BRAND ORIENTATION AND MARKETING PERFORMANCE OF DOMESTIC AIRLINE OPERATORS IN NIGERIA - Paul M. Nadube and J.U.D. Didia
International Journal of
Research and Development Studies
Volume 7, Number 2, 2016
ISSN: 2056 - 2121
BRAND ORIENTATION AND MARKETING PERFORMANCE OF DOMESTIC AIRLINE
OPERATORS IN NIGERIA
Paul
M. Nadube and J.U.D. Didia
Department of Marketing, Faculty of Management Sciences
Rivers State University of Science and Technology, Port-Harcourt, River
State, Nigeria
Email: pnadube@yahoo.com
ABSTRACT
The purpose of this
study is to examine the association between brand orientation and marketing
performance of domestic airline operators in Nigeria. The study adopted the
structured questionnaire to obtain responses from both staff and customers of
domestic airline operators. Retrieved copies of questionnaire were analyzed
using both descriptive and inferential statistics. Descriptive statistics were
used to determine the mean and standard deviation of the distribution, while
Spearman Rank Order Correlation Coefficient was used to ascertain the
association between brand orientation and the measures
of marketing performance
of domestic airline operators in Nigeria. The results of the study shows that
there is a significant association
between brand orientation and the two measures of marketing performance namely:
brand awareness and service quality. It is recommended that efforts should be
made by domestic airline operators in Nigeria to encourage their employees to
be brand oriented in order to build a strong and competitive brand that will
project the image of the airlines.
Keywords: Brand
orientation, brand awareness, service quality
INTRODUCTION
The Nigerian aviation industry had been a subject
of controversy in the recent past. Prior to deregulation, the airline operators in Nigeria were
characterized by irregular and ineffective services and were generally
shambolic in nature (Ogunkoya, 2008). The consumers were left with “Hobson’s
choice” as alternatives do not exist; there were limited participants and no
options offered irrespective of the quality of services rendered (Adeniji,
2000). These were the prevalent features which characterized the airline
services in Nigeria prior to deregulation. However after deregulation, the
airline services in Nigeria witnessed a new era of growth and advancement
(Adeniji, 2000). The deregulation administration offered an increased interest
and investment in the Nigerian aviation industry. As more airlines entered the
market, an enhanced investment in fleets of aircraft occurred with a view to
retire the old and risky fleet and also to imbue confidence in the market. The
services offered witnessed a turnaround as market driven innovations began to
attract more passengers. In addition, the air service in the domestic terminal
recorded tremendous changes as compared to the old. The domestic operations of
airline services benefited from deregulation and privatization as consortium
invested in terminal development. The improved facilities and amenities offered
in the new terminal engendered improved services to the passengers. Indeed, the
airline services in Nigeria after deregulation witnessed an improved,
standardized services compared to the period before deregulation (Adeniji,
2000).
In spite
of all the improvement and innovation accompanying the deregulation and
privatization of airline services in Nigeria, many airlines customers are not
still satisfied as there are many challenges prevalent in the system. Lawani and Eteghe, (2012) argued that Nigerian
airlines open shops with funfair and before the travelling public gets to
settle down to enjoy the services of these airlines, they are out of
business. Many aviation analysts have tried to proffer solutions to the
problem, but these solutions seem not to be sufficient to address the
anomalies. These
challenges include among others poor brand orientation and clearly indicate the
relative absence of Integrated Marketing Communications (IMC). A detail
manifestation of this anomaly relate to such prevailing challenges as
ineffective booking procedures (online and offline), inadequate customer online
self service, lack
of schedule integrity and
flight delay or outright cancellation
Brand Orientation and Marketing Performance of Domestic
Airline Operators in Nigeria
(Ogunkoya,
2008). It is
worthwhile to argue that this dissatisfaction orchestrated by the above factor
existed because of ineffective marketing communication programme to educate and
re-orientate customers on the activities of the airlines. A concrete
understanding of customer needs relating to value, choice, convenience, service
and a pleasant purchasing experience is an essential starting point. This is
highly underscored by the concept of brand orientation. Hence we empirically
investigated how brand orientation affects marketing performance of domestic
airline operators in Nigeria. The next section focuses on the theoretical foundation
of the study.
