KASBIT Business Journal (KBJ) Vol. 10, 131-150, December 2017

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KASBIT Business Journal (KBJ)Vol. 10, 131-150, December 2017The Impact of Emotional Branding in Customer Buying Behavior in Soft DrinkBeverage Industry of PakistanHadiqa RiazResearch Scholar, Benazir Bhutto Shaheed University KarachiHassaan AhmedResearch Scholar, Assistant Professor, Hamdard Institute of Management SciencesDr. Saima AkhterAssistant Professor, Department of Public Administration, University of KarachiMudassir HussainLecturer Marketing, Department of Commerce, Benazir Bhutto Shaheed UniversityKarachiAbstractThe increasing competition in Pakistan beverage industry specifically in fizzy drinkcategory has made it difficult for marketers to attract and retain customer loyalty. Theyendeavor higher opportunity cost when planning and investing for promotional activities.Hence, breaking through traditional marketing gimmicks and promotional activitiesbecame imperative to influence consumer interest and buying behavior. For whichemotional branding pivoted as a significant tool and component that helped revampadvertisement appeal inculcating higher return on investment for companies in industry.The intent behind this study was to determine the impact of emotional branding incustomer buying behavior in soft drink beverage industry of Pakistan. The study isquantitative in nature, in which responses from 200 respondents were collected via asurvey questionnaire in order to investigate relationship between the two. Variousliterature sources were studied and critically appraised alongside analyzing collected datathrough statistical tools like multiple regression analysis, annova and correlation tests inorder to acutely gauge research findings that contribute in making distinctions and clearconclusions towards our research objectives. The research results showed the conclusionthat there is a positive relationship between emotional branding and buying behavior andThe material presented by the authors does not necessarily represent the viewpoint ofeditor(s) and the management of the Khadim Ali Shah Bukhari Institute of Technology(KASBIT) as well as authors’ institute. KBJ is published by the Khadim Ali Shah Bukhari Institute ofTechnology (KASBIT) 84-B, S.M.C.H.S, Off.Sharah-e-Faisal, Karachi74400, Pakistan.The Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan131Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

emotional branding plays a major role in designing buying behavior, attracting andretaining customers within soft drink industry of Pakistan. Therefore it is recommendedthat beverage industry should come up with unique practices and instill emotionaldimension in its integrated marketing communication strategy in order to establishpersonalized relationship with customer and distinguish brand identity from number ofcompetitors in industry. The outcome of this research also provides significant insightand valuable recommendations to the local brands who have ventured in the fizzy drinksector in Pakistan to tap lucrative profit margins.Keywords: emotional branding, buying behavior, brands, customers, soft drinks,beverage industryIntroductionIn today’s fast paced competitive and vigorous environment of business,marketing arena has gained considerable importance making marketing tactics substantialsuccess factor. In this regard emotional benefits play a major role in marketing since theycreate emotional appeal and influence buying behavior. In modern marketing, emotionalbranding perceived as viable tool for customer motivation. Morrison & crane (2007)defines emotional branding as creating a strong emotional bond and special emotionalassociation with the brands, which is beyond the benefit based satisfaction. It alsodevelops a reliable relationship for the expansion of an emotional behavior.According to Gobe, M. (2010) Emotional branding perceives as an integralelement within marketing practices that helps brand to build strong emotionalrelationship with the customer and intended to capture strong brand resonation. Atpresent times, marketer’s wants to figure out the influence of emotional branding oncustomer engagement and final purchase decision and scholars such as Gobe, M. (2010)also evaluate the importance of emotional branding on buying behavior.Kustini, N. I. (2011) suggested that in old ages, emotions were considered has no impacton buying and perceived as an adverse factor in purchase decision. Usually old brandingconcepts give more importance on building brand awareness, but now emotional basesThe Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan132Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

helps to build personalized relationship with brands, and consider as an integralingredient of all marketing activities.Moreover customer buying behavior is primarily based on customer emotionswhich create brand choices. At present marketers realizes the inconvincible importance ofbranding as it helps customers to differentiate their brands from thousands of competitorsand enable to get intimate with brands. As per Lafferty, B. A. (2001) Emotional brandinghelps marketers to analyze how forming an emotional engagement with customer create adirect contribution in growing sales and building profitability. Good marketing effortsrequire building strong emotional association with customer. The intent behind thisresearch is to analyze the effectiveness of emotional branding on customer buyingbehavior on Pakistan’s soft drink beverage industry. Perception of the brand andpurchasing practices varies from person to person. So it is necessary to find out thefactors that can change a buyer’s behavior.Pakistan Beverage IndustryAccording to Raza (2013) the beverage industry of Pakistan is growing matureday by day. The industry manufactures soft drinks, juices, milk, tea, squashes and bottledwater. Currently approximately 170 units are working across the Pakistan, including bothupstream and downstream industries are saturated and flourishing.The two major players of the soft drink industry are PepsiCo and Coca ColaPakistan. These two market leaders have 75% market share in the industry.PepsiCo PakistanPepsiCo is the world renowned company in international beverage market.PepsiCo is well known by their strong customer relationships which maintain theinfluence of brand and gives the company the power of positive word of mouth. PepsiCoThe Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan133Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

