Marketing Mix To Strengthen Brand Image

Published Date: 02 Nov 2017

In this highly competitive era, it has become essential for the marketers to maintain the long term relations with the customers and offering innovative offers, so that they can be loyal for the company. Therefore, strengthening brand image is imperative for the business firms to Use the critical success factors for the achievement of competitive advantage (Whan Park, et al. 2010). In order to make successful brand in the market, company needs to develop brand image in the mind of customers. It helps the company to attract more customers and to influence people towards the company. Besides, the firm can make a strong brand image for the particular product, when it has strong and unique marketing mix strategies.It is observed that marketing mix is one of the important concepts to influence the purchase decision making process of consumers, as it facilitates the consumers to buy products at their near location, with low price and high quality. Marketing mix enables the firms to manage the image of the brand in the eyes of the customers (Maguire 2007). Association between marketing mix elements and brand image is very strong and this association plays an important role to make the image of the organization in the society.An effective branding of product helps the company to earn more profits in the market and establish a successful market position of the company in the national as well as in international market. In today’s marketing environment, most of the companies create a successful branding of their products though different marketing mix elements and using advanced communication methods by conducting effective marketing activities that influence customers to use companies’ products (Arora et al. 2009). Most of the companies provide sales 6after services, regular communication with customers, guaranty and warranty, etc. to influence customers and to attract new customers towards the product or brand (Clifton and Ahmad 2009).Maguire (2007) asserted that marketing mixes activities supports the customers to develop their understanding about the products and services and also provide supportive assistance after purchasing the products or services. This also helps the company to provide greater satisfaction related to the products and services. The branding and marketing mixes activities also plays an important role in defining the product features in significant manner to the customers or new customers in the market. Brand image in the market also provide an effective presence for the company that is helpful in influencing purchase decision making of customers (Maguire 2007).According to Kozak and Baloglu (2010), through an effective brand image, a company can increase its customer data base and to provide a competitive product that attract other customers to purchase that product or services from the market. In the market, most of the customers purchase products and services according to the image and popularity of the brand that helps the company to maintain effective relationship with the customers and make them loyal towards the product and service (Cant, Strydom and Jooste 2009). The popularity and image of the brand is created through effective advertising and communication, so that customers can know about the products, distribution, so that customers can get product easily at their location, pricing, so that customers can purchase product at low prices, etc. In addition, after sale services and customer services facilities are also important to improve the image of the brand in the eyes of customers (Balabanis and Diamantopoulos 2008).An effective brand image provides supportive identification to the company that helps in creating successful operations in the market. On the other hand, marketing activities such as 7customer service and communication also influence the purchase decisions of customers in the market (Kotler, et al. 2009). According to Klaming (2012), sales after services support the customers to make supportable purchase decisions about the product and service. Through the use of marketing mixes activities, companies also convey the quality signals to the customers and build an effective brand image in the market. Through the use of sales after services, companies provide the directions and guidelines to the customers to how to use products and services to get more satisfaction. Recently, the purchase making decision of the consumers is mainly based on the easy availability of the products with low price high quality and the product should fulfil the demand of the customers (M'zungu, Merrilees and Miller 2010). In addition, some other factors that affect the purchase making behaviour are advertising and promotion strategies, CRM process of business firm, personal relationship with customers etc. All of these factors are related to the marketing mix, which ultimately help the brand to develop a good image. Brand image in the market also provides the competitive benefits to the company over competitors. With the help of effective brand image, company maintain competitive position and to achieve competitive advantage that support in providing better customers facilities in the market (Klaming 2012).

1.2. Research Objectives

An organization can gain long term success, if it has competitive advantages over its competitors. An attractive marketing mix and strong brand image is one of the critical success factor for the firm to develop competitive advantage. The main aim of doing this study is to evaluate the role and effectiveness of marketing mix elements to strengthen the brand image, which ultimately affect the purchase decision making process. This critical evaluation is done to 8know, how Vodafone Oxford is using brand images as a source of competitive advantages. The main objectives of this study are as follows:

To identify the role of marketing mix to strengthen brand image as a source of

Competitive advantage.

To examine and evaluate the impact of marketing mix and brand image in consumer

Purchase decision making process.

To investigate the merits and demerits of brand image in marketing.

To compose recommendations to use the brand image of Vodafone in achieving

competitive advantage and improve its marketing mix process.

1.3. Research Questions:

As per the aims and objectives of this study, the researcher questions, which have answered in this critical evaluation, are as follows:

1. At what extent marketing mix is effective to persuade the purchase decision making process?

2. How does brand image facilitates Vodafone to gain competitive advantages and influences the purchase decision making process?

