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IRJMSH Volume 5 Issue 2 [Year 2014] online ISSN 2277 – 9809
International Research Journal of Management Sociology & Humanity Page 870
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IMPORTANCE OF BRAND NAME IN CONSUMER DECISION MAKING
PROCESS
MAIN AUTHOR: AKSHAY MISHRA
CO-AUTHOR: OM DUTT
INTRODUCTION
The English word „brand‟ comes from an Old Norwegian word BRAN DR. It means
„to burn‟. At that time, the word „brand‟ was actually used to identify animals from a one
herd owner (Aaker, 2003)
“A product is something that is made in a factory, a brand is something that is bought by
a customer. A product can be copied by a competitor, a brand is unique. A product can be
quickly outdated, a successful brand is timeless” (Quiston, 2004, p 345).
“A name, term, sign, symbol or design, or a combination of these, that is intended to identify the
goods and services of one business or group of businesses and to differen-tiate them from those
of competitors” (Bennett 1995)
The definition above is one of the numerous descriptions of the word brand. Essentially, brand is
a way of differentiating a company‟s goods, or services, from those of its competitors (Kotler
2009, 425).
Brands not only represent the product or company but also have a strong relationship
with perceived quality, consumers‟ life style, social class, taste etc.
Brand is a combination of name, symbol and design. Brands represent the customer‟s
perceptions and opinion about performance of the product. The powerful brand is one that has a
image and resides in the mind of the consumer. Brands differ in the amount of power and worth
they have in the market place. Some brands are usually unknown to the customers in the
marketplace while on the other hand some brands show very high degree of awareness. The
brands with high awareness have a high level of acceptability and customers do not refuse to buy

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such brands as they enjoy the brand performance. Some brands commend high level of brand
loyalty.
Brands play a very important role in the consumer decision making processes. It is really
important for companies to find out customer‟s decision making process and identify the
conditions, which customers apply while making decision (Cravens and piercy, 2003). Marketers
are highly concerned to know how brand names influence the customer purchase decision. Why
customers purchase a particular brand also implies how customers decide what to buy.
Customers follow the sequence of steps in decision process to purchase a specific product. They
start realizing a requirement of product, get information, identify & evaluate alternative products
and finally decide to purchase a product from a specific brand. When customers purchase
particular brand frequently, he or she uses
his or her past experience about that brand product regarding performance, quality and aesthetic
appeal (Keller,2008).
OBJECTIVES OF THE STUDY.
The purpose of this paper is to find out what role a brand name plays, when people go for
purchasing and choose the products between
different brands.
Now a days,brand name plays a great role in consumer decision making process as they trust a
brand for its quality,reliability and status in the society.
Consumers,especially in big cities,are well educated regarding the available brands and their
products.
The primary focus of this study is to determine the importance of a brand name in purchase
decision of a consumer.
It also takes into account the attributes,a brand should have ,in order to be preffered by a
consumer.
Supportive objectives can be:
1.To acquire knowledge on consumer decision making process.

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2.To know about various considerations about brand and its selection.
3.To identify the impact of brand name on consumer decision making regarding purchase of a
product.
As the connection within brand and consumer behavior seems very interesting and appealing, the
purpose of this paper is to create deeper consideration of “what brand is”, as a concept, and
“what brand does”, as a factor, in buyers‟ decision making process.
The aim of this work is to study how brands affect customer behavior and its gradual
involvement during the purchasing process.
REVIEW OF LITERATURE
The study focuses on the brand and its links with consumer decision making process regarding
purchase of a product.
THE PURCHASING FACTORS: BRAND AWARENESS ABOUT THE PRODUCT.
“When a brand is the combination of a name and an image, a successful brand is what the
consumer believes the closest match to own needs (or desires) through uni-queness” (De
Chernatony & McDonald 1998).
The purchase of a product is both mental and physical activity (Sheth & Mittal 2004, 14). These
activities are called behaviors, and their result is a combination of variety determinate by the
relation within the type of customer and his/her role
Brand awareness
The brand awareness is not the simple acknowledgment of a brand. More the brand is well-
known, than more consumers are inclined to buy its products. In this sense, the awareness is not
just concerning the fact that a brand exists; it includes knowing and recognizing its image and
product range. The brand awareness is the fundamental first step to achieve any brand loyalty.
The first stage of brand awareness is its recognition. The recognition does not involve
necessarily the place and the reason a person remembers a brand; it also does not concern the
brand merchandise or product range. The recognition of a brand happens especially thanks to the
logo. Other efficient tools are layouts and packaging. The concept of brand recognition is strictly
linked to brand associations
Factors important for brand awareness:

