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Brand Strategy for the Supermarket Industry in Hong Kong
Chapter one
Introduction
There can be arguments to certain brand management and its development catering to the
supermarket Industry in such practice can be presence of such branding system of retailing in Hong Kong.
And there can be important brand strategies in placed for the supermarket industry within Hong Kong and
the globalization of the supermarkets. This study is related to the module of Brand Management and there
is the consideration as well as assessment of supermarket in Hong Kong, specifically the Park n’ Shop
Supermarket as a case study which can be subject for discussion and analysis.
Also, Supermarkets in Hong Kong are delivering such a diverse offering to the marketplace from
better goods and services in specific price and quality within such brand recognition and its significance
to the industry. The Supermarkets in Hong Kong is one of the pioneer industries in terms of branding
strategy utilization as geared towards several ideal advances in Supermarket business in Hong Kong and
the brand management in which marketing and operational environment through innovation are
stimulated along with variations of the Hong Kong supermarket chains.
From the point of view of marketing strategy, Varadarajan criticized the extant literature for lack
of international orientation, as most studies were in the context of such business. The fact casts doubt on
the generalization of strategy-performance relationships to the larger international context (Varadarajan,
1999). Thus, Varadarajan argued that the cultural aspect in the strategy formulation process in
international contexts is not well researched, even though this issue is critical within increasing globalised
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markets. There is the need to fill research gap on the understanding of the strategic role brand plays in
benefiting the firm financially at both the domestic and international levels (Malhotra1999). In other
words, the relationship between brand performance and financial performance needs to be further studied
in order to measure and understand the brand's strategic importance. The paper thus seek to critically
examine Brand Strategy and other related concept for the Supermarket Industry in Hong Kong
Statement of the problem
The concept of branding has come out to be deemed by management of any organization as a top
priority (Chaudhuri 2001). Additionally, it has been categorized together with the human workforce to be
the most valuable assets within an organization. Similarly brand building/development is a long process
that utilizes a lot of resources and cannot be separated from advertisement and strong marketing
strategies.
Organizations have resorted to branding with the belief that it will save them from failing as it
will enhance the value of the product/organization. However, many of these organizations fail to have
prior knowledge that adequate planning is key to successful branding (Kotler 1997). For this reason, long-
term promotion prop up for a brand, on the basis of definitions of the distinctiveness of the target
consumers is necessary. Additionally, understanding of customers preferences, aspirations and
expectations from the brand need to be considered.
In Hong Kong, supermarkets are industries seem to be utilizing branding in their day to day
running of their business. However there has not been a comprehensive study that has linked branding in
supermarkets in Hong Kong and their performance, success and value. This thus lays ground for the
study.
Purpose of the study
The purpose of this study is to critically examine Brand Strategy and other related concept for the
Supermarket Industry in Hong Kong. The researcher’s main goal is to bring to light how Hong Kong
supermarkets develop brands, manage and use in fostering its performance and success.
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It is has come to the knowledge of business organization that there has been dramatic change in
customers preferences, needs and aspirations. This has left the business world to be very competitive and
counter these business entities have adopted a myriad of strategies among them branding.
Additionally, this research is carried out to fill the gap that did not explain brand strategy, brand
management as well as performance and success of supermarkets in relation to branding. The targeted
audience is those individual shopping at Hong Kong supermarkets particularly Shoppers from Park n’
Shop. The required information and data will be obtained from two main sources; from primary and
secondary sources.
Justification of the study
The research (study) is very important as it will seek to critically examine Brand Strategy for the
Supermarket Industry in Hong Kong. The findings will be of importance to various stakeholders such as
supermarkets, customers as well as other business ventures. Additionally, the research will help fill gaps
pertaining branding in supermarkets.
The research will define what branding is, its elements, history and transition, brand management,
brand development. Additionally, the issue of branding relating to organization performance and success
are brought to light to light.
The findings herein will help the relevant stakeholders to make rational and sound decisions
concerning blended learning. It is worth noting that this will result in ensuring more of our universities
adopt the approach since they will be aware on how it works hence embracing technology which is the
norm to stay competitive in the changing world of technological innovation. This is very important in
determining the future of learners who seek to acquire skills and improve on their quality of education.
Not carrying out this research will clearly depict that branding strategies in Hong Kong
supermarkets will remain unknown to some relevant stakeholders such as customers, business entities.
Additionally, the gaps in the entire concept and topic for instance how to manage supermarket brands and
brand development, elements of brand its association with organizational success and performance, the
challenges facing branding and how they can be addressed might only remain an illusion. This will mean
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that those academic institutions as well as other relevant stakeholders such as future research scientists
will be left in the dark and cannot use the findings to improve learning in branding.
Scope of the study
With clear knowledge that no single study can adequately address all aspects of any given topic,
there is need to clearly establish what the research will address. The scope of this study thus is to
critically examine Brand Strategy for the Supermarket Industry in Hong Kong. This is done by defining
what branding is, its elements, history and transition, brand management, brand development.
Additionally, the issue of branding relating to organization performance and success are brought to light.
Lastly and more importantly, the benefits associated with effective branding are discussed in details.
Through this analysis and data collected from primary sources, proper inference will be made concerning
branding strategy for Hong Kong supermarkets.
It is worth mentioning that the results that will be generated from the study will not only have an
implication on a narrow scope but applicable in not only supermarket in Hong Kong but other such
businesses across the globe. This is possible with some slight adjustments for it to fit the situation at hand.
Research approach
The research employs a mixed study to obtain relevant data and information. A theoretical study,
a research approach in which the goal is to prove/disprove a hypothesized truth or proposed future
research plans that may be carried out in the future but not at the current moment. The choice of this
method was as a result of its simplicity and ease of use. It is important to note that theoretical study calls
for deeper digging of various literatures ranging from journals, publications, books, other forms of
literature and from the internet. Most of the data required will be collected by perusing through secondary
sources of data as well to primary sources.
Qualitative research is also employed in the study; the approach seeks to contextualize the
research by immersing the researcher into the study scenario as well as with the study sample (Yu &
Cooper, 1983). Hypotheses are developed and data is collected and the results tend to be subjective. Case
study as a sub type of qualitative research is used to ensure that the study is flexible enough to give the
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researcher room to investigate issues that were not previously thought of and could be worth being
brought to light. More data will be collected from primary sources which include; observation and
questionnaires (Salganik & Heckathorn, 2004). After establishing the target sample, issues of ethics,
accountability and confidentiality are given a priority before collecting necessary data.
Aims and objectives of the study
The study sought to critically examine Brand Strategy for the Supermarket Industry in Hong
Kong. The objective for this research is to acquire the awareness and knowledge regarding to how the
supermarkets in Hong Kong utilize, address, deal and apply the superb brand strategy and approaches
when it comes to marketing ways in relation to the retailing power from the supermarket industry that
such brand management and imperative aspects will be discussed and explained along with the research
evidence and support to the information and knowledge as acquired. To determine and identify the
branding factors in lieu to the supermarket products and services found in Hong Kong market. Also, to
integrate the empirical structure of research data using appropriate research material and methods
respectively.
The research objectives are;
1. To be able to acquire useful research evidences, information and the finding out of applicable
knowledge of branding as applied in the supermarkets in Hong Kong.
2. To be able to utilize properly case study analysis into the awareness of Hong Kong supermarkets
and the branding application to the business markets.
3. To evaluate the realize the information and data collected from the relevant literatures and the
possible surveys in searching for good brand management relationship that are crucial for
understanding research focus.
Research questions and hypotheses
From these objectives, a number of research questions and hypotheses that aid in carrying out the research
include;
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The research questions that guided the study are the following;
1. What is branding? What constitute a good brand as supported by such management and strategy in
factors pointing to customer value and market operations within the Hong Kong supermarket
industry?
2. What relevance do certain theories provide in the application of brand strategy?
3. Is there a better brand retailing for such innovative paradigm as applying in supermarkets in Hong
Kong? Use Park n’ Shop as a sample in such application of branding strategy and management.
4. What are the assumption that indicates ample supermarket demand in branding creation and influence
over the Hong Kong market?
5. Does the brand strategy impose as an ideal tool for the success of the supermarket industry in Hong
Kong?
Hypotheses from the research questions to be investigated are;
The relationship between brand strategy and marketing:
H1. Brand strategy is positive determinant of brand performance.
H2. Brand strategy is positive determinant of supermarket value.
The relationship between brand management and success:
H3. Brand Management is positive determinant of industry performance
H4. The congruency of marketing ways is positive determinant of brand success
Definition of terms
Brand: A name, term, sign, symbol or design, or a combination of them intended to identify the
goods and services of one seller or group of sellers and to differentiate them from those of other sellers
(Chaudhuri 2002).
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Branding: Has been though as a marketing process or practice of creating a name, term, sign,
symbol or design, or a combination of them for goods and services in the minds of consumers through
advertising campaigns with a consistent them. It aims at establishing significant and differentiated
presence3 in the market with an ultimate goal of attracting and retaining loyal customers.
Supermarkets: this is a term used to describe self-service stores that offer a wider range of food as
well as household merchandise and is in most cases organized into sections. Supermarkets are larger as
compared to traditional groceries but smaller than superstores or hypermarkets.
Brand management: Brand management refers to a process of sustaining, civilizing, and keeping
a brand so that the name is linked with desirable positive outcomes. This process entails several
significant aspects for instance competition, cost, in-store presentation and customer satisfaction (Mooij
1998).
Brand strategy: This refers to long-term marketing support an organization offer to its brand on
the basis of how the target audience or consumers have been defined. The concept include a clear
understanding of an organization as well as customer preferences, aspiration needs, demands and
expectations from the brand.
Mixed research design: It is a kind of research approach that encompasses both qualitative and
quantitative research approach.
Case study: Is a research approach that provides researchers/investigators with flexibility to
pursue area/issues in the research topic that were not initially thought of and factored into the study
(Crook, 1994).
Technological innovation: This has been used to refer improvement of existing forms of
technology that result to development of new products as well as processes. The advent of computers and
the art of man in trying his hands in a number of issues concerning computers have resulted to continuous
change in terms of technology.
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Qualitative research: A research design that seek contextualize a study by immersing the
investigator into the research situation and with the research subjects in which hypotheses are developed
and data are collected and results tend to be subjective.
Information technology: Information technology refers to a process whereby computers and
software are used in management of the information. Information is stored, protected, processed, shared
and can be retrieved when need arise by use of the technology. It is worth noting that it is application is
almost ‘unlimited’ (Skehan, 1999).
Organization of the study
The study is organized in such a way that it depicts the recommended format of dissertation
paper. Five distinct sections are what constitute the whole paper and this design makes it easy for those
who will review it get to relevant section with ease.
Section one which is the first chapter is made up of introduction, background of the study,
problem statement, rationale/ justification of the study, aims and objective of the study, research questions
and hypotheses, and finally definition of terms used in the paper. Each of these subsections is adequately
addressed to give insight to readers of what they expect in the paper.
Section two normally referred to as chapter two is made entirely of all literature that relates to the
study topic. Data concerning branding in Hong Kong supermarket are analyzed and brought to light.
Generally history and transition of branding coupled with its various characteristics and benefits are
adequately discussed. What branding can do for business entities especially supermarkets in Hong Kong
are discussed in details. Similarly, developing a brand is also discussed, issues relating to brand
management as well as branding and organizational performance analyzed, synthesized and linked to the
research topic.
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Additionally, core practices for success that are practiced by school leaders that impact on
success of poverty school are also tackled, the efforts made by the government to ensure that leaders in
such school, plus other relevant information are brought forth.
Section three is the methodology chapter. It entails the following subsections; research design or
approach, description of study area, population and sampling procedures, instrumentation, data collection
procedures and data analysis procedures. Additionally, issues relating to validity, reliability as well as
ethical consideration is brought to light in this chapter.
The fourth section chapter three is results and analysis. It is here that all statistical tests will be
done and represented by use of descriptive statistics. Issues involved include demographic characteristics,
t-test, and correlation and regression test. It is in this chapter that forms the backbone of the paper.
The last section is organized as chapter five and is under the title discussion, conclusion and
recommendation. A recap of the finding is done in this section.
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Chapter two Literature Review
The advent of computers and technological innovation that has faced mankind in the recent past
coupled with varied customers need and aspiration has left the business world to be highly competitive.
For this reason, there are a number of strategies that organizations have used to cut for themselves a
market edge in this competitive business world. The main strategy is branding usually followed by
advertisement and publicity. The concept of branding has come out to be deemed by management of any
organization as a top priority (Chaudhuri 2001). Additionally, it has been categorized together with
human workforce to be the most valuable assets within an organization. It has been argued that brand
building is a long process that utilizes a lot of resources and cannot be separated from advertisement and
strong marketing strategies.
Organizations have resorted to branding with the belief that it will save them from failing as it
will enhance the value of the product/organization. However, many of these organizations fail to have
prior knowledge that adequate planning is key to successful branding (Kotler 1997). For this reason, long-
term promotion prop up for a brand, on the basis of definitions of the distinctiveness of the target
consumers is necessary. Additionally, understanding of customers preferences, aspirations and
expectations from the brand need to be considered.
