How does branding affect consumers purchasing decision?

Abstract:

Consumer behavior is dependent on few factors that need to be considered in any industry. In the garment industry, there are several intertwining factors known that influence consumer behavior. The Internet as one knows well has its importance in nearly every form of trade, but brand recognition is driven by a set of factors that have their own principles.

Trade is directly dependent on communication, and these days the Internet it is considered to be one of the most important and reliable means of communications for trade. It is for this reason that brand promotion is significantly related to the use of the Internet. However, it needs to be asserted that the Internet is a tool for promoting a brand as is other means of brand promotion.

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In view of the Internet being an important medium through which customers may be communicated with, consumer behaviors, and more importantly, consumer-purchase decisions, become an important subject. Observing consumer-purchase decisions in the recent past, it can be asserted that there is immense scope for expanding industries that receive positive responses from consumers. An example of this is observed with some organizations in the garment industry. A company such as Levis is a good example to view the effectiveness of branding on consumer-purchase decisions. In addition purchases made at outlets, online purchases have been significant as purchases of are easily made and are believed to be considerably reliable. This reflects the manner in which consumers rely on brands like Levis. For purchasing garments and placing orders, advertising through the Internet is the first step towards pulling in customers. Indeed, this step is believed to be effective as there are a number of individuals who first see ads online, and then decide to physically check a promotion out. However, this is not the only way that people want to explore promotions of garments or any other industry.

Shoppers are keen to check out things for themselves. There are many consumers that also do not rely on the Internet for purchasing what they want. They would rather shop, and there are indeed many consumers who spend several hours per week in shopping centers searching for what they want. Among these shoppers there are different kinds of consumers, and each of these has different characteristics. Some look for stuff that is cheaper and reliable while others want quality. Those who search for quality know what brands they want generally.

Deciding what to purchase from a consumer’s perspective depends on what satisfies him or her. From a manufacturer’s perspective, it is important to understand what interests a consumer most, and based on these interests, manufacturers work to develop their brands. Manufacturers have to develop a brand identity in order to seek brand loyalty of consumers. Once manufacturers learn how to read their consumers, they can influence their purchasing decisions, and this is precisely aimed at by promoting a brand and working towards its selling power.

1. Introduction:

1.1 Background

In order to sell products, organizations resort to various strategies. Each company has its strategy structured in accordance with market factors as well as product strengths. This may mean that an organization has to consider various angles in order to make sure its products enter a market and sell successfully. In considering several factors that play their parts in the success of a product in the market, ‘branding’ is one major component for organizations to work on. Branding is considered to be a major component in the success of a product in the market because it can control consumer decisions. This of course depends on the reputation of the brand, which refers to how it has appealed to consumers in the past and how it has served them.

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1.2 Importance of the Study:

Understanding what branding is enables one to understand the way that consumers behave when newer products are introduced. This is interesting to understand because it helps to understand why different company products of the same nature have different responses from consumers.

1.3 Research Question:

The main Research Question that will be dealt with in this study is as follows:

How does branding affect consumers purchasing decision?

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Other research questions that will be part of this study include the following:

* What is branding?

* How is branding used?

* How do consumers respond to branding?

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* Is branding really significant in order to sell products?

1.4 Limitations of study:

This study makes use of relevant literature to the research question as well as a survey of 50 participants. Though the literature review encompasses a wide variety of views regarding the research question, the survey only encompasses participants within the researcher’s physical location. This means that the views from the participants are fewer than what is needed for a comprehensive view of primary data.

1.5 Organisation of study:

The basic organization of this study consists of dealing with the main research question mentioned above, for which there will be a literature review. In accordance with a methodology, this literature will be analyzed, and a conclusion will be arrived at. In addition to data analyzed from the literature review, answers from a survey conducted will also be analyzed and paired with the results of the analyzed literature review.

2. Literature Review