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1. Brand Name
The brand name is very significant choice because some time it captures the central theme or key
association of a product in a very condensed and reasonable fashion. Brand names can be
extremely successful means of communication. Some companies assign their product with a
brand name that in reality has nothing to do with the emotional experience but is catchy and a
name that people can easily memorize. The core base of naming a brand is that it should be
unique, can be easily discriminated from other names, easy to remember and are attractive to
customers (Keller,2008).
2. Logos and symbols
Logos and symbols have a long history which shows brand identification of the company.
There are different types of logos, which are unique from corporate names or trademarks. Logos
and symbol are easy way to recognize a product. It is a greater success if symbol and logos
became a linked in memory to corresponding brand name and product to increase brand recall.
Customers may perhaps identify definite symbols but be unable to link them any particular brand
or product (Keller). Logos helps companies to develop the brand equity through raised brand
identification and brand loyalty. Logos are very important assets, companies spend enormous
time and money to promote brand logos and symbols.
3. Attention
The role of attention in guiding consumer decisions is often overlooked. However, it is
arguably one of the best predictors of consumer choice. If a product does not receive at
least some attention, it is very unlikely to be chosen - the old adage is true - unseen is
unsold.
It is estimated that we do not pay any attention to nearly half of the available brands during
purchase consideration (Russo et al, 1994). Most products only get a quick cursory glance, and
only a privileged few really hold our attention. Research shows that the more attention a product
receives, the more likely it is to be chosen (Chandon et al, 2002).
Given the importance of attention on consumer choice, it is important to understand how
branding influences attention. Attention can be measured very accurately using eye
tracking technology. Eye tracking provides a measurement of which elements in an array

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receive attention and for how long. Because it is a measure of actual behaviour, which is
not subject to conscious control, it is very accurate at establishing attention towards, and
preference for, brands.
4. Recognition
Branding ultimately works as a signal. It allows consumers to quickly recognise a product
as one they are familiar with or one they like. It acts as a memory cue, allowing consumers to
retrieve relevant information from memory. This information may be about past experience of
the brand, brand perceptions or brand associations. The information we have stored about brands
is crucial in guiding our decisions. Brands that are recognized more quickly and easily are liked
more and ultimately chosen more (Reber et al, 1998,Winkielman et al, 2000)
5.Packaging
Branding on packaging facilitates these memory processes, giving consumers the
information they need quickly and efficiently. The speed with which consumers can find
and recognise products is crucial in determining their decisions. A wealth of research on
processing fluency suggests items that come to mind quickly and easily are liked more and
perceived to be of higher value (Reber et al, 1998, Winkielman et al, 2000).
Branding on packaging acts as an important cue to guide consumer choice in the retail
environment. From a psychological perspective, branding on packaging serves two
important purposes, crucial to decision making:
1) It guides consumers attention, drawing attention to certain brands.
2) It allows consumers to recognise and find familiar brands
Perceived Quality

