PROMOTION STRATEGIES IN CONSUMER PARADOX TOWARDS WORD OF MOUTH BRAND EQUITY

Abstract

Objective of the study: This study is unique because it has incorporated two concepts, brand equity, and WOM, in a model to understand how the factors assimilate and improve consumers' understanding of WOM and brand equity. The study have focused on the local allied brand. Methodology: The study used the mall intercept method to collect data based on a self-administered questionnaire. The study distributed 415 blank questionnaires and received 403 filled questionnaires. The study have used Smart PLS for statistical analysis that included reliability and validity analyses, Findings: The study have used Smart PLS version 3.3 for statistical analysis, and test propositions relations to the consumer psychology, the study results supported seven hypotheses. The study did not find support on (i) perceived quality and WOM and (ii) satisfaction and WOM. Similarly, of the seven indirect hypotheses, the study also did not find support for three, which are (i) Association mediates awareness and brand equity, (ii) WOM mediates perceived Quality and brand equity, and (iii) WOM mediates satisfaction and brand equity. Theoretical Contributions: The study has tested a multi-mediating relationship which will provide more insight into the discussed phenomenon. It is the first study incorporating four drivers of WOM and four drivers of brand equity in a single study. The study adopted a holistic approach by testing seven direct, nine indirect, and one multi-mediating relationship Significance of the study: Perhaps, this is the first study that has developed a new model containing four variables associated with brand equity and another four related WOM in one study. Past studies have examined brand image and WOM with a narrow perspective. Most of them have used about seven or eight relationships. The study has taken a holistic approach and examined nine direct and seven mediating relationships. A holistic approach is necessary as the study has four antecedents related to WOM and four related to brand equity.