Theoretical foundation of brand orientation
Brand
communication is more than a name, term, sign, symbol, or any other feature
within the context of IMC. Overton-de Klerk (1993) argued that a product or
company becomes a brand through communication. Communication is the means
through which value is added to the product or company, and the product or
company is entrenched as a “symbol” within the mind of the consumer. According
to Schultz and Barnes (1999) “the brand has become a part of the relationship
between the marketing organisation and the consumer”. The brand represents the
bond between the buyer and the seller and is a relationship that only the
consumer can create.
Ratnatunga
and Ewing (2005) outlined the potential role of IMC in enhancing brand equity.
These authors provided a new construct called “brand capability” to
indicate what one can actually achieve with the brand as asset. A brand,
according to the global branding consultant Interbrand Schechter, is the
promise of an experience (Moriarty et al. 1995). A
powerful brand enhances awareness, differentiates the organisation and commands
a premium in today’s highly competitive marketplace (Agundu & Nadube, 2016).
Overton-de Klerk (1993) is of the opinion that a strong brand image can
establish a “fund of goodwill” or “brand equity” from which future benefits can
be reaped and further suggested that goodwill or brand equity is often equated
in the industry with the term “communication stock”.
Urde
(1999) presents Brand Orientation as another brand building model that focuses
on brands as strategic resources. Brand Orientation is an approach in which the
processes of the organization revolve around the creation, development, and
protection of brand identity in an ongoing interaction with target customers
with the aim of achieving lasting competitive advantages in the form of brands.
Urde, (1999) argued that brand orientation focuses on developing brands in a
more active and deliberate manner, starting with the brand identity as a
strategic platform. It can be said that as a consequence of this orientation
the brand becomes a total response to customer needs and wants (Nadube, 2010).
This should be, however, considered carefully given that “what is demanded by
customers at any given moment is not necessarily the same as that which will
strengthen the brand as a strategic resource” (Urde, 1999). Following this
reasoning, the wants and needs of customers are not ignored, but they are not
allowed to unilaterally steer the development of the brand and determine its
identity.
The
brand orientation model posit that “the starting point for a process of brand
building is to first create a clear understanding of the internal brand
identity; the brand then, becomes a strategic platform that provides the
framework for the satisfaction of customers’ wants and needs” (Urde 1999). The
point of departure for a brand oriented company is its brand mission. Urde’s
Brand Hexagon (1999), integrates brand equity and brand identity with a
company’s direction, strategy and identity. The right side of the model
reflects the reference function -product category and product, which are
analyzed rationally-, while the left side of the model reflects the emotional
function –corporate and brand name, which are analyzed emotionally. A brand is
an experienced in its entirety which means that both emotions and rational
thought are involved. The lower part of the model -mission and vision- reflects
the company’s intentions towards the brand, while the upper part reflects the
way that target consumers interpret the brand. At the centre of the model lies
the core process of brand meaning creation, which includes the positioning and
core values.
International Journal of
Research and Development Studies
Volume 7, Number 2, 2016
In summary, in a brand-oriented organization, the
objective is -within the framework of the brand- to create value and meaning.
The brand is a strategic platform for interplay with the target group and thus
is not limited to being a total response to what at any moment is demanded by
customers (Nadube, 2010). Additionally, Urde (2003) maintained that the brand
building process is two-part: internal and external. He defines the internal
process as that used primarily to describe the relationship between the
organization and the brand, with the internal objective being for the
organization to live its brands. Conversely, the external process is that
concerned with relations between the brand and the customer, with the external
objective of creating value and forming relationships with the customer. Brand orientation
emphasizes the significance of the brand identity (mission, vision, and values)
as a guiding light and hub for organizational culture, behaviour, and strategy.
The internal aspect of the brand — the organization — is seen as vital in the
brand-building process. The perspective is from the inside out, while the needs
and wants of consumers are recognized, the integrity of the brand is paramount.
