The Effect of Promotion on Consumer Based Brand Equity An Empirical Study on Ethiopian Insurance Industry
No Thumbnail Available
Date
2015-05
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
In modern marketing, branding plays a significant role in differentiating the brand from competitor’s brands. Influential promotion activities are among the key tools in building brand equity in organizations. However, the main challenges are, identifying the differential effect of these promotion activities on building brand equity and select the right promotional mix. The purpose of this research was to study the effect of promotional activities on brand equity through mediation of brand equity dimensions particularly in Ethiopian Insurance Industry. The study has developed structural model that consists the effect of promotional mix elements on brand equity based on the conceptual frame work and in line with the existing theoretical findings. In order to test the defined structural model and research hypotheses, survey conducted on the sample which has been selected from the target population of Addis Ababa city insurance customers and potential customers through convenience and random sampling method (multistage).Primary data were collected using structured questionnaire and then data analysis was done using measurement and structural equation model With SPSS and AMOS 20.0. The result from path analysis of structural equation model shows weak relation between most of the promotional activities and brand equity dimensions. However, among the promotional activities TV Ads and WOM have been found more or less effective than the other promotional mix. In general, the overall findings lead to conclude that most of the promotion activities in Ethiopian insurance industry did not had significant impact on brand equity. Therefore the practice of promotional activities in Ethiopian insurance industry requires fundamental innovation so as to build brand equity and achieve sustainable competitive advantage
Description
Keywords
Brand equity, Brand Awareness, Brand Association