ACKNOWLEDGEMENT

We take this opportunity to thank all the person without whose constant guidance, support
and help, this report would not have seen completion. The completion of this project required
support and guidance from many people and I take this opportunity to express my gratitude
for all of them.

I heartily thank my faculty guide Dr. Renu Emile, Assoc. Prof. & Vice-Dean for her
guidance and encouragement throughout the course of the project. I also owe my gratitude to
all my course collogues at JGBS for all their lessons, the learnings of which helped me in
completing my project successfully.

Above all, we would like to thank the almighty for giving us patience and strength to
overcome the difficulties, which crossed our way in accomplishment at this endeavor.

Sincerely,

Sanjoli Sabharwal

Aayushi Pratap

Vaishali Lamba

Date: 11 Nov. 2016

 ABSTRACT
In todays’ world, marketing has greatly evolved. Now companies know that they need to
keep the customer’s feedback in order to meet the satisfying needs of the modern customers
and among these customers driven activities, branding has come out to be one of the most
important one in order build a strong customer base and to create a good impact of a brand
image. The main aim of this research paper is to ascertain the main impacts of branding on
consumer buying behavior. During the research we have found that branding plays an
important role in the learning as well as the attitude formation process which are likely taken
place at the time of consumer buying behavior activities because of which consumers find out
a direct link towards the brand image, brand name or the company leading to maximum sales
as well as maximum satisfaction of consumers wants and needs. In the research, the aspects
of brand equity, brand awareness, brand loyalty and brand image are also addressed along
with the factors that affect the consumer buying behavior and to understand the concept and
the different behaviors of the consumers, a study has also been done with the help of an
online survey. The population of the study was around 40 people across India and the
method of selection was purposive as well as convenience sampling. Also the findings
showed that focusing on brand features, the most important element in building a
successful brand in the was the QUALITY of the products that brand offers. In collecting data
about the phenomena, open and close ended questionnaires were used to collect data from
the respondent.
Table of Contents

 INTRODUCTION
 BRANDING AND BRAND MANAGEMENT
 OBJCTIVES
 WHAT IS BRAND
 BUSINESS MODEL
 INFLUENCE OF BRANDING ON CONSUMER BUYING BEHAVIOR
 BRANDING Vs NON-BRANDING
 THE CONSUMER BUYING PROCESS
 METHODOLOGY
 METHODS OF DATA COLLECTION:
 PRIMARY DATA
 SECONDARY DATA
 MEASUREMENT DEVELOPMENT
 SURVEY FORM
 KEY FINDINGS
 UNDERSTANDING OF A GOOD BRAND IMAGE
 CONCLUSION
 REFERENCES
INTRODUCTION

Branding is acknowledged to be one of the most fascinating marketing strategies used for the
purpose of winning or overcoming competition. In today new marketing world, the time is
flying and numerous changes are taking place in the marketing strategies that are being
adopted by the companies which leeks in to sustain various competitive advantages. A
company will have a fast growth only if it has all the correct information regarding the
consumers buying behavior and their habits. Companies are now gradually shifting their
focus from a product or market line to the customers and their marketing activities and now
they are paying much more attention on the reaction that consumers display in
regards to the 7P’s that are- Product, Price, Promotion, Physical layout, Process and
People. The impact of increased non-branded information on consumer choice. Both
the eye tracking and recognition data provided some tentative evidence that
increasing the size of nutritional labels displayed on packaging may influence
consumer behavior, by increasing attention to but reducing recognition of certain
brands. However, the observed effects were not statistically reliable, indicating that
the impact of nutritional information may not be significant.

BRANDING AND BRAND MANAGEMENT

Branding ultimately works as a signal. It allows consumers to quickly recognise a

product as one they are familiar with or one they like. It acts as a memory cue,
allowing consumers to retrieve relevant information from memory. This information
may be about past experience of the brand, brand perceptions or brand
associations. The information we have stored about brands is crucial in guiding our
decisions (Winkielman et al, 2000). Branding has become one of the most important
aspects of business strategy. Branding is central to creating customer value, not just
images and is also a key tool for creating and maintaining competitive advantage
(Holt, 2015). Branding is the process of creating a relationship or a connection
between a company's product and emotional perception of the customer for the
purpose of generating segregation among competition and building loyalty among
customers (Hislop, 2001). Brand management is the integral part of holistic
marketing (Kotler et al, 2013). It is, in our opinion, a specific area of marketing, which
uses special techniques in order to increase the perceived value of a brand.
Branding and brand-based differentiation are powerful means for creating and
sustaining competitive advantage. According to Aggarwal (2004) prior research has
examined differences in how consumers perceive and evaluate brands, for example,
through investigating brand equity, brand personality and brand extensions.
As per the graph above-

71% of the respondents agree to the fact that well known brands represents better
quality whereas, 24% of the respondents remain neutral and the rest 5% of the
respondents disagree with the fact.