The concept of marketing performance is considered next
The
concept of marketing performance
Marketing
performance is the dependent variable of this study which is predicted by brand
orientation. Marketing performance measurement is
part of (business) performance measurement, a field that aims to support
strategy execution by creating insights in company performance. Marketing
performance measurement aims to assess “the
relationship between marketing activities and business performance”
(Clark & Ambler, 2001). Herein marketing relates to all activities
conducted to stimulate, facilitate, and accelerate sales (Lee et al., 2000
& Alsem, 2007). Effective marketing practices result in success with
winning and retaining customer preferences, which supports the achievement of
long-term goals (Ambler & Kokkinaki, 2002). In this process marketing
should not be conceived as a separate function within firms, but as shared
responsibility of the business as a whole (Drucker, 1954 & Grönroos, 2007).
Marketing performance measurement focuses on assessing (1) how well customer
preferences are won and retained, (2) to which extent that contributed to the
stimulation, facilitation, and acceleration of sales, and (3) how that impacted
overall firm performance. Marketing performance evaluations can in these
processes contribute to the following four functions: (1) annual-plan control,
(2) profitability control, (3) efficiency control, and (4) strategic control.
The first and last function differ from each other in the sense that
annual-plan control attempts to evaluate if planned results are realized, while
strategic control strives to assess if the best market, product, and channel
opportunities are pursued (Kotler & Keller, 2006). Given the fact that a
firm’s survival depends on its capacity to create value, and value is defined
by customers (Day, 1990), marketing makes a fundamental contribution to long-term business success. In spite
of the importance of measuring marketing performance, there is little research
on the measures used to evaluate marketing performance and effectiveness till
now (Paulo et al, 2003). Ambler and Kokkinaki (1997) examined
seven marketing magazines and surprisingly found that only 11.5 per cent of the
articles analysed in their research dealt in one way or another with the
evaluation of marketing results. Hence, the Marketing Science Institute made
this question one of its research priorities since the year 2000 (Eusebio, et.
al., 2006). When considering marketing performance and success measures it is
noticed that there are many measures. Clark (1999) identifies about 20
measures, Ambler and Riley (2000) tested a total of 38 measures, Davidson
(1999) considers ten important measures of marketing effectiveness and, Meyer
(1998) notes many measures. However, Clark (1999) suggests that we should make
a better use of the existing measures rather than formulating new ones.
Recently, in an attempt to organize performance measures, Kokkinaki and Ambler
(1999) have summarized and established six categories for marketing performance
and success measures which are:- (1) Financial measures (turnover, contribution
margin and profit), (2) Competitive market measures (market share, advertising
and promotional share), (3) Consumer
behaviour measures (consumer penetration, loyalty and customer gained). (4) Consumer
intermediate measures (brand recognition, satisfaction and purchase intention).
(5) Direct customer measures
Brand Orientation and Marketing Performance of Domestic
Airline Operators in Nigeria
(distribution
level, profitability of intermediaries and service quality). (6) Innovativeness
measures (products launched and their revenue).
The evaluation of
marketing performance is recognized as a key task for management. However,
measuring the impact and the value of marketing has been a long standing
problem for senior marketing managers (Clark, 1999; Kokkinaki & Ambler,
1999; Marketing Week, 2001). In response to this pressure the Marketing Science
Institute (MSI) placed accountability and return on investment of marketing
expenditure at the top of its research priorities for 2008–10 (MSI 2008).
Financial measures such as sales and profit provide only partial indicators of
marketing performance due to their historical orientation and typically short
term horizon (Mizik & Jacobson 2008). Intangible, market-based assets
(nonfinancial measures), on the other hand, provide a richer understanding of
marketing performance, reconciling short-and long-term performance (Ambler
2003) as well as bridging marketing and shareholder value (Srivastava et al.