1.4. Significance of the Study:

In order to enhance market share, to reduce dependency on home market as well as to

build strong customer base, now a day’s, firms focus on operating their business on a global

basis. Different tools are used by companies to attract customers for their product or services. In

this concern, promotional tools, brand image and effective customer services are used by

companies to attract several potential customers. It is the reason that this research issue is 9

selected by the researcher in order to analyze the role and effectiveness of brand image in

purchase decision making process.

This study targets Vodafone stores in Oxford to analyze the role of brand image in the

success of company. This study is helpful for the companies to know how marketing mix

elements develops and strengthen the brand image of the firm and how this brand image can be

beneficial for them in order to influence the behaviour of customers for their products or

services. This research study is also significant for readers to upgrade their knowledge related to

the role of marketing mix and brand image in purchase decision making process.

1.5. Scope of the Study:

According to the significance of the study, it has a wide scope in different areas such as

corporate world, social worlds, etc. The scope of this study is not limited for Vodafone in Oxford

and its customers, but it is associated with the global society and global industry, whether it is

relate dot telecommunication or any other sector. In both domestic and worldwide market, this

study has a scope as it provide importance of marketing mix to manage strong brand image of

products. It is very common facts that marketing mix enables the companies and well as

customers to understand the basic features of a product such as price, quality, distributions, etc.

thus, this study has scope for individuals to know how the marketing mix is created and how it

persuade their behaviour to prefer a particular brand.

Furthermore, this study has scope for the firms to utilize the critical success factors to

achieve competitive advantage in the global market by strengthening the image of brand.

Findings of this dissertation has also scope for the students to improve the knowledge area about

the importance of marketing mix such as distribution, communication, etc, to influences the

purchase decision making of consumers.10

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1.7. Structure of the Study:

A research study has several parts and all these parts are important to explore sufficient

and satisfactory result. Mainly, researcher has developed five sections to attain the aims and

objectives of this study in an efficient and effective way. All five sections include important

information such as background information, literature review, used methodologies, analysis of

data and conclusion and recommendations related to the research study. Construction of an

appropriate research structure will help the researcher to conduct his study in a right direction.

Different sections of this study are as below:

Introduction: In the introduction chapter, researcher has included the research aims and

objectives and research questions. In addition to this, he has also described background

information related to research issue, "A critical evaluation on the role and effectiveness of

marketing mix and brand image in purchase decision making process: A study at Vodafone

stores in Oxford". At the same time, this section also defines significance and scope of this

research study. Role of this information is crucial for the success of this study because it guides

researcher to gather data and other processes effectively.

Literature Review: In this section, researcher has collected theoretical information related

to the research issue. Researcher has discussed about the role of marketing mix to strengthen

brand image, which is a source of competitive advantage and the impact of marketing mix and

brand image in consumer purchase decision making process. Additionally, researcher has also

included information related to the advantages and disadvantages of brand image in marketing.

Case Study: This section includes company information of Vodafone. Additionally, it

also discusses the role of marketing mix in the success of Vodafone in Oxford and how

Vodafone has achieved competitive advantage due to brand image.12

Research Methodology: Under research methodology section, researcher has defined

different research methodologies and techniques that he has used in order to collect data and

information in a right way. He has critically described the reason that why a particular method is

selected over others methods. Researcher has also included the discussion about use of primary

and secondary data collection method in order to collect data related to the study.

Data analysis and Findings: This section presents the analysis of data and findings of the

study. Researcher has used thematic framework analysis in order to analyze the collected data

and information effectively. To effectively analyze the data, priori and posteriori themes are

defined by the researcher. On the basis of analyzed data, researcher has also discussed outcomes

of the research study in this section.

Conclusion and Recommendations: This is the last section of the study in which

researcher has concluded the whole research. In order to explain that researcher has attained all

his aims and objectives related to study, researcher has created a relationship between research

objectives and research findings. At the same time, he has also provided some recommendations

to use the brand image of Vodafone in achieving competitive advantage.

1.8. Summary:

In the end of this section, it can be described that throughout the completion of this

research study, role of this chapter is crucial. This chapter has provided direction to researcher to

complete the whole study in an effective manner. Research aims and objectives that are

developed in this study are achieved in through a critical evaluation of different kinds of data,

which is collected through primary and secondary data sources.