avail the benefit of emotional branding strategies, and encourage new ideas whichinfluence human emotion and makes the PepsiCo the first priority of every customer.PepsiCo is selling the following soft drink brands in PakistanSoft Drink BrandPepsiPepsi dietPepsi max7upMountain PepsiCoPepsiCoPepsiCoCoca Cola PakistanCoca cola is the most popular and one of leading soft drink brand in the world.Coca Cola recognized the importance and power of human sentiments. Coca colaefficiently gets advantage of emotional branding in its ideas and other elements inintegrated marketing communication. Coca cola triggers customer buying responses byselling with emotions and by exchanging ownership of brand to customers and win thehearts of customers.After “Open Happiness”, coca cola comes up with new global campaign “Tastethe feeling” (Maza Har Lamhe Ka) which also reflects human emotions and leveragesemotional branding. The product mix for coca cola soft drink brands in Pakistan are thefollowing.Soft Drink BrandCoca colaSpriteFantaDiet CokeThe Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of PakistanCompanyCoca colaCoca colaCoca colaCoca cola134Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

Statement of the ProblemIn current competitive and complex marketing situations in beverages industry,soft drink beverage industry is facing severe challenges for motivating and retaining itscustomers. Besides customers increasing awareness towards healthy and hygieniclifestyle also put soft drink industry in a serious dilemma. Hwang, J., & Kandampully, J.(2012) discuss in his study that in today’s digital world, customers will often switch tocompetitors if they don’t get familiar with the brand along with strong brand relationshipwhich in turn makes the decision highly judgmental and difficult. Soft drink industryhave heavily invested in engaging, attracting customer’s and in branding strategies, stillin the fix that what tactics should be used for long term customer engagement with thebrand.In this regard innovative emotional branding approach will play a significant roleby clearly distinguish brand from number of competitors and help in alluring customerson the basis of emotions. Thus soft drink beverage industry has to take significant actionsto engage its customers and maintain its competitiveness in beverage industry bypracticing emotional dimensions in communication and by providing what customerswant beyond of everything else.Objectives Of the study Analyze the impact of emotional branding on customer buying behavior in softdrink beverage industry of Pakistan. Study the role of emotional branding in differentiating brand from competitors insoft drink beverage industry of Pakistan. To highlight the most effective factors of emotional branding which influencecustomer buying behavior.The Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan135Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

Significance of the studyThis research will spotlight the role of emotions in branding, helps to understandthe impact of emotional branding on buying responses and the importance of differentcommunication tactics of modern era. In this perspective researchers have concentratedon the role of efficient integrated marketing communication and a little focused is givenon aspects such as emotional branding which play a significant role to stimulate customerpurchase decision and makes an insight deep long term relationship with brands anddefinitely put a direct contribution in building high level of market share.Marketers today want to posses the ability to emotionally connect with customersas it works more effectively than other marketing strategies in retaining customers for along time. Thus, the intent behind this research paper is to bring into light influence ofemotional branding in modern competitive beverage industry. Soft drink beverageindustry as case study remains appropriately main focus that will help our analysis andfindings related to soft drink beverages industry.Literature ReviewThis research encompasses two main domains, includes emotional branding andbuying behavior. The main focus of this literature review is estimation of the impact ofemotional branding on buying behavior and what role emotional branding has played incustomer decision making process. Emotional branding is the terminology whichdescribes the love connection between brand and its users and depends on theconsideration that human actions towards brand choices are often induced by emotionsrather than rational factors. Gobe (2010) is well known for emphasizing the significanceof emotional branding in marketing to create a link between customer and brand in anemotionally deep manner.The Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan136Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

According to Gobe, M. (2010) brands and customer relationship is formed onemotional preferences and choices. People get affiliated with the brands they use, emulatetheir coherence and when a strong bond is build, it arouse emotional reaction incustomers. Morrison & Crane (2007) also added that branding strategies is not only aboutcreating branding awareness but it’s also about positioning the brand in the hearts ofcustomer, which the core concept of emotional is branding. Gobe (2001) emphasize thesignificance of emotional branding in building strong customer equity. According toGobe (2001) marketers can capture customer emotional attention by using sensorialexperiences and imaginary in branding activities.Moreover a brand long term success (Vision) depends on customer emotionalrelationship and positive experiences with the brand. Devi & Sharma (2015) inferred intheir study that emotional branding plays a significant role in reducing post purchasedissonance. Emotions emerge in the minds of customer is more considerable when it iscompared with quality of brand. According to them, the main objective of emotionalbranding is to form strong brand positioning and develop affection among customers ofacquiring it. Devi & Sharma (2015) depicts the importance of using sensory dimensionsin emotional branding. Brands can cultivate emotional attachment in the minds ofcustomers by targeting to their senses. Using appropriate sensorial stimulants helps togenerate specific feelings, attachments, affiliation and assurance to create long termemotional connection with customers. Marketers are using sensory techniques such astextures, sound and aroma to develop emotional relationship with customers and createinclination for their brands by triggering the right sense for their brands.Craig J. (2006) analyzed that brand loyalty and brand preferences are results ofemotional branding which includes emotional communication, brand engagement, repeatThe Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan137Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

