An Empirical Investigation on the Effect of Brand Loyalty

Research Article

This paper examines how satisfaction, brand image, price, packaging and perceived quality influence brand loyalty. A self-administered questionnaire through mall intercept method was used for survey purpose. Valid sample size was 300 comprising all adults and both genders. The constructs used in this study had established reliabilities. After ascertaining the normality of data a typical multiple step procedure was adopted which is inclusive of identifying outliers, ascertaining normality of the data, reliability analysis, validity analyses, CFA for all the constructs through structural equation modeling (SEM), and testing the overall model through SEM. Derived hypotheses results were assessed on SEMís output that is standardized regression estimates (SRE) and critical ratios. Price was the strongest predictor of brand loyalty followed by packaging and satisfaction. Company image and perceived quality had no relationships with brand loyalty. Some of the findings of this study are consistent with the earlier studies, while others are in-consistent to earlier research. Implications for managers were drawn from the results.

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