Discuss the concept of escalating levels of commitment to a brand. How do consumers progress in loyalty to a brand?
What will be an ideal response?
At the lowest level, consumers really have no loyalty to a brand and will switch brands for any reason. Moving up, though, consumers look at brand performance and imagery, focusing on what it does for them. The next level is more emotional, with consumers forming beliefs about the brand and having emotional reactions to it. The highest level of brand loyalty occurs when consumers bond with the brand and feel they have a real relationship with it. This relationship may be based on one of many different kinds of attachment, such as self-concept, nostalgia, interdependence, or even love.
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According to the law of large numbers, what should happen as an insurance company increases the number of loss exposures that it insures?
A) Fewer losses should be expected to occur. B) The amount of premiums needed to cover losses should decrease. C) The volatility of the insurance company's underwriting results should increase. D) The difference between actual and expected results should decrease.
Which of the following is an advantage of an effective design?
A) The design helps to eliminate ineffective tone B) The design helps guide the reader through the message C) The design acts as a barrier to poor communication D) The design replaces the nonverbal messages for the reader E) The design minimizes the effect of production quality