Impact of Brand Awareness on Customer Loyalty

Question: Discuss about theImpact of Brand Awareness on Customer Loyalty. Answer: Introduction to Literature Review The topic of Impact of the Brand Awareness on Customer Loyalty had been considered for the research analysis. The sales and operations of business organizations have been largely influenced by the use of branding and customer awareness. The loyalty of the customers is largely influenced by the good branding of the organization (Rubera and Droge 2013). The following literature has considered 4 topics related to the impact of brand awareness on customer loyalty. They are customer satisfaction, decision making process, branding strategy, and value added services. These four topics would be critically evaluated and analyzed for forming the literature review on the mentioned topic. Branding Strategy According to Leekha Chhabra and Sharma (2014), the branding strategy is a long term plan made for successful development of the specific goals for achievements. A well defined executed strategy would be helpful for the direct connection and linking of the various processes of the organization. The branding strategy is made after analyzing the consumer needs, competitive environment and emotions (Rubera and Droge 2013). Woolworths had set some specific goals and functions for dealing with the competitive issues from other super markets. The branding strategy had been used for making their sales processes for customers more effective and viable. The branding strategies followed by Woolworths include providing their own services, including various commodities of recognized brands and promoting their products with the help of various tools like broadcasting and social media sites. The branding strategies have a deep impact on the organizational sales of Woolworths. The branding strategie s have some common aspects for promoting brand without highlighting the sales of products (Strebinger 2014). In spite of that, the customers are drawn to buy from the organization due to the branding strategies. The deployment of the smart strategies for the business processes had helped in easing the increment of the sales. The formation of the most systematic and concise processes had helped in developing the sales of the organization. For example, the brand split of Hero Honda into Hero Motocorp and Honda in India had seen a considerable decrease in sales (Seo and Jang 2013). Most of the customers have grown insecurity due to the brand split and started selecting some other companies for buying two wheelers. However, some scholars have pointed out that although the branding strategies have significant importance with the organizations operations, it cannot be concluded that the strategies have complete impact on the organizations sales. The branding strategies have little or no effect on the sales of the company. For example, in 2013, McDonalds had implemented some new strategies for focusing on the targeted market of young kids by developing more kids friendly items and processes (Rubera and Droge 2013). The organizations have formed the strategies for dealing with the issues in their operations. Decision Making Process According to Kelley, Cranor and Sadeh (2013), decision making process is another important factor that is largely affected by the brand awareness. For the customers, the decision making process is very important as the selection of the products are largely initiated and ablated by the brands. The decision of customers for selecting the organization and their services is largely invoked by the brand. It is natural that the organization that has some renowned products and services would be selected from any other organization (Van Solinge and Henkens 2014). Woolworths had been providing the services not only to Australia but the whole world across the globe. The people had chose the organization due to its brand value as it has been serving his customers and making them happy with the services since the last few decades. Woolworths is one stop for most of the items of general or everyday needs and it has become famous for providing its own made products and commodities at the most optimum price and cost. The customers selection of products and services are largely affected by the company providing them. For example: Most of the customers are fascinated and prefer watched and perfumes from Giorgio Armani (Hunink et al. 2014). It has become a brand that symbolizes and explicitly shows the classy and stylish looks and fragrance. Even if automobile cars are considered, some brands like Ferrari, Porsche, BMW, and Mercedes stand at top from other brands. People prefer bikes from Ducati, Kawasaki, and Yamaha companies. However, many authors have claimed that the decision making process of the customers for selecting any specific brand is largely influenced by other factors rather than just its brand. The various functions of organization like marketing strategies, products prices, and discounts options also influences the decision of the customers. According to Kemper et al. (2013), the operations of the organization would be helped by the key decisions made by them. The decision making for the organization has been helpful for deciding their prospects for future. The organization has been using the concise and optimized price for attracting more customers. The other factors have played some role for developing and attracting customers for buying from the store. The sales, discounts and offers have played a vital role for bringing the customers to the organization and making them use their existing products and services (Van Solinge and Henkens 2014). However, it is evident that the brands have a significant value for tending people to choose the services of the organizations. Woolworths provide the products of globally renowned brands and it has helped the people for getting various products of other countries at a single stop of Woolworths. Value Added Services According to Pomeranz (2015), the value added services are helpful for attracting more customers to the organization. The organizations have been using some the benefits of some other services for attracting more customers towards the organizations. The deployment of the value added service has provided the ease of faster and compatible methods for promoting the operations and sale of the organizations (Chetty, Friedman and Rockoff 2014). Woolworths have deployed discounts and loyalty cards for attracting more customers towards the