History and transition of branding
Historically, ‘brand’ was though to mean a hot or burning thing and thus associated with marking
of animals with unique symbols so that owners can easily identify them (Gregory, 2003). The process
involved burning an iron that has been fashioned into a distinct symbol then pressed on the animal skin
leaving a permanent mark. Over the years the term has been used in a wider context especially in the field
of business to refer to "name, term, sign, symbol or design, or a combination of them intended to identify
the goods and services of one seller or group of sellers and to differentiate them from those of other
sellers (Chaudhuri 2002). One notable example of earlier use of branding in China, where merchants used
branding names "Misty Mountain Tea", or "Garden in the Sky Tea" to sell poor quality garden tea to
buyers
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Oscar Wilde wrote that pessimist is an individual that who is a ware of all things but do not know
the price of anything. It is only in the recent past that top management have deem brand to be an
important asset to their organization. (Davidson 1998; Ward and Perrier 1998)
In simple terms, brand is entity that provides end-users with an added value on the basis based
functional performance. All these help distinguish the product or service being offered by a business
entity. The four Ps of marketing has been used for a very long time to bring about values associated with
a brand (Lancaster 1995; Kotler 1997)
As time passed, knowledge possessed by the community that engages in marketing has led to
managers being brand leaders. There is recognition of branding strategy as source of competitive
advantage in domestic markets (Chaudhuri 2001; De Chernatony 2001; Moore et al 2000).
In addition to view of branding, brand can be used as corporate strategic tool to enhance firm's
performance. (Mosmans 1996; Mosmans 1998) The brand as an important resource of firm can serve as a
strategic reference point. It can shape business development by realizing an alignment between the
capabilities of the firm and the external environment. The emphasis of brand strategy is shifted to brand-
based strategy (Mosmans 1998)
Branding is technique to build sustainable, differential advantage by playing on the nature of
human beings. Only humans can attach meaning and feeling to inanimate objects and random collection
of symbols, which suggests the appeal of branding, is not entirely rational. (O’Malley 1991). Once
consumers become accustomed to a certain brand, they do not readily accept substitutes (Ginden 1993).
Organizations seek ways to take full advantage of human trait – popularity of branding.
Organizations develop brands as way to attract and keep customers by promoting value, image as
well as lifestyle. By using particular brand, the consumer can cement positive image (Ginden 1993)
Brands also reduce the risk consumers face when buying something that they know little about.
(Montgomery 1992)
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What branding do
According to the suggestion of Randall, 1993 concerning what brands do for both customers and
consumers, there are five major functions coined. One very important one is the creation of identity. Any
brand is created in order to identify itself clearly and unambiguously. For this to be attained, there is need
first to obtain a legal protection and design elements, which will ensure that no other organization will
used such trademark or brand.
Brands also function as shorthand summery to consumers. Product brand or the identity brings
with it a summery of all information deemed necessary by the end user. It has been established that
memories seem to work when information is stored in a set of network. A good brand links the network
by providing the necessary or triggering association.
Additionally, a brand has been thought to function as creating a sense of security to end-user of a
certain product or service. A good brand makes its consumers reassured when buying well known brands.
Security is coined to guaranteeing provision of benefits anticipated by consumers of any goods or
services. An element of differentiation is also brought out by a brand. This is what mousiness ventures cut
themselves an edge in the competitive business world (Kotler 1997). It is a company brand that will
appeal to consumers only if it succeeds to prove to have shown uniqueness and difference from the same
product or substitutes from its competitors.
Lastly, it has been noted that a brand brings added value to any given product or service. Due to
stiff competition, business organization more so those that are profit oriented have realized that providing
customers and consumers with the generic product is not sufficient enough to meet customers aspirations
and need. Thus there is need to supplement this and using a brand proved to be the ultimate best solution.
Generally speaking to come up with a good brand which provide all these broad functions, organizations
need to do some soul searching.
Generally speaking, the major aim of branding is to pass vividly a massage, creating customer
loyalty, persuade a customer to buy a good as well as establishing an emotional association between the
buyers and the product being offered. It is the brand that builds customer perception concerning a given
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product. It does this by raising end-users expectations about the good in question. Primarily, branding
seek to create differentiation. It has been documented that strong and well thought brands are capable of
reducing customers’ perceived monetary, safety as well as social risk while buying a product or a service.
It is from the concept that there is need for organizations to make potential buyers to in a better position
to imagine the intangible good that a brand came into play.
There are also other rewards that come with branding. Through branding, a loyalty to the brand is
created, what this implies is that business enterprises will attain a greater consistency of demands via
retaining their customers (Moore 2000). It has been noted that as time elapse branding strategies deemed
good and successful leads to higher volume of production that provides the organization with economies
of scale hence having a favorable and positive influence on costs per unit. This further makes the
organization to be in a position to attain greater margins hence placing it in a better position in the
competitive business world.
Similarly, the concept of brand resilience has been key in ensuring that organizations that are
profit oriented comfortably and smoothly find their way out despite a stormy business environment. A
typical example is back in 1982 when car manufacturers suffered due to poor branding and low sales,
Mercedes did not felt this as its sale exceeded those of their competitors by slightly above 50%. It is
worth mentioning that the magnetic power an organization has as it concerns how customers buys, very
successful brands allow organizations to charge a premium price for what they are offering thus leading
to accumulation of higher profit. Studies show that a well thought brand has the potential to return a
margin of between 4 and 6 times as compared to that of the competitor deemed to be very close (Shugan,
2005).
Lastly and more importantly, brands have been thought to be capable of aiding businesses to
move, infiltrate and capture new markets; this will be a better move to Hong Kong supermarkets. A clear
example of how this is attained is provided by Dunhill a tobacco industry that was once at the verge of
collapsing did revitalize itself and is now a giant in the filed.
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Internal and external elements of a brand
To customers, a brand is made up of two major elements; internal and external. Among the
internal elements of a brand are; personality which typically refers to how end users of a good or service
will describe a brand. Self image is another internal element, this comprises what the audience or
customers for that matter will feel and say as far as the brand in question is concerned, a typical example
is provided by one’s image in driving a ford or a Jaguar.
Concerning external elements of a brand, relationship revolves a round the customers
identification with the brand itself. Physique or rather the outward characteristics or attributes of a brand
that will make the audience want to know more about the brand is equally an important external element
of a brand. Lastly, reflection which refers to nurturing of customers towards a given brand is another
example of an external element of a brand.
Brand Management
Brand management refers to a process of sustaining, civilizing, and keeping a brand so that the
name is linked with desirable positive outcomes. This process entails several significant aspects for
instance competition, cost, in-store presentation and customer satisfaction (Mooij 1998). The entire
process is fabricated on a marketing basis, but centers mostly on the brand it self and how it can be made
to remain highly favored by customers. It has been asserted that properly managed brand can lead to an
organization realizing higher sales of not only one product, but also other goods and services connected
with that brand. A typical example can be drawn from if a customer loves a coca cola soda and does trust
the brand such an individual will have more chances of buying other goods that are offered in the market
by Coca Cola Company for instance Dasani water.
There are a number of principles of brand management that when followed and implemented to
the later will ensure that a brand created successfully built into customers’ state of mind. This can be
attained by positively influencing end users perceptions as well as attitude that relate to an offering that
leads to a positive customer buying behavior (Schmidt, & Ludlow, 2002). Additionally, it has been
suggested that mangers need to have very wide knowledge on customers’ base. The principles mentioned
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previously are that a good brand name opt to stand out among a group of other competitive brands, be
very attractive, easy to pronounce, know, remember, recognize, translate into all possible language in the
market where the brand will reach, attract attention, be protected under the trademark legislation (Mooij
1998).
Additionally, a good brand should differentiate the products positioning in relation to
competition, suggest an organization or rather the good or product image and finally suggest the benefit
of a product. Managing all brands and building brand equity over a period of time is very essential. The
importance and value of brand management is that it helps in constructing a business image. Any
manager bestowed with the responsibilities of branding need to keep an eye on overall performance of a
brand. A brand is deemed successful when created under a competent brand management process (Moore
2000).
The brand strategy, the key to business strategy (Berry 1993) can possibly promote the financial
value of the brand rather than making it better product that the customer wanted. Creating brand image
involves getting customers to know that the brand exists. The branding process itself may be the starting
point for product differentiation (Allen 1992). It is worth mentioning that organizations or companies
with very strong brand do have higher market value as compared to their counter parts with weaker
brands. Having, in mind that any brand can potentially loose its value, there is need to give such a brand a
good support so that it can sustain its position for a longer period of time.
The consumer will perceive one brand as more desirable than its competitors and purchase it
based on those perceptions. Carey suggests that if the brand has a recognizable identity, then it should be
aimed at opportunity markets to yield maximum success. (Carey 1991) Supermarket companies must
manage the image and identity of brand and tie it to the total business strategy the organization must
decide how branding fits into its general strategy (Carlino 1991). The point is, brand strategy should be
relevant to goals of the organization. Although there are directions for matching brand with certain
strategy (Wentz 1993), market operations must create unique strategy that works for the Hong Kong
supermarket industry.
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Developing brand strategy
Coming up with a desired brand strategy has been deemed to be one of the most challenging
activity while making plans that pertains to marketing. Despite it being very challenging, there is no other
shortcut in ensuring that a company is created with a very strong identity other than by branding
(Chernatony 2001). This is because branding has been proved to be a very essential ingredient in making
of successful organizations, locally, nationally and across the globe. Being a fact that once a brand is
developed; it is evident that its identity will be repeatedly passed across in various ways together with
numerous frequencies for as long as the business exists. For this reason, it is only rational to developing a
brand strategy that will be the best (Olins, 2003).
It is sad to note that most organizations fail to point out the main objectives or purposes of the
entire exercise of branding they undertake. There are suggested steps that will help organizations be at per
with the whole process of branding from planning, developing and execution of the exercise. As noted by
Ware, 2010, to develop an effective brand strategy is one very important aspect that needs to be mastered
by each and every serious business venture to guarantee success, Hong Kong supermarkets not being
exceptions. He further asserts that those organizations that do not understand the whole concept of
branding as well as coming up with an effective branding strategy are at the verge of terribly failing
business wise.
Steps in developing brand strategy
The first step that each and every organization that seeks to come up with an effective brand, is to
understand the meaning of branding. It is very important to distinguish branding from marketing and
advertisement. When organizations set out the main objectives and purpose of branding coupled with the
knowledge that the whole idea is a promise to end-users of a given product or services that will then lead
them to experience an unexpected experience, then the whole process is deemed successful (Keller 1998).
Broadly speaking, there are three major steps that are very important in coming up with an
effective branding strategy; they include thorough research, strategy developing and finally
implementation or execution. Before engaging in research step, starting by pointing out the core values of
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a brand opt to be done. It is worth noting that core values are those qualities an organization deems to be
most important to their day to day running of their business. For instance, a Hong Kong supermarket
might have customer satisfaction, integrity, trustworthiness, provision of high quality services and
product It is worth noting that a set of these core values in most cases are not made public but can be
seen through a glass via numerous activities done by the organization (Keller 2003). These core values
concerning brand should not change despite the fact that brand preposition can change any time. It has
been argued that these core values of branding should at no time be taken lightly as it depicts an
organization creed for doing business hence success.
As stated previously, the issue of research being conducted in a thorough manner will definitely
dictate developing of a successful brand. Marketing and branding scholars have proved that once brand
core values have been identified, without carrying out objective and comprehensive research about the
entire process of branding, the whole activity will be a flux (Mooij 1998). The research stage looks in
depth several issues that broadly include the whole organization, services and goods offered by the
organization, the target market as well as the desired audience and competitors. Having enough
knowledge on all these categories is key in placing the organization at a better place when crafting how to
develop a brand.
Strictly speaking, the study will center on finding out the philosophy of the business organization,
its customers and clienteles, the determining factors on customers decisions on buying, the anticipated
benefits brought about by the goods and service to be offered, identifying the potential competitors and
finally the reason that will make end-users to choose ones goods over their competitors. On the same
note, further research need to be carried out to establish the strengths and weaknesses of the brand
(Chernatony 2003). Additionally, depending on the availability of financial resources available, it is
advisable for an organization to dig deeper into the history of branding, what is happening at present as
well as try to predict what the picture will look like in the near future and probably propose some
directions.
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After thorough research has been conducted, moving to the second stage-development phase then
follows. In this stage those individuals that conducted the research in groups come together and strategize
how all the varied aspects from the research will be integrated. It is important to always have in mind that
making each and every of the aspects brought forth to work with the aim of ensuring that the
organization’s main objective are attained will foster success of the branding (Moore 2000).
