16 305 1.452 95.014 17 246 1.170 96.185 18 240 1.143 97.328 19 225 1.070 98.398 20 190 904 99.301 21 147 699 100.000 Extraction Method: Principal Component Analysis KMO and Barlett’s Test of all Variables Kaiser-Meyser-Olkin Measure of Sampling Adequacy 897 Barlett’s Test of Sphericity Approx Chi-Square df Sig 1905.943 210 000 73 Appendix E PLOT AND DIAGRAM Figure 4.2 Histogram of CBI Figure 4.3 Scatterplot of CBI 74 Figure 4.4 Normal P-P Plot of CBI Figure 4.6 Scatterplot of Brand loyalty 75 Figure 4.7 Histogram of Brand loyalty Figure 4.8 Normal P-P Plot of Brand Loyalty 76 77 ... of consumer- brand identification with brand loyalty was also confirmed Keywords: Social identity theory, consumer- brand identification, brand loyalty, brand- self similarity, brand prestige, brand. .. brand distinctiveness, brand social-benefit Abbreviation CBI Consumer- brand identification BS Brand- self similarity BSB Brand social benefit BP Brand prestige BD Brand distinctiveness BPD Brand. .. focusing on consumer- brand identification, central to the present study The third is an overview of the antecedences of consumer- brand identification and discussion of brand- self similarity, brand distinctiveness,