1998). It is necessary to pay special attention to the
consumer metrics, which is, regularly measuring the customer satisfaction
level, consumer loyalty, new customer gained, customer retained or customer
lost. For that managers have to give these consumer metrics priority in the way
they assess their marketing performance. In with this understanding, Brand
Awareness and Service quality are used as measures of marketing performance
Brand
awareness
Awareness
measures are used extensively in research as a gauge of brand performance and
marketing effectiveness. The most commonly used are those relating to brand and
advertising awareness. Brand awareness is considered one of the key pillars of
a brand’s consumer-based brand equity (Aaker, 1991). Keller and Davey (2001)
describe building brand awareness as the way of ensuring potential customers
know the categories in which the brand competes. Rossiter and Percy (1991)
claim that brand awareness is the essential first step in building a brand. Rossiter and Percy (1987)
describe brand awareness as being essential for the communications process to
occur as it precedes all other steps in the process. Brand awareness measures
the accessibility of the brand in memory. Without brand awareness occurring, no
other communication effects can occur. For a consumer to buy a brand they must
first be made aware of it. Brand attitude cannot be formed, and intention to
buy cannot occur unless brand awareness has occurred (Rossiter & Percy
1987). In memory theory, brand awareness is positioned as a vital first step in
building the “bundle” of associations which are attached to the brand in memory
(Stokes 1985). The brand is conceptualised as a node in memory which allows other
information about the brand to be “anchored” to it (Aaker 1991b).
Brand awareness has been
hypothesised to play a crucial role in determining the consideration set: the
small set of brands which a consumer gives serious attention when making a
purchase (Narayana & Markin 1975). A brand that is not considered cannot be
chosen (Baker et al. 1986), and further, the probability of the brand being
chosen is a function of the number of other brands in the consideration set. A
brand that has some level of brand awareness is far more likely to be
considered, and therefore chosen, than brands which the consumer is unaware of.
Additionally, the strength of awareness of the brands within the consideration
set can also be significant. Woodside & Wilson (1985) confirmed the
importance of top-of-mind awareness in a study which found that the higher the
position of the brand in the consumer's mind measured by unaided recall, the
higher the purchase intention and the higher the relative purchase of the
brand. In another study, increases in brand awareness were shown to increase
the probability of choice even without any accompanying change in attitude or
perceptions (Nedungadi 1990). Brand awareness can also affect decisions about
brands within the consideration set (Hoyer & Brown 1990; Keller 1993).
Consumers may employ a heuristic (decision rule) to buy only familiar,
well-established brands (Roselius 1971). Consumers do not always spend a great
deal of time making
International Journal of
Research and Development Studies
Volume 7, Number 2, 2016
purchase decisions. A
further way brand awareness may affect choice within the consideration set is
by influencing perceived quality.
Brand awareness “relates
to the likelihood that a brand name will come to mind and the ease with which
it does so” (Keller, 1993,). It is based on both brand recognition and recall
(Aaker, 1991 & Keller, 1993). There are
three widely used measures of brand awareness: top of mind, spontaneous and
aided. Top of mind, or the first brand recalled in response to the product
category cue, was one of the first brand awareness measures to receive
attention, emerging as one of the best ‘predictors’ of choice in Axelrod’s
(1968) longitudinal study comparing different measures. Spontaneous awareness
(i.e., unprompted recall of the brand name) and aided awareness (i.e.,
recognition of the brand name when prompted) are the other two commonly used
measures. Some researchers have argued that particular measures are more
appropriate in different situations. Rossiter and Percy (1991) argued that when
options are present at the time of purchase (e.g., brands on a supermarket
shelf) then aided awareness is relevant, when they are not, spontaneous
awareness should be used. Likewise Lynch and Srull (1982) distinguish between
memory based, stimulus based and mixed (both) situations where the ability to
spontaneously recall or recognize something have differing importance. Dickson
and Sawyer (1990) suggested top of mind awareness is more relevant when a
choice between competing brands is made quickly; they argued this measure
should be applied to low involvement impulse purchases such as most products in
supermarket settings (Franzen, 1999).