organization. The development of the new factors would be helpful for making more people use the services of the organization. The deployment of the discounts and loyalty cards have made people utilize services of Woolworths more specifically. The value added services are helpful for providing the most suitable development of the organizations and formation of the better services for the customers (Johnson 2014). The function of the value added services is used for attracting the customers so that they can get more sales in the company. However, the deployment of the value added services had also resulted in diminishing the advent of the customers. A number of value added services are not acceptable by the customers. For example: there are many people who do not want the application of the several value added services from their telecom providers (Koopman, Wang and Wei 2014). The deployment of the value added services would make their operational functions more complex and uneasy for utilization. The customers of Woolworths like the various discounts and loyalty cards. However, the implementation of such facility had increased the number of footsteps in the shop. The management of so many people might result in some glitches and flaws that could hamper the overall functions of the organization (Chetty, Friedman and Rockoff, 2014). The other factors have played some role for developing and attracting customers for buying from the store. The sales, discounts and offers have played a vital role for bringing the custome rs to the organization and making them use their existing products and services. Customer Satisfaction The customer satisfaction deals with the analysis of the customers for finding out whether they are happy or not with the kind of services and products they are getting from the organization (Karna 2014). The customer satisfaction is based on many criteria such as price of the products or commodities, quality of the products or services, product or service delivery, and query solving communication means. The high prices of the commodities and services have a negative impact on the customers satisfaction. The optimum prices of commodities have been kept by many organizations for providing their customers with customer satisfaction. The deployment and consideration of the customer satisfaction has been helpful for forming better sales of the customers (Saeidi et al. 2015). The customer satisfaction is also influenced by the quality and deliverance of the products and services. The organizations have been largely using successful customer satisfaction for making their brand more recognizable among other potential customers (Fornell, Morgeson III and Hult 2016). The converse statement that brand awareness plays a very significant role for increasing the satisfaction of the customers also holds true. The customer satisfaction is also dependent on the brand awareness and reputation of the organizations. The bigger brands and organizations have been deploying most suitable customer satisfaction for the employees. For example: The brands like Apple, Samsung etc have been largely benefited in terms of customer satisfaction and sales due to their brand recognition. The Brand reputation has been helpful for keeping the loyal customers stick to the brand for long (Blut et al. 2015). A specific group of customers such as business men have been glued to the brand Blackberry devices for the facilities of organizing their commerce related operations. However, the collateral influence of the brand awareness on the customer satisfaction has not been seen in many cases too. There are various big brands and organizations that have been overlooked by customers due to lack of good quality of products and services (Fornell, Morgeson III and Hult 2016). The growth of despair among the people against any company or the reason behind leaving the services or any organization can be due to the increased prices too. For example: the growth in prices of hamburgers and burgers at McDonald had tended to discourage many customers for dining at the joint. Instead they started going to other places like Wendy, Burger king, etc. There are many brands available for same services and products such as Alibaba, Amazon, Flipkart, etc (Saeidi et al. 2015). They have been supplying various products from different dealers and retailers to the customers through their ecommerce websites. The MNC and organizations with larger brand equity had been deploying most suitable services and products that have helped them for achieving better customer satisfaction. The brand value of the company has been helpful for performing global operations and achieving customers satisfaction. Conclusion of the Literature Review The literature review had consistently analyzed four points related to the main topic of the research paper that is Impact of the Brand Awareness on Customer Loyalty. The four points are Branding Strategy, Decision Making Process, Value Added Services, and Customer Satisfaction. The well defined executed strategy would be helpful for the direct connection and linking of the various processes of the organization. The deployment of the smart strategies for the business processes had helped in easing the increment of the sales. The deployment of the value added service has provided the ease of faster and compatible methods for promoting the operations and sale of the organizations. However, the branding strategies have significant importance with the organizations operations and for dealing with the issues in their operations. The sales, discounts and offers have played a vital role for bringing the customers to the organization and making them use their existing products and services. However, it is evident that the brands have a significant value for tending people to choose the services of the organizations. There are many brands that have been supplying various products from different dealers and retailers to the customers through their ecommerce websites. The brand value of the company has been helpful for performing global operations and achieving customers satisfaction. References Blut, M., Frennea, C.M., Mittal, V. and Mothersbaugh, D.L., 2015. How procedural, financial and relational switching costs affect customer satisfaction, repurchase intentions, and repurchase behavior: A meta-analysis.International Journal of Research in Marketing,32(2), pp.226-229. Chetty, R., Friedman, J.N. and Rockoff, J.E., 2014. 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