Evaluating the perceived effectiveness of e-commerce platforms on the perceived economic benefit of the consumer in predicting sustainable consumption in an epidemic
Pages 1-18
https://doi.org/10.22034/JBME.2021.313202.1004
leila jalali
Abstract Extended Abstract
Abstract
The aim of this study was to investigate the perceived effectiveness of e-commerce platforms on the perceived economic advantage of the consumer in predicting sustainable consumption in an epidemic. The present research is applied in terms of purpose and descriptive-correlative in terms of nature and method of data collection; And is specifically based on structural equation modeling. Quantitative research data were used as a distance scale using the standard Research Questionnaire of Lobel Trong Tovi (2021). The statistical population of the present study is all customers of online shopping of e-commerce platforms in Iran. Due to the large number of users and the number of more than 10 active platforms in Iran, and due to the large number of the target community, 100,000 people have been considered. According to Morgan''s table, 384 people were selected as a sample in this study. The sampling method in this study was simple random. The results show that the effect of the perceived effectiveness of e-commerce platforms on the perceived economic advantage of the consumer in predicting sustainable consumption is equal to 0.47, i.e. about 47% of the total perceived effectiveness of e-commerce platforms on the perceived economic advantage of the consumer in predicting sustainable consumption is explained. The GoF criterion was also used to evaluate the overall fit of the model and the measurement for the structural model. Results of average shared values and average values of R Squares shows that the value of GOF is equal to 0.62 which indicates a strong fit of the model.
Introduction
With the increasing growth of the Internet and related technologies, the concept of brand has changed, thus today the value of online brands has grown significantly. The most important factor influencing the success of online brands is the frequent interaction of users with the brand, which achieves as a result of having a positive consume experience from that online brand. Managers need to create the conditions for a favorable experience for their customers and identify the factors effective on online brand consistency, because the undesired customer experience leads to the loss of a large share of the company''s potential sales; which is due to customers'' inability to find whatever they are searching for. Customer dissatisfaction will also lead to a large decrease of visit frequency percentage, which is also due to the initial negative experiences of users and customers (Abdollalipour, 2020)
Research in the field of e-commerce shows that advances in Internet technologies have enabled companies to sell their products directly to consumers through e-commerce platforms (Fan et al, 2020), thus leading to increased sales. Is (Lee et al, 2018). But consumers can not physically examine products in online shopping, thus leading to uncertainty to product (Song et al, 2020).
Research shows that online consumer information is collected and tracked based on data-driven marketing tasks, but there is insufficient protection for this information (Bandaraet al, 2020). Security risk (disclosure of personal information) has had strong negative effects on online transactions (Hubert et al, 2017). This is important because e-commerce platforms now offer a variety of products and services online, from electronics to single products, sanitary and cosmetics, food, and fashion to sports and travel facilities with high volume exchanges. Thus, perceived perceptions of customer information protection to ensure the security of online transactions increase the continuity of intent and motivation to write positive comments about products and services. As a result, online protection is very important for personal information and transactions (Liao & Shi, 2017).
The world has seen an increase in pandemics in recent decades, such as SARS in 2003, H5N1 in 2006, and H1N1 in 2009 and Covid 19 in 2019, each of which hindered business activity and economic growth (Chung, 2015). As scientists have warned long ago, infectious diseases can lead commercial activity to a new reality that strongly influences these activities; unfortunately, there are no clear guidelines for managers on how to respond effectively to these conditions (Hudecheck et al, 2020). Fear of a pandemic refers to a new disease that people are not immune to, and has spread around the world (World Health Organization, 2019). Pandemics have become one of the biggest threats in the world today (Harvard Global Health Institute, 2020). Research on consumer behavior shows that fear refers to the negative consequences of a particular event that may lead to changes in consumer''s behavior and attitudes (Solomon, 2017). As a result of the effects of Covid 19 disease, consumers are increasingly turning to online shopping. Accordingly, the Covid 19 pandemic has altered consumer shopping behavior because consumers are afraid of contracting the disease (Laato et al, 2020; Prentice et al, 2020).
Covid 19 has issued a global warning because it spreads quickly through human-to-human contact (Harvard Medical School, 2020). The virus can be spread through droplets of cough or inhalation of an infected person (The World Health Organization, 2020). To reduce the spread of the virus, therefore, the consumption method should be turned to e-commerce platforms; because it increases purchasing efficiency, enables new purchases, and increases access to information and online communication between the consumer and the seller (Guillen-Royo, 2019). But the managers who look for online sales execution do not currently have any specific guidelines for improving the consumer''s decision for sustainable consumption over time and on environmental conditions (Guillen-Royo, 2019؛ Hernant, 2017 & Rosengren).Given the above, the main issue of the research is whether the perceived effectiveness of e-commerce platforms affects the perceived economic advantage of the consumer in predicting sustainable consumption in an epidemic.
Theoretical literature
The Covid 19 pandemic, and the fear of contagion caused by that, have also created chaos around the world, such as hoarding, market rotation, and travel restrictions (McNulty, 2020). A pandemic has led to fears of infection and social distance, which is increasingly leading to online shopping; and as a result, the importance of e-commerce platforms is increasing. Naeem (2021) in his research investigated that if social media platforms expand the customers'' nervous shopping, while they are afraid of corona disease. Findings show that there is evidence of uncertainty, purchase due to persuasion, evidence of product inaccessibility, official announcements, global connectivity, and expert opinion are some of the reasons on social media platforms that has created the consumer''s nervous shopping situation during the Covid 19 crisis. Abdollalipour (2020) in his research reviewed the role of cooperative online distribution platforms and brand loyalty. The results show that the most important factor influencing the success of online brands is the frequent interaction of users with the brand, which is the results of having a positive consumption experience of that online brand.
Methodology
The present research is applicable in terms of purpose, and is a descriptive correlative type in terms of nature and method of data collection, and specifically based on structural equation modeling. The research method was quasi-experimental with pre-test and post-test design with control group. Quantitative research data has been used as a distance scale using the standard research questionnaire of Lob Trung Tui (2021). The statistical population of the present study is all customers of online shopping of e-commerce platforms in Iran. Due to the large number of users and the number of more than 10 active platforms in Iran and due to the large number of the target community, 100,000 people have been considered as the statistical population. And according to Morgan''s table, 384 people will be selected as a sample in this study. The sampling method in this research will be simple random.
Discussion and Results
In order to test the research hypothesis, Structural equation modeling (SEM) method was used with the help of SmartPLS 3 software, and the results showed that the perceived effectiveness of e-commerce platforms affects the perceived economic advantage of the consumer in predicting sustainable consumption in an epidemic. Online customers'' fear of the Covid 19 epidemic moderates the perceived effectiveness of e-commerce platforms and economic advantage. Online customers'' fear of the Covid 19 epidemic moderates the relationship between economic advantage and sustainable consumption.
Conclusion
The present study aimed at the perceived effectiveness of e-commerce platforms on the perceived economic advantage of consumers in predicting sustainable consumption during an epidemic. The findings are consistent with Laato et al. (2020), who, in their study entitled Unusual Purchasing Behavior in the Early Stages of Covid 19Epidemic: Stimulus-Organism Response Approach. Further results showed that exposure to online information sources has led to a too much increase in information and cyberchondria. Overload Information was also a strong predictor of cyberendria. Perceived severity and cyberchondria had a significant effect on people''s intentions for unusual purchases and voluntary isolation. Accordingly, the Covid 19 pandemic has altered consumer purchasing behavior because consumers are afraid of contracting the disease. Lobel Trong Thuy (2021) in his research considered the effectiveness of e-commerce platforms in an epidemic. The results of this study showed that fear of pandemic positively modulates the relationships among e-commerce platforms, economic benefits and sustainable consumption. The results showed that the economic benefits of the relationship between e-commerce platforms and sustainable consumption are related to the level of fear of epidemic and moderate it. The results of this study are consistent with the results of Mark Peterson (2021) research, entitled Sustainable Marketing and Consumer Support for Sustainable Business. The results show that: 1) values based on consumer nature have the most positive effect on consumer support for sustainable businesses, 2) then the attitude towards corporate altruism, and 3) and then concern about corporate ethics has the most impact. Assessing social justice and acknowledgement of the role of business in improving the quality of life of the customer had no effect on consumer support for sustainable businesses.
