Based On The Customer Perspective Of Sales Promotion On Brand Equity Research

Building high brand equity is the current goal of many companies. This is due to the fact that high brand equity has been found to lead to higher prices (Firth 1993), greater market share (Park & Srinivasan 1994), more responsive advertising and sales promotions (Keller 1998), earlier market penetration (Robertson 1993) and more efficient product line extensions (Keller & Aaker 1992). It is not hard to understand why brand equity has emerged as a central concept in marketing over the past 20 years.Although the researchers have done many studies on the impact of brand equity, researchers have not devoted the same considerable attention to addressing how brand equity may be built through marketing activities. Specifically, in our opinion, building brand equity appears to be worthy of investigation in the context of sales promotions.In the past, some researches has traditionally posited that sales promotions erode brand equity. Such conclusions were concluded because on the one hand researcher bias on select the types of sales promotion, and the other hand is too from the perspective of the companies. Indeed, the most recent practices in the industry diverge from the general academic view that sales promotions destroy brand equity (Mela et al. 1997; Yoo et al. 2000). For example, some companies differentiated and modernized the image of its, building brand awareness and brand excitement brand by sales promotions.Thus, it would appear that, apart from the traditional goals assigned to sales promotions (e.g price-discriminate), they are also used in the industry as a brand-building activity. This brings us to the question of whether this sales promotion tool is appropriate for building brand equity. Consequently, the purpose of the present study is to provide answers to the following research questions.1,As one tool of the promotion mix, can sales promotions build brand equity?2,which type of sales promotion(monetary or non-monetary) , is more effective for building brand equity?3,How does the type of product, country of origin or involvement affect the effectiveness of monetary and non-monetary promotions for building brand equity?4,Is why consumers to buy sales goods only interests of "savings"?5,Benefits consumers gaining from the sales promotion will help them raise the promotion brand? To provide answers to these questions, the rest of the paper is organized as follows.Chapter 1 briefly describes the importance for building strong brand equity and attaching importance to sales promotion by company, and made the initial relationship between them. At the same time it nails down targets and scope of this, and also outlines the framework of theoretical analysis and research methods.Chapter 2 focuses on the theoretical review for brand equity, sales promotion and the relations between them. Based on existing research literature, we inspected the dimensions of brand equity, types of sales promotion tool and its classifications which basis on monetary. Also it gives a review and analysis on t several mediators (product type, country of origin effect involvement).In the third chapter, we will firstly inspect the mechanism about the impact of sales promotion on brand equity with previous theoretical results, and constructs the concept model for impact of sales promotion on brand equity from the perspective of customers. This chapter firstly analyses the perspective of this study, and then defines conceptions of the model. Finally conceptual model is put forward.Based on the model, Chapter 4 proposes the research hypothesis. In order to prove the hypothesis, we do a wide range of related research designs to ensure its scientifity and operability. Finally, the pre-test of questionnaire and research methods is proposed.On the basis of the data of the questionnaire, chapter 5 firstly compared the sales promotion and no-sales promotion, and then different types of sales promotion are compared. Finally the product type, country of origin, involvement, as the mediators, is analyzed with variety of sales promotion context. We mainly use the SPSS13. 0 statistical software to analysis and test the hypotheses on chapter 5 with the survey data.Chapter 6, we account for the practical significance of this study in the management and the applications in the practice.Chapter 7, the study were summarized for this study. We review the academic value and practical significance of this study, and also pointed out the limitations of this research, as well as the next direction of research.Based on the results obtained, sales promotions can be used to build brand equity because the individuals exposed to promotion stimuli evoked greater brand awareness, brand image, perceived quality and more brand loyalty (H1). Taking into account the type of promotion, the results obtained in H2 provided empirical evidence that non-monetary promotions are more customer franchise building brand equity.Thirdly, when examining the performance of the two types of sales promotion in two different product categories (H3, H4), the interesting finding is the direction of congruency effects between product and promotion types. Specifically, the results show that monetary incentives are more effective for utilitarian products while non-monetary promotions are more effective for hedonic products. This result is also in line with the practices in the market.Fourth, with the country of origin effects (H5, H6), we found that the monetary sales promotion and non-monetary sales promotion have more activities on the foreign brands than domestic brands. The reasons maybe are, in general, because we look the international brand as high quality that make us not drop a negative idea for prices falling, but it will bring them the "benefits" and then to buy the brand.Fifth, taking the level of involvement as a mediator (H7), we found the high degree of involvement did more activities than low involvement. For low-involvement, raising brand awareness is the chief effectiveness for sales promotions.Finally, we do not agree that consumers will buy the promoting brand just for "saving". Our research shows that consumers in addition to the "saving" from sales promotion, but also can get many other beliefs, including Convenience, entertainment, exploration, value expression and so on. These beliefs can enhance their evaluation for the promoting brand (H8,H9) .Our conclusions have enlightenment and exploration value not for academic community but for practice.