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It is an essential characteristic for every brand; perceived quality defines a customer‟s
perception and the product‟s quality or superiority. The perceived quality provides fundamental
reason to purchase. It also influences brand integration and exclusion to consideration set before
final selection. A perceived quality provides greater beneficial opportunity of charging a
premium price. The premium raises profit and gives a resource to reinvest in the brand.
Perceived quality will enable a strong brand to extend further and will get a greater success
possibility than a weak brand.
Perceived quality has a greater influence in a customer‟s purchasing process and in brand
loyalty.This influence is very important when customers are in a condition, which makes them
unable to make an analysis of the quality. Perceived quality can be used as a helping tool when
company intends to utilize a pricing strategy with premium price and further extend a brand in
several markets (Aaker, 1991).
Percieved quality gives the advantage of better recognition and re-purchase of the
product.Percieved quality in turn make a consumer brand loyal and also increases word of mouth
advertisement.
Brand knowledge
It is a ratio of brand identification in various conditions. It is possible to measure it in different
ways (Keller, 2008):
・ S imple identification (Have you seen this brand?) – it shows the fact that the
consumer knows the brand.
・ M emory (Which brands of the product can you name?) – it shows that the
consumer remembers some brand related to some product.
・ Dominance – the first and the only brand the consumer prefers in their mind and the stage of
brand loyalty.
Consumer decision making

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Consumer behavior mainly describes how consumers decides to spend their various
resources like time, money etc. on various products so as to meet their needs and requirement.
Consumer behavior encompasses study of what, when, why and where the consumers will buy
their products. It also focuses on how often the consumers use the products. Furthermore, it also
sheds light on how the consumers evaluate the products after the purchase and the effect of
evaluations on their future purchases (Schiffman, 2005).
The consumer decision making process includes different steps a consumer takes to purchase a
product. If customer wants to make a purchase he or she takes a sequence of steps in order to do
complete this purchase. Problem recognition includes when consumer realizes that there is a
significant difference between the current state and ideal state.
Then the problem arises and consumer thinks there is some problem to be solved. The problem
may be small or big. In the second step, the consumer seeks information about the product. The
extent of information search relies on the level of consumer involvement. In case of expensive
products, the level of involvement is high.
The buying process is a combination of mental and physical activities that ends with an actual
purchase almost daily. Thus it is interesting to study the connection within “what we buy” and
“why we buy it”. In this scenario, brands play a leading role in customer decision making
In todays cluttered retail environment, consumers are overwhelmed with choice.
In order to make such fast decisions, consumers need to use mental shortcuts, or
heuristics, to guide their choices. Certain cues present in the environment guide shoppers
attention and aid their decision making in store. Often consumers are not conscious of the
cues or the mental shortcuts they have used to arrive at a decision.
Perhaps the most powerful mental shortcut available to the consumer is branding.
Branding on packaging allows us to quickly and efficiently select from a huge array of
products. Specifically, branding draws consumers attention to certain products; it allows
them to recognise familiar products and serves as a cue for retrieving stored information

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from memory about those products. Understanding this important role of branding in
decision making is the broad aim of the current research.
In present days, brands not only represent the name or the symbol of the company that produce
products (or provide services). Nowadays consumers are so genuinely connected to brands that
when they purchase any product (or utilize any service), brands so often influence their final
choice.
In order to fully understand consumer choice, it is necessary to understand the underlying
psychological mechanisms that guide those choices, that is the conscious and
unconscious factors that influence decision making. Different types of branding practices
can effect consumers choices in a number of different ways. First, branding can influence
whether consumers notice a product or not, that is, how much attention is paid to a
product. Second, branding can influence whether and how quickly consumers recognise a
product. This recognition and subsequent memory retrieval then have a knock-on effect on how
consumers feel about that product. These areas, attention and recognition, are crucial predictors
of decision making. By understanding the impact branding has on these
processes, we will be able to reveal how branding works to guide purchase decisions.
It‟s true that a consumer may not necessarily go through all the decision making steps for
every purchase he or she makes. At times, consumer makes his or her decision automatically and
the decision may be based on heuristics or mental shortcuts. Other times, in case of high
involvement products consumer may take a long time before reaching a final purchase decision.
It depends on consumers‟ importance of the products like purchase of a car or home. More over
consumers try to make an estimated brand universe on the basis of available information about
the brands, and to make an estimated the utility function on the basis of past consumption
experience (Solomon, 2006).
~BRAND NAME + LOGO + PACKAGING-------ATTENTION.