It is no doubt that it is at this phase that brand preposition is done. Brand statement is thus
developed which in turn carries a promising statement to end-user. In case of a supermarket, a promise
can be that if one buys goods or services from it, then he/she will get maximum satisfaction from high
quality, saving money (Davidson 1998). While coming up with the preposition, having at the back of
mind that there is need for it to be engaging, easy understand, unique relevant and more importantly
provide solution to the needs and aspirations of customers is of paramount importance. All these are
attainable only if the various teams are capable of successfully integrating their findings with those of the
others.
An engaging, easily understood and relevant brand preposition comes with an emotional
influence that will propel customers to crave for what is to be offered. This in turn will make them have a
changed positive perception and attitude hence turn to an organization way other than to its competitors.
Research phase will also make it possible for the organization to establish principle stumbling blocks that
might hinder effective and successful branding (Holt, 2004). With such knowledge plans can be put in
place to crush these barriers hence a smooth process of branding.
The last stage in brand strategy is the most challenging one-execution phase. Any organization in
this matter supermarket in Hong Kong need to ensure that each and every one within and without is
actively, directly or indirectly take part in branding. If the whole idea is bought by even the employees,
there are higher chances of realizing success. The entire workforce when are in a position to believe in the
capabilities of the management, the organization as a unit as well as its product and services, then this is
the right direction towards a successful branding (Chernatony 2001).
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However, effective implementation of brand heavy relies on what skills, knowledge and ability of
the top management. Thus having in place by recruiting highly skilled and capable workforce will ensure
that the entire process of branding is smooth and attain the desired goals and objectives (Kotler, &
Pfoertsch, 2006). While this is being done, ensuring that the entire workforce is motivated and fully
support the process is significant.
Generally speaking, the three stages aim at delivering unexpected and winning the hearts and
minds of customers. For any organization that seeks to carryout branding, developing a brand preposition
that is not expected or anticipated will make the organization stand out from the potential competitors
(Lancaster 1995). More importantly is winning the minds as well as hearts of potential customers. This is
done by creating an emotional feeling between the customers and the brand which in turn leads to a
reaction from the target audience even before tasting or experiencing the product or the service.
While developing a brand strategy, the brand preposition needs to factor in several important
factors. According to Davidson 1998,these include; alignment with the brand core values, ability to adapt
to a dynamic market, being clear, engaging, different and in line/relevant to the targeted audience, echoed
by all partners/team players, be able to incorporate positive emotional attachment that is better beyond the
concept of good. Additionally, the preposition needs to be always consistent although several marketing
as well as media of advertisement and finally be always consistent with the ability of the workforce to
deliver the promise made (Fan, 2002). Arguably, it has been demonstrated that a well though, planned
and executed brand strategy brings with it a successful brand performance. Similarly, brand management
does positively determine successful industry performance.
Influences of brand on potential targeted audience
As suggested by Chaudhuri 2002 brands are not only names, signs, symbols, terms or expression
but something more than that. It is true that it helps differentiate products and services. A successful
brand is a name praised every now and then in almost every household. Creating a brand personality
makes people to identify themselves with it. This is achieved by making the target population to see the
organization and what if offers affect their minds which entails sensation, intuition, thinking and feeling.
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There are those brands that aim at appealing to the rational part of individuals, to aspects of logics
as well as good sense which is ascribed to be the thinking dimension. A typical example is how a tooth
paste will help teeth not to decay. Some appeal to human sense of smell, seeing, taste among others
(Keller, 1993).
On the other hand other kind of brands does attract emotional aspect of human beings. This kind
of appealing has been thought as impacting on the feeling making customers respond with such feelings
as of warmth as well as belonging (Alden, 1999). A brand also brings some sense of intuition to human
beings especially the potential end-users of products or services being offered by an organization. Persons
do get attracted to a brand just because they feel comfortable to be associated with. The reason here is that
they feel the brand is an extension of what they are, fitting to their way of life, personality as well as
behavior (Birkin, 1994).
Judging by what is currently happening in the business world and drawing from past history of
branding, we are in the world of brand-scape (Ward, 1998). For this reason each and every serious
organization that need to be always ahead of its competitors need to have in place plans on how to
execute successful branding, this applies to Hong Kong supermarkets.
Questionnaire Branding
Questionnaire
I am Joan Cheng Yuk Yi a student in Edinburgh Napier University. I am carrying out a research
on “Brand Strategy for the Supermarket Industry in Hong Kong” as a partial fulfillment for the award of
Master of Science in Marketing. I will be obliged if you would tick the appropriate box and provide
necessary information in spaces provided. The information provided herein will only be used for the
stated purpose. Additionally your identity will be kept confidential.
Profile and basic information
Yes or No questions
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Multiple choice questions
1. Age
15-25
25-35
35-45
45+
2. Gender
Male Female
3. To which of the following racial or ethnic groups do you belong?
European
Asian
Hispanic
Indian
African
Others
4. Are you
Employed Unemployed Student Self employed
5. What is your level of education?
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Some high school
High school graduate
Some college
Graduated from college
Graduate
6. Monthly income in US Dollars
0-5,000
5001-10,000
10,001-15,000
15001-20,000
20,001-25000
25,001-30,000
30,001+
7. Marital status
Single
Married
Divorced
Separated
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8. How many dollars did you spent in a supermarket in the last two months?
1-500
501-1000
1001-1500
1501-2000
2000+
9. How close to your residential place is a supermarket located (Distance in Meters)?
0-500
501-1000
1001-1500
1501-2000
Over 2001
10. Are you the principle shopper in your household?
Yes No
11. How frequent do you visit the supermarket?
Every day
Thrice a week
Twice a week
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Weekly
Twice a month
Monthly
Others
12. Are you aware of branding usage in Hong Kong supermarkets?
Yes No
13. If yes in 9 above how did you get to know about it?
From friends
From media
From relatives
Other sources
14. In your opinion, how developed is branding in the country’s supermarkets?
Highly developed
Moderately developed
Developed
Poorly developed
15. On the basis of your response in question 11, rate what constitute a good brand by using values 1
to 10 where 1 is poorly rated and 10 is highly rated.
Easy to read Bring added value
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Eye catching Unique and differentiated
Household name Bring a sense of security
Creating identity Build customer loyalty
Cost effective Create positive emotional impact
16. Branding do influence where you shop
Strongly disagree
Disagree
Undecided
Agree
Strongly agree
17. Does Hong Kong supermarkets mastered firmly staying top in providing customers by delivering
quality products, consistent brand messages and innovative ideas?
Strongly disagree
Disagree
Undecided
Agree
Strongly agree
18. In your own opinion, are you satisfied with the kind of branding exhibited by supermarkets in
Hong Kong?
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Yes No
19. For your response in question 18 please elaborate.
20. What is your opinion on how Hong Kong supermarkets carryout their branding strategies.
Poorly
Fairly good
Good
Very good
Excellent
21. Basing on your response in question 20, what then needs to be done?
22. Please indicate whether you agree with these statements; Hong Kong supermarkets need to
change their branding strategies
Strongly disagree
Disagree
Undecided
Agree
Strongly agree
23. As a consumer, provide the possible benefits brought about by branding to you.
24. Please indicate whether you agree with these statements; brand strategy imposes as an ideal tool
for the success of the supermarket industry in Hong Kong.
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Strongly disagree
Disagree
Undecided
Agree
Strongly agree
25. Please indicate whether you agree with these statements; brand strategy is positive determinant of
brand performance.
Strongly disagree
Disagree
Undecided
Agree
Strongly agree
26. Do you agree with the statement that brand Management is positive determinant of industry
performance
Strongly disagree
Disagree
Undecided
Agree
Strongly agree
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27. On the basis of how the supermarket you shop utilize address issues pertaining branding, will you
continue shopping there?
Yes No
Please elaborate.
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Methodology
Research Methodology
This chapter describes in details how the research was accomplished especially the manner with
which the study was carried out. In addition, the issue of qualitative and quantitative methods employed
in the study is brought out clearly, the entire mechanisms used to identify the sample of the data;
mechanisms of data collection, analysis of the data collected and finally the interpretation of results from
the analyzed data as well as presentation of the finding are addressed. The study sought to critically
examine Brand Strategy for the Supermarket Industry in Hong Kong.
Additionally, branding characteristics that make goods of a given organization for this case Park
n’ Shop supermarket unique are brought out in a clear manner. The research will also bring forth how
branding influences the targeted audience. On the same note, the advantages to customers brought about
by branding are also examined among other issues. The study will put forward recommendations that will
help the industry successfully adopt best branding strategies as well as management in order to remain
competitive in this business world. Both primary and secondary sources of data will be used to collect the
required data, while qualitative research methodology and quantitative methodology will be used in
carrying out this research. This provided me with an opportunity to come up with suitable information
that one can bring forth relevant recommendation (Patton, 2002). Data will be analyzed and presentation
done using graphs charts and tables where appropriate.
The research will seek to obtain the necessary data that will be very informative in try to answer
the research questions and find out more about branding strategies and management in Hong Kong
supermarkets. A mixed study and a research approach will be used to carryout the research in order to
make comprehensive findings (Creswell, 2003). This method was chosen due to the ability to implement
it easily and effectively with few error; it is also practical and suited for the study. The approach lays its
basis on various studies that have been done by others and an understanding of the past and current
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information from literature. The data required will be needed in order to support the following research
questions.
Research Questions
The research questions that guided the study are the following;
6. What is branding? What constitute a good brand as supported by such management and strategy in
factors pointing to customer value and market operations within the Hong Kong supermarket
industry?
7. What relevance do certain theories provide in the application of brand strategy?
8. Is there a better brand retailing for such innovative paradigm as applying in supermarkets in Hong
Kong? Use Park n’ Shop as a sample in such application of branding strategy and management.
9. What are the assumption that indicates ample supermarket demand in branding creation and influence
over the Hong Kong market?
10. Does the brand strategy impose as an ideal tool for the success of the supermarket industry in Hong
Kong?
Hypotheses from the research questions to be investigated are;
The relationship between brand strategy and marketing:
H1. Brand strategy is positive determinant of brand performance.
H2. Brand strategy is positive determinant of supermarket value.
The relationship between brand management and success:
H3. Brand Management is positive determinant of industry performance
H4. The congruency of marketing ways is positive determinant of brand success
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Research design
The research employs a mixed research design method. It is important to note that theoretical
study calls for deeper digging of various literatures ranging from journals, publications, books, other
forms of literature and from the internet (Beiske, 2002). What this implies is that some of the data
required will be collected by perusing through secondary sources of data.
Qualitative research is also employed in the study; the approach seeks to contextualize the
research by immersing the researcher into the study scenario as well as with the study subjects.
Hypotheses are developed and data is collected and the results tend to be subjective. A case study as a sub
type of qualitative research is used to ensure that the study is flexible enough to give the researcher room
to investigate issues that were not previously thought of and could be worth being brought to light
(Tabachnick, & Fidell, 2000).
The aim of this research is to critically examine Brand Strategy for the Supermarket Industry in
Hong Kong. This will provide me with an opportunity to offer recommendations regarding the same to
businesses especially supermarkets in regard to branding.
The objectives of the study will be to establish what relationship between branding and
supermarket values and success exist. Secondly establishing how branding influences potential target
audiences are clearly brought out.
Population and sampling procedure
The population of interest for the study are residence of Hong Kong shoppers from Park n’ Shop
supermarket. This is because they were in a better position to provide the necessary and relevant
information as regards to branding in Hong Kong supermarkets. Due to the fact that the study cannot fully
incorporate all of them, selecting a sample which will represent the whole population is always deemed
necessary in such a study. The sample will however be representative of the general population.
The sampling strategies that will be used to obtain the sample population will include; random
sampling, stratified random sampling, snowball sampling and careful biased sampling (Creswell, 2003).
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Use of random sampling ensures that a group of the entire population is selected to represent it in the
research being done. This will involve the whole population being divided into samples that represent the
entire population.
Careful biased sampling will also be used; this ensures that specific individuals especially
shoppers that frequent Park n’ Shop supermarket are selected. Stratified random sampling will be used to
subdivide (distinguish) between individuals/shoppers according to residential distance from the
supermarket (Yu & Cooper 1983). Additionally, snowball sampling a technique for developing a research
sample where existing study subjects recruit future subjects from among their acquaintances. Thus the
sample group appears to grow like a rolling snowball. As the sample builds up, enough data will be
collected. This sampling technique is often used in hidden populations which are difficult for researchers
to access.
According to Salganik & Heckathorn, 2004 this kind of sampling makes it possible for me to
include individuals I do not know in the study, similarly the technique allows for locating individuals
having vital information that are otherwise difficult to locate. The main down fall of the sampling
technique is that it’s prone to creating biasness.
Data collection methods
The data required to fully address all the objectives and research questions will be obtained
through perusal of secondary as well as primary data sources. It is worth mentioning that before
embarking on collection of the required and necessary data one would first seek permission from the
relevant authorities from the institutions of higher learning targeted. This was done to eliminate
plagiarism and make the report comprehensive and conclusive.