Investigating the Impact of Relation-based Marketing and E-Marketing Capabilities on the Commercial Performance of Internet Sales Sites
Pages 19-40
https://doi.org/10.22034/jbme.2022.313118.1001
farshideh zalkani Andarvar
Abstract Extended Abstract
Abstract
The purpose of this study is to investigate the effect of relation-based marketing capabilities through the mediator variable of e-marketing on the business performance of online sales sites. The present research is applicable in terms of purpose and descriptive-correlative in terms of nature and method of data collection; and is specifically based on structural equation modeling. The statistical population in the present study includes customers of online goods sales sites in Iran such as Digi Kala, Tehran Kala, etc., and according to Morgan's table, 380 people were selected as the sample, among whom the electronic questionnaire was distributed. Sampling method of this research is available. The collection tool in the present study is three questionnaires, which include the business performance questionnaire of Myrles, Randall and Lai (2011), Asikhia (2009), the electronic marketing questionnaire of Tsiotsu and Villachoplo (2011), the questionnaire of relation-based marketing capabilities of Azadegan Foumani (2013). Findings of the research related to the first sub-hypothesis showed that relation-based marketing has a coefficient of 0.982; in other words as much as 98.2% is related to the business performance of electronic sales sites. Also, the research findings related to the second sub-hypothesis showed that relation-based marketing has a coefficient of 0.91; in other words, 91% is related to e-marketing. Findings of the research related to the third sub-hypothesis showed that e-marketing has a coefficient of 0.479; in other words as much as 47.9% is related to business performance. Also, the findings of the main hypothesis showed that the relation-based marketing index has a coefficient of 0.457, in other words as much as 45.7% is related to the business performance of online sales sites with emphasis on the mediating role of e-marketing.
Introduction
With the proliferation of e-businesses, consumers have become increasingly inclined to shop online, so that, due to the influence of the Internet on business, and the formation of the foundation of the digital economy, to achieve the goals of modern marketing in e-commerce, e-marketing has drawn attention and is a key factor in the competitiveness of international markets (Taj Zadeh Namin & Martaei Ghare Bagh, 2010). On the other hand, with the increasing expansion of the field of e-commerce, the speed and quality of customer service has also increased and has caused companies to have more control over quality components to ensure the accuracy of delivery of goods and its timeliness so that they can meet the growing needs of customers and satisfy them. The use of e-business in business activities requires attention to endogenous and exogenous factors influencing it (Amini & Ali Nezhad, 2019).
Given the importance of the two concepts of the capabilities of relation-based marketing and e-marketing in the field of domestic and foreign competition, companies have to acquire and strengthen marketing capabilities to improve their business performance, survival and growth in domestic and international markets and gain competitive position, and apply e-marketing as new technological activities (Taleghani & Mehdi Zadeh, 2016). E-marketing is, in fact, the use of the internet and other interactive technologies to create a relationship and mediation between the company and customers. This innovative activity develops new ways of interacting with customers and provides new service delivery systems, and leads to reducing costs, growth and profitability of companies and entering new markets, improving market share and creating a positive mindset about products, services and company's brand, and high business performance; and can improve service productivity, service quality and profitability (Tsiotsou & Vlachopoulou, 2011). Therefore, it can be argued that, given the importance of the two concepts of relation-based marketing and e-marketing capabilities in the field of domestic and foreign competition, companies have to acquire and trengthen the marketing capabilities to improve their business performance, survive, grow in domestic and international markets, and gain competitive position, and use e-marketing as a new technological activity. Therefore, in the present study, an attempt has been made to investigate the effect of relation-based marketing capabilities on the business performance of internet sales sites in Iran, and also by considering the electronic marketing moderator variable. relation-based marketing has been able to create shared values, as an important dimension in building the relationship between buyer and seller in online sales sites. This research tries to measure the commercial performance of these sites by using the e-marketing moderator variable. According to the above, the main issue of the research is whether the relation-based marketing capabilities through the e-marketing intermediate variable has an effect on the business performance of Internet sales sites or not.
Theoretical literature
With the expansion of the Internet and customers turning to this phenomenon in order to meet their needs, companies have the opportunity to attract the customers through new Internet services and increase sales of goods. On the other hand, the intensification of competition between companies providing services through the virtual world has caused companies to seek to retain their existing customers rather than attract new customers. This has led to arise of concepts such as relation-based marketing and e-marketing and business practice in companies. Nowadays, due to the increasing development of information technology and increasing competition in global markets, the users of textual marketing methods stay away from the global market (Varmaghani et al, 2017) and the use of effective and modern tourism marketing tools such as e-marketing is essential for a country or a region. With the advent of e-commerce, organizations are changing their business (Montazari et al, 2014). E-marketing is defined as the use of the Internet and related technologies, along with other marketing communication tools, to achieve marketing goals (Ghareh et al., 2018). Zare Dare & Taghavi, (2020) examined relation-based marketing. They concluded that organizations are required to go beyond the basic needs of customers, meet customer expectations, and focus on satisfying the customer's need to build loyalty and trust, through long-term, two-way and profitable communication (communication quality). Rezaei et al (2020) examined the alignment of e-marketing with the overall strategy of commercial organizations. This study seeks to answer the question of how to align e-marketing programs used in online commercial organizations with the organization's enterprise level strategies to increase the success of the organization. The research result showed that the alignment of e-marketing and macro strategies of the organization is necessary, and a model for the purpose was provided.
Methodology
The present research is applicable in terms of purpose; and a descriptive correlative type in terms of nature and method of data collection, and specifically based on structural equation modeling. The statistical population in the present study includes customers of online sales sites in Iran, such as Digi Kala, etc. Based on the fact that students are also a large part of the buyers of goods on Internet sites, a group of students; associate, bachelor, master and doctorate of the Islamic Azad University of Tehran, approximately at least 40 thousand people, is considered. Based on the statistical population of 40,000 students, users of online sales sites, and according to Morgan's table, the electronic questionnaire were distributed among 380 people as a sample. The questionnaires of Mirles et al (2011) and Asikhia (2009) were used to collect data on business performance variable, and the questionnaires of Tsiotsou & Vlachopoulou (2011) and Asikhia (2009) for electronic marketing variable, and the research questionnaire of Azadegan Fomani (2013) for the variable of relation-based marketing capabilities.
Discussion and Results
In order to test the research hypothesis, structural equation modeling method was used with the help of SPSS software, inferential statistics was used to test the hypotheses. Then, amos software was used to test the hypotheses or conceptual model of the research, and the results of the main hypothesis showed that e-marketing mediates the relation-based marketing capabilities and business performance of online sales sites. The relation-based marketing index has a coefficient of 0.457; in other words as much as 45.7% is related to the business performance of online sales sites with emphasis on the mediating role of e-marketing. This means that the effect of the modifier variable on the relationship between marketing capabilities and performance is positive and significant, and relation-based marketing has the coefficient of 0.982, in other words, as much as 98.2% is related to the business performance of electronic sales sites. At the confidence level of 0.95 and considering the t-value which is equal to 8.678, it can be said that there is a significant relationship between relation-based marketing and business performance of e-sales sites, and relation-based marketing with a coefficient of 0.91 and in other words as much as 91% has a relationship with e-marketing. At the confidence level of 0.95 and considering the t-value which is equal to 12.472, it can be said that there is a significant relationship between relation-based marketing and electronic marketing of e-sales sites.