Research questions, research background, significance and scope of the research study

have defined by the researcher effectively those are helpful in completing this study in a 13

successful way. Next chapter is the literature review under, which researcher has provided the

theoretical background related to the research issue.14

CHAPTER 2: LITERATURE REVIEW

Company Introduction

Vodafone is one of the world’s largest mobile communications companies by Revenue

(Vodafone 2011). Company has five key areas such as mobile data, emerging markets,

enterprise, total communications and new services or growth potential. Company is focused

towards these areas through its effective business and marketing strategies. To build a strong

brand image among customers, Vodafone builds a new strategy of delivering a more valuable

Vodafone. In order to gain competitive advantage in the market, company has built an effective

sustainability strategy that has three components including sustainable societies, eco-efficiency

and ethical business (Annual Report 2011). Under sustainable society’s strategy, the main aim of

the company is to help in building more sustainable societies by providing effective

communication services to meet the needs of people in emerging markets and to contribute to a

low carbon society.

In addition to this, company also focuses on building ethical business throughout its

operations and supply chain. Company is also focused towards cutting its carbon footprint in

developed markets and emerging markets. Company has strong position in the emerging market;

either it is number one or two in these markets on the basis of revenue. For the year 2011,

company’s performance includes increased market share in India and Turkey and an increase of

the 34 million customers over the year. This case study is conducted in order to analyze the role

of brand image and marketing mix of Vodafone in the consumer purchase decision making

process in Oxford (Annual Report 2011). In order to build a global market image in the

international market, company is using effective marketing mix strategies including product,

price, place and promotion. These strategies are also helpful for companies in terms of

influencing the buying behaviour of customers for its different offerings.

Branding and Brand Image

According to Baumgarth and Schmidt (2010), it is more preferential by the customer to

choose a brand rather than outlet due to having brand loyalty. In the existence of brand loyalty

towards a product, there is no need of outlet preference and the salesperson’s skills to influence 15

the buying behavior. A brand can be a name, term, sign, symbol or design, or a combination of

these that recognizes the manufacturer of a product or service. Brand name is frequently

perceived by consumers to be an indicator of product or service quality (Wright and Watkins

2012). This apparent brand quality relationship is most likely tied to the perceived risks

associated with a poor purchase decision. In support of this, Keller, Parameswaran and Jacob

(2011) state that with the help of effective customer relation management practices, the company

can build its brand image by listening to its customers in the global business world and making

its products accordingly that will help to increase the loyalty and attractiveness of the customers

towards company products.

Thomas and Kohli (2009) explained that the implication of good practices in legal and

ethical issues by the company will be fruitful for creating good image in the views of local

customers. Brand image has a positive impact on financial performance in the sense of improved

customer loyalty, improved organizational culture and attracting and retaining employees in the

organization. It can be stated that sound brand image improves cohesiveness in workforce and

enhances good reputation of company in the view of public eyes and reduces business cost of the

company.

Marketing Mix:

Before exploring the impact of the marketing mix on brand image, and consequently

consumer purchase and loyalty, we here present a short review of important elements of

marketing activity.

Company uses marketing mix in order to develop competitive advantages from the global

market. Marketing mix of the company helps to create value for customers in global marketplace 16

that helps the company to retain their international as well as domestic customers. Companies

target their potential customers and serve their products and services in target market that help

them to improve their product, promotion, price and distribution mix. Through this marketing

mix, company is able to add the value to the products and services to attract more customers and

to compete with the competitors due to possessing competitive advantages (Lamb, Hair and

McDaniel 2008, p.246).

According to Botha, Strydom and Brink (2005) the marketing mix offers a firm a means

to achieve competitive advantage. A company’s approaches to integrated marketing activities

and strategies to achieve organizational goals help it to satisfy the customers and penetrate in

new market more effectively than competitors. The marketing mix is combination of different

marketing tools that are useful for the companies to get their marketing objectives in the target

market. Cant, Strydom and Jooste (2009) supported views of Botha, Strydom and Brink (2005)

and stated that marketing mix strategy involves preparation of an offering mix of products,

services and prices and utilization of a promotion mix of various promotional tools to reach the

trade channels and the potential customers. The four Ps represents the seller’s view of marketing

tools available for influencing buyers.

In the views of Doole, I. and Lowe, R. (2008), companies have to manufacture the

product as per the needs and wants of their customers. To decide the price of the product is a

very crucial work. The executives have to look different aspects to make a proper and convincing

price to the product. Distribution channel can defined as a set of independent institutions

participating in the marketing activities involved in the flow of goods or services from the

manufacturer to consumers. The distribution mix is the combination of decisions relating to

marketing channels, storage facility, inventory control, location, transportation, warehousing, etc.

Companies can achieve competitive advantages through the shortest than shorter distribution

channel.

