| Summary: | Customers� propensity to switch brand they currently used from manufacturer
brand to retail brand is becoming phenomenon in marketing. This behavior does
benefit retail brand as it can boost not only sales of retail brand products but also
loyalty toward retail brand. Therefore, it is important to understand factors
influencing this behavior in order to be able to encourage it. Previous researcher
defines that brand loyalty (manufacturer brand and retail brand) and attitude
toward store brands influence customers� propensity to switch the brand from
manufacturer brand to retail brand.
Adopted from previous research conducted by Broyles et al. (2011), this study
aims at examining the influence of brand loyalty (manufacturer and retail) on
customers� propensity to switch to retail brand. This study also examines the
influence of attitude toward store brands as a mediator variable on customers�
propensity to switch to retail brand. This research object is bottled drinking water.
To collect the data, researcher uses questionnaires distributed to 250 respondents.
The data is then analyzed by employing multiple regression analysis after validity
and reliability test is conducted.
The findings show that manufacturer brand loyalty has negative influence on
attitude toward store brands and also has negative influence on customers�
propensity to switch to retail brand. This study also shows that retail brand loyalty
has positive influence on attitude toward store brands and also has positive
influence on customers� propensity to switch to retail brand. Moreover, attitude
toward store brands has positive influence on customers� propensity to switch to
retail brand and does not mediates brand loyalty to customers� propensity to
switch to retail brand. The findings are almost similar with previous study even
though with different research scope. At the end, this study provides some
recommendations for marketers and some suggestions for next researchers who
are interested in this topic. Some limitations are also revealed.
|
|---|