Conclusion
The aim of this study was to investigate the effect of relation-based marketing and e-marketing capabilities on the business performance of online sales sites. The results of this study are consistent with the results of Harandi et al (2017); in this study, the innovative effect of relation-based marketing strategies (financial, social and structural links) on customer relationship performance (duration, depth and breadth of communication) through communication satisfaction and communication commitment in using modern e-banking services has been investigated. It is also consistent with the results of Moein et al (2017). They discussed the relationship between relation-based marketing and improving customer satisfaction in Mellat Banks in Shiraz. The results showed that there is a significant relationship between relation-based marketing and customer satisfaction, which is also consistent with the results of Herandi et al (2017). In this study, the innovative effect of relation-based marketing strategies (financial, social and structural links) on customer relationship performance (duration, depth and breadth of communication) through communication satisfaction and communication commitment in using modern e-banking services has been investigated. According to the present research, it is suggested to the managers of the company to try to present their products with better advantages than the competitors through market tour and presence in the field of competition and exhibitions and getting acquainted with the latest market changes and discovering the strategies and tactics of competitors, and use advertising and promotions and capabilities of the company. Also, to attract more international customers for export, equip their databases to provide information and online support, provide online product catalogs to customers, provide or send newsletters, magazines and e-mails to customers, and by providing online ordering and purchasing opportunity, improve their performance
The effect of hotel features performance on e-mouth marketing behaviors (Case study of Kish Island hotels)
Pages 41-60
https://doi.org/10.22034/jbme.2021.316705.1010
samad darvishi
Abstract Extended Abstract
Abstract
The purpose of this study is to investigate the effect of hotel features performance on electronic oral marketing behaviors (studied in Kish Island hotels). The present research is applicable in terms of purpose and descriptive-survey in terms of nature and method of data collection; and is specifically based on structural equation modeling. The statistical population of the study is all customers of Kish Island hotels, which are 54 hotels and apartment hotels in the first six months of 2020. According to surveys, about 200 people have stayed in these hotels in the last 6 months, and based on the available community and Cochran's formula, 322 people have been selected by cluster sampling method as a sample. Two questionnaires were used as collection tools in the present study, including the Hotel Reputation Performance Questionnaire from Khan et al.'s (2017) questionnaire and word-of-mouth e-marketing questionnaire from the standard word-of-mouth advertising questionnaire of Bamboer et al. (2011). Findings showed that the performance of hotel features has a significant effect on word-of-mouth e-marketing behaviors. Hotel environment and facilities have a significant impact on word-of-mouth e-marketing behaviors. The competence of hotel staff has a significant effect on word-of-mouth e-marketing behaviors. The hotel-to-guest experience has a significant effect on word-of-mouth e-marketing practices. Hotel location has a significant effect on word-of-mouth e-marketing behaviors.
Introduction
Marketing executives aknowledg that not only does selling products and services create value for customers, but also customer experience is an important factor in creating value. Due to the numerous challenges and interactions at the contact points, creating a memorable brand experience is important especially in the service sector. Hotels that provide a high level of quality and value in the points of contact with guests provide a good model for creating experience in service activities. They can also, by providing a complete package of services, arouse the excitement of guests to create permanent experiences and stimulate their five senses (Wiedmann et al, 2017). Guests, while choosing their accommodation hotels, pay attention to the brand of them. Having strong and well-known brands facilitates the decision-making process for hotel choosing. People today pay less attention to commercial advertising and more to what others think about the products and services we offer them. Informal communication related to products and services has a strong effect on consumer behavior, which is often greater than the messages received through advertising. These impersonal relationships are known as mouth-to-mouth, and are traditionally and in a face to face method shared between acquaintances (Izadi et al, 2019). It often seems that the increase in sales of a product or service is only due to the successful advertising of companies, but in fact the main motivation of sales is people's talking to each other about the company and its products (Khademi & Murzaei, 2020). According to the above, the main issue of the research is the effect of hotel characteristics on the word-of-mouth marketing behaviors (studied in Kish Island hotels).
Theoretical literature
Today, having a powerful brand is one of the priorities of many organizations, especially service organizations. Users are looking for redundant information to reduce the uncertainty and complexity of decision-making to reuse. Therefore, electronic word-of-mouth marketing has become the main source of information, and since the hotel industry is one of the main pillars of the tourism industry and its development directly affects the growth and development of the tourism industry, it should receive the necessary attention (Konjkav Monfared & Hoseini, 2020).
Noruzi et al, (2020) investigated in their study entitled the study of the mediating role of word-of-mouth electronic advertising in the relationship between the dimensions of empirical marketing and consumer buying intention (Case study: mobile Internet market). The results showed that word-of-mouth electronic advertising also had a positive and significant effect on consumer's purchase intention. The direct effect of empirical marketing as well as its indirect effect through the mediation of electronic word-of-mouth advertising on the consumer's purchase intention has also been confirmed.
Khademi & Mirzaei, (2020) investigated the effect of service quality on word-of-mouth marketing with the mediating role of customer loyalty (Case study: Tejarat Bank branches in North Khorasan province). Findings showed that service quality has a positive and significant effect on customer loyalty and word-of-mouth marketing. Also, customer loyalty has a positive and significant effect on word-of-mouth marketing and that the quality of services indirectly affects word-of-mouth marketing through customer loyalty.
Methodology
The present research is an applicable research in terms of purpose, and a descriptive-survey research in terms of the method used. The statistical population of the study is all customers of Kish Island hotels, in 54 hotels and apartment hotels in the first six months of 2020. According to surveys, about 200 people have stayed in these hotels in the last 6 months, and based on the available community and Cochran's formula, 322 people have been selected as a sample and by cluster sampling method. The questionnaire of Khan et al (2017) was used to collect data on hotel reputation performance variable, and the standard word-of-mouth e-advertising questionnaire (Bamboer et al, 2011) were used to collect data on word-of-mouth e-marketing variable, which was used in the research (Moradi, 2014).
Discussion and Results
Structural equation modeling method with the help of SPSS software was used to test the research hypothesis, and inferential statistics was used to test the hypotheses. Then regression was used to test the hypotheses with pls software, which was confirmatory and content factor analysis as well as the effect of factors, and the results showed that the performance index of hotel features with a coefficient of 0.39 has a significant effect on word-of-mouth electronic marketing behaviors. At the confidence level of 0.95 and considering the t-value which is equal to 2.30, it can be said that the performance of hotel features has a significant effect on word-of-mouth electronic marketing behaviors. The GoF criterion was also used to evaluate the overall fit of the model and the measurement for the structural model. Results of average shared values and average values of R Squares show that: GOF value is equal to 0.66, which indicates a strong fit model. Hotel environment and facilities index with a coefficient of 0.27 has a significant effect on word-of-mouth electronic marketing behaviors. At the confidence level of 0.95 and considering the t-value which is equal to 4.83, it can be said that the hotel environment and facilities have a significant effect on word-of-mouth electronic marketing behaviors. The competency index of hotel staff with a coefficient of 0.44 has a significant effect on word-of-mouth electronic marketing behaviors. At the confidence level of 0.95 and considering the t-value which is equal to 2.23, it can be said that the competence of hotel staff has a significant effect on word-of-mouth electronic marketing behaviors. Hotel-to-guest experience index with a coefficient of 0.21 has a significant effect on electronic word-of-mouth marketing behaviors. At the confidence level of 0.95 and considering the t-value which is equal to 2.77, it can be said that the guest-to-guest hotel experience has a significant effect on electronic word-of-mouth marketing behaviors. Hotel location index with a coefficient of 0.17 has a significant effect on word-of-mouth electronic marketing behaviors. At the confidence level of 0.95 and considering the t-value which is equal to 2.18, it can be said that the location of the hotel has a significant effect on word-of-mouth electronic marketing behaviors.