Service Quality
Service
industry is playing an increasingly important role in the overall economies of
both developed and developing countries. Gronroos (1983) defined service as: “An activity or series of activities of more
or less intangibles nature that normally, but not necessarily, take place in
interactions between the customer and service employees and/or physical
resources or goods and/or systems of service provider, which are provided as
solutions to customer problems". Service is any primary or complementary activity that
does not directly produce a physical product - that is, the non-goods part of
the transaction between customer and provider" (Payne, 1993). Whereas Kotler
et al., (1999) defined service as any
activity or benefit that one party offers to another which is essentially
intangible and does not result in the ownership of anything, and it may or may
not be tied to a physical product
In today’s competitive
environment delivering high quality service is the key for a sustainable
competitive advantage. Global competition has become a prime reality for
today’s organisations and the aggressive environment that they operate in is
even more challenging and dynamic (Solis et al., 1998). In such a
competitive scenario only those companies which attempt to exceed their
consumers increasing expectations will succeed in the highly aggressive
environment that they operate in (Sinha & Ghosal, 1999). Kotler (2000)
argued “It is not enough to satisfy customers. We must delight them”. In the
light of this, organisations will succeed only by delivering valuable services
to their customers (Zineldin, 2005). The superiority of providing valuable
services is translated as quality in the customers’ eyes (Zineldin, 2006).
Brown et al. (2005) opined that the ‘moments-of truth’ are critical for
an organisation. Customers judge service quality relative to what they want by
comparing their perceptions of service experiences with their expectations of
what the service performance should be (Agundu & Nadube, 2016).
Quality in a service business has
become a measure of the extent to which the service provider meets the
customer’s expectations. Companies have found that in order to increase profits
and market share, they should pay much attention to service quality. Service
quality has become a key strategic factor for companies to differentiate their
products and services from other competitors by using service quality as a
process that customers evaluate. The search for service quality is with no
doubt the most important consumer trend of the new era, as consumers now are
Brand Orientation and Marketing Performance of Domestic
Airline Operators in Nigeria
demanding higher quality in products
and services than ever before. Delivering high service quality is a good
strategy for businesses to succeed.
Quality has been defined differently
by authors, Crosby, (1984), defined it as ‘conformance to requirements, Eaglier
and Langeard (1987) defined it as ‘one that satisfies the customer’.
Parasuraman et al. (1994) defined service quality as a “global judgment, or
attitude, relating to the superiority of the service. Service quality presents
‘the consumer’s overall impression of the relative inferiority / superiority of
the organization and its services”. Therefore, service quality is a key of
survival to all servicing companies. Maintaining service quality at certain
level and improving service quality must be life-time efforts to those
companies who desire life-time prosperity in customers’ heart (Cronin &
Taylor, 1992).
Gronroos (1992) in his argument
defined service quality as a difference between customer expectations of ‘what
they want’ and their perceptions of ‘what they get’. Several authors have
argued about the importance of quality to service firms, and have demonstrated
its relationship with profits, increased markets share, return on investment,
customer satisfaction, and future purchasing intention. Thus, service quality
has become a significant differentiator and the most powerful competitive
weapon that organizations want to possess.
According to Parasuraman et al.,
(1988) service quality has three features which are unique to services:
intangibility, heterogeneity, and inseparability of production and consumption.
Therefore, they suggest that in the absence of objective measures, an
appropriate assessment of the service quality of a firm is to measure
consumers’ perceptions of quality. Production and consumption of many services
are inseparable; as a consequence quality is not designed at manufacturing
plants. Quality of services occurs during service delivery, during an
interaction between a client and the service firm.
SERVQUAL is an instrument developed
by Parasuraman et al., (1985), which centred on the notion of perceived
quality. It is based on the difference between consumers’ expectations and
perceptions of service. Exploratory research conducted in 1985 showed that
consumers judge service quality by using the same general criteria, regardless
of the type of service. Parasuraman et al. capture these criteria using a scale
composed of 22 items designed to load on five dimensions reflecting service
quality. The
SERVQUAL instrument has been the predominant method used to measure customers’
perceptions of service quality (Shahin, 2010). It has five generic dimensions
or factors which are stated as follows:
(1) Tangibles:
Physical facilities, equipment and appearance of personnel.
(2)
Reliability: Ability to perform the promised service dependably and accurately.
(3)
Responsiveness: Willingness to help customers and provide prompt service.
(4) Assurance:
Knowledge and courtesy of employees and their ability to inspire trust and
confidence; (Including competence, courtesy, credibility and security).
(5) Empathy:
Caring and individualized attention that the firm provides to its customers;
(Including access, communication, understanding the customer).