OBJECTIVES

For a further understanding of Consumer Buying behavior with regards to branding,

our research paper aims at gaining deep understanding of the process as well as
attributes that leads to evaluation of the brands by the customers and also the key to
build brand loyalty among the customers. In order to fully understand consumer
choice, it is necessary to understand the underlying psychological mechanisms that
guide those choices, that is the conscious and unconscious factors that influence
decision making. Different types of branding practices can effect consumer’s choices
in a number of different ways. First, branding can influence whether consumers
notice a product or not, that is, how much attention is paid to a product. Second,
branding can influence whether and how quickly consumers recognize a product.
This recognition and subsequent memory retrieval then have a knock-on effect on
how consumers feel about that product. These areas, attention and recognition, are
crucial predictors of decision making. By understanding the impact branding has on
these processes, we will be able to reveal how branding works to guide purchase
decisions.
WHAT IS A BRAND?
BRAND: A brand is defined as a distinguishing symbol, logo, design, mark, name
or the combination of these items that companies use to distinguish their product
from others in market.

Key statistics on the influence of brand on consumer purchase decisions:

 Advocacy – 38% of people recommend a brand they like or follow on social

media.
 Brand – 21% of consumers say that they purchased a new product because it
was from a brand they like.
 Email Marketing – 64% of respondents will open an email if they trust the
brand and are loyal towards brand.
 Word of Mouth – brands that inspires higher emotional intensity receive 3
times the word-of-mouth marketing.

BUSSINESS MODEL

BUSINESS MODEL

INCLUDE

Distribution, Costs, Core Capabilities, Product and Services, Infrastructure, Target Customer.

CONSUMER BEHAVIOR

Consumer Behavior is a branch which deals with various branches that a consumer
goes through before purchasing any particular product or services for his/her use.
For the buyers, it is a decision making process, both; individually and in a group too.
The characteristics of individuals, such as demographic factors and behavioral
variables are studied so that the needs and wants of the individuals can be
understood and also the influence on an individual coming from the groups such as
friends, family and society.

It is basically the study of why, how, when and where the consumers do or do not
buy a particular product, taking in mind all the essential elements such as
psychology, sociology, economy etc.
Factors that influence the attitude of the customers to choose a particular
product:

 Cultural factors refer to the actual culture of the customers from which they are
originated and their regular habits
 Social factors refer to the social group a particular customer belong to and choice
of the product made by that particular group always
 Personal factors like age and personal interest of the customers towards a
particular product. Personal attributes of the customers like profession, lifestyle
and status of the customer are the driving factors towards this attitude.
 Psychological factors like beliefs, motivation and perception make the
customers to choose a particular product.

INFLUENCE OF BRANDING ON CONSUMER PURCHASE DECISION

Branding plays a vital role in determining the purchasing behavior of the customers
across the world. Every customer has a specific reason to choose or not to choose a
particular brand on the basis of taste and preference. Brands use marketing
strategies and social media strategies to know the customers what they want and
are actually looking for. Customers always maintain a good relation with a particular
brand.

Social behavior of the customers makes them to choose a particular product based
on the social environment they are living and always depends on the opinion of other
people while choosing a product. Purchasing behavior of the customers depends on
the cultural environment from which they are brought up.

BRANDING vs NON-
BRANDING

Branded products have higher reliability Non branded are less reliable in
factor. nature.

Higher quality products are served. The quality in these products are
not defined.

Maybe low or moderate quality.

The comfort level is higher and is for long The comfort level may be for short
time. time.
No hassle in exchanging the product. Exchanging the product is not there.

Branded products have higher safety No such safety level is there.

level.

Many times branded clothes satisfy the May be or May not be there.
consumer the more ,as the fitting is
always satisfying

The branded products are costly and Non branded cloths are less costly
cannot be afforded by everyone. and is easily affordable.

Branded cloths give feeling of being No such feeling.

global. As these products are
manufactured globally and are exported.

Branded products acts as a status Usually preferred by low income

symbol. people.

These products have high degree of Low degree of hygiene.

hygiene.

High degree of Versatility Low degree of Versatility.

THE CONSUMER BUYING PROCESS

The customer buying process (also called a buying decision

process) describes the journey your customer goes through before
they buy your product. Understanding your customer’s buying
process is not only very important for your salespeople, it will also
enable you to align your sales strategy accordingly.

The five stages framework remains a good way to evaluate the

customer’s buying process. John Dewey first introduced the
following five stages:
1. Problem/need recognition

This is often identified as the first and most important step in the customer’s decision
process. A purchase cannot take place without the recognition of the need. The need
may have been triggered by internal stimuli (such as hunger or thirst) or external
stimuli (such as advertising or word of mouth).

2. Information search

Having recognised a problem or need, the next step a customer may take is the
information search stage, in order to find out what they feel is the best solution. This
is the buyer’s effort to search internal and external business environments, in order
to identify and evaluate information sources related to the central buying decision.
Your customer may rely on print, visual, online media or word of mouth for obtaining
information.

3. Evaluation of alternatives

As you might expect, individuals will evaluate different products or brands at this
stage on the basis of alternative product attributes – those which have the ability to
deliver the benefits the customer is seeking. A factor that heavily influences this
stage is the customer’s attitude. Involvement is another factor that influences the
evaluation process. For example, if the customer’s attitude is positive and
involvement is high, then they will evaluate a number of companies or brands; but if
it is low, only one company or brand will be evaluated.