The main activities will be outlining the required data, data collection preparation of the material
and tools, and the arrangement of the needed assistance. The tools will include preparing, the
questionnaires structures and questions and the data collection items to record the collected data. Forms
will be designed so as to ensure the data collected is systematic and easily understood. After the
collection of data there will be presentation of findings before the analysis where the data collected will
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be sorted or arranged appropriately to bring out a meaning; this will make it possible to emphasis on time
management, accuracy and precision of the data (Beiske, 2002).
Primary sources
The primary sources of data collection to be used depending on where they were most applicable
will include: interviews, observation and questionnaires. Questionnaires will also be used to collect
relevant information; I will distribute them to respondent situated in the targeted institution of higher
learning and would be collected later at an agreed date. According to Beiske, (2002) questionnaire covers
a large population at a time as they would be distributed to different participants at a time and be collected
later or at the same day depending on the willingness of the responded in addressing the questions, due to
it being standardized they are more objective, data collected from questionnaire are easy to analyze, due
to familiarity with the tool, responded will not be apprehensive, it is also very cost effective as compared
to face to face interviews, the tool also reduces bias.
The questionnaires will be issued to persons who shop at Park n’ Shop supermarket who are in a
position to provide the required sett of data. It is expected that these individuals will also issue such
questionnaires to other individuals they know who usually shop at the supermarket. According to
Cohen & Manion, (1996) the major problem with questionnaires as a tool of data collection is that there is
tendency of respondent to forget vital information, they may answers the questions superficially when it
is a long one, to counter this I developed a short but very inclusive questionnaire, due to standardization,
there is no room for explanation incase respondents misinterpret or do not understand the questions (Yu,
& Cooper, 1983). This error will be eliminated through interviewing numerous respondents who will
have different answers; which will later be combined to make out a comprehensive and conclusive
analysis.
Observation were also used, this seemed to provide more accurate information. However, this
tool had some challenges. One, with this kind of data collection analyzing data obtained form it prove in
most cases to be a serious challenge. To counter this there is need to have qualified personnel that were
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capable of interpreting physical as well as outward characteristics associated with branding in
supermarkets.
To supplement the two tools, interviews were also used. This was chosen because when the
research will be done, as a researcher there will be need to be able to have directs contacts with the
interviewee and obtain first hand information. Both the interviewer and the interviewee would be able to
clarify on issues of the research done hence, being able to obtain information which is well elaborated and
authentic (Yu & Cooper, 1983). The main questions to be asked will be revolving around the research
questions where the interviewee will be asked to briefly expound on issues with regard to branding and
organization performance. It is also a flexible data collection tool as when questions are not well grasped
by the interviewee I will be in a position to rephrase and elaborate them. Interview will allow one to learn
about things and facts that cannot be observed directly and finally it adds internal viewpoints to outward
behaviors.
Despite the advantage mentioned, according to Beiske, (2002) it’s a slow method because the
process calls for interview of one person at a time, cannot fully trace events and trends that occurred in
the past. Additionally, interview is an expensive tool to use; it is also subject to respondent and
interviewer bias. This will be eliminated through a tight time and structural frame work that will ensure
that everything is done on time and appropriately.
Secondary source
Materials from the library, internet and related research reports will be used to provide the
required data and information concerning branding management, characteristics its association with
organization performance. Internal sources to be sort after as the study is being carried include
information compiled by the supermarkets regarding branding and how it has been performing over time.
External data sources included information from the government sources, previous research studies and
academic institution (colleges and universities material related branding in supermarkets). According to
Creswell, 2003 the secondary sources will be very essential to support what has been collected in the
primary data session i.e. from the observations, interviews, and questionnaires.
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Data analysis and presentation
The collected data will be analyzed using non parametric statistics. The data will be filtered to
clean it, modeling and transformation will be done in a way that will expose useful information in
drawing of conclusion and recommendation, then codification follows. Descriptive statistics will also be
employed in analyzing the data. T-test will also be used to test research questions. The data will first be
entered in to spreadsheets after coding where initial analysis will take place such as checking the errors
logs and percentages of the data to check any outliers which will then be transferred to Statistical Program
for Social Science (SPSS Version 12.0) package which will aid in the final data analysis (Pallant, 2007).
To find out what are the significant issues (ranking the issues from the most significant to those
not significant) that concerning branding and supermarket performance a principle component analysis
will be carried out. Logical regression and correlation analysis will also be done to see the relationship
between branding strategy and industry success and performance. Cross tabulations will be used to
establish the most important attributes supermarket opts to include while branding. Cross-tabulation is a
multivariate statistical method of data analysis used most often in marketing research. It will be easy to
interpret. T-test will be used for analyzing the relationship between brand strategy and marketing as well
as brand management and success. To analyze the demographic characteristics such as age, gender,
income level and the frequency of shopping among others of the sample used in the study, descriptive
statistics such as frequency, means graphs will be employed (Pallant, 2007. The presentation of the results
will be done by using tables, graphs and charts which will present the required information of the
population and what they have said about brand strategy for the Supermarket Industry in Hong Kong.
Ethical consideration
In view of the fact that the research involves human subjects, there was need for high level of
ethical consideration to upheld. As indicated by Beiske, 2002 some of the ethical consideration includes
the following; the targeted sample populations that will be involved in the study to provide relevant
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information are to be informed about the same in advance. The reasons for carrying out the survey as well
as how they stand to gain from the study will also be brought out clearly.
As well, research ethics demands that the information be sought after by the researcher will be
provided in good faith, and voluntarily without any influence be it monetary or otherwise for instance
giving of incentives, rewards, and gifts. It is important to note here that the rights and welfare of the
participants involved in the study must be protected and guaranteed. To do this, their identities will be
kept confidential. Moreover, the information collected while soliciting for data is to be kept confidential
and opt not to be used in any other purpose apart from what was initially intended for. It is expected that
the interviewees/respondents will be ethical and provide accurate information to the best of their
knowledge. This means that they should not knowingly give false full information.
More importantly, I opt to be ethical in providing the participant especially the respondent’s
guidelines and necessary information that are correct. Similarly, I should not be judgmental on the
information am provided with during the course of interview and should be as neutral as possible during
the entire process. Lastly, there is need to omit any kind of personal bias that might arise; this will be
done at the end of the study. This is with the knowledge that such bias can negatively impact on the
statistical analysis.
Scope, assumptions and limitations of the study
In every study, there are a number of assumptions made. In the case of this study, the following are
among the assumptions held;
1. That the response rate will be slightly above the standardized threshold for proper inferences to
be made.
2. Effective branding strategy does positively influence performance and success of supermarkets in
Hong Kong.
3. The target sample will be a representation of the whole Hong Kong shoppers
4. All survey questions will be answered.
5. The responses will correctly reflect branding strategy in Hong Kong supermarkets.
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6. The study will be completed within the stipulated time frame
The research has a global scope highlighting the concept of branding strategy, management and
supermarket as an industry success and performance. A number of limitations/constraints were
anticipated in this study and are discussed herein.
1) Time constraints: I had to work under pressure especially where the sources of information gave
me close deadlines, like in cases where interviews were used, and some respondents had just a
particular time in which they were free. Also some respondents delayed with questionnaires
2) Non cooperative respondents: Some respondents were not willing to corporate in availing required
business information /documentations. I had to employ a lot of tact to counter this in order to get
information from them and dispel fears that were developed.
3) Hostility: Some information sources and retail may appear hostile and not ready to give out the
desired information. In fact I had to employ all tact of oratory prowess to dilute this hostility.
4) On the basis of the sampling method used, snowball might not be an accurate technique hence may
result to biased findings.
5) Legal restrictions: I was unable to access some information due to legal restrictions and
jurisdiction limits of businesses that only allow certain sensitive information to be accessed by
specific people. In order to get a clear picture of this trend, I was needed to access even the
company’s inventory accounts, capital accounts and other relevant ones that could give a
projection of the changes that have occurred as stipulated by the research objectives. I had to
convince certain premise that I had no intentions of making any legal implications with the
information I collected from them before I could win their policies.
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6) Hostility: Some information sources and retail officials appeared hostile and did not readily give
out the information I needed .In fact I had to employ all tact of oratory prowess to dilute this
hostility.
7) Ignorance: Some shoppers may seem to be uninformed and could not therefore give me the
required information as pertains branding in supermarkets.
Data analysis, presentation and discussion
The section thoroughly presents the finding after carrying out statistical tests. Information is
presented by use of descriptive statistics. It is worth noting that 120 survey questionnaires were
distributed to customers shopping at various Hong Kong supermarkets particularly, Park n’ Shop. 100 of
the questionnaires were filled and made available for data analysis, representing 83.33 response rates
which is way above the recommended percentage. SPSS version 12.0 was used to analyze data (Coakes,
2008)
Demographic characteristics
Age
Of the 100 respondents, 18 were between 15 and 25 years representing 18.0%, 26 were between
26-35 years representing 26.0%, between 36 and 45 and those above 45 years were 28 representing 28%.
There were no missing data on this variable.
Table 1 Age characteristics of the respondents
Frequency Percent
Valid
Percent
Cumulative
Percent
Valid 15-25 18 15.8 18.0 18.0
26-35 26 22.8 26.0 44.0
36-45 28 24.6 28.0 72.0
45+ 28 24.6 28.0 100.0
Total 100 87.7 100.0
Total 100.0
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Males were 51 (51.0%) while females were 48 (48.0%). There was one missing data representing
1.0%.
male female missing
are you a female or male
0
10
20
30
40
50
60
Frequency
are you a female or male
Figure 1 A bar Graph showing gender of the respondents
In terms of racial groups, Asian constituted the largest percent standing at 51.0% (51), Indians
15.0% (15), others 12.0% (12), European 9.0% (9),, African 7.0% (7) and Hispanic 6.0% (6).
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european Asian Hispanic Indian African others
to which racial group do you belong?
0
10
20
30
40
50
60
Frequency
to which racial group do you belong?
Figure 2 A bar graph of racial group
Concerning employment status, 38.0% (38.0) were employed, 23.0% unemployed, 16.0% were
student and 21.0% were self employed. Two individuals did not offer information regarding their
employment status representing 2.0%. with regards to education level, 25.0% had acquired some high
school education, 24.0% were high school graduates, 24.0% had some college education 13.0 graduated
from college and 14.0% were graduates.
Annual income characteristics of the sample population was as follows, 17.0% earned between 0-
5000 US dollars, those earning 5001-10000 represented 19.0%, 17.0% were earning between 10001-
15000, 15.0% 15001-20000, 13.0% 20001-25000, 11.0% 25001-30000, 11.0% earned annual salaries in
excess of 30000.
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0-5,000 5001-
10000
10001-
15000
15001-
20000
20001-
25000
25001-
30000
30001+ 99.00
annual income in US dollars
0
5
10
15
20
Frequency
annual income in US dollars
Figure 3 Annual incomes in US dollars
One respondent did not provide information concerning annual earning. When asked how much
the respondent spent in buying things from a supermarket, 25.0% reported to have spent over 2000 in the
last two months, 2.0% said they spent between 501-1000 dollars, 21.0% spent between 1001-15000,
17.0% used 1-500 while 13.0% spent between 1501 and 2000.
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1-500 501-1000 1001-1500 1501-2000 2001+
How many dollars did you spend in a supermarkt in the last
two months?
0
5
10
15
20
25
Frequency
How many dollars did you spend in a supermarkt in the last
two months?
Figure 4 Dollars spend in supermarket in the last two months
With regards to marital status, 17.0% were single, 47.0% married, 14.0% divorced, 19.0%
separated. 3 individuals did not provide data on the same which represented 3.0%. of the 100 respondents,
31.0% live within 0-500 meters to a supermarket, 28.0% between 501-1000 meters, 19.0% reside within
1001-1500 meters, 12.0% reside within 1501-2000meters and 10.0% are live over 2000 meters ways from
a supermarket.
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Table 2 How close to your residential place is a supermarket located in meters
Frequency Percent
Valid
Percent
Cumulative
Percent
Valid 0-500 31 27.2 31.0 31.0
501-1000 28 24.6 28.0 59.0
1001-
1500
19 16.7 19.0 78.0
1501-
2000
12 10.5 12.0 90.0
2001+ 10 8.8 10.0 100.0
Total 100 87.7 100.0
Missing System 14 12.3
Total 114 100.0
With regards to visiting supermarkets to do shopping, 24.0% went everyday, 17.0% thrice a
week, 20.0% twice a week, 14.0% weekly, 13.0% twice a month and 12.0% did shopping once a month.
everyday thrice a
week
twice a
week
weekly twice a
month
monthly
how frequent do you visit the suppermarket to shop?
0
5
10
15
20
25
Frequency
how frequent do you visit the suppermarket to shop?
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Figure 5 Frequency of visiting supermarkets to shop
When asked if they are aware of branding in supermarket industry, 60.0% said they were, 39.0%
were not aware while one person did not provide the information (1.0%). Of those who responded that
they were aware, when asked how they got to know about branding 38.0% reported that they learnt about
it through friends and media, 17.0% from relatives and 7.0% from other sources.
Table 3 How did you know of branding in Hong Kong Supermarkets?
