School Papers

Although 2. Will the preference for price or

Although promotion marketing has been
the most predom inant tool in the marketing mix strategy which accounts for
almost 25% of the marketing budget of mostly consumer product firms, there is
still a lack of research examining the impact of sales promotions on subsequent
brand preference in post-promotion period1.

Alva?rez-Alva?rez and Va?zquez-Casielles claimed that there has been relatively
less attention given to non-price promotions, because most research
concentrates on how consumers respond to price promotions and how they perceive
utilitarian benefits. This research aims at investigating the relationship of
various types of sales promotions and the product involvement level on brand
loyalty.

Research Questions

In order to establish the influence of
various types of sales promotions and product involvement level on brand
loyalty. The following sub-problems are addressed:          

1.        
Will
the impact of perceived hedonic benefits on brand loyalty varies according to
different levels of involvement product categories?

              

2.        
Will
the preference for price or non-price promotions enhance or erode brand loyalty
for low and high involvement product categories?

 

Methodology

 

In this study, measurements taken and
the participants were controlled by the researcher, the design of this study,
therefore, is a quasi-experimental quantitative. Data was collected using
non-probability sampling method. A questionnaire including 35 questions were
sent to 215 citizens in Hochiminh City (HCMC) which is known as metro area of
Vietnam. Demographics data is analyzed using descriptive statistics, while
multiple regression model was employed for each product category for hypotheses
testing.