Monday, February 23, 2009

Loyalty and Choice

When are you loyal to a brand?
When you have enough alternatives to choose from and you still stick to it!

Such a basic idea - lets see whether it holds good in some other spheres:
1) You are loyal to your company when you have enough choices to leave - but you still remain
2) You are loyal to your country, when you have enough choices and still you remain

So what drives the brand loyalty?

Brand Loyalty Defined

”You learn that creating customer loyalty is neither strategic nor tactic;
rather, it is the ultimate objective and meaning of brand equity. Brand loyalty is brand equity.” Daryl Travis, Emotional Branding
So, what constitutes brand loyalty? According to Bloemer and Kasper, brand loyalty implies that consumers bind themselves to products or services as a result of a deep-seated commitment.
To exemplify this point, they rendered a distinction between repeat purchases and actual brand loyalty. In their published research, they assert that a repeat purchase behavior "is the actual re-buying of a brand” whereas loyalty includes "antecedents” or a reason/fact occurring before the behavior. Bloemer and Kasper further delineate brand loyalty into "spurious” and "true” loyalty. Spurious loyalty exhibits the following attributes:

Biased ; Behavioral response; Expressed over time; By some decision-making unit, with respect to one or more alternate brands; A function of inertia .

True brand loyalty includes the above, but replaces inertia with a psychological process resulting in brand commitment (Ref: Journal of Economic Psychology, Volume 16, Issue 2, July 1995).

So are you loyal to your company/country?