Each item is used twice:
first, to determine customer’s expectations about firms in general, within the
service category being investigated; second, to measure perceptions of
performance of a particular firm. These evaluations are collected using a
seven-point Likert scale. According to the authors, the service quality is then
the difference between Customer’s perceptions and expectations (Hudson, et al,
2002). SERVQUAL is a concise scale, easy to use by managers, and is now
referred to as a standard by other service researchers (Llosa, et al; 1998).
The scale has been replicated in many different service categories so as to
examine its general ability.
International Journal of
Research and Development Studies
Volume 7, Number 2, 2016
The
study
This
is an explanatory study and we adopted correlational method of investigation to
establish the association between brand orientation and marketing performance
in a non contrived setting. The unit of analysis was the different
units/departments of the five functional domestic airline operators in Nigeria
and their customers. This study is a cross sectional survey with minimal
interference with the process. The sample of this study consist of staff and
customers of the five (5) domestic airline operators identified to be
functional in Nigeria which includes Arik Air, Aero Contractors, Associated
Aviation, Overland and Dana Air (Nigerian Civil Aviation Authority, 2013). For
airline operators, we focused on the Communication Directors at the head
offices of the airlines and station managers, supervisors and desks officers
and any other staff of the organisations that indicated willingness to
participate at Port-Harcourt destinations (Port-Harcourt International Airport
and Air force Based), Lagos destination (Murhtala Muhammed International Airport),
Abuja destination (Nnandi Azikiwe International Airport) and Kano destination
(Mallam Aminu Kano International Airport) totalling one hundred and eighty
(180) staff. For the customer, a sample size of two hundred and two (202) was
randomly chosen from the four destinations identified in the study. This
comprised sixty (60) taken from Lagos, fifty two (52) from Abuja, fifty (50)
from Port-Harcourt, and forty (40) from Kano. In all, three hundred and eighty two
(382) respondents, comprising one hundred and eighty (180) organizational
members and two hundred and two (202) customers constitute our sample size to
which copies of questionnaire were administered. In this study, we adopted the
structured questionnaire for purpose of primary data collection. The
justification for this method centred on the survey.
Reliability
The
study instrument was designed and tested through academic examination and pilot
study. The study instrument was further subjected to reliability test with the
Statistical Package for Social Sciences (SPSS) version 17.0 with a threshold of
0.7 Cronbach Alpha set by Nunelly (1978). Table 1 shows
the reliability results of the study variable.
Table 1 Reliability test of brand orientation and
marketing performance.
Variable
|
Cronbach
Alpha
|
Brand
Orientation
|
0.976
|
Marketing
Performance
|
0.970
|
Source: SPSS Output Version
17.0
Table 1 show that the Cronbach’s Alpha coefficients of the study
variables were all above 17.0 indicting high degree of reliability and
therefore used for further statistical analysis. Hence, the internal consistency
reliability of the measures used in the study was good.
Findings with
Descriptive Statistics
Table 2 Brand
Orientation
B
|
Items
|
|||
Mean
|
Std Dev.
|
|||
1
|
Management
knows that the brand is central to corporate decision making and involves a
broadened perspective of the operations of the organization with strategic
goals being directly related to the brand
|
4.1034
|
1.17817
|
|
2
|
The
organisation recognizes that the brand is central to building customer
loyalty in the market place, and all communication related to the brand is
linked to appropriate competitive positioning and value.
|
4.0172
|
1.16537
|
|
3
|
Management
recognizes that the brand has a strong emotional and symbolic appeal, and is
an expression of customer’s personality and value.
|
4.0345
|
1.05292
|
|
4
|
The
organisation recognizes that the brand facilitates differentiation from
competitors by communicating specific functional attributes and benefits to
customers.
|
4.1264
|
.98315
|
Brand Orientation and Marketing Performance of Domestic
Airline Operators in Nigeria
The results of the
descriptive analysis on brand orientation based on responses from four items on
the research instrument in Table 2 shows that management of domestic airlines
know that the brand is central to corporate decision making and involves a
broadened perspective of the operations of the organization with strategic
goals being directly related to the brand. Hence, we have a high mean score (x)
of 4.1. Respondents strongly recognized and agreed that the brand is central to
building customer loyalty, and all communication related to the brand is linked
to appropriate competitive positioning and value. We also have a high mean
score (x) of 4.0. The third item demonstrates that respondents recognized the
brand as a strong emotional and symbolic appeal, and is an expression of
customer’s personality and value, with a high mean score (x) of 4.0. On the fourth item, respondents also
recognized and agreed that the brand facilitates differentiation from
competitors by communicating specific functional attributes and benefits to
customers. The mean score (x) of 4.1 which is also high.