Conclusion
The aim of this study was to investigate the effect of hotel characteristics performance on electronic word-of-mouth marketing behaviors (case study of Kish Island hotels). The results of this study are consistent with the results of Noruzi et al (2020) and Konjkav & Hoseini (2020); the results of these researches showed that tourist loyalty also affects brand reputation. Findings of Rahpeyma & Sasanpour (2019) showed that physical components, reliability, guarantee, responsiveness and empathy have a significant effect on e-mail marketing behaviors. Also, the results of this research are consistent with the results of Tang & Yen (2019), who investigated the word-of-mouth e-marketing behaviors in a study entitled The Impact of Hotel Features (Reputation) Performance. The results show that "hotel feature performance, previous word-of-mouth e-marketing experience, and platform convenience" are the drivers of word-of-mouth e-marketing behaviors. Demographic and location preferences do not influence word-of-mouth e-marketing practices. Economic incentives also have no effect on word-of-mouth e-marketing behaviors, which suggests that a good experience cannot be bought. The performance of key features leads to the improvement of word-of-mouth e-marketing activities, but the performance of facilitative features only contributes to the praise of electronic word-of-mouth marketing. (Rah Peyma & Sasan Por, 2019) Research findings showed that physical components, reliability, guarantee, responsiveness and empathy have a significant effect on word-of-mouth e marketing behaviors. According to the present research, hotel managers are suggested to try to make the customers' living environment a memorable and pleasant atmosphere; because a memorable environment can be important for the customers who are going to come to this hotel; and the opinions of previous customers can also be effective in attracting new customers. The managers should try to provide a relaxing environment for customers. The appearance of the hotel staff plays an influential role in attracting new customers; Therefore, the appearance of the staff and the competence of them in different departments is very important, which managers must pay attention to.
Investigating the Relationship between Business Ethics and Corporate Social Responsibility: A Case Study of Internet Companies in the West of Mazandaran Province
Pages 61-80
https://doi.org/10.22034/jbme.2021.313206.1006
Arash Mighi fard
Abstract Extended Abstract
Abstract
The purpose of this study is to investigate the relationship between business ethics and corporate social responsibility; a case study of Internet companies in the west of Mazandaran province. The present research is applicable in terms of purpose and descriptive-survey in terms of nature and method of data collection; and is specifically based on structural equation modeling. The present research population is the customers of internet service companies in the west of Mazandaran province, estimated 100,000 people; 384 of which were considered as a sample, based on the target population and according to Morgan's table. The sampling method in this study is simple randomization., two questionnaires were used in the present study as the collection tools, including Carol's Social Responsibility Questionnaire (1979) and Petty Standard Work Ethics Questionnaire (1990). Findings showed that there is a relationship between business ethics and corporate social responsibility of a case study of Internet companies in the west of Mazandaran province. There is a relationship between attachment and interest in work and social responsibility in internet companies in the west of Mazandaran province. There is also a relationship between perseverance and seriousness in work and social responsibility in internet companies in the west of Mazandaran province. There is another relationship between healthy and humane relationships in the workplace and social responsibility in Internet companies in the west of Mazandaran province. Finally, there is a relationship between collective spirit and cooperation in work and social responsibility in internet companies in the west of Mazandaran province.
Introduction
One of the elements in an environment with moral decadence is social responsibility, which can be presumed economically, legally, morally or religiously. In fact, it shows the commitment of organizations to maximize benefits and minimize social costs. Managers who have a long-term vision are ready to undergo the expenditure for improvement of the welfare of society, solving social problems, environmental pollution, improvement of working conditions, respect of human rights, participation in public welfare affairs, etc., to benefit from social progress through social activities in the long run, and on the other hand, to gain credibility and reputation for themselves in society and among customers and stakeholders. Social responsibility activities as extra-organizational activities and social commitment can be easily observed and judged by outsiders, while business ethics reflects the implicit and internal beliefs of companies (Taghi Zadeh & Soltani, 2018). Social responsibility and business ethics are two interrelated concepts that must be considered simultaneously when examining the impact of ethical plans on company performance. Social responsibility is also referred to as organizational citizenship and sustainable business responsibility, and reflects the position of companies towards all corporate stakeholders including corporate shareholders, the environment, consumers, employees and the general public (Darini, 2020).According to the above, the main issue of the research is the relationship between business ethics and corporate social responsibility of the case study of Internet companies in the west of Mazandaran province.
Theoretical framework
Jafari & Rezaei Fard (2021) examined the impact of business ethics and social responsibility on corporate branding. The results showed that ethics and social responsibility have direct and positive effects on the brand of companies. Corporate social responsibility is a pervasive category that includes ethics. Therefore, companies that seek to compete in global markets should, in addition to profitability, provide the ground for compliance with work ethic and fulfill their social responsibility to customers. Therefore, it is recommended to company managers; by compiling an ethical charter and continuous training of employees, provide the ground for the development of the brand in question and take steps to maintain the dignity and satisfaction of customers.
Darini (2020) examined the role of business ethics in corporate social responsibility. The results showed that in the main hypothesis, business ethics has a positive effect on corporate social responsibility, the first sub-hypothesis of business ethics has a positive effect on the economic dimension of corporate social responsibility, the second sub-hypothesis of business ethics has a positive effect in the legal dimension of corporate social responsibility, the third sub-hypothesis of business ethics has a positive effect on the ethical dimension of corporate social responsibility, and the fourth sub-hypothesis; business ethics has a positive effect on the dimension of charitable activities of corporate social responsibility. In this study, all five hypotheses were confirmed.
Ghayur et al (2019) in his article entitled the relationship between social responsibility, and moral reputation and brand equity; Analyzed the mediating role of trust. The obtained results indicate a positive relationship between social responsibility and moral reputation and brand equity. Based on the results, it can be said that customer trust as a mediating variable in relation to corporate social responsibility actions plays an increasing role on the moral reputation and brand equity; therefore, innovative measures of social responsibility should be done in a way that leads to build customer trust and enhance the ethical reputation and equity of the brand.
O.C. Ferrell et al (2019) published a paper entitled Business Ethics, Corporate Social Responsibility and Branding Approach. Findings from a 351-member panel of respondents provide new insights into customer expectations, understanding corporate social responsibility, and business ethics behavior. Based on the results, it can be said that although corporate social responsibility attitudes are important, but customers attach great importance to business ethics as a critical behavior in shaping their understanding of brand attitudes.
Methodology
The present research is an applicable research in terms of purpose and is a descriptive-survey research in terms of the method used. The present research population is the customers of internet service companies in the west of Mazandaran province. An estimated 100,000 people; According to the target population and according to Morgan's table, 384 people were considered as a sample. The sampling method in this randomization is simple. The sampling method in this study is simple randomization. Two questionnaire (Carol, 1979) and a questionnaire (Peti, 1990) were used to collect data related to the social responsibility variable.
