Determinants of Brand Loyalty in the Brewery Industry the Case of St.George Brewery
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Date
2015-06
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Addis Ababa University
Abstract
The general objective of this study is to examine the major factors that determine brand loyalty of St.George beer market in Ethiopia; in addition it explores the major determinants of beer brand loyalty. The research type is a casual research type. A total of 136 questionnaires were distributed from this 132 were collected and used for the analysis purpose. Random or non-probability sampling was used for sampling procedure. Both primary and secondary data are the source of data collection. Data collection method took place in Addis Ababa lideta sub city specifically behind St.George Brewery and in front of Balcha Hospital. The research instrument is structured questioner.
The findings of the mean value revealed that the Perceived quality shows the highest score (mean=3.88). The correlation analysis revealed that coefficients that show the five determinants measuring brand loyalty are all positively related with brand loyalty within the range of 0.606-0.865, all are significant at p<0.01 level. A 57.2% change of the dependent variable (Brand loyalty) on the St.George brand are explained by the dependent variables which are included in the regression model.
As found after analysis customer satisfaction, perceived quality, brand experience and brand switching cost are important factors influencing the St.George consumers. The beer marketing practitioners should take into consideration that the important determinant of brand loyalty of St.George consumers (i.e perceived quality). The positive feeling and experience which they have obtained after consuming the beer also influence their brand loyalty. Therefore St.George Brewery in order to build a strong brand loyalty among St.George consumers should try to promote beer with better taste, pleasant experience and higher quality
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Keywords
Brand loyalty, Brand experience, perceived quality