Maintaining a brand is very relevant first because of the basic premise that such would enable the organization to retain its focus and avoid costly pit falls. For example, if a particular company who develops softwares for information technology (IT) produces a product loaded with so many features, they could end up not knowing which particular target market it is aiming at.. For instance, if a company is able to keep a focused and strong brand, Integrated Branding will enable it to leverage all the skills of its employees towards a direction that will maximize all of its key strengths
More importantly such an act would enable a company to provide immediate and strategic direction for product development. As such with Integrated Branding an organization will be able to build value, trust, and loyalty with its clients (LePla and Parker, 1999, p. 4). In addition with this, Internal Branding provides both Internal and External Benefits: Internal Benefits A consistent and accurate compass for R&D and market and product development A clear and defensible strategic direction, regardless of market changes Consistent messaging
High levels of employee loyalty and esprit de corps Greater employee initiative (LePla and Parker, 1999, p. 5). The ability to charge a 15 to 20 percent price premium above the market average for a product and maintain that price delta even as a market matures A shorter customer repurchase decision cycle Higher levels of customer loyalty The right capabilities to capture and retain market share Customer evangelists A platform for ensuring new product success High company financial valuations and less share price volatility (LePla and Parker, 1999, p. 5).
Brand loyalty has been defined as a “series of repeated purchases of the same brand”, more often that of having a positive attitude towards a brand (Betsch and Haberstroh, 2004, p. 299). A favorable brand attitude of a particular consumer leads to purchasing and repurchasing of a particular brand (Fazio, 1990; Fishbein & Ajzen, 1975). More importantly, such an attitude also paves the way for such a purchase to be a routine behaviour on the end of the consumer (Festinger, 1957). It could be noted that theories in social psychology reveals that more often, behaviour paves the way for more consistent attitudes.
However, it appears that despite this strong theoretical claim, there are certain instances wherein a customer might experience and unfavorable brand attitude, yet still continues to purchase such particular brand. The notion of Spurious Loyalty has been connoted to clients who have repeatedly purchased a particular brand despite negative experiences (Festinger, 1957). In relation with this, Latent Loyalty could also happen despite low brand patronage despite the fact of a favorable attitude. It was argued that consumers’ attitudes go down after conducting repeated behaviour over a particular brand.
However, most consumers opt not to shift brands anymore due to a subconscious thinking that having to shift brands would need them to review and evaluate other alternatives which in sum would mean a lot of cognitive work. In instances where there is perceived Spurious Loyalty, it is often the case that consumers may opt to switch to another brand given the chance that they would be offered an alternative. It could be significantly noted that low brand patronage could still possible despite the fact of favorable attitude from consumers could be due to external factors like distribution problems, or expensive pricing.
As such, it has been reiterated by Betsch and Haberstroh, (2004) that the attitudinal and behavioural aspect of brand loyalty should be distinguished from one another. More importantly, the usual notion that brand loyalty is synonymous to repeated purchase does not in principle truly reflect the attitude of consumers for their reason of purchase. It should be significantly noted as well that brand loyalty must be distinguished from customer satisfaction.
The measure of customer satisfaction among hotels are with regard on how well did the hotel was able to meet consumer expectations within their stay. On the other hand, again customer loyalty is a measurement on how likely a customer will return and functions in a “partner-like” activity for the hotel, through word of mouth (Bowen and Shoemaker, 2003, p. 33). Customer satisfaction in hotels is more than just being able to provide what is expected. Though costumer satisfaction is a requisite for brand loyalty, there could be certain cases wherein satisfied customers do not turn out to be loyal.