Advantages Of Konrow

Customer loyalty plays a very vital role in an organization’s success or not always, is a very interesting debate. It has been suggested at several literature that loyal customer generates ongoing revenue and they also assist in generating profitable business income to any organization. At the same time research also suggests that there are other views available in relation to the concept of loyalty. The important factor to understand is weather those factors lead to long term business profitability or not. In my opinion regardless of other considerations, customer loyalty plays a great input in the business benefits and revenue. Today’s literature review will put some light on both customer loyalty as well as other consideration. It will further emphases the importance of the customer loyalty aspect and its impact on the revenue of the firm by supporting the concept of customer loyalty.

The aid of the management and the thoughts towards the marketing orientation is required for the execution of marketing tactics to persuade the behaviour of the consumers because the marketing strategies need the certain belongings like human resources, financial capital, assets and recourses.

Brand equity is an important asset for any organization. It is also an assets that offers an organization or a brand a road to success. Brand equity is important because its brand's product is closely associated with its premium price in the market. An organization or a brand with positive brand equity typically have higher quality products and services when compared to similar generic unbranded products. Furthermore, brand equity is important because it helps an organization or a brand to strengthen its competitive edge in the market. It is important to an organization or a brand, the reason are that it help lower the marketing costs and allows a brand to enjoy higher brand awareness and brand loyalty. Therefore, the ultimate goal of a brand

Usually brand equity and brand value are affected by the variety which offered to the consumers. Moreover, technology also affects brand value, because it can be used by competitors in order to duplicate any innovation (Moskowitz et al, 2009).

Customer Satisfied can become loyal and loyal customers may also lower marketing costs since retaining customers is significantly cheaper than attracting new ones. (Johnston and Clark 2008)

One thing that can make or break a company is its brand equity. Brand equity is the value that comes with the familiarity with a company’s branding and the feelings consumers have towards that brand (Brand Equity, n.d.). A company with strong brand equity usually gives consumers a sense of reliability and value; causing a higher inclination to purchase its products. It usually takes

In the last 20 years, more and more emphasis has gone into investigating the core components of customer loyalty and seeking to single out the factors that cause customers to return. Studies have consistently demonstrated that clients who feel that they can trust the business or worker to care for them and to be honest will reward the business by their devotion even, occasionally, at cost to themselves. Han et al. (1993) rated trust as the most important characteristic in any business relationship, whilst Kumar et al. (1995) saw trust and commitment as being indistinguishable one from the other. When client learns to trust producer, commitment, almost inevitably followed.

Customer loyalty is probably the hardest to attain. In many typical businesses, as many as 45% of direct, new, one-off purchasers do not go on to purchase a second time (Clark). Customer satisfaction is first based on a recent experience of the product or service. This assessment depends on prior expectations of overall quality compared to the actual performance received. If the recent experience exceeds prior expectations, customer satisfaction is likely to be high (Wikipedia). Loyal employees will work with the customers making them feel welcome and the customer will be more inclined to come back to the company that treats them kindly rather than a company that ignores them or treats them poorly. As customer loyalty increases, the word-of-mouth advertising increases and people are telling their friends and family about the products and services a company provides solely based on how they were treated. With an all-around loyal business, business value increases and profits increase.

By improving customer service, customer will be more happy and start to stick with the product and hardly shifts to the competitors products easily. (Zeithaml, Rust, & Lemon, 2001) This in itself is a big plus point for the company as customer retention is far cheaper then customer acquisition.

This report aimed to make comparison between a successful and a less successful brand portfolio. I have chosen Apple as a successful brand and Nokia as a less successful brand. Apple is a renowned brand name all over the world, and the products of Apple are so popular among the electronics lovers. Consumers recognize the Apple brand as a symbol of trust as well as reliability. Apple is a U.S based company, and now by revenue it is the largest information technology company in the world which is approximately 233 billion. In 1976, the company was established by Steve Jobs, Steve Wozniak, and Ronald Wayne. On the other hand, the brand name of Nokia has lost its credibility recently. Nokia is a Finnish multinational information technology company. About ten years ago, the products of Nokia were so popular in Europe, Africa, and Asia. However, in recent times Nokia has lost its market share significantly. People have less faith

Brand Equity is the added value given to products and services – reflecting how consumers think, feel and act towards a brand (Kotler et al 2009). Red Bull sells “cool” as added value to their hyped-up liquid. They sell a life

According to Kotler and Keller “brand equity” is defined as the additional worth enriched on items and administrations. It might be reflected in the way customers think, feel, and act as for the brand, and in addition in the costs, piece of the overall industry, and benefit the brand charges (Kotler & Keller, 2012, p. 243, para. 5). Essentially “brand equity” is the strength of a brand which evolves from its altruism and notoriety. Over time this equates to higher revenue from increased sales.

According to Aaker (1991), “brand equity is the set of brand assets and liabilities that is linked to a brand, its name, and symbol that add to or subtract from the value provided by a product or service to a firm and/or to that firms customers”. Some academics have given the components of brand equity. It consists of “perceived quality, brand associations, brand awareness and brand loyalty “(Aaker, 1991; Baldauf et al., 2003; Keller, 1993; Selase Asamoah, 2014), and this is the first version of components of it; regarding it as the “consumer 's behavior” toward a make, Keller (1993) proposes two elements: “brand awareness and brand knowledge”; Kim et al.(2008) argue that strong brand equity boosts “consumer satisfaction, repurchasing intent, and degree of loyalty”. Thus, past

A brand is a way for customers to identify goods and/or services that a company is providing and helps differentiate them from competitors, and their experience of the company and the products will reflect their brand equity (Kotler, Bowen, & Makens, 2014; Bailey & Ball, 2006). There are two definitions of a brand; the first is the product plus definition, where a brand is seen as an identifier for the product (Ambler & Styles, 1996). The second definition, which more relevant to today’s environment is the holistic view, where the brand includes all elements of the marketing mix and is not solely based on the product (Ambler & Styles, 1996). Keller defines brand equity as “the differential effect that consumer brand knowledge has on their response to marketing activity” (1999). A brand aims for positive brand equity so that consumers will choose their products/services over the competition and therefore increase their market share (Kotler et al., 2014; Rangaswamy, Burke, & Oliva, 1992).

Brand strategy plays an important role in making a brand strong. For example, ‘brand strategy decisions involve brand positioning, brand name selection, brand sponsorship and brand development’ (Kotler, Brown, Adam, Burton, Armstrong, 2007). With strong brands, their brand is positioned on ‘strong beliefs and values’ (Kotler, Brown, Adam, Burton, Armstrong, 2007). These strong brands arouse different emotions, for example, the brand Nike might make the consumer think that wearing Nike will give them a ‘cool look’. Another example of this is that using Colgate toothpaste will give consumers ‘healthy, beautiful smiles for life’ (Kotler, Brown, Adam, Burton, Armstrong, 2007). The importance of a brand is also important in a strong brand as it influences the types of brands that consumers will buy. In a study conducted by Swedish students, they found that consumer lifecycle stages affect how they view different brands. For example, when a person is single they seek to ‘define their self-identity’ (Sääksjärvi, Kedzior, 2006, p2). Therefore, the importance of a strong brand is that consumers can find the right brand for