Further, Boone and Kurtz (2011) defined that promotion is the process of communication

to inform, persuade, remind and influences consumers in favor of company’s product. The aim

of promotion is to secure the loyal customers and catching competitors’ customers through

cheaper cost. These elements help the organization to create productive marketing strategy and

also attract more customers towards the goods and services. Through effective marketing mix,

organizations can promote their sales by influencing the decision making of customers in

positive way that is helpful to improve their performance in the market and achieve maximum

market shares in domestic as well as in international market (Ferrell and Hartline 2010, p.190).18

These elements of marketing mix can be also explained in other aspects in terms of 4Cs

of marketing that are customer, cost, convenience, and communication. In order to describe the

product, it is necessary to understand the needs and preferences of the customers. Pricing can be

replaced by cost that can influence the purchasing behavior of the customers and can be helpful

to compete with other competitors. The convenience element can be taken in preference of place

mix of the marketing. Convenience can be considered in relation to buying process, searching a

product and finding the information about a product. In this global era, it is very easy to place the

product and services to customers at global level through use of internet and advanced

technology. Communication replaces the promotion mix of marketing. Communication is broad

term of promotion that includes different advertising tools like public relationship, personal

selling, direct marketing, media advertising and viral advertising to communicate with customers

(Lao 2011, p.311).

2.3. Role of Marketing Mix to Strengthen Brand Image:

As per the views of Michael (2010), an effective marketing mix also helps the

organization to effectively advertise the product at the international level. Appropriate marketing

mix helps the organization to define products and services in suitable manner to the customers

that have impact on purchasing process. Through this, companies can promote their product as

per needs and preferences of the customers that influence the buying decision of customers

positively. With the effective use of marketing mix elements, organization can provide products

and services at the exact time to the right person that helps to improve organization’s

performance.

It is supported by Huang and Sarigöllü (2012) that marketing mix decisions are made for

influencing the trade channels as well as final consumers. Marketing mix strategy shows the 19

preparing an offering mix of products, services and prices and utilizing a promotion mix of sales

promotion, advertising, sales force, public relation, direct mail, telemarketing and internet to

reach the trade channels and the target customer. The firm can change its price, sales force size

and advertising expenditures in the short run. It can develop new products and modify its

distribution channels only in the long run. From a buyers point of view each marketing tool is

designed to deliver a customer benefit.

According to Heding, Knudtzen and Bjerre (2009), product concept is considered, as

consumer will favour only those products, which have better performance, innovative, design &

features. As a result companies focus more on product & try to add new features and models in

the product. Companies concentrate on the research and development, scientists, engineers, and

technicians have a major role to play. Demand of more needed features in the product according

to customers helps the company to build brand image in the market. In product mix, companies

focus on product differentiation as per needs and preferences of the customers that help them to

provide innovative products. It is very helpful for the company in generating a distinct image in

the market.

In oxford, company has built effective marketing strategy to stay ahead of competition. In

this concern, company is using effective marketing mix strategies including product, price, place

and promotion. Lamb, Hair and McDaniel (2008) stated that in order to build brand loyalty,

marketers design the product in such a way that they could provide additional benefits or

physical attributes beyond the customers’ expectations. Throughout the world company has

developed a broad range of Vodafone branded handsets focused on mobile internet experience.

Company designs all these products in a way that is effective in order to create differentiation

from competitor’s product.

The Android-powered Vodafone 845 and 945 are driving mobile internet into the prepaid

segment in a competitive manner. At the same time, the Vodafone 553 accelerated the

widespread use of QWERTY devices and related messaging and social network trends (Annual

Report 2011). It has also offered devices like the Vodafone 543 that are powered with Opera

Mini. This device enables customers to enhance mobile internet browsing experiences even on

low bandwidth connections. Company is also using all these products in Oxford in order to build

a strong customer base for its offerings.

Stanković and Djukić (2006) stated that pricing decision has strategic importance in any

enterprise. Pricing is the very feasibility of any marketing program because it is the only element

of a marketing mix that accounts for demand and sales revenue. Price is the only variable factor

that determines the revenue and income for the company. A company, which is able to provide

quality of products or services at lower cost than its competitors in the market, can make a sound

image in the views of customers.

Vodafone is also using cost efficient pricing strategy in Oxford to attract potential

customers for its services. Pricing decision for company’s product are influenced with different

factors such as competition, changes in macroeconomic condition and regulatory decisions and

legislation on mobile termination rates, international roaming charges and the availability and

cost of spectrum (Annual Report 2011). With the consideration of all these factors, company is

determining the price of its product or services in Oxford.