Association between Brand
Orientation and Marketing Performance:
The
result of the Spearman Rank Order Correlation Coefficient for the association between brand orientation and marketing
performance is presented in table 3. The table gives the result of the
statistical test of significance (p-value).
|
|
|
BRAND
|
BRDAWR
|
SERVQUAL
|
Spearman's
rho
|
BRAND
|
Correlation
Coefficient
|
1.000
|
.630**
|
.580**
|
Sig.
(2-tailed)
|
.
|
.000
|
.000
|
||
N
|
174
|
174
|
174
|
**. Correlation is significant at the 0.01 level (2-tailed).
Source:
Research Data and SPSS Output Version 17.0
The
result of the correlation in table 3 shows that there is a significant association between brand orientation and brand
awareness and service quality. Brand orientation is significantly correlated to
brand awareness (r = 0.630, p = 0.000 < 0.01). Also, Brand orientation is
significantly correlated to service quality (r 0.580, p = 0.000<0.01). The association that exists between Brand orientation
and measures of marketing performance is thus significant at the 0.01
significance level.
The result of the
correlation in table 3 indicates that there is a significant association between the brand
orientation and the two measures of marketing performance namely: brand
awareness and service quality. The result shows that there is a statistically
significant association between brand orientation and brand
awareness, (r = 0.630, p = 0.000 < 0.01). The correlation coefficient
represents a moderate correlation indicating substantial relationship.
Specifically, this means that the brand has become a part of the relationship
between the marketing organization and the consumer. A powerful brand enhances
awareness, differentiates the organization and commands a premium in today’s
highly competitive marketplace. The brand represents the bond between the buyer
and the seller and is a relationship that only the consumers can create when
they are aware of the brand. In
other words, when employees live the brand, relationship
is developed between the brand and the customer, with the external objective of
creating value and forming relationships with the customer.
Table 3 also shows that there is a
statistically significant association between brand orientation and
service quality, (r 0.580, p = 0.000 < 0.01).The correlation coefficient
represents a moderate correlation signifying substantial relationship. In other
words, brand orientation enhances service quality. A brand is
the promise of an experience. From the outcome of the survey, it is apparent
that there is significant association between brand orientation and
service quality. From the foregoing we find in this study that:
International Journal of
Research and Development Studies
Volume 7, Number 2, 2016
1.
Domestic airline operators in
Nigeria understand and appreciate that when employees are brand oriented (live
the brand); air travellers (customers) become aware of the brand and as the
brand is differentiated from other operators and commands a
premium in today’s highly competitive marketplace.
2.
Domestic airline operators in
Nigeria understand and appreciate that when employees are brand oriented (live
the brand); it assured air travellers (customers) of high service quality since
a brand is the promise of an experience.
Discussion
Significant Association
between Brand Orientation and Marketing Performance:
We found in this study
that employees of domestic airline operators in Nigeria have demonstrated
strong brand orientation which enables them to be brand ambassadors.
Urde (1994)
argued that the
link between IMC and brand orientation is related to the development of brand
identity. We argue that to create successful brand identity, it is necessary to
ensure that brand messages are strategically driven, with the synchronization
of communication being identified as one of the most important aspects of the
brand orientation process. This is because a product or company becomes a brand
through communication and that communication is the means through which value
is added to the product or company, and the product or company is entrenched as
a “symbol” within the mind of the consumer. The brand has therefore becomes a
part of the relationship between domestic airline operators and their
consumers. We argue that in recognizing this need to use brands as a basis for
competitive advantage, organizations are reaching beyond the traditional market
orientation framework and are developing a brand orientation.
