Brand loyalty is a variable dynamic that differs based on the diverse customer inclinations. Brand loyalty, in its holistic definition, is the rational or the irrational attitudes and behaviors of customers considering the purchase of a good or service. However, the dynamic commercial field dictates that brand loyalty is manifested in the intention to buy, and can be limited by exogenous factors such as finances and availability. In essence, brand loyalty is shown in both the attitude and the behavior of the consumer. According to the evidence provided by Back and Parks (2003), higher purchase frequencies dictate stronger brand loyalty. Alternately, low purchase frequencies dictate weak brand loyalty. Brand loyalty can be depicted through the satisfaction derived from the customer from using a good and their support for the product. Attitudinal brand loyalty is abstract in nature as compared to behavioral attitude.
There are various reviewed contributions concerning the two constructs of brand loyalty: behavioral and attitudinal. Attitudinal approach is directed at the general satisfaction of the customer as they purchase a product. Behavioral approach, on the other hand, bases brand loyalty on the customer reaction both in the short- and in the long-term periods (Back and Parks, 2003). Brand loyalty has a direct positive correlation with the manufacturing costs. Habit is the epicenter of brand loyalty in purchasing of goods and services. Continuous usage behavior begins with a habit that is influenced by various things including the aesthetic, emotional or psychological factors drawing the customer to the good. Irrational behavior systems are the biggest influencers of converting a habit into re-purchasing behavior.
The conflict between the behaviorist and the attitudinal proponents of brand loyalty is the emotional and tangible nature of the customers’ brand loyalty. The evidence collected by critics such as Back and Parks (2003) suggests that brand loyalty should be translated into tangible results. The tangible effects of brand loyalty may manifest in both the performance of the company and the meaning of the product to the customer. Brand loyalty reduces the amount of resources as well as time invested in customer search for the ultimate combination of goods. Additionally, brand equity can be valued as good will; thus, becoming an additional market concept for consumers.
The purchase intentions represent the customer’s willingness and availability to purchase a commercial good. According to the studies by Chaudhuri and Holbrook (2001), the consumer purchase intentions can be grouped into 5 stages including the identification of the need/problem, the research into information on goods and services that settle the problem, evaluation of different options available in the market, settling on a final decision regarding the good or service that fulfills the need, and the behavior of the customer after the purchasing of the good.
Chaudhuri and Holbrook (2001) go on to divide the consumer purchase intentions into unplanned purchasing trends, partially-planned purchasing trends, and the full-planned purchasing behavior. The different kinds of purchasing intention trends are limited by other external factors such as the availability and the price of the good. The influences to the purchase intentions include the triggers available at the moment, the outcome expectation of the customer concerning the good, and the recommendation over the use of the product or service by consumers that have previous experience with the product. The personal association with the good or service may also have a positive impact on the customer’s purchasing purposes.
H1: There is a positive effect of brand loyalty on the customer purchase intention
H2: There is no effect of brand loyalty on the customer purchase intention
Relationship Between Brand Loyalty and Purchase Intentions by the Customer
Considering the aforementioned introductions on the brand loyalty and the purchase intentions, it is evident that both constructs are developed and maintained by an influence of varying factors. The relationship between brand loyalty and purchase intentions is built on customer satisfaction and the resultant image developed. According to studies by Habib and Aslam (2014) on the relationship between brand loyalty and purchase intention among Coca-Cola customers, the results show that both factors are major determinants to the sales volumes made by commercial establishments all around the world. On the other hand, depending on the strength of the market in influencing consumer decisions, brand image and customer satisfaction are major determinants over the existence of a relationship between brand loyalty and purchase intent (Malik et al., 2013; Souiden et al., 2009). In essence, brand image and customer satisfaction are intervening variables over the relationship between brand loyalty and purchase intention among customers.
The findings on the case study research carried out by Habib and Aslam (2014) suggest that there is a positive effect of consumer satisfaction on brand loyalty. The findings of the aforementioned study suggest that the positive relationship between the mentioned factors is significant in determining the sales volumes and market prediction trends by Coca-Cola. Considering the influence of the brand loyalty trends among the consumers and the good and services purchase intentions, Balakrishnan et al. (2014) state that it is evident that brand loyalty is a rational behavioral decision held by the customer, holding all other factors constant. Awareness, judgment, performance, usage and imagery of the brand are all constructs of brand loyalty that influence the positive connection between brand loyalty and purchase purpose.
The evidence gathered from different sources that have carried out various empirical and theoretical analyses on the available data suggests that a customer may hesitate to purchase a good if they do so with no loyalty to the brand. Customer loyalty is innately or exogenously influenced (Chi et al., 2009). Innate purchase intentions are stronger, and possess more volition as compared to external influences, when it comes to the purchasing process. According to Chi et al. (2009), there is a general consensus over the definition of the innate affiliation to a consumer’s good or service. The evidence from the literature analysis supports the first hypothesis that there is a beneficial connection between brand loyalty and the intention to purchase by customers.
Back, K. J., & Parks, S. C. (2003). A brand loyalty model involving cognitive, affective, and conative brand loyalty and customer satisfaction. Journal of Hospitality & Tourism Research, 27(4), 419-435.
Balakrishnan, B. K., Dahnil, M. I., & Yi, W. J. (2014). The impact of social media marketing medium toward purchase intention and brand loyalty among generation Y. Procedia-Social and Behavioral Sciences, 148, 177-185.
Chaudhuri, A., & Holbrook, M. B. (2001). The chain of effects from brand trust and brand affect to brand performance: the role of brand loyalty. Journal of Marketing, 65(2), 81-93.
Chi, H. K., Yeh, H. R., & Yang, Y. T. (2009). The impact of brand awareness on consumer purchase intention: The mediating effect of perceived quality and brand loyalty. The Journal of International Management Studies, 4(1), 135-144.
Habib, S., & Aslam, S. (2014). Influence of brand loyalty on consumer repurchase intentions of Coca-Cola. European Journal of Business and Management, 6(14), 168-174.
Malik, M. E., Ghafoor, M. M., Hafiz, K. I., Riaz, U., Hassan, N. U., Mustafa, M., & Shahbaz, S. (2013). Importance of brand awareness and brand loyalty in assessing purchase intentions of consumer. International Journal of Business and Social Science, 4(5).
Souiden, N., & Pons, F. (2009). Product recall crisis management: the impact on manufacturer’s image, consumer loyalty and purchase intention. Journal of Product & Brand Management, 18(2), 106-114.