Bennett (2009) asserted that physical distribution is the delivery of products at the right

time and at the right place. Distribution is concerned with various activities such as movement

and storage of goods. A manufacturer may directly carry goods to the customers or use

intermediary i.e. wholesalers, dealers and retailers. The marketer’s uses distribution channels to 21

display, sell or deliver the physical product or services to the buyers or users. An effective

distribution channel mix helps to make available the goods and services to the customers in well

manner.

Vodafone is also implementing effective place strategies in order to enhance the

customers’ reach in the international market. Currently, Vodafone group is introduced a new UK

distribution strategy and structure. According to PR Newswire (2012), a new division, Vodafone

Distribution Limited, has been established and Peter Bamford has been appointed as managing

director. The new division is divided into three parts such as Vodafone Retail, Vodafone Connect

and Vodafone Corporate. Each business unit focuses on a separate distribution channel and

provides services to a particular type of customer. Through merger of company’s existing inhouse service provision companies: Vodac, Talkland, Vodacom, Peoples Phone, Vodacall and

Astec Arre Company have built this new division (PR Newswire 2012). This division will enable

the company to reach many Oxford customers in an efficient and effective manner.

Cravens and Piercy (2009) explained that availability of products with ease helps to

create brand value for the company at global level. Promotion is the persuasive communication

about the products by the manufacturer to the public. Firms undertake promotion work

advertising, publicity, personal selling, etc., which are the major activations. Through this, the

public may be informed of the products and different social activities of the companies that help

them to increase brand image in the domestic and international markets. Through positive

publicity, company can create a positive brand value in the industry. It can be possible by

participating in different social activities and implementing green marketing because it gives

positive message to the public about company’s image. 22

In this concern, Vodafone Company has also adopted effective promotional strategies

worldwide. According to Amis and Cornwell (2005), Vodafone has the flexibility to customize

marketing communications including sales promotion and advertising by connecting these

properties to enhance effectiveness in individual market or to support a localization strategy. In

more than 18 countries, company has an established mobile advertising business with a wide

range of capabilities.

In the views of Goldman (2010), the companies should not only sell their product in the

market but also they should provide after sale service too. Through this effective way of

promotion, they gain reputation for their product. An effective presentation of promotional tool

helps the company to maintain unforgettable image in the mind of customers. Sometimes,

companies use emotions and humours in their advertisement that assist them to connect with the

customers directly. With advertisement, it is very necessary for the company to provide quality

services to the customers otherwise its brand equity can be affected. It can be stated that a

marketing mix helps to divide the mass market in different segmentation such as customer needs,

wants, demographics, life style and behaviour etc. that is very crucial for the company to build

brand value in the market.

Acceptance of smart phones devices by most of customers is promoting mobile as an

alternative to reach consumers and Vodafone is also collaborating with other mobile network

operators in order to make easier mobile advertising. In Oxford city, company is also using

several promotional tools such as advertising including television, newspaper and magazine,

direct marketing and other internet marketing tools (Annual Report 2011).

This is supported by Brady (2010) that marketing mix strategy including diversification,

extension of site locations, improvement in public relation and discounts on price helps the 23

organization to gain competitive advantages from the market and compete with the other

companies in domestic and international market. An effective marketing mix strategy is build on

the basis of cultures and traditions of different countries that enables the companies to expand

their business in outer countries without any hurdle and make goodwill in global market.

Through this, organization can be able to attract global customers due to analyzing their

purchasing behaviour that is influenced by their culture and values.

With the help of effective marketing mix strategies, organizations can create value for the

customers in global market place that help them to retain their domestic as well as international

customers. Codita (2010) suggests that by adopting proper marketing mix, companies can create

sustainable image of brand that helps them to compete with other market players in the market. It

helps the company to increase the reliability and attractiveness of the products and services in the

market. Organizations can achieve maximum revenues and favourable customer perception

towards their products.

According to Kurtz, MacKenzie and Snow (2009), the brand equity can be made by the

companies through setting the customer-centred values in their production. For instance, a firm

manufactures and makes available high quality goods to the global customers anywhere across

the world at minimal cost with excellent customer service. These all perspectives are included in

a marketing mix for the company that help to make a different value of the organization for the

customers. In a marketing mix strategy, organizations manage resource allocation to implement

these perspectives in their business that facilitates to get a strong reputation among customers.

Good relationship with media like news papers, news channels, etc. is also a part of promotional

mix strategy that reiterates good attributes and values of the company in front of public. It

improves brand equity and public relations.