4. Purchase decision

The penultimate stage is where the purchase takes place. Philip Kotler (2009) states
that the final purchase decision may be ‘disrupted’ by two factors: negative feedback
from other customers and the level of motivation to accept the feedback. For
example, having gone through the previous three stages, a customer chooses to buy
a new telescope. However, because his very good friend, a keen astronomer, gives
him negative feedback, he will then be bound to change his preference.
Furthermore, the decision may be disrupted due to unforeseen situations such as a
sudden job loss or relocation.

5. Post-purchase behavior

In brief, customers will compare products with their previous

expectations and will be either satisfied or dissatisfied. Therefore,
these stages are critical in retaining customers. This can greatly
affect the decision process for similar purchases from the same
company in the future, having a knock-on effect at the information
search stage and evaluation of alternatives stage. If your customer
is satisfied, this wil result in brand loyalty, and the Information
search and Evaluation of alternative stages will often be fast-
tracked or skipped altogether.

METHODOLOGY
Methods of Data collection
In order to achieve my aims and objectives of research I have preferred mixed
design consisting of primary data, secondary data and a case study.

Primary data:

Primary data is that data which mainly collected by the researcher on his own to
carry out the desired research. Collection of primary data is based on interviews
and takes more time than other processes. Primary data can be collected from
using questionnaires, interviews, focus group, and observation. So for this
purpose I will use the most popular tool of primary data collection through
direct communication with respondents.
Source of data: Data required for the study will be collected through primary
sources i.e. Market Survey

Secondary data:

Secondary data is that data which already been collected for other purpose
rather than the present purpose. This process of secondary data is
comparatively easy and information can be easily collected from different
sources. The sources of these data are research institutions, official statistics,
technical reports, scholarly journals, trade journals, review articles, reference
books and research institutions.
I am planning to use the secondary data in my literature review and main and
final research will be done by using primary data through questionnaire. I will
also use the case studies to provide evidence to my research and support the
theories. The study will help to find out the Consumer purchase decision which
helps the firms to survive in this competitive world. So before use of both
primary and secondary data it will be necessary to analyze both primary and
secondary before use.

Measurement Development:
Demographic data used included gender, age, education and employment
status. The positive effects associated with the brand are measured by means of
a question relating to "the feeling of positiveness associated with the given
brand" and respondent is asked whether he/she "Agrees", "Somewhat agrees"
or "Disagrees". Purchase intention is measured by using a 3-point Likhert scale
with 1 being "very likely", 2 being "somewhat likely" and 3 being "unlikely".

SURVEY FORM

Market research of the impact of Branding on consumer Buying Behavior.

KEY FINDINGS

Through this research paper we can easily make out the impact of brands on
consumer buying decision and therefore, we conducted an online survey for the
same. Out of all the individuals who took this survey, 74% were females and the
remaining were males. We find that in current scenario the effect of a brand on the
purchase of a particular good is very effective and out of all only 10% were between
the age bracket of 26-35 and the remaining were between the age bracket of 18-25.
When asked this question that do they find themselves loyal for a particular brand,
35% of them said that they are not loyal to one particular brand and they keep on
switching among different brands whereas; 23% of them said that they just switch
between one or two brands and not more than that and more than 70% of them say
that according to them quality is the only thing which helps them build a brand image
in their mind. Maximum people described their feeling towards a particular brand
because they actually like the base of the brand and those brands make them happy
buying their products or takin their services. When asked, how do they interact with a
particular brand online, mostly stated that they check their websites quite often
whereas, 5% of them were such who did not like to engage themselves in such
interactive activities. The most important one was that if people got a new brand that
gives them better quality and everything than the brand they are already loyal for, will
they switch to that new brand; and around 80% of them said that they will likely
switch to the other brand which means that they are not just attached to the brand
name and are not being stubborn also but they cannot compromise on the quality
and the only aspect that makes them love a brand is the product and not merely the
brand position in the market and the competitors.

UNDERSTANDING OF A GOOD BRAND IMAGE

Which of the following, according to you, help build a good brand image?

Respondents understanding of branding.

What do you understand by Branding?

CONCLUSIONS

The aim of this thesis was to determine the impact that a brand as on the purchase
decision making process of consumers as well as throwing some light on the
theories surrounding a brand and consumer behavior. In conclusion, it has been
found out that there is some correlation between a brand and the behavior displayed
by consumers with regards to their purchase decisions. Consumers are very much
enlightened about the various brands on the market and as such their mage is very
crucial when it comes to making a purchase decision especially at first time. 55
Again family, friends and reference groups do play a major role in affecting the
purchase decision-making of consumers. This calls for massive improvement on the
services rendered, innovation and differentiation as far as the brand (s) is concerned
in the organization or company.

REFERENCES

i. http://www.packagingfedn.co.uk/images/reports/The%20Effect%20of
%20Branding%20on%20Consumer%20Choice.pdf

ii. http://documents.mx/documents/project-on-effect-of-branding-on-consumer-
buying-decision.html

iii. http://www.slideshare.net/vipultandonddn/project-onbranding