Discussion and Results
In order to test the research hypothesis, structural equation modeling method with the help of SPSS software was used; and inferential statistics was used to test the hypotheses. Then regression was used to test the hypotheses with pls software that is confirmatory and content factor analysis as well as the effect of factors, and the results showed that business ethics index has a coefficient of 0.784, in other words, there is a connection as much as 78.4% between business ethics and corporate social responsibility of the case study of internet companies in the west of Mazandaran province; this is related to the explanation of variance related to business ethics to variable changes in social responsibility. Attachment and interest in work has a coefficient of 0.754, in other words, there is a connection as much as 75.4% between the attachment and interest in work and the social responsibility of internet companies in the west of Mazandaran province. This is related to the explanation of variance related to attachment and interest in work to variable changes in social responsibility. The index of perseverance and seriousness in work has a coefficient of 0.750, in other words, there is a relationship as much as 75% between perseverance and seriousness in work and social responsibility in Internet companies in the west of Mazandaran province. This means that the explanation of variance related to perseverance and seriousness in work is related to variable changes in social responsibility. Healthy and human relations index has a coefficient of 0.763, in other words, there is a relationship as much as 76.3% between healthy and human relations and social responsibility in Internet companies in the west of Mazandaran province; this means that the explanation of variance related to health and human relationships is related to variable changes in social responsibility. Collective spirit and participation in work has a coefficient of 0.791, in other words, there is a relationship as much as 79.1% between collective spirit an participation in work and social responsibility in Internet companies in the west of Mazandaran province; this means that the explanation of variance related to collective spirit and participation in work is related to variable changes in social responsibility.
Conclusion
The aim of this study was to investigate the relationship between business ethics and corporate social responsibility of a case study of Internet companies in the west of Mazandaran province. The results of this study are consistent with the results of O.C. Ferrell et al, (2019). In their article, entitled Business Ethics, Corporate Social Responsibility, and the Brand Approach, they found that understanding the relative importance of business ethics and social responsibility is crucial in determining brand attitudes. (Akbari & Faham, 2016) (Kiyani, 2015) (Diyanati & Reza pour, 2015) Studies show that business ethics have an impact on corporate social responsibility. According to the present study, it is suggested that the managers of companies and organizations, by providing arrangements in the organization, hire people who are bound to the ethical principles approved by the organization and the company. Managers should take steps to promote employee ethics by holding classes and programs. The ethical charter of the organization should be explained clearly and explicitly to all employees. Managers should provide meetings for employees to comment on ethical issues By arranging meetings and programs, Managers of organizations should remind employees of the organization's their social responsibilities to society. By showing leadership, company managers create in employees the feeling that they can freely comment and be accountable in their work. Managers of companies selling online goods and services can use effective advertising such as the use of advertising billboards, media such as television and newspapers, advertising sites or through the distribution of brochures and catalogs, promote the level of consumer awareness as they advertise their brand and remind the people the company's social responsibly, and mention what they did.
The Impact of Ethical Marketing on Consumer Repurchase Intention with Emphasis on the Mediating Role of Brand Identity and Brand Equity (Case Study: Digikala Online Store)
Pages 81-100
https://doi.org/10.22034/jbme.2021.313204.1005
Mahya Rezaeian, Mohammad Hadi Asgari
Abstract Extended Abstract
Abstract
The purpose of this study is to analyze the impact of ethical marketing on consumer repurchase intention with emphasis on the mediating role of brand identity and brand equity. The research method is descriptive-survey in terms of nature, and applicable in terms of purpose. The statistical population of the research is the customers of Digi Kala online store. The sample size was determined using Cochran's formula of 375 people, and the samples were selected by available sampling method. Ethical marketing questionnaires (Safari.et al.2017), brand equity (Aaker.1991), brand identity (Mael & Ashforth, 1992) and repurchase intention (Hong.et al.2012) were used to collect data. The data validity was determined by the academic experts, and the reliability was confirmed by Cronbach's alpha coefficient test. In order to analyze the data, the structural equation technique was used using Lisrel statistical software and SPSS statistical software. The results showed that marketing Ethics has a positive and significant effect on brand identity, customer repurchase intention and brand equity. Brand identity has a positive and significant effect on customers' intention to repurchase. Brand equity has a positive and significant effect on customers' intention to repurchase. Finally, ethical marketing has a significant effect on consumer's intention to repurchase by emphasizing the mediating role of brand identity and brand equity.
Introduction
Rapid change in today's world has faced organizations with various challenges, but in the meantime, successful organizations are those which, with the help of management tools and new technologies, take advantage of the opportunities created to their benefit. The e-commerce environment is one of these tools. Internet-based e-commerce environment allows customers to search for information and purchase goods and services through direct contact with online stores (Feyznia.2017) .Today, shopping intention reflects the predictable behavior of the consumer in future purchasing decisions that significantly helps in the formation of consumer attitudes (Xiao, & Liu.2018). Identity is one of the factors that keeps the brand stable and directs it to new markets and products (Muhonen.et al.2017) Brands identify themselves to customers and differentiate themselves from other competitors. The process of creating a brand identity is to formulate the mindsets that the brand intends to create and ensure that the brand is identified by the customer and associated with a particular category of needs (Khodavardikhani, 2018). The customers prefer one tbrand to other based on the factors important to them (Ebrahim, 2020). Brand equity is one of the assets that maintains the value of the company and, by creating a competitive advantage over competitors, will attract customers' attention and loyalty (Zollo.et.al.2020). The intention to repeat the purchase is the process of referring and repeatedly purchasing goods and services from a store in the long run, the main reason for which is positive experiences after the purchase (Birjandi.et.al.2019). Ethical marketing is a domain of applicable ethics which is related to hidden ethical principles in behavior, advertising and regulation in marketing (Purwanto.etal.2019). This issue, which is widely discussed in management and market science today, is called ethical marketing (Pittz.et.al.2020). Digi Kala online store is one of the most reputable virtual stores in our country which many people buy from around the clock to provide the products and services they need. Considering that a suitable platform for online sales and purchases has not yet become popular in our country, the researcher intends to analyze the relationship between consumer intention to repurchase, brand identity and brand equity while analyzing the aspects of ethical marketing. This study tries to answer the question whether ethical marketing has a significant effect on the consumer's intention to repurchase, by emphasizing the mediating role of brand identity and brand equity in the Digikala online store.
Theoretical literature
Using the definition of Taylor (2000), Till (2009) defines marketing ethics as follows: Research into the nature and levels of belief, beliefs, standards, and rules of ethical behavior in relation to business decisions and sales conditions (Safari, et.al.) 2017). Intention to buy is a pattern of attitude towards the product for future purchases (Shaghlani, 2017). Su (1990) states that the intention to buy refers to some exchange behaviors that occur after consumers evaluate the product and reflect an emotional response in their behavior to an issue (Safari, et al. 2017). Brand identity expresses the ideal characteristics that the brand intends to offer to customers. In other words, brand identity is what the brand commits to the market (Essamri, et. al.2019). Whatever is supposed to be portrayed in the future and engraved in the mind of the customer is the essence of the brand. Adorned appearance and what is seen is the expression of a brand identity (Ahmadian.2017). According to Acker (1991), brand equity has three basic components: brand awareness, brand loyalty and brand association. Brand awareness is the level of awareness and cognition by which the customer recognizes, remembers and can identify brand-related products and services (bordbar, et al.2018).
Chae.et al. (2020) in a study concentrated on the effect of product features on perceived value, brand trust and repurchase intention. The results showed that product features have a positive and significant effect on perceived value, brand trust and repurchase intention. Ghaffari (2018) also stated in his research that there is a positive and significant relationship between ethical marketing and customer loyalty. Izadian (2019) also concluded in his research that there is a positive and significant relationship between brand personality with brand trust and brand loyalty.
Methodology
The present research is applicable in terms of purpose, and descriptive-survey in nature. The statistical population of the research consists of customers of Digi Kala online store, 375 of whom were selected as the research sample using Cochran's formula and available sampling method. ethical marketing questionnaires (Safari.et al 2017), brand equity (Aaker.1991), brand identity (Mael, & Ashforth, 1992) and repurchase intention (Hong.et al.2012) were used to collect data.
