A Comparison Study of The Brand Loyalty of Perodua and Proton Car Owners: A Case Study in Kota Bharu

Abstract

In today’s world, automobile industries play a very important role in contributing to the development and growth of one country’s economy. In the car business, which is very competitive, companies must make sure that their products are appealing to consumers and well-liked, as well as highly valued. Branding is not about presenting more choices but about providing buyers with clear choices. Hence, investigating the brand loyalty towards the national car among Malaysians would pave the way for the automobile industry to prosper along with other automobile industries worldwide. This study aims to identify the relative strengths of all factors in influencing brand loyalty among customers towards two brands of national cars in Malaysia. A total of 409 respondents to this study were at least 18 years old and car owners of the national brand, and they were selected from all dealers of Perodua and Proton in Kota Bharu, Kelantan. In this study, descriptive analysis, independent t-test and the Pearson correlation coefficient were used. The sample consisted of an almost equal breakdown of Perodua and Proton car owners. The findings show that the car owners show a moderate level of brand satisfaction, brand price, brand quality, brand equity and brand loyalty with their current cars. All the independent variables, which are brand satisfaction, brand price, brand quality, and brand equity, are strongly correlated with brand loyalty towards the national brand. Perodua owners were more loyal and committed than Proton owners. Brand loyalty has become an essential factor for all manufacturing companies. To gain customer loyalty, a company should produce products with good quality, suitable pricing, and more equity.