Frequency Percent
Valid
Percent
Cumulative
Percent
Valid from
friends
38 33.3 38.0 38.0
from
media
38 33.3 38.0 76.0
from
relatives
17 14.9 17.0 93.0
other
sources
7 6.1 7.0 100.0
Total 100 87.7 100.0
Missing System 14 12.3
Total 114 100.0
Out of 100 respondents, 56 (56.0%) were principle shoppers in their households while 44 (44.0%)
were not principal shoppers in their households.
Branding
It is no doubt that the majority of the sample population is aware of branding. When asked to
elaborate further on what they understand it to be, the numerous components used to define a brand were
talked about. The respondent held the view that a brand is a sign, name, symbol or either a combination of
these attributes. Thus this is in line with the definition of the term brand which is "name, term, sign,
symbol or design, or a combination of them intended to identify the goods and services of one seller or
group of sellers and to differentiate them from those of other sellers (Chaudhuri 2002).
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As previously noted throughout the literature review, developing a brand without popularizing it
is an effort that has been wasted (Prasad & Dev, 2000). On this regard, the majority of those who said
they were aware of branding in Hong Kong supermarkets fully obtained information regarding the same
through friends (38.0%), relatives (17.0%), media (38.0%) and other sources.
from friends from media from relatives other sources
how did you know of branding in hong kong supermarkets
0
10
20
30
40
Frequency
how did you know of branding in hong kong supermarkets
Figure 6 Knowing branding in Hong Kong supermarkets
It is of interest to find that major characteristics of a brand brought forth by various scholars such
as Holt, 2004 and Gregory 2003 have been manifested in the study carried out. Descriptive data clearly
indicated that shoppers in Hong Kong believe that a brand should be eye catching 23.2%, creating a
positive change 15.2%, unique and differentiated 13.1%, cost effective and bringing added value 9.1%
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each, build customer loyalty and household name 6.1% each, brings sense of security and creating
identity were thought to be attributes of a good brand by 5.1% of the respondents. Being easy to read was
thought to be an attribute of a good brand by 8.1% of the sample population.
Strictly speaking, to customers, a brand is made up of; internal and external. Among the internal
elements of a brand are; personality which typically refers to how end users of a good or service will
describe a brand (O’Neill & Mattila, 2004). Self image is another internal element, this comprises what
the audience or customers for that matter will feel and say as far as the brand in question is concerned, a
typical example is provided by one’s image in driving a ford or a Jaguar.
Concerning external elements of a brand, relationship revolves around the customer’s
identification with the brand itself. Physique or rather the outward characteristics or attributes of a brand
that will make the audience want to know more about the brand is equally an important external element
of a brand. Lastly, reflection which refers to nurturing of customers towards a given brand is another
example of an external element of a brand (Allan et al. 2004).
For the reasons and ranking of the attributes brought forth, it will be rational for Hong Kong
supermarkets to develop brands that are eye catching, that create positive notion and well differentiated.
Similarly, it will be appropriate for supermarket industries in Hong Kong to work hard in further
establishing the other attributes of a good brand as it will help serve in the interest of the industry as well
as the customers.
Surname 47
easy
to
read
eye
catching
household
nam
e
bringing
aded
value
unique
and
differentiated
bringssense
ofsecurity
creating
identity
costeffective
build
custom
er loyalty
creating
positive
change
on the basis of your response in question 14, are what ...
0
5
1 0
1 5
2 0
2 5
Frequency
on the basis of your response in question 14, are what
constitute a good brand by using values 1 to 10 where 1
means poorly rated and 10 higly rated
Figure 7 Attributes of a good brand
Benefits of branding
From the data analysis, it is evident that the respondent identified a number of benefits as a result
of branding. 14.0% of those who answered the question regarding the benefits of branding said that it
enhanced loyalty, familiarity and premium image. When the public hold a positive understanding with a
brilliant brand, they're more likely to buy that product or service again than what the competitor is
offering (Jones, 2003). Individuals who are closely associated with a given brand identity are not only
more likely to repurchase what they bought, but also to buy related items of the same brand, to
recommend the brand to others and to resist the lure of a competitor's price cut. “The brand identity helps
to create and to anchor such loyalty” (De Chernatony, 2003).
Surname 48
As suggested by Tepeci, 1999 very high competition and the desire to increase and preserve
market share does not only entail winning new customers but also keeping them. It is no doubt that this
can be achieved by using brand loyalty since it is the most significant tool that can help firms survive
since customers who are loyal to an organization as they offer repeated business transaction, higher
market shares as well as profits, competitive advantage and referrals. There are various strategies that
need to be adopted in order to create a loyal customer among them developing a unique environment in
service sector that encompasses balanced variables between employees as well as physical attributes of
the firm.
According to De Chernatony 2003 branding not only affects customers but also non customers. It
has been established by psychologists that familiarity usually induces liking. For this reason, it is no
doubt that although one has not transacted business with one’s organization but in one way or another
have encountered your its identity are in a better position to recommend the company to others despite the
fact that the individual do not have personal knowledge of the products and services offered by the
organization in question. Additionally branding can lift what an organization is selling out of the realm of
a commodity, so that instead of dealing with price-shoppers you have buyers eager to pay more for your
goods than for those of competitors. The characteristic value intrinsic in a brand can possibly make
individuals to discharge evidence they would normally use to make buying decisions.
16.0% of the respondents were of the opinion that branding enhances memorability. With the
understanding that branding help create a distinctive and durable perception in the minds of potential
customers, it eventually serves as a tool for building a company reputation as well as good will. It has
come to the knowledge of a number of business entities that very few customers can take their time to go
through yellow pages thus tit is rational for organizations to develop memorable brands that will capture
the memories of the target consumers (Malhotra, 2010).
Surname 49
It is worth noting that the concept of memorability when the respondents were asked to elaborate
on this kind of benefit comes from their association with color combination, unique services, and
employees’ style of clothing. For that reason, Hong Kong supermarket needs to come up with their own
differentiated characteristics that will leave lasting memories in their minds of customers.
Additionally, 12.0%, 9.0%, 8.0% 7.0% and 5.0% of the respondent were of the opinion that
branding enhances premium prices, greater company equity, and lower risks to consumers, extension and
lower marketing expenses respectively. It is held by some respondent that buying goods and services
from a well established brand posses less risk to consumers as compared to products bought from no-
name organization. This means that firms that have mastered in developing their brands are building a
better brand thereby flattening their bottom line.
On the same note, despite the fact that a firm needs to pump in money for the entire project of
branding, immediately the brand is successfully developed, advertized and publicized the brand sell itself
(Keller, 2004). For example, if the local populations are of the view that a supermarket is adequately
using branding in a better way and re associated with it, there are high chances that they will jingle the
same to other potential customers at no extra cost on the side of the firm in question. With regards to
extension, a firm that has established and respected brand can use it to its advantage by developing new
products that meet customers’ needs and desire which ultimately help the firm win the hearts of potential
new customers.
Influence of branding
A cross tabulation which is merging of frequency distributions of two or more variables in a
single table was carried out to establish how one variable for instance gender, income relates to another
variables for instance, influence of branding on where one shops. A cross tabulation reveals that a greater
percent of males, 39.2% strongly agree that branding influence where they shop as compared to female
Surname 50
27.1%. On the same note, 39.6% as compared to 27.5% of males agree that branding do influence where
they shop.
On the basis of the percentages of both males and females responses to each category and by
looking at the clustered bar chart it is apparent that male respondents were more likely to be influenced by
branding when they intend to shop. Nonetheless, the percentage difference is too small that on average
both genders are influenced by branding. 27.5% of males and 39.2% of female agree that they are
influenced by branding. Similarly, 39.2% males and 27.1% females strongly agree that branding influence
where they shop. The findings are in consensus with that of Kapferer, 1997.
Table 5 Chi-Square Tests
Value df
Asymp. Sig.
(2-sided)
Pearson Chi-Square 8.770(a) 10 .554
Likelihood Ratio 9.494 10 .486
Linear-by-Linear
Association
.007 1 .932
N of Valid Cases
100
12 cells (66.7%) have expected count less than 5. The minimum expected count is .01.
From chi-square test, the relationship between gender and whether branding influence where
respondent shop is not significant. (t=8.770, DF= 10, p=0.554) thus there was no relationship between
gender and influence of branding to where one can shop. However, the Cramer’s V =0.209 indicates that
there is a weak positive relationship between gender and influence of branding on here individuals shop
(Buchholz & Wolfram, 2000).
To establish how developed branding is in Hong Kong supermarket, the respondents were asked
to rank how developed it was using five -level Likert scale. From analysis of data, it is evident that
majority of the respondent were of the view that the industry was moderately developed (31.0%), 27.0%
Surname 51
said it was developed, 26.0% held the view that it was poorly developed and a mere 16.0% responded that
it was highly developed. As a result of the views brought forth, there is much that needs to be done by
supermarket industries to ensure that they are viewed by majority of both customers and non-customers
that it is developed. In this sense, as suggested by Odin et al. 2004 developed brand industry means being
at par with the expectations and aspiration of consumers. For instance a developed brand poses most if
not all the attributes of a better brand.
highly developed moderately
developed
developed poorly developed
how developed is banding in supermarket in Hong Kong
0
10
20
30
Frequency
how developed is banding in supermarket in Hong Kong
Figure 8 How developed is branding
Surname 52
Table 6 Are you a female or male * branding o influence where you shop? Cross tabulation
Branding influence where you shop? Total
strongly
disagree
disagre
e
undecide
d agree
strongl
y agree 33.00
are you
a female
or male
male Count
4 5 7 14 20 1 51
% within
are you a
female or
male
7.8% 9.8% 13.7% 27.5% 39.2% 2.0%
100.0
%
female Count 1 3 12 19 13 0 48
% within
are you a
female or
male
2.1% 6.3% 25.0% 39.6% 27.1% .0%
100.0
%
Missing Count 0 0 0 1 0 0 1
% within
are you a
female or
male
.0% .0% .0%
100.0
%
.0% .0%
100.0
%
Total Count 5 8 19 34 33 1 100
% within
are you a
female or
male
5.0% 8.0% 19.0% 34.0% 33.0% 1.0%
100.0
%
Surname 53
male female missing
are you a female or male
0
5
10
15
20
Count
branding o influence
whereyou shop?
strongly ydisagree
disagree
undecided
agree
strongly agree
33.00
Bar Chart
Figure 9 Influence of branding on where respondent shop
To establish if Hong Kong supermarket have mastered firmly staying top in providing customers
with goods and services that are quality, consistent branding message and innovation, a five-level Likert
scale was used to sought the responses. 34.0% and 32.0% of the respondents disagreed and strongly
disagreed respectively on the questioned asked. 19.0% were undecided, while only 9.0% and 6.0% of the
respondents strongly agreed and agreed in that order. This thus means that most shoppers in Hong Kong
believe that the supermarket industries are have not mastered firmly the concept of providing consumers
with products and services that are quality, consistent branding massages as well as ideas deemed to be
innovative. This might be part of the explanation why the industry is not such a force in retail industry
like in most developed countries (Braun, 2004).
After a clear understanding of what branding is, the respondents were asked to state whether they
were satisfied with the kind of branding being exhibited by Hong Kong supermarkets. Majority, 58.0%
said that they were not satisfied while 42.0% were of the contrary opinion. To find out whether race
Surname 54
influenced such a notion a cross tabulation was carried out. Compared to all the racial groups used in this
study, Indian 60.0% were satisfied with the manner with which Supermarkets industry in Hong Kong
exhibited the concept of branding while Europeans were the one with the least percentage that believed
the industry was exhibiting branding in the best way that satisfy them (11.1%). Consequently, European
88.9%, African 71.4%, Hispanic 66.7%, others 58.3%, Asian 54.9% and Indian 40.0% were of the
opinion that they were not satisfied with the kind of branding exhibited by supermarket industries I Hong
Kong.
To test for significance difference between racial groups and satisfaction of respondents with
regard to how branding is exhibited, a chi-square was carried put. Data established that there is no
significance difference between race and how satisfied the respondent were regarding exhibition of
branding (Χ2
=6.425, DF=5, p=0.267). Nonetheless, there is a weak positive association between the two
variables, Cramer’s V=0.253.
From the clustered bar graph, it is evident that majority of the responded from various ethnic
group apart from Indians indicated that they were not satisfied with the manner with which branding was
being exhibited in Hong Kong supermarkets. The implication of the result here in is that Hong Kong
supermarket despite being seen by Indian to be satisfactory, other racial group’s views that the
supermarkets are not satisfactorily exhibiting branding needs to be factored in when strategizing for the
industry’s brands. As previously mention, when a brand is viewed by the majority of the customers as
well as non-customers, then the brand is said to have developed and thus meet the aspirations as well as
demands and expectations of the target audience thus working at the advantage of the firm.