purchase, positive emotions in reaction to the brand, positive appraisal for the brand andacknowledgment of love for the brand. For positive brand emotions, emotional brandingneeds to communicate emotionally and develop symbolic, experimental and functionalvalues which represent customer’s emotions. Malär, L., Krohmer, H., Hoyer, W. D., &Nyffenegger, B. (2011) study showed that customers buying behavior mostly based ontheir sensations and emotions about a specific brand. Strong brand persistence can beattained though customers trust reliability and emotional association with the brand.Customer establish emotional link to a brand because of their emotional communicationto acquire this emotional contact through tangible and intangible features as emotionaladvertisement, attractive packaging, price, design, responsiveness to customer andappealing through visual, verbal and customer involvement.Akber,A.& Kochoglu,I.(2013) Stated that emotional branding is about buildingmeaningful relationship between customers and brands by customer’s affection and keyinterest. According to them the purpose of emotional branding is to get customerinterested to brand, encourage them to make a purchase, constantly persuade that thepurchase decision was totally appropriate, and create a brand habit so that brand becomean essential constituent of their life. Akber, A. & Kochoglu,I, I. (2013) found in theirstudy that emotional branding is one of the most effective ways of increasingorganization’s strength in the market and building brand loyalty by targeting customer’semotionsConceptual FrameworkThe conceptual framework provides a foundation for research study. Theframework consists of four Emotional Branding predictors which are Emotionalrelationship,Emotionalcommunication,The Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of PakistanEmotional138Preferences,andsensorialHadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

experiences and one response variable which is buying behavior. The Conceptualframework which provides groundwork for the research, proposed is as ying n the basis of literature review and previous studies conceptual framework isdeveloped, which shows the relationship between emotional branding and buyingbehavior.MethodologyThis part of the research discussed about the methods adapted to measure theresearch variable, related research design which helps to provide appropriateunderstanding for conceptual framework, complete information about data collection andsampling techniques, measurement tools used to asses validation of data, about reliabilityof data and the approaches used for data collection and measurement. In this research, theimpact of emotional branding on consumer buying behavior in soft drink beverageindustry will be attest thorough deductive research approach, on the other side inductiveapproach will be used for defining empirical findings of the study.The Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan139Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

Research DesignThis research is based on both primary and secondary data. Secondary data weregathered from different journals, articles, books and from different websites. Thisresearch is quantitative in nature, primary data for research collected through welldeveloped and well structured (five point likert scale) survey questionnaire. Other aspectsof research design are discussed below:Research QuestionThe research question in line with keeping in view the objectives of this studywhich is as follow, Q-What is the impact of emotional branding in influencing customerbuying behavior in soft beverage industry of Pakistan?Data and SamplingThe primary data was collected from 200 respondents through conveniencesampling. The respondents were requested to fill the research instrument on voluntarybasis. A sample size of 200 respondents was taken under consideration to test thehypothesis, regression analysis and internal consistency of informationResearch InstrumentSurvey questionnaire consist of five point likert scale questions (ranging from 1to strongly disagree to 5 strongly agree) adapted in this research. To measure the impactof emotional branding on customer buying behavior, a self-designed questionnaire hasbeen developed for data collection, and was distributed through email and social media.Scholarly and practitioners measures the validity of questionnaire. The questionnaire hasbeen classified into three parts, part one related to demographic profiling of respondents.Second part consist of eight items related to measure the effectiveness of emotionalbranding on customer buying behavior by using soft drink industry of Pakistan. BesidesThe Impact of Emotional Branding inCustomer Buying Behavior in SoftDrink Beverage Industry of Pakistan140Hadiqa Riaz, Hassaan Ahmed,Dr. Saima Akhter andMudassir Hussain

Third part explains buying behavior of customers with the help of emotional branding insoft drink industry.HypothesesHo Emotional branding including Emotional relationship, emotional communication,Emotional preferences, Sensorial Experiences has no impact on customer buyingbehavior in soft drink beverage industry of Pakistan.H1: Emotional relationship is positively associated with customer buying behavior.H2: Emotional communication is positively associated with customer buying behavior.H3: Emotional preferences are positively associated with customer buying behavior.Hypothesis 4: Sensorial Experiences are positively associated with customer buyingbehavior in soft drink beverage industry of Pakistan.Data Analysis and DiscussionSPSS V.16 is used for different statistical analysis, including multiple regressionanalysis, descriptive analysis, and reliability test.Statistical Analysis and InterpretationTable 1: Reliability analysis (N 200)Cronbach’s Alpha0.786No of items14The results of reliability test with all items of independent variable (EmotionalBranding) and dependent varia

emotional branding on buying behavior and what role emotional branding has played in customer decision making process. Emotional branding is the terminology which describes the love connection between brand and its users and depends on the consideration that human action

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