Discussion and Results
In order to investigate the mediating effect of brand identity in the hypothesis under discussion, the direct effect of the two structures with the indirect effect in the case of involving mediating variables should be examined so that if the effect increases, the mediating effect can be considered acceptable. In the present hypothesis, the direct effect is equal to 0.49. If there is a mediating variable of brand identity, the indirect effect is:
(0.69) × (0.73) = (0.507)
Due to the fact that the direct path effect is less than the indirect path, therefore, the existence of a mediating variable increases the brand identity and the mediating role in the present hypothesis is confirmed.
In order to investigate the mediating effect of brand personality in the hypothesis under discussion, the direct effect of two structures with indirect effect in the case of involving mediating variables should be examined so that if the effect increases, the mediating effect can be considered acceptable. In the present hypothesis, the direct effect is equal to 0.49. Indirect effect in the presence of a mediator variable of brand equity is:
(0.72) × (0.78) = (0.561)
Due to the fact that the effect of direct path is less than indirect paths, therefore, the existence of a mediator variable increases the equity of the brand, and the mediating role in the present hypothesis is confirmed.
Conclusion
Considering the confirmation of the first main hypothesis; the effect of ethical marketing on repurchase intention with emphasis on the mediating role of brand identity, the result is explained in such a way that providing the desired services to customers creates trust among customers and persuades them to refer to this site in different situations. Therefore, the idea is imprinted in the minds of customers that if they want quality services, they will always trust this online store and keep it in mind, and if the services required by customers are available on this site, they will not be willing to use services and products of other stores. As a result, the management of this store fulfills its obligations to customers correctly and honestly, and customers are assured about the goodness of the products they receive from this site, compared to other online stores. The degree of easy access of customers to the services or products listed on the Internet sites can affect their satisfaction with the perceived usefulness of these facilities and goods. When the customer can easily make online purchases and buy the desired product, he acts with more interest in understanding the usefulness and the purchase process. These results match with research findings of Demirgüneş.(2015); Rezaei, (2018); Izadian, (2019) and supported by them.
The result of testing the second hypothesis based on the positive and significant effect of ethical marketing on repurchase intention by emphasizing the mediating role of brand equity is explained in such a way that considering the intangibility of goods and services received by customers through the Internet and their purchase from virtual stores has reasonably high perceived risk. When buying online from store sites, customers pay special attention to the details of the purchase and the products offered on this site. Paying attention to the characteristics of the offered products and the amount of site commitment about the returning of impaired goods can be considered as a significant aspect in this case. On one hand, online stores should explain precisely the details and application of their products with high clarification so that customers can make the right choice to meet and satisfy their needs. On the other hand, these stores must be committed to selling their goods and provide after-sales service satisfy the customers. In this way, site managements can stimulate the customer's sense of trust to their virtual store and encourage them to buy online. These results match with research findings of Bavarsad, et al. (2015); Vazifehdust & Memarian. (2014); Chen & Quester, (2015) and supported by them.
A structural model of the role of brand love in the impact of marketing stimuli on customer satisfaction
Pages 101-118
https://doi.org/10.22034/jbme.2022.313113.1000
peyman Deylami Moezzi
Abstract Extended Abstract
Abstract
The purpose of this study is to provide a structural model of the role of brand love in the impact of marketing stimuli on customer satisfaction. This research is applicable in terms of purpose, and survey in terms of collection method. The statistical population of the study consisted of customers of Kaleh Company in Mazandaran and Gilan provinces. The sample size of the research was determined based on Cochran's formula of 384 people and the available sampling method was used., standard questionnaires of marketing motivations of Hassanzadeh and Rezvani (2016), customer satisfaction of Garmels and Guiner (2000) and love of brand of Chow and Fiore (2015) were used to collect data. In order to analyze the data, the structural equation technique with Lisrel statistical software and Spss software were used. The research findings showed that the components of marketing stimuli were product stimulus, pricing stimulus, distribution stimulus and promotion stimulus, and respectively had the greatest effect on customer satisfaction. The results showed that marketing incentives affect customer satisfaction directly and indirectly. Love for the brand has a mediating role in the effect of marketing incentive elements on customer satisfaction.
Introduction
Brands play a pivotal role in consumer behavior, and making strong relationships between customers and their chosen brands has a tremendous impact on customer behavior and brand preference. Creating such strong relationships at times leads to the formation of deep emotional bonds and ultimately love toward the brand. Creating and strengthening strong emotional bonds turns customers into staunch advocates for the brand, resulting in huge investment capital for the company (Hajibabaei & Esmailpur, 2019). Nowadays, the successful companies try more than ever to take a step toward the improvement of the stable competitive advantage . The first and foremost function of competitive advantage is to ensure the survival of the organization. When an organization ensures its survival by relying on competitive advantage, then it can follow the path of success to growth (Ermaya & Wibowo, 2020). Analyzing the behavior of buyers and customers in the marketing process is a key point in developing marketing strategies. In the process of analyzing customer behavior, marketing professionals focus on the customer decision process. The important part of this mental process is related to the external and internal stimuli of the person (or internal and external incentive). The most important external incentives are advertising and other promotional methods such as discounts and price changes that have been developed in the strategic marketing plan. Measuring these motivators for marketing professionals plays a helpful role in evaluating the effectiveness of marketing strategies (Sakifard & etal, 2019). Such motivators form the intention of buying to the customer; and if it continues, it will lead to customer satisfaction (Kootenaie & Kootenaie, 2021). Examining different dimensions of consumer behavior can help researchers to identify the reasons why customers want to buy. One of the elements that affect customer satisfaction and re-purchase intention is love for a particular brand. Robert (2005) states that brand love expresses the strongest emotional bond between the consumer and the brand (Rezaei Hajiabadi & etal, 2021). Brand love can act as a stimulus for consumers to develop and maintain close relationships with companies. Marketing has used love as a structure that shows consumers' strong emotional attachments to the love of objects, whether a brand or a product or a service (Cossío-Silva & etal, 2016). This research seeks to design a model that establishes a relationship between marketing incentives available to Kaleh Company and brand love with customer satisfaction (and ultimately the consequence for Kaleh Company is to increase competitiveness and create a strong brand). Therefore, in this study, the effect of marketing stimuli and brand love on customer satisfaction has been investigated. In this study, an attempt is made to answer the question that if marketing stimuli on customer satisfaction with the mediating role of brand love in the branches of Kaleh Company in Mazandaran and Gilan provinces have a significant impact.
Theoretical literature
Brand love is the degree of emotional attachment that a satisfied customer has to a particular brand. In the other word, when a brand acts in such a way that is able to satisfy the real and tangible needs of the other party, it can be interpreted as love and thus the concept of brand love gradually entered consumer research (Palusuk & etal, 2019).
Marketing incentives are a set of marketing activities that companies do to meet the needs of their target markets as best as possible (Chang & etal, 2019). After selecting a target market, marketing managers must develop a systematic plan for selling to customers and building long-term relationships (Li, 2020).
Researchers consider customer satisfaction to be a psychological feeling that results from comparing the product specifications received with the needs and wants of customers and the social expectations regarding the product. According to the definitions in explaining satisfaction, three conditions are necessary: First, expectations must be formed. The formation of evaluations is the second condition, and the third condition is that expectations and evaluations allow direct comparisons to be made (mirzaee Azandariani & Arya, 2020).
Song & Kim (2022) conducted a study entitled The Impact of Social Media Marketing on the Value of Luxury Brands: The Dual Impact of Brand Satisfaction and Brand Love on Word of Mouth Loyalty Intentions and Attitudes. The statistical population consisted of e-shop customers in China. The research method was correlative, and the sampling method was voluntary. The results showed that social media marketing on the value of luxury brands and brand satisfaction and brand love have a significant effect on word of mouth loyalty intentions and attitudes.