It was of interest to establish the relationship between age of the respondent and their views on
whether Hong Kong supermarkets exhibition of branding is satisfactory or not. To do this a correlation
analysis was carried out. The results clearly depict that the Pearson correlation r=0.112 which means that
the association between age and satisfaction is positive but weak; similarly, the association is not
Surname 55
significant since p=0.268>0.05. This thus suggests that age does not in any way dictate how satisfied one
feels with regards to the way Hong Kong supermarkets exhibit branding.
Table 7 Correlations
what is
your age
In your own
opinion are
you satisfied
with the kind
of branding
exhibited by
Hong Kong
supermarkets
?
Spearman's rho what is your age Correlation
Coefficient
1.000 .112
Sig. (2-tailed) . .268
N 100 100
In your own
opinion are you
satisfied with the
kind of branding
exhibited by Hong
Kong
supermarkets?
Correlation
Coefficient
.112 1.000
Sig. (2-tailed)
.268 .
N
100 100
european Asian Hispanic Indian African others
to which racial group do you belong?
0
5
10
15
20
25
30
Count
in your own opinion
are you satisfied
with the kind of
branding exhibited
by hong kong
supermarkets?
yes
no
Bar Chart
Figure 10 Respondent satisfactions on branding exhibition
The relationship between brand strategy and marketing
Surname 56
A number of scholars among them Matsuno &Mentzer, 2000 and Smith & Wright, 2004 have
shown that there is a relationship brand strategy and marketing. It is worth to note that brand strategy
refers to long-term marketing support an organization offer to its brand on the basis of how the target
audience or consumers have been defined. The concept include a clear understanding of an organization
as well as customer preferences, aspiration needs, demands and expectations from the brand. On the other
hand marketing refers to a process by which firms perform market research, sell products or services to
consumers and promoting them through advertisements to further enhance sales. Marketing is the major
strategy that is fundamental in nurturing sales techniques, how information is shared and development of
the businesses in various firms.
Strictly speaking marketing is employed to clearly identify who the potential customers are, meet
their need in a satisfactory manner as well as keeping them via creating an environment that will foster
customer loyalty. There is agreement among marketing research scholars that brand strategy is a positive
determinant of brand performance as well as industry value, for this matter supermarket value.
When asked whether the respondent strongly agreed, agreed, undecided, disagreed or strongly
disagreed, with the statement that brand strategy imposes as an ideal tool for the success of supermarkets
industry in Hong Kong, 55.6% of male agreed with the statement as compared to 44.4% of the female
respondent. 45.2% of males strongly agreed as compared to 51.6% of females. This means that both the
gender were of the opinion that brand strategy is an ideal tool for supermarkets to be successful in Hong
Kong.
It was also necessary establish whether gender affected such an opinion; which fostered a chi-
square analysis to be executed. Χ2
=4.461, DF=8 p=0.813. This means that there is no significant
relationship between gender and the opinion held concerning brand strategy being an ideal tool for
supermarkets success in Hong Kong. However, there is a positive weak relationship between the two
Surname 57
variables (Cramer’s V=0.149) meaning that gender is linked with how individual thinks of brand strategy
being an important tool to enhance success of the industry (Simoes & Dibb, 2001)
Table 8 Are you a female or male * please indicate whether you agree with these statements; brand
strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong Cross
tabulation
please indicate whether you agree with these
statements; brand strategy imposes as an ideal tool
for the success of supermarkets industry in Hong
Kong Total
strongly
disagree
disagre
e
undecide
d agree
strongl
y agree
are you
a female
or male
Male Count
3 5 9 20 14 51
% within please
indicate whether
you agree with
these statements;
brand strategy
imposes as an ideal
tool for the success
of supermarkets
industry in Hong
Kong
33.3% 55.6% 60.0% 55.6% 45.2% 51.0%
Female Count 6 4 6 16 16 48
% within please
indicate whether
you agree with
these statements;
brand strategy
imposes as an ideal
tool for the success
of supermarkets
industry in Hong
Kong
66.7% 44.4% 40.0% 44.4% 51.6% 48.0%
Missing Count 0 0 0 0 1 1
% within please
indicate whether
you agree with
these statements;
brand strategy
imposes as an ideal
tool for the success
of supermarkets
.0% .0% .0% .0% 3.2% 1.0%
Surname 58
industry in Hong
Kong
Total Count 9 9 15 36 31 100
% within please
indicate whether
you agree with
these statements;
brand strategy
imposes as an ideal
tool for the success
of supermarkets
industry in Hong
Kong
100.0% 100.0% 100.0%
100.0
%
100.0%
100.0
%
To establish the relationship between brand strategy and brand performance, respondents were
asked if they agreed, strongly agreed, undecided, disagreed or strongly disagreed with the statement;
brand strategy is a positive determinant of brand performance. With the understanding that those who
shop frequently can be in a better position to respond, I resorted to also establish whether there was an
association between being a principle shopper for a household and the view held on the statement asked.
The finding here in were contrary to what a number of scholars did find out (Jones et al., 2002) as the
analysis showed that a greater percent of those who were principle shoppers were in disagreement with
the statement (72.7% for strongly disagreeing and 80.0% for disagreeing with the statement asked). On
the other hand, a greater percent of those who were not principle shoppers agreed with the statement
(53.1% for agreeing and 38.5% for strongly agreeing).
It is worth noting that there is no significant relationship between the two variables; being a
principle shopper or not and the view with regards to brand strategy being a positive determinant of brand
performance (Χ2
=7.247, DF=5 p=0.203). Nonetheless, there is a weak positive relationship between these
two variables meaning that individual gender may slightly influence the views held (Cramer’s V=0.269)
Surname 59
Table 9 Are you the principal shopper in your household? * Please indicate whether you agree with
these statements, brand strategy is a positive determinant of brand performance Cross tabulation
please indicate whether you agree with these statements,
brand strategy is a positive determinant of brand
performance Total
strongl
y
disagr
ee disagree
undecid
ed agree
strongl
y
agree 12.00
Are you
the
principal
shopper in
your
household
?
yes Count
8 8 9 15 16 0 56
% within
please
indicate
whether
you agree
with these
statements,
brand
strategy is
a positive
determinan
t of brand
performanc
e
72.7% 80.0% 45.0%
46.9
%
61.5% .0% 56.0%
no Count 3 2 11 17 10 1 44
% within
please
indicate
whether
you agree
with these
statements,
brand
strategy is
a positive
determinan
t of brand
performanc
e
27.3% 20.0% 55.0%
53.1
%
38.5% 100.0% 44.0%
Total Count 11 10 20 32 26 1 100
Surname 60
% within
please
indicate
whether
you agree
with these
statements,
brand
strategy is
a positive
determinan
t of brand
performanc
e
100.0
%
100.0% 100.0%
100.0
%
100.0
%
100.0% 100.0%
The relationship between brand management and success
Marketing researcher’s for instance Roberts & Downing, 2002 content that there is a relationship
between brand management and industry success. Currently, a number of multinational companies such
as coca cola, fastest growing companies for instance Research in Motion among other have used brand
management as a competitive advantage in this world of fierce competition (Docters, 2004).
By definition brand management refers to a process of sustaining, civilizing, and keeping a brand
so that the name is linked with desirable positive outcomes. This process entails several significant
aspects for instance competition, cost, in-store presentation and customer satisfaction (Mooij 1998). As
previously mention, creating customer loyalty is one way of ensuring that a firm not only attracts new
customers but also keep them as well as the existing ones. It is no doubt that all companies do have
identity and there are issues it must tackle in order to remain competitive (Temporal, 2000). Brand
strategy aims at increasing the appeal and attraction of the firm in the eyes of the customers. There is also
a relationship between brand strategy and brand management and the two opt to be used in a manner that
they complement one another and thus need to be ultimately integrated to enhance the industry success
(Aaker, 1996).
A cross tabulation analysis was carried out to establish how those who were aware or not of
branding in Hong Kong thought of the idea of brand management as being a determinant of supermarket
Surname 61
success. The finding clearly depicted that a higher percentage of those who were aware of branding
activities in the country were in disagreement with the statement; brand management is a determinant of
industry’s success (57.8% for strongly disagreeing and 84.6% for disagreeing). On the other hand, a
higher percentage of those not aware of branding in Hong Kong were in agreement with the same
statement (56.3% agreeing and 38.7% strongly agreeing). The clustered bar graph gives a clear
illustration.
yes no 99.00
are you aware of branding in Hong Kong
supermarkets
0
5
10
15
20
Count
do you agree with
the statement that
brand managment
is positive
determinant of
industry
performance
strongly disagree
disagree
undeided
agree
strongly agree
13.00
22.00
Bar Chart
Figure 11 Branding awareness
It was of interest to also know whether, customers in Hong Kong could continue shopping where
they used to base on how the supermarket utilizes and address issues relating to branding. A descriptive
statistic was run to give an over view. The result shows that only 47.0% were of the view that they would
Surname 62
continue shopping where they used to. On the other hand, 53.0% of the respondent clearly depicted that
they would not continue shopping where they used to initially shop. The research was limited in
establishing the underlying factors behind the decision arrived at by the respondents. However, the
reasons are open to discussion based on what has been established herein (Aconis et al. 2006). This is in
line with the desires of a majority of the respondent who were of the view that Hong Kong supermarket
need to change their branding strategies, 34.0% and 40.0% of the respondents agreed and strongly agreed
with the statement that Hong Kong supermarkets needs to change their branding strategies as compared to
8.0% and 5.0% of those who strongly disagreed and disagreed with the statement.
A higher percentage of those who were aware of branding activities in the country were in
disagreement with the statement; brand management is a determinant of industry’s success (57.8% for
strongly disagreeing and 84.6% for disagreeing).
Surname 63
Conclusion and recommendation
The relationships between branding strategy, brand management and company success,
performance and supermarket value were closely examined. Survey questionnaires were distributed to
120 individual of whom only 100 filled the survey and made available for inferences to be made. Males
were 51 (51.0%) while females were 48 (48.0%). 60.0% of the responded were aware of branding while
39.0% were. It is worth to note that friends, relatives and media are what made individual be aware of
banding. Out of 100 respondents, 56 (56.0%) were principle shoppers in their households while 44
(44.0%) were not principal shoppers in their households.
Shoppers in Hong Kong believe that a good brand should be eye catching 23.2%, creating a
positive change 15.2%, unique and differentiated 13.1%, cost effective and bringing added value 9.1%
each, build customer loyalty and household name 6.1% each, brings sense of security and creating
identity were thought to be attributes of a good brand by 5.1% of the respondents. Being easy to read was
thought to be an attribute of a good brand by 8.1% of the sample population. Customers believed that
branding brings with it numerous advantages such as memorability, enhances premium prices, greater
company equity, and lower risks to consumers, extension and lower marketing expenses, loyalty,
extension among others. It was evident that branding does influence where customers shop (Tellis &
Golder, 2002).
It is apparent that majority of the respondent were of the view that the industry was moderately
developed (31.0%), 27.0% said it was developed, 26.0% held the view that it was poorly developed and a
mere 16.0% responded that it was highly developed. With regards to being satisfied with the kind of
branding exhibited by Hong Kong supermarkets; most of the respondent 58.0% were not satisfied while
42.0% were of the contrary opinion. There was no significant difference between a number of variables
such as gender, being a principle shopper and such variables as brand strategy being a positive
Mla dissertation brand strategy for the supermarket industry in hong kong
Mla dissertation brand strategy for the supermarket industry in hong kong
Mla dissertation brand strategy for the supermarket industry in hong kong
Mla dissertation brand strategy for the supermarket industry in hong kong
Mla dissertation brand strategy for the supermarket industry in hong kong
Mla dissertation brand strategy for the supermarket industry in hong kong

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Mla dissertation brand strategy for the supermarket industry in hong kong

  • 1. Surname 1 Name: University: Course: Tutor: Date: Brand Strategy for the Supermarket Industry in Hong Kong Chapter one Introduction There can be arguments to certain brand management and its development catering to the supermarket Industry in such practice can be presence of such branding system of retailing in Hong Kong. And there can be important brand strategies in placed for the supermarket industry within Hong Kong and the globalization of the supermarkets. This study is related to the module of Brand Management and there is the consideration as well as assessment of supermarket in Hong Kong, specifically the Park n’ Shop Supermarket as a case study which can be subject for discussion and analysis. Also, Supermarkets in Hong Kong are delivering such a diverse offering to the marketplace from better goods and services in specific price and quality within such brand recognition and its significance to the industry. The Supermarkets in Hong Kong is one of the pioneer industries in terms of branding strategy utilization as geared towards several ideal advances in Supermarket business in Hong Kong and the brand management in which marketing and operational environment through innovation are stimulated along with variations of the Hong Kong supermarket chains. From the point of view of marketing strategy, Varadarajan criticized the extant literature for lack of international orientation, as most studies were in the context of such business. The fact casts doubt on the generalization of strategy-performance relationships to the larger international context (Varadarajan, 1999). Thus, Varadarajan argued that the cultural aspect in the strategy formulation process in international contexts is not well researched, even though this issue is critical within increasing globalised
  • 2. Surname 2 markets. There is the need to fill research gap on the understanding of the strategic role brand plays in benefiting the firm financially at both the domestic and international levels (Malhotra1999). In other words, the relationship between brand performance and financial performance needs to be further studied in order to measure and understand the brand's strategic importance. The paper thus seek to critically examine Brand Strategy and other related concept for the Supermarket Industry in Hong Kong Statement of the problem The concept of branding has come out to be deemed by management of any organization as a top priority (Chaudhuri 2001). Additionally, it has been categorized together with the human workforce to be the most valuable assets within an organization. Similarly brand building/development is a long process that utilizes a lot of resources and cannot be separated from advertisement and strong marketing strategies. Organizations have resorted to branding with the belief that it will save them from failing as it will enhance the value of the product/organization. However, many of these organizations fail to have prior knowledge that adequate planning is key to successful branding (Kotler 1997). For this reason, long- term promotion prop up for a brand, on the basis of definitions of the distinctiveness of the target consumers is necessary. Additionally, understanding of customers preferences, aspirations and expectations from the brand need to be considered. In Hong Kong, supermarkets are industries seem to be utilizing branding in their day to day running of their business. However there has not been a comprehensive study that has linked branding in supermarkets in Hong Kong and their performance, success and value. This thus lays ground for the study. Purpose of the study The purpose of this study is to critically examine Brand Strategy and other related concept for the Supermarket Industry in Hong Kong. The researcher’s main goal is to bring to light how Hong Kong supermarkets develop brands, manage and use in fostering its performance and success.