We note that the focus of brand orientation is also
on creating brand distinctiveness. We argue that the distinctiveness of a brand
in the eyes of consumers is not a property of the actual product, but a product
of communication of the brand. We note that brand functionality (utility) is
not an absolute attribute of a product or service because many products can
potentially serve the same function. This leads us to suggest that brand
functionality is heavily influenced by brand communication. Overton-de Klerk
(1993) is of the opinion that a strong brand image can establish a “fund of
goodwill” or “brand equity” from which future benefits can be reaped. This
author suggests that goodwill or brand equity is often equated in the industry
with the term “communication stock”. It is what while therefore to say that
brand orientation leads to marketing performance.
Our study shows clearly
that there is a strong association between brand orientation and brand
awareness and this is in agreement with the view of
Ul-Rehman and Ibrahim, (2011) who posits that integrated marketing
communication is thus the voice of marketing creating brand awareness, deliver
information, educate the market and make a positive image of the company.
Confirming, the association between brand orientation and brand awareness, Aaker,
(1991) posits that Brand awareness is considered one of the key pillars of a
brand’s consumer-based brand equity. Keller and Davey (2001) describe building
brand awareness as the way of ensuring potential customers know the categories
in which the brand competes. Likewise, Rossiter and Percy (1991) claim that brand
awareness is the essential first step in building a brand and argued further
that awareness measures are used extensively in research as a gauge of brand
performance and marketing effectiveness. Rossiter and Percy (1987) describe
brand awareness as being essential for the communications process to occur as
it precedes all other steps in the process. Brand awareness measures the
accessibility of the brand in memory. Without brand awareness occurring, no
other communication effects can occur. For a consumer to buy a brand they must
first be made aware of it. Brand attitude cannot be formed, and intention to
buy cannot occur unless brand awareness has occurred (Rossiter & Percy
1987; Rossiter et al. 1991).
Justifying
further, the association between brand orientation and
marketing performance, Urde (1999) presents brand orientation as another
brand building model that focuses on brands as strategic resources. He went ahead to say “brand orientation is an
approach in which the
Brand Orientation and Marketing Performance of Domestic
Airline Operators in Nigeria
processes of the organization revolve around the
creation, development, and protection of brand identity in an ongoing
interaction with target customers with the aim of achieving lasting competitive
advantages in the form of brands”. Brand orientation focuses on developing
brands in a more active and deliberate manner, starting with the brand identity
as a strategic platform. It can be said as a consequence of this orientation
that the brand becomes an unconditional response to customer needs and wants. As
found in this study, domestic airline operators in Nigeria are brand
oriented and as such are ready to project and protect the brand and live the
brand. This is in consonance with the view of Urde (2003) who maintained that
the brand building process is two-part: internal and external. He defines the
internal process as that used primarily to describe the relationship between
the organization and the brand, with the internal objective being for the
organization to live its brands. Conversely, the external process is that
concerned with relations between the brand and the customer, with the external
objective of creating value and forming relationships with the customer. This
is in line with our findings that as domestic airline operators live the brand,
this leads to brand awareness and service quality.
This
study also shows that there is a strong association between brand orientation
and service quality. When employees live the brand, it assured air travellers
(customers) of high service quality since a brand is
the promise of an experience.
Having examined the association between brand orientation and
marketing performance, we conclude that
1
As domestic airline operators in
Nigeria become brand oriented, air travellers (customers) become more aware of
their brands
2
As domestic airline operators in
Nigeria become brand oriented,
service quality is significantly increased.
Recommendation
In
view of the implications emanating from the study results, and conclusions
there from, we recommend as follows that:
1.
Efforts
should be made by domestic airline operators in Nigeria to encourage their
employees are brand oriented in order to build a strong and competitive brand
that will project the image of the airlines. In a brand-oriented
organization, the objective is -within the framework of the brand- to create
value and meaning. The brand is a strategic platform for interplay with the
target group and thus is not limited to being an unconditional response to what
at any moment is demanded by customers.
2.
Additionally, domestic
airline operators in Nigeria should know that brand building process is in two-part:
internal and external. Internal process as that used primarily to describe the
relationship between the organization and the brand, with the internal objective
being for the organization to live its brands. Conversely, the external process
is that concerned with relations between the brand and the customer, with the
external objective of creating value and forming relationships with the
customer.
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