Choi & et al (2022) conducted a study entitled The Impact of Customer-Based Company Reputation on Customer Interaction Behaviors: Customer Satisfaction and Brand Love as Intermediaries and Industry as Modifier. The statistical population of customers was service companies in Tokyo. The research method was descriptive-survey, and sampling method was random simple. The results showed that company reputation, customer satisfaction and brand love had a significant effect on customer interaction behaviors and the type of industry had a moderating role in this regard.
Pallikkara & et al, (2021), conducted a study entitled: The Impact of Marketing Incentives on Repurchase Intent; The Mediating Role of Customer Satisfaction. The statistical population was the customers of UK banks. The research method was descriptive-correlative and the sampling method was random simple. The results showed that marketing stimuli of customer satisfaction have a positive and significant effect on the intention to repurchase.
Methodology
The research method is descriptive-correlational in nature, and applied in terms of purpose. The statistical population of the study consisted of customers of Kaleh Company in Mazandaran and Gilan provinces. The sample size of the research was determined based on Cochran's formula of 384 people and the available sampling method was used. For data collection, standard questionnaires of marketing stimuli (Hassanzadeh & Rezvani, 2016), customer satisfaction (Gremler & Gwinner, 2000) and brand love (Cho& Fiore, 2015) were used.
Discussion and Results
The results of the first hypothesis showed that the effect of marketing stimuli on brand love was equal to (0.69) which shows that the correlation is favorable. The t-test of the test was obtained (7.67) which is more than the critical value of t at the level of 5% error; (1.96) and shows that the observed correlation is significant. The results of the second hypothesis showed that the effect of brand love on customer satisfaction was calculated equal to (0.76), which shows that the correlation is favorable. The t-test of the test was obtained (8.72) which is more than the critical value of t at the level of 5% error; (1.96) and shows that the observed correlation is significant. The results of the third hypothesis showed that the effect of marketing stimuli on customer satisfaction is equal to (0.42) which shows that the correlation is favorable. The t-test of the test was obtained (5.40) which is more than the critical value of t at the error level of 5%; (1.96) and shows that the observed correlation is significant. The results of the fourth hypothesis showed that the power of direct effect of marketing stimuli on customer satisfaction is equal to (0.42). Indirect effect of marketing stimuli on customer satisfaction is calculated equal to (0.52) provided that there is a mediating variable of brand love. Due to the fact that the effect of direct path is less than indirect paths, therefore, the existence of the mediator variable of love for the brand increases the power of influence and the mediating role of the variable of love for the brand is confirmed in the present hypothesis.
Conclusion
The power of the effect of marketing stimuli on brand love is calculated equal to (0.69) which shows that the correlation is favorable. Therefore, paying attention to the brand and increasing its value by Kaleh Company plays an important role in improving branding and brand love. Love and affection for the brand is one of the components that can lead to attracting more customers for the company. The more the customer's love and interest in the brand, the more loyalty to the brand and the more word of mouth advertising at the end. The use of promotional incentives to increase customer information and even advertising in bringing the brand closer to the interests of the consumers has a significant impact. These results are consistent with the findings of (Bauer & etal, 2020) and (Hajibabaei & Esmailpur, 2019).
The strength of the effect of brand love on customer satisfaction is calculated to be equal to (0.76), which indicates that the correlation is favorable. Carroll & Ahuvia (2006) and Unal & Aydin (2013) in their research concluded that the more customer love for the brand, the more verbal advertising customers about the brand (Khalighi, 2020). This means that love for the brand will encourage the customer and will lead to their satisfaction. Such a level of satisfaction will create loyalty in them. These results are consistent with the findings of Song & Kim (2022) and Choi & et al (2022).
The effect of marketing stimuli on customer satisfaction is calculated to be equal to (0.42), which indicates that the correlation is favorable. Providing the best possible value to customers is undoubtedly vital for Kaleh Company in the current competitive market. As long as the company offers quality products to customers, customers are satisfied with receiving such products and this customer satisfaction leads to their commitment to purchase services (Chang & et al, 2019). On the other hand, improving the quality of products and paying attention to customer tastes is another important marketing stimulus that plays an important role in improving customer satisfaction. These results are consistent with the findings of Sheikhesmaeili & et al (2021) and Pallikkara & et al (2021).
The indirect effect of marketing stimuli on customer satisfaction in the presence of the mediating variable of brand love is equal to (0.52). Marketing incentives motivate customers to reuse products, and this directly and indirectly leads to customer satisfaction (Fahimi, 2020). This can be examined from different angles. When Kaleh Company tries to introduce its products to its customers based on its promotional advertisements or when it uses pricing strategies to acquire and maintain its market, it tries to design its marketing stimuli in such a way that customers fall in love with this brand. Matching the company's products and services with customers' tastes will create pleasure and two-way communication between the brand and the customer. These results are consistent with the findings of Shafieih (2018) and Aghajani (2020).
In this regard, it is suggested that the marketing managers of Kaleh Company can create a better association in the customer's mind by using a better image, scent, sound and symbol. In this regard, reference groups can be used to increase brand love. Providing more and more up-to-date services can increase customer satisfaction and loyalty as much as possible. By identifying the customer's wishes, aspirations, ideals and dreams and fulfilling them, the customer's interest in Kaleh Company can be increased. Responding quickly to customer requests and listening to their conversations can make them feel important and Increase their interest in the company. The use of nostalgia can evoke positive memories and increase the realization of the customer's love for the brand. To ensure that customers are in constant contact with them, company managers must adopt clear policies and procedures.
Branding of private banks with a focus on consumer behavior and emotional commitment
Pages 119-137
https://doi.org/10.22034/jbme.2022.313200.1003
Mohammad Taleghani, ali einy dlejani
Abstract Extended Abstract
Abstract
The present study examines the effects of consumer-based commercial branding of private banking brands on customers' emotional commitment. The results were obtained by examining the customer opinions of six private banks: Pasargad, Parsian, Eghtesad Novin, Karafarin, Saman and Sarmayeh. The research method was descriptive which was performed by survey method. The sample size of the research was 384 people, which was obtained by means of Cochran's formula based on an unknown statistical population. Sampling method was available. Data analysis was performed based on standard questionnaires. The validity of the questionnaires was evaluated based on content validity using experts' opinions, formally based on the views of a number of statistical and structural communities by factor analysis method, and validity was confirmed. The reliability of the questionnaires was estimated by Crunbach Alpha, respectively branding was 0.849, consumer behavior was 0.851 and emotional commitment was 0.733. Data analysis was performed at two levels of descriptive statistics and inferential statistics including structural equation modeling. The results showed that bank branding had an effect on consumer behavior with an impact factor of 0.67, consumer behavior had an effect on customer emotional commitment with an impact factor of 0.76, bank branding had an impact on customer emotional commitment with an impact factor of 0.48. On the other hand, bank branding indirectly had an effect on the customer emotional commitment with an impact factor of 0.50. In other words, consumer behavior has played a mediating role in the impact of bank branding on customer emotional commitment. Ultimately, it can be said that the dimensions of branding according to the power of effect on the consumer behavior are: perceived value, brand loyalty, brand image, brand performance, brand trust, brand compatibility.