  • 3. Surname 3 It is has come to the knowledge of business organization that there has been dramatic change in customers preferences, needs and aspirations. This has left the business world to be very competitive and counter these business entities have adopted a myriad of strategies among them branding. Additionally, this research is carried out to fill the gap that did not explain brand strategy, brand management as well as performance and success of supermarkets in relation to branding. The targeted audience is those individual shopping at Hong Kong supermarkets particularly Shoppers from Park n’ Shop. The required information and data will be obtained from two main sources; from primary and secondary sources. Justification of the study The research (study) is very important as it will seek to critically examine Brand Strategy for the Supermarket Industry in Hong Kong. The findings will be of importance to various stakeholders such as supermarkets, customers as well as other business ventures. Additionally, the research will help fill gaps pertaining branding in supermarkets. The research will define what branding is, its elements, history and transition, brand management, brand development. Additionally, the issue of branding relating to organization performance and success are brought to light to light. The findings herein will help the relevant stakeholders to make rational and sound decisions concerning blended learning. It is worth noting that this will result in ensuring more of our universities adopt the approach since they will be aware on how it works hence embracing technology which is the norm to stay competitive in the changing world of technological innovation. This is very important in determining the future of learners who seek to acquire skills and improve on their quality of education. Not carrying out this research will clearly depict that branding strategies in Hong Kong supermarkets will remain unknown to some relevant stakeholders such as customers, business entities. Additionally, the gaps in the entire concept and topic for instance how to manage supermarket brands and brand development, elements of brand its association with organizational success and performance, the challenges facing branding and how they can be addressed might only remain an illusion. This will mean
  • 4. Surname 4 that those academic institutions as well as other relevant stakeholders such as future research scientists will be left in the dark and cannot use the findings to improve learning in branding. Scope of the study With clear knowledge that no single study can adequately address all aspects of any given topic, there is need to clearly establish what the research will address. The scope of this study thus is to critically examine Brand Strategy for the Supermarket Industry in Hong Kong. This is done by defining what branding is, its elements, history and transition, brand management, brand development. Additionally, the issue of branding relating to organization performance and success are brought to light. Lastly and more importantly, the benefits associated with effective branding are discussed in details. Through this analysis and data collected from primary sources, proper inference will be made concerning branding strategy for Hong Kong supermarkets. It is worth mentioning that the results that will be generated from the study will not only have an implication on a narrow scope but applicable in not only supermarket in Hong Kong but other such businesses across the globe. This is possible with some slight adjustments for it to fit the situation at hand. Research approach The research employs a mixed study to obtain relevant data and information. A theoretical study, a research approach in which the goal is to prove/disprove a hypothesized truth or proposed future research plans that may be carried out in the future but not at the current moment. The choice of this method was as a result of its simplicity and ease of use. It is important to note that theoretical study calls for deeper digging of various literatures ranging from journals, publications, books, other forms of literature and from the internet. Most of the data required will be collected by perusing through secondary sources of data as well to primary sources. Qualitative research is also employed in the study; the approach seeks to contextualize the research by immersing the researcher into the study scenario as well as with the study sample (Yu & Cooper, 1983). Hypotheses are developed and data is collected and the results tend to be subjective. Case study as a sub type of qualitative research is used to ensure that the study is flexible enough to give the
  • 5. Surname 5 researcher room to investigate issues that were not previously thought of and could be worth being brought to light. More data will be collected from primary sources which include; observation and questionnaires (Salganik & Heckathorn, 2004). After establishing the target sample, issues of ethics, accountability and confidentiality are given a priority before collecting necessary data. Aims and objectives of the study The study sought to critically examine Brand Strategy for the Supermarket Industry in Hong Kong. The objective for this research is to acquire the awareness and knowledge regarding to how the supermarkets in Hong Kong utilize, address, deal and apply the superb brand strategy and approaches when it comes to marketing ways in relation to the retailing power from the supermarket industry that such brand management and imperative aspects will be discussed and explained along with the research evidence and support to the information and knowledge as acquired. To determine and identify the branding factors in lieu to the supermarket products and services found in Hong Kong market. Also, to integrate the empirical structure of research data using appropriate research material and methods respectively. The research objectives are; 1. To be able to acquire useful research evidences, information and the finding out of applicable knowledge of branding as applied in the supermarkets in Hong Kong. 2. To be able to utilize properly case study analysis into the awareness of Hong Kong supermarkets and the branding application to the business markets. 3. To evaluate the realize the information and data collected from the relevant literatures and the possible surveys in searching for good brand management relationship that are crucial for understanding research focus. Research questions and hypotheses From these objectives, a number of research questions and hypotheses that aid in carrying out the research include;
  • 6. Surname 6 The research questions that guided the study are the following; 1. What is branding? What constitute a good brand as supported by such management and strategy in factors pointing to customer value and market operations within the Hong Kong supermarket industry? 2. What relevance do certain theories provide in the application of brand strategy? 3. Is there a better brand retailing for such innovative paradigm as applying in supermarkets in Hong Kong? Use Park n’ Shop as a sample in such application of branding strategy and management. 4. What are the assumption that indicates ample supermarket demand in branding creation and influence over the Hong Kong market? 5. Does the brand strategy impose as an ideal tool for the success of the supermarket industry in Hong Kong? Hypotheses from the research questions to be investigated are; The relationship between brand strategy and marketing: H1. Brand strategy is positive determinant of brand performance. H2. Brand strategy is positive determinant of supermarket value. The relationship between brand management and success: H3. Brand Management is positive determinant of industry performance H4. The congruency of marketing ways is positive determinant of brand success Definition of terms Brand: A name, term, sign, symbol or design, or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of other sellers (Chaudhuri 2002).
  • 7. Surname 7 Branding: Has been though as a marketing process or practice of creating a name, term, sign, symbol or design, or a combination of them for goods and services in the minds of consumers through advertising campaigns with a consistent them. It aims at establishing significant and differentiated presence3 in the market with an ultimate goal of attracting and retaining loyal customers. Supermarkets: this is a term used to describe self-service stores that offer a wider range of food as well as household merchandise and is in most cases organized into sections. Supermarkets are larger as compared to traditional groceries but smaller than superstores or hypermarkets. Brand management: Brand management refers to a process of sustaining, civilizing, and keeping a brand so that the name is linked with desirable positive outcomes. This process entails several significant aspects for instance competition, cost, in-store presentation and customer satisfaction (Mooij 1998). Brand strategy: This refers to long-term marketing support an organization offer to its brand on the basis of how the target audience or consumers have been defined. The concept include a clear understanding of an organization as well as customer preferences, aspiration needs, demands and expectations from the brand. Mixed research design: It is a kind of research approach that encompasses both qualitative and quantitative research approach. Case study: Is a research approach that provides researchers/investigators with flexibility to pursue area/issues in the research topic that were not initially thought of and factored into the study (Crook, 1994). Technological innovation: This has been used to refer improvement of existing forms of technology that result to development of new products as well as processes. The advent of computers and the art of man in trying his hands in a number of issues concerning computers have resulted to continuous change in terms of technology.
  • 8. Surname 8 Qualitative research: A research design that seek contextualize a study by immersing the investigator into the research situation and with the research subjects in which hypotheses are developed and data are collected and results tend to be subjective. Information technology: Information technology refers to a process whereby computers and software are used in management of the information. Information is stored, protected, processed, shared and can be retrieved when need arise by use of the technology. It is worth noting that it is application is almost ‘unlimited’ (Skehan, 1999). Organization of the study The study is organized in such a way that it depicts the recommended format of dissertation paper. Five distinct sections are what constitute the whole paper and this design makes it easy for those who will review it get to relevant section with ease. Section one which is the first chapter is made up of introduction, background of the study, problem statement, rationale/ justification of the study, aims and objective of the study, research questions and hypotheses, and finally definition of terms used in the paper. Each of these subsections is adequately addressed to give insight to readers of what they expect in the paper. Section two normally referred to as chapter two is made entirely of all literature that relates to the study topic. Data concerning branding in Hong Kong supermarket are analyzed and brought to light. Generally history and transition of branding coupled with its various characteristics and benefits are adequately discussed. What branding can do for business entities especially supermarkets in Hong Kong are discussed in details. Similarly, developing a brand is also discussed, issues relating to brand management as well as branding and organizational performance analyzed, synthesized and linked to the research topic.
  • 9. Surname 9 Additionally, core practices for success that are practiced by school leaders that impact on success of poverty school are also tackled, the efforts made by the government to ensure that leaders in such school, plus other relevant information are brought forth. Section three is the methodology chapter. It entails the following subsections; research design or approach, description of study area, population and sampling procedures, instrumentation, data collection procedures and data analysis procedures. Additionally, issues relating to validity, reliability as well as ethical consideration is brought to light in this chapter. The fourth section chapter three is results and analysis. It is here that all statistical tests will be done and represented by use of descriptive statistics. Issues involved include demographic characteristics, t-test, and correlation and regression test. It is in this chapter that forms the backbone of the paper. The last section is organized as chapter five and is under the title discussion, conclusion and recommendation. A recap of the finding is done in this section.