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~USE + PERCIEVED QUALITY-------RETENTION.
~ATTENTION + RETENTION-------PURCHASE BY BRAND AND RE-PURCHASE.
~PURCHASE + RE-PURCHASE-------BRAND KNOWLEDGE AND BRAND LOYALTY.
METHODOLOGY OF THE STUDY
The research method for this thesis was qualitative. Nevertheless, no questionnaire was prepared.
The data gathering and the results were based on literature (either books or online material).
CONCLUTION
The main purpose of the current paper was to study and analyze the role of brand in consumer
behavior. In fact, although intangible, brand seemed most important factor that can influence our
decisions during a purchasing process.
To sum up, brand awareness is a progressive process that influences the final decision when the
customers are already brand, and not product, oriented. Further more, people are much attached
to the branded products, as majority of the people purchase the branded products with the belief
that brands show their status and life style in the society.
From the consumer point of view, a strong and reliable brand means tranquility. In fact, if a
customer is fully satisfied with a certain product, he/she will easily choose the same brand for
further purchases. The brand in his/her head transmits quality, trustworthiness, satisfaction to
expectation. The consumer will once more trust the brand that has respected all his/her
expectation (or even more) and he/she will not take the risk to purchase a different product.
FUTURE RESEARCH SCOPE
This study gave a general idea as to how brand plays an important role in consumer decision
making regarding any product and how does various attributes of brand affect or enhance it.

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Further,cases of specific products like consumer durables,expensive products etc.can be taken
and can be analyzed for product specific results or industry specific results.
REFERENCES
1. Aaker, D.A. (2003). Brand Building. Praha: Computer press.
2. Aaker, D. A. (1991). Managing Brand Equity, Capitalizing on the value of a brand name.
New York Free Press
3. Bennett, P.D. 1995 Dictionary of Marketing Terms. 2nd Edition.
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4. Chandon, P., J. Wesley Hutchinson, W. & Young, S. (2002). Unseen is unsold: Assessing
visual equity with commercial eye-tracking data. Working paper no. 2002/ 85/MKT,
Fontainebleu: INSEAD
5. De Chernatony, L. & McDonald, M. 1998 Creating Powerful Brands. 2nd Edition
Butterworth Heinemann. Oxford
6. Keller, K. L., (2008) Strategic Brand Management, Second Edition, Prentice Hall of
India,New Delhi
7. Kotler, P., Armstrong, S., ((2007) Principles of Marketing, Prentice Hall of India, New
Delhi
8. Kotler, P., Keller, K.L., Brandy, M., Goodman, M. & Hansen, T. 2009
Marketing Management. Pearson Education Limited. Essex (UK)
9. Quiston, D. H. Mc (2004). Successful branding of a Commodity Product: The Case of
RAEX LASER Steel, Industrial Marketing Management Vol 33, p.345-357
10. Schiffman K. (2005), Consumer Behaviour, Eight Edition Prentice Hall of India, New
Delhi
11. Russo, J., Edwards, J. & Leclerc, F. (1994). An eye-fixation analysis of choice processes
for consumer nondurables. Journal of Consumer Research, 21, 274-290.
12. Sheth, J.N. & Mittal, B. 2004 Customer Behavior: A Managerial Prospective. 2nd Edition
South-Western. Mason (USA)

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13. Solomon M. R., (2006) Consumer Behaviour, Seventh Edition, Prentice Hall of India, New
Delhi
14. Winkielman P., Schwarz N., Reber R., and Fazendeiro T. A. (2000) Affective and Cognitive
Consequences of Visual Fluency: When Seeing is Easy on the Mind. In: Visual Persuasion(ed.
R. Batra), Ann-Arbor Michigan.

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