Introduction
The globalization of the service industry and the free international economy have forced service companies and institutions to continuously upgrade and improve their competitiveness (Shokoohyar & et al, 2017), hence service companies such as financial and credit institutions have recently put more attention to customers on their agenda in order to improve these capabilities (Nadaf & et al, 2016). Financial experts believe that brand can create more value than usual, and the value of a branded product is higher than a non-branded one (Bozorg Khoo & et al, 2018). On one hand, because of the presence of competitors, new comer's threat, bargaining power and increasing level of consumer expectations, increasing technology upgrades, the use of new methods of production and service delivery have made the competition field of business more sophisticated than before. Therefore, in order to increase the awareness and provide productions to the customers and ultimately expand the market field; the organizations are bond to use new approaches (Roosta & et al, 2018). Branding is one of the ways to achieve this goal and brands play a special role in the development of cultures, business and individual decisions (Shirkavand & et al, 2017). Branding is a set of methods that give identity to a brand and distinguish it from other competitors. A successful brand is often synonymous with credibility and possesses significant intangible value. The results of brand modeling show that the perception of a brand leadership is actually more important than its uniqueness (Park, 2014). Emotional commitment to the brand has been described as the relative strength of the consumer's positive feelings toward a brand. In the marketing science, emotional commitment to brand is the continuous tendency of consumer to follow the relationship with the brand in such a way that the consumers normally like to establish a close emotional connection with the brand in which it has created a sense of joy and happiness (Momen & et al, 2015). The importance of emotional commitment is considered both to maintain and to develop relationships, because it creates a positive interaction between the company and the company's customers (Shahtahmasbi & Mazarei, 2020). As it is obvious, one of the characteristics of the Iranian banking industry is the great similarity of services provided by different banks. Banks have almost the same service portfolio so that the customer is not able to completely discriminate between banking services. Innovation in one bank is quickly applied in other banks. This intensity of new services by other banks has reached even less than a week. In such a situation, mental perceptions and attitudes strongly affect the way information interpretation and the type of behavior explanation towards a bank's marketing plans. (Abbaszadeh & etal, 2019) Therefore, the main issue of the present study is to examine the factors affecting and recent branding in the banking industry and the answer to the question that what effect branding of private banks with a focus on consumer behavior has on customers' emotional commitment?
Theoretical literature
branding
Branding is adding the power of a brand to products and services. The product of the branding process is the creation of distinctions. Branding shapes the mental structures of consumers and helps them to organize information about products and services in a way that Have a clear purchase decision and be valuable to the company (Karimian & eyal, 2019).
Customer emotional commitment
Emotional commitment to the brand is derived from the customer's feelings, which indicates the customer's emotional relationship with the brand, and consists of the customer's judgment and mentality about the board, regardless of its functional and instrumental features; and when the customer intends to repeat the purchase, evaluation plays a special role (Khodabandeh & Lindh, 2021). Emotional commitment also refers to attachment along with people's desire and then includes loving the relationship. When customers are emotionally committed to the provider of products and services, they, in fact, love the service provider psychologically and it is considered desirable for them in relation to him (Sharma & et al, 2020).
Mohajer (2021) conducted a study entitled Luxury Hotel Branding focusing on consumer behavior and brand equity. The statistical population was tourists staying in luxury hotels in Macau. Survey method and sampling method were available. The results showed that all four CBBE elements had a positive relationship with brand attitude and three of them directly on the willingness to buy. The tendency to buy is the interface between the four elements of CBBE and the intention to buy, and brand performance moderates the relationship between the brand attitude and the intention to buy.
Norouzi & et al (2021) conducted a study entitled assessing the effective factors on branding in Saipa Automotive Company using meta-analysis research method. The statistical sample included Saipa Automotive Company experts who were selected by available sampling method. Based on meta-analysis findings among brand personality outcomes, best variables of brand impact; customer satisfaction, communication quality, brand development, perceived value, brand loyalty, customer lifetime value and brand equity had the greatest effect.
Baghaienia & et al (2021) conducted a study entitled Analysis of effective factors in the internal branding of hotels in Yazd with a qualitative approach. The statistical sample was the executives of hotels in Yazd who were selected by purposive sampling. The results showed that the set of effective factors in domestic branding from the perspective of hotel executives includes training, monitoring, effective communication, effective meetings, customer orientation, leadership, selection and employment, compensation of services and quality of working life.
Methodology
The present study is applicable in terms of purpose, and descriptive correlative (structural equation modeling) in terms of data analysis. The statistical population of the present study consisted of all customers of six private banks of Pasargad, Parsian, Eghtesad Novin, Karafarin, Saman and Sarmayeh. Considering that the statistical population of the present study is unlimited, the statistical sample size of the research was 384 based on Morgan table. In this study, 384 questionnaires were distributed among customers using available sampling method. The standard branding questionnaire (Wahyuni & et al, 2019) was used to collect data. This questionnaire included 19 items and six components of brand loyalty, brand compatibility, perceived value, brand performance, brand trust and brand image. Consumer behavior variable was analyzed according to the standard questionnaire of Mothersbaugh & et al, (2020). This variable included 6 items and two components of tendency to change the brand and verbal recommendations. The variable of customer emotional commitment was analyzed by the Masternd questionnaire (Iglesias & et al, 2019), which includes 6 items.
Discussion and Results
In this research, the structural equation model has been used to brand private banks with a focus on consumer behavior and emotional commitment. The results of the first hypothesis showed that the power of the bank's branding effect on consumer behavior was equal to (0.67) which shows that the correlation is favorable. Significance statistic of the test was obtained 7.65, which is more than the critical value of t at the error level of 5% (1.96) and shows that the observed correlation is significant. The second hypothesis showed that the strength of the effect of consumer behavior on customer emotional commitment is equal to (0.76), which shows that the correlation is desirable. Significance statistic of the test was obtained (8.74), which is more than the critical value of t at the error level of 5% (1.96) and shows that the observed correlation is significant. The third hypothesis showed that the strength of the effect of bank branding on customer emotional commitment is equal to (0.48) which shows that the correlation is favorable. Significance statistic of the test was obtained (5.46), which is more than the critical value of t at the error level of 5% (1.96) and shows that the observed correlation is significant. The fourth hypothesis showed that the power of direct impact of bank branding on customer emotional commitment was equal to (0.48). Significance test was also obtained (5.46). The power of indirect effect of bank branding on customer emotional commitment was calculated equal to (0.50). Considering that the power of indirect path is more than direct path, so the variable of consumer behavior has a mediating role in this regard.
Conclusion
The power of indirect effect of bank branding on customer emotional commitment was calculated equal to (0.50). Considering that the power of indirect path is more than direct path, so the variable of consumer behavior has a mediating role in this regard. Strong brands, always in the direction of promotion, strive for a deep relationship with consumers (Park & Kim, 2016). Maintaining a deep commitment to repeat purchases or reuse of services and continuously changing customer behavior in the future leads to change in customer behavior (Oliver, 2014) Loyalty is recognized as a strong commitment of repurchasing a superior product or service in the future (Buttle & Malkan, 2015) so that the same brand is purchased despite the potential marketing efforts and effects of competitors. From a relational perspective, the extension of customer retention leads to their loyalty and emotional commitment (Heding & et al, 2015). These results are consistent with the findings Mazraeh & et al (2021), and Yousf & Khurshid (2021).
In addition to tangible assets, bank managers must have a comprehensive plan for branding as intangible assets. According to the research results, brand performance has been identified as an improving point for banks in terms of branding; therefore, factors such as modern equipment and innovation in banking services and bank compatibility with customer conditions should be paid more attention. Banks also try to provide plans that guarantee the interests of customers and also provide services to them in the shortest possible time; therefore, to improve this index, bank managers in the field of branding should pay serious attention to financial and non-financial factors of customer value. The results show that managers should pay special attention to the dimensions of consumer behavior; including high-level advising others has a significant importance. Due to the obstacles and limitations of any research, the main limitation in the present study was the coordination with the managers and experts of the banking network to distribute the questionnaire and its time-consuming process. In the present study, branding in the banking network is with a consumer behavior approach. Therefore, future researchers are advised to study branding with social approaches as a focal point in social interactions; and also, obtain the dimensions of branding through interviews with key customers in order to achieve these factors from the perspective of these customers.
