The Effect Of Positioning On Customer Loyalty: A Case Study On Habesha Brewery Share Company
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Date
2018-09-12
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Addis Ababa University
Abstract
The general objective of this study is to investigate the effect of positioning on customer
loyalty Habesha Brewery. The research type is a casual research type. A total of 384
questionnaires were distributed from this 363 were collected and used for the analysis
purpose. Deliberate or judgmental sampling was used for sampling procedure. Both primary
and secondary data were the source of data collection. Data collection method took place in
Addis Ababa specifically in Saris, Stadium, Piassa, Arat kilo, Gerji and 22 areas. The
research instrument is structured questioner. The findings of the mean value revealed that
positioning differentiation shows the lowest score (mean=3.72). The correlation analysis
revealed that coefficients that show the five determinants measuring positioning are all
positively related with customer loyalty within the range of 0.446-0.870, all are significant at
p<0.01 level. A 90% change of the dependent variable (customer loyalty) on the Positioning
is explained by the dependent variables which are included in the regression model. From the
findings and conclusions of this study delivery, communication and relevance, durability and
differentiation are the most important influencing factors of customer loyalty for consumers of
Habesha beer. Habesha brewery Share Company should take into consideration that the important
determinant of positioning for their consumers is delivery, communication and relevance. Therefore,
in order to avoid easy switch of consumers between beer brands and build a strong customer loyalty
Habesha Brewery should not only concentrate on creating highly differentiated product (i.e.
differentiating their beer taste, pleasant experience and quality) but also consistency of the created
uniqueness.
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Keywords
Customer loyalty, Positioning, Relevance