Brand Attachment on Service Loyalty in Banking Sector

Mohammad Javad Taghipourian,Mahsa Mashayekh Bakhsh

doi:10.5539/ijms.v8n5p146

Mohammad Javad Taghipourian, Mahsa Mashayekh Bakhsh

Open Access

https://doi.org/10.5539/ijms.v8n5p146

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Abstract

<p>The purpose of this study is to examine the effects of brand attachment on service loyalty to the services provided by financial sector. As one of the extremely valuable assets of every firm is its brand, attachment creates a deep emotional link between the consumers and the brand such that it contributes to the success of brand management process. To this end, the effects of two dimensions of the construct (brand-self connection and brand prominence) on each of the dimensions of service loyalty would be explored. The questionnaire is based on Park et al. (2010) and Sudhahar et al. (2006). The results of structural equations modeling indicated that brand attachment had a significant positive effect on service loyalty. Furthermore, the existed a positive effect on the dimensions of brand attachment—i.e., brand-self connection and brand prominence—and all dimensions of loyalty—i.e., behavioral, attitudinal, cognitive, conative, affective, commitment, and trust). Among them, brand-self connection had the highest effect on cognitive loyalty, trust-based loyalty, and commitment-based loyalty while brand prominence was most effective on affective loyalty, cognitive loyalty, and trust-based loyalty.Because of the increase in the number of institutions in banking sector and the diversity of services they offer, banking managers can take the advantage of using the results of brand attachment's effect on the study variables and enhance the loyalty to their services.</p>

Highlights

The increasing competition in the market has resulted in marketers’ shift toward the application of some strategies to attract competitive advantage in marketplace
The purpose of this study is to examine the effects of brand attachment on service loyalty to the services provided by financial sector
Brand-self connection had the highest effect on cognitive loyalty, trust-based loyalty, and commitment-based loyalty while brand prominence was most effective on affective loyalty, cognitive loyalty, and trust-based loyalty.Because of the increase in the number of institutions in banking sector and the diversity of services they offer, banking managers can take the advantage of using the results of brand attachment's effect on the study variables and enhance the loyalty to their services

Summary

Introduction

The increasing competition in the market has resulted in marketers’ shift toward the application of some strategies to attract competitive advantage in marketplace. Many organizations have already realized the value of their current customers and try to find ways of improving their lasting loyalty (Rajumesh, 2014). The fact is that customer expectations are constantly rising and banks are obliged to go beyond the basic needs of customers, try to accommodate such expectations; they shift their focus from satisfying customers to creating loyalty through the establishment of long-term, mutual, and mutually profitable connections (Dick & Basu, 1994). Brands play vital roles as one of the intangible assets of organizations. In this regard, brands are considered as the link between consumers and companies; it is possible that consumers establish attachment and interest in certain brands (Rajumesh, 2014). We can say that brand attachment is one of the features of consumer-brand relationship that ends in “automatic preservation of their thoughts and feelings about the brand” (Park et al, 2006)

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