2.2.6 The Brand Pyramid-Building Customer Loyalty

When you choose a brand instead of another, it can help you to know « who you are ». The brand loyalty can be created by an emotion and this inspires repeat purchase.

Millward Brown, a global marketing research and consulting firm, in the mid-1990s, created the original version of the brand pyramid.

1st level: PRESENCE

At this level, customers know the brand but they don’t have any emotional attachment for this brand.

2nd level: RELEVANCE

At this level, customers begin to ask us if the brand can answers our needs or wants. They try to evaluate the rapport quality/price.

3rd level: PERFORMANCE

At this level, customers compare this brand with other brands. They want to know if the performance of the brand is ok or if another brand is better for their expectations.

4th level: ADVANTAGE

At this level, customers decide that it’s better for us to use this brand compared with the others. They begin to associate the brand with their emotions.

5th level: BONDING

At this level, customers crated a very important link with the brand who takes part of their own-way. They are ok with the price, the quality, the performance … They have a strong emotional attachment to the brand. They can use the brand to show who they are, their self-image. They exclude others brands in favor of this one. They can try to convince family, friends, and colleagues to use this brand.

 

This brand pyramid can be used in order to developing a market strategy for the brand, product and the service. You have to understand the five steps to build a loyalty for the brand. Then you just have to focus on your marketing efforts for the target customers. It is very important to build a customer loyalty to ensure the survival of the brand.

2.3 Organisational Management Theory

This Organisational Management model illustrates that a organisation should choose their managerial decisions, bring across their values and use the knowledge in a focus upon the customers. The company can either work in a way that is suitable for its customers or even better, try to look from the perspective of a customer. Therefore, it is important for organisations, also for the Art Factory to figure out, how they see the company and what are their opinions about it. Right now the authors of this research think that the Art Factory is working in their customers in mind, but the organisation lacks some research about, what the customers actually want and how they perceive the company and its brand. A company should be flexible and able to adapt to what the customer thinks and wants.

3. Research approach& methods

3.1 Research approach

For this research a mixed approach is chosen consisting of both qualitative and quantitative types of research. The main approach is going to be the quantitative research, but the authors have decided to add details for qualitative research. In order to gain a better insight into the customers’ opinion of the Art Factory Brand and the shopping street, a qualitative approach is necessary. On the other hand the quantitative approach will enable us to have a broader and more objective view of the case. Further in this chapter the different methods will be explained.