The impact of brand equity on consumer purchasing decision - Special reference to Lux beauty soap in Vavuniya District

Abstract

The study focused on “The impact of brand equity on consumer purchasing decision - Special reference to Lux beauty soap in Vavuniya District”. Four aspects of brand equity, notably brand awareness, brand association, perceived quality and brand loyalty were selected as independent variables, those affect consumer purchasing decision. Consumer purchasing decision is important because many researchers have shown that consumer purchasing decision has a positive effect on organization’s profitability. The main objective of this study is to examine how does brand equity has an impact on consumer purchasing decision. Unilever is one of the Fast moving consumer goods (FMCG) organizations in the world. It has a huge potential market for Lux beauty soap around the globe. Unilever is striving hard to offer quality Lux beauty soaps in bid to maintain existing consumers and woo new ones as well. Consumers on the other hand, want the best value for their money so they are always coming around to get the best one. Data were collected from 100 consumers in Vavuniya District by using questionnaires as primary source. The relationship between brand equity and consumer purchasing decision were discussed in this study. The hypotheses were tested via correlation and regression analysis by using SPSS (20.0) package. The study found that, there is a positive relationship between overall brand equity and consumer purchasing decision. Since all the independent variables have positive relationship with consumer purchasing decision, brand awareness and brand loyalty have weak positive relationship with the dependent variable. Therefore, the management must put more concentration on these factors to improve the consumer purchasing decision