The Relationship Between Retail Brand Knowledge and Loyalty in Taiwan—An Exploratory Study

Abstract

The research topic aims to review the relationship between retail brand knowledge and loyalty, as well as the relationship for both key components (i.e., brand awareness and brand image) in retail brand knowledge in Taiwan by applying Keller's brand knowledge model. The research questions were: H1: retail brand awareness has a positive effect on retail brand image; H2: retail brand awareness has a positive effect on consumers' retail brand loyalty; and H3: retail brand image has a positive effect on consumers' retail brand loyalty. A questionnaire survey was conducted amongst hypermarket customers of the three major retail brands: Carrefour, RT Mart, and Costco, comprising 465 participants in Taiwan using the convenience sampling method. Interviews were randomly conducted in front of the stores themselves and of the total of 465 responses, 51 were discarded due to missing values leaving a total of 414 analysed. The sample comprised males 51% and females 49% with the majority of respondents under 35. The results of this study indicated that retail brand awareness and retail brand image both have a positive effect on consumer retail brand loyalty. That is to say, retail brand knowledge has a positive effect on consumer retail brand loyalty.