  • 10. Surname 10 Chapter two Literature Review The advent of computers and technological innovation that has faced mankind in the recent past coupled with varied customers need and aspiration has left the business world to be highly competitive. For this reason, there are a number of strategies that organizations have used to cut for themselves a market edge in this competitive business world. The main strategy is branding usually followed by advertisement and publicity. The concept of branding has come out to be deemed by management of any organization as a top priority (Chaudhuri 2001). Additionally, it has been categorized together with human workforce to be the most valuable assets within an organization. It has been argued that brand building is a long process that utilizes a lot of resources and cannot be separated from advertisement and strong marketing strategies. Organizations have resorted to branding with the belief that it will save them from failing as it will enhance the value of the product/organization. However, many of these organizations fail to have prior knowledge that adequate planning is key to successful branding (Kotler 1997). For this reason, long- term promotion prop up for a brand, on the basis of definitions of the distinctiveness of the target consumers is necessary. Additionally, understanding of customers preferences, aspirations and expectations from the brand need to be considered. History and transition of branding Historically, ‘brand’ was though to mean a hot or burning thing and thus associated with marking of animals with unique symbols so that owners can easily identify them (Gregory, 2003). The process involved burning an iron that has been fashioned into a distinct symbol then pressed on the animal skin leaving a permanent mark. Over the years the term has been used in a wider context especially in the field of business to refer to "name, term, sign, symbol or design, or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of other sellers (Chaudhuri 2002). One notable example of earlier use of branding in China, where merchants used branding names "Misty Mountain Tea", or "Garden in the Sky Tea" to sell poor quality garden tea to buyers
  • 11. Surname 11 Oscar Wilde wrote that pessimist is an individual that who is a ware of all things but do not know the price of anything. It is only in the recent past that top management have deem brand to be an important asset to their organization. (Davidson 1998; Ward and Perrier 1998) In simple terms, brand is entity that provides end-users with an added value on the basis based functional performance. All these help distinguish the product or service being offered by a business entity. The four Ps of marketing has been used for a very long time to bring about values associated with a brand (Lancaster 1995; Kotler 1997) As time passed, knowledge possessed by the community that engages in marketing has led to managers being brand leaders. There is recognition of branding strategy as source of competitive advantage in domestic markets (Chaudhuri 2001; De Chernatony 2001; Moore et al 2000). In addition to view of branding, brand can be used as corporate strategic tool to enhance firm's performance. (Mosmans 1996; Mosmans 1998) The brand as an important resource of firm can serve as a strategic reference point. It can shape business development by realizing an alignment between the capabilities of the firm and the external environment. The emphasis of brand strategy is shifted to brand- based strategy (Mosmans 1998) Branding is technique to build sustainable, differential advantage by playing on the nature of human beings. Only humans can attach meaning and feeling to inanimate objects and random collection of symbols, which suggests the appeal of branding, is not entirely rational. (O’Malley 1991). Once consumers become accustomed to a certain brand, they do not readily accept substitutes (Ginden 1993). Organizations seek ways to take full advantage of human trait – popularity of branding. Organizations develop brands as way to attract and keep customers by promoting value, image as well as lifestyle. By using particular brand, the consumer can cement positive image (Ginden 1993) Brands also reduce the risk consumers face when buying something that they know little about. (Montgomery 1992)
  • 12. Surname 12 What branding do According to the suggestion of Randall, 1993 concerning what brands do for both customers and consumers, there are five major functions coined. One very important one is the creation of identity. Any brand is created in order to identify itself clearly and unambiguously. For this to be attained, there is need first to obtain a legal protection and design elements, which will ensure that no other organization will used such trademark or brand. Brands also function as shorthand summery to consumers. Product brand or the identity brings with it a summery of all information deemed necessary by the end user. It has been established that memories seem to work when information is stored in a set of network. A good brand links the network by providing the necessary or triggering association. Additionally, a brand has been thought to function as creating a sense of security to end-user of a certain product or service. A good brand makes its consumers reassured when buying well known brands. Security is coined to guaranteeing provision of benefits anticipated by consumers of any goods or services. An element of differentiation is also brought out by a brand. This is what mousiness ventures cut themselves an edge in the competitive business world (Kotler 1997). It is a company brand that will appeal to consumers only if it succeeds to prove to have shown uniqueness and difference from the same product or substitutes from its competitors. Lastly, it has been noted that a brand brings added value to any given product or service. Due to stiff competition, business organization more so those that are profit oriented have realized that providing customers and consumers with the generic product is not sufficient enough to meet customers aspirations and need. Thus there is need to supplement this and using a brand proved to be the ultimate best solution. Generally speaking to come up with a good brand which provide all these broad functions, organizations need to do some soul searching. Generally speaking, the major aim of branding is to pass vividly a massage, creating customer loyalty, persuade a customer to buy a good as well as establishing an emotional association between the buyers and the product being offered. It is the brand that builds customer perception concerning a given
  • 13. Surname 13 product. It does this by raising end-users expectations about the good in question. Primarily, branding seek to create differentiation. It has been documented that strong and well thought brands are capable of reducing customers’ perceived monetary, safety as well as social risk while buying a product or a service. It is from the concept that there is need for organizations to make potential buyers to in a better position to imagine the intangible good that a brand came into play. There are also other rewards that come with branding. Through branding, a loyalty to the brand is created, what this implies is that business enterprises will attain a greater consistency of demands via retaining their customers (Moore 2000). It has been noted that as time elapse branding strategies deemed good and successful leads to higher volume of production that provides the organization with economies of scale hence having a favorable and positive influence on costs per unit. This further makes the organization to be in a position to attain greater margins hence placing it in a better position in the competitive business world. Similarly, the concept of brand resilience has been key in ensuring that organizations that are profit oriented comfortably and smoothly find their way out despite a stormy business environment. A typical example is back in 1982 when car manufacturers suffered due to poor branding and low sales, Mercedes did not felt this as its sale exceeded those of their competitors by slightly above 50%. It is worth mentioning that the magnetic power an organization has as it concerns how customers buys, very successful brands allow organizations to charge a premium price for what they are offering thus leading to accumulation of higher profit. Studies show that a well thought brand has the potential to return a margin of between 4 and 6 times as compared to that of the competitor deemed to be very close (Shugan, 2005). Lastly and more importantly, brands have been thought to be capable of aiding businesses to move, infiltrate and capture new markets; this will be a better move to Hong Kong supermarkets. A clear example of how this is attained is provided by Dunhill a tobacco industry that was once at the verge of collapsing did revitalize itself and is now a giant in the filed.
  • 14. Surname 14 Internal and external elements of a brand To customers, a brand is made up of two major elements; internal and external. Among the internal elements of a brand are; personality which typically refers to how end users of a good or service will describe a brand. Self image is another internal element, this comprises what the audience or customers for that matter will feel and say as far as the brand in question is concerned, a typical example is provided by one’s image in driving a ford or a Jaguar. Concerning external elements of a brand, relationship revolves a round the customers identification with the brand itself. Physique or rather the outward characteristics or attributes of a brand that will make the audience want to know more about the brand is equally an important external element of a brand. Lastly, reflection which refers to nurturing of customers towards a given brand is another example of an external element of a brand. Brand Management Brand management refers to a process of sustaining, civilizing, and keeping a brand so that the name is linked with desirable positive outcomes. This process entails several significant aspects for instance competition, cost, in-store presentation and customer satisfaction (Mooij 1998). The entire process is fabricated on a marketing basis, but centers mostly on the brand it self and how it can be made to remain highly favored by customers. It has been asserted that properly managed brand can lead to an organization realizing higher sales of not only one product, but also other goods and services connected with that brand. A typical example can be drawn from if a customer loves a coca cola soda and does trust the brand such an individual will have more chances of buying other goods that are offered in the market by Coca Cola Company for instance Dasani water. There are a number of principles of brand management that when followed and implemented to the later will ensure that a brand created successfully built into customers’ state of mind. This can be attained by positively influencing end users perceptions as well as attitude that relate to an offering that leads to a positive customer buying behavior (Schmidt, & Ludlow, 2002). Additionally, it has been suggested that mangers need to have very wide knowledge on customers’ base. The principles mentioned
  • 15. Surname 15 previously are that a good brand name opt to stand out among a group of other competitive brands, be very attractive, easy to pronounce, know, remember, recognize, translate into all possible language in the market where the brand will reach, attract attention, be protected under the trademark legislation (Mooij 1998). Additionally, a good brand should differentiate the products positioning in relation to competition, suggest an organization or rather the good or product image and finally suggest the benefit of a product. Managing all brands and building brand equity over a period of time is very essential. The importance and value of brand management is that it helps in constructing a business image. Any manager bestowed with the responsibilities of branding need to keep an eye on overall performance of a brand. A brand is deemed successful when created under a competent brand management process (Moore 2000). The brand strategy, the key to business strategy (Berry 1993) can possibly promote the financial value of the brand rather than making it better product that the customer wanted. Creating brand image involves getting customers to know that the brand exists. The branding process itself may be the starting point for product differentiation (Allen 1992). It is worth mentioning that organizations or companies with very strong brand do have higher market value as compared to their counter parts with weaker brands. Having, in mind that any brand can potentially loose its value, there is need to give such a brand a good support so that it can sustain its position for a longer period of time. The consumer will perceive one brand as more desirable than its competitors and purchase it based on those perceptions. Carey suggests that if the brand has a recognizable identity, then it should be aimed at opportunity markets to yield maximum success. (Carey 1991) Supermarket companies must manage the image and identity of brand and tie it to the total business strategy the organization must decide how branding fits into its general strategy (Carlino 1991). The point is, brand strategy should be relevant to goals of the organization. Although there are directions for matching brand with certain strategy (Wentz 1993), market operations must create unique strategy that works for the Hong Kong supermarket industry.
  • 16. Surname 16 Developing brand strategy Coming up with a desired brand strategy has been deemed to be one of the most challenging activity while making plans that pertains to marketing. Despite it being very challenging, there is no other shortcut in ensuring that a company is created with a very strong identity other than by branding (Chernatony 2001). This is because branding has been proved to be a very essential ingredient in making of successful organizations, locally, nationally and across the globe. Being a fact that once a brand is developed; it is evident that its identity will be repeatedly passed across in various ways together with numerous frequencies for as long as the business exists. For this reason, it is only rational to developing a brand strategy that will be the best (Olins, 2003). It is sad to note that most organizations fail to point out the main objectives or purposes of the entire exercise of branding they undertake. There are suggested steps that will help organizations be at per with the whole process of branding from planning, developing and execution of the exercise. As noted by Ware, 2010, to develop an effective brand strategy is one very important aspect that needs to be mastered by each and every serious business venture to guarantee success, Hong Kong supermarkets not being exceptions. He further asserts that those organizations that do not understand the whole concept of branding as well as coming up with an effective branding strategy are at the verge of terribly failing business wise. Steps in developing brand strategy The first step that each and every organization that seeks to come up with an effective brand, is to understand the meaning of branding. It is very important to distinguish branding from marketing and advertisement. When organizations set out the main objectives and purpose of branding coupled with the knowledge that the whole idea is a promise to end-users of a given product or services that will then lead them to experience an unexpected experience, then the whole process is deemed successful (Keller 1998). Broadly speaking, there are three major steps that are very important in coming up with an effective branding strategy; they include thorough research, strategy developing and finally implementation or execution. Before engaging in research step, starting by pointing out the core values of
  • 17. Surname 17 a brand opt to be done. It is worth noting that core values are those qualities an organization deems to be most important to their day to day running of their business. For instance, a Hong Kong supermarket might have customer satisfaction, integrity, trustworthiness, provision of high quality services and product It is worth noting that a set of these core values in most cases are not made public but can be seen through a glass via numerous activities done by the organization (Keller 2003). These core values concerning brand should not change despite the fact that brand preposition can change any time. It has been argued that these core values of branding should at no time be taken lightly as it depicts an organization creed for doing business hence success. As stated previously, the issue of research being conducted in a thorough manner will definitely dictate developing of a successful brand. Marketing and branding scholars have proved that once brand core values have been identified, without carrying out objective and comprehensive research about the entire process of branding, the whole activity will be a flux (Mooij 1998). The research stage looks in depth several issues that broadly include the whole organization, services and goods offered by the organization, the target market as well as the desired audience and competitors. Having enough knowledge on all these categories is key in placing the organization at a better place when crafting how to develop a brand. Strictly speaking, the study will center on finding out the philosophy of the business organization, its customers and clienteles, the determining factors on customers decisions on buying, the anticipated benefits brought about by the goods and service to be offered, identifying the potential competitors and finally the reason that will make end-users to choose ones goods over their competitors. On the same note, further research need to be carried out to establish the strengths and weaknesses of the brand (Chernatony 2003). Additionally, depending on the availability of financial resources available, it is advisable for an organization to dig deeper into the history of branding, what is happening at present as well as try to predict what the picture will look like in the near future and probably propose some directions.
  • 18. Surname 18 After thorough research has been conducted, moving to the second stage-development phase then follows. In this stage those individuals that conducted the research in groups come together and strategize how all the varied aspects from the research will be integrated. It is important to always have in mind that making each and every of the aspects brought forth to work with the aim of ensuring that the organization’s main objective are attained will foster success of the branding (Moore 2000). It is no doubt that it is at this phase that brand preposition is done. Brand statement is thus developed which in turn carries a promising statement to end-user. In case of a supermarket, a promise can be that if one buys goods or services from it, then he/she will get maximum satisfaction from high quality, saving money (Davidson 1998). While coming up with the preposition, having at the back of mind that there is need for it to be engaging, easy understand, unique relevant and more importantly provide solution to the needs and aspirations of customers is of paramount importance. All these are attainable only if the various teams are capable of successfully integrating their findings with those of the others. An engaging, easily understood and relevant brand preposition comes with an emotional influence that will propel customers to crave for what is to be offered. This in turn will make them have a changed positive perception and attitude hence turn to an organization way other than to its competitors. Research phase will also make it possible for the organization to establish principle stumbling blocks that might hinder effective and successful branding (Holt, 2004). With such knowledge plans can be put in place to crush these barriers hence a smooth process of branding. The last stage in brand strategy is the most challenging one-execution phase. Any organization in this matter supermarket in Hong Kong need to ensure that each and every one within and without is actively, directly or indirectly take part in branding. If the whole idea is bought by even the employees, there are higher chances of realizing success. The entire workforce when are in a position to believe in the capabilities of the management, the organization as a unit as well as its product and services, then this is the right direction towards a successful branding (Chernatony 2001).
  • 19. Surname 19 However, effective implementation of brand heavy relies on what skills, knowledge and ability of the top management. Thus having in place by recruiting highly skilled and capable workforce will ensure that the entire process of branding is smooth and attain the desired goals and objectives (Kotler, & Pfoertsch, 2006). While this is being done, ensuring that the entire workforce is motivated and fully support the process is significant. Generally speaking, the three stages aim at delivering unexpected and winning the hearts and minds of customers. For any organization that seeks to carryout branding, developing a brand preposition that is not expected or anticipated will make the organization stand out from the potential competitors (Lancaster 1995). More importantly is winning the minds as well as hearts of potential customers. This is done by creating an emotional feeling between the customers and the brand which in turn leads to a reaction from the target audience even before tasting or experiencing the product or the service. While developing a brand strategy, the brand preposition needs to factor in several important factors. According to Davidson 1998,these include; alignment with the brand core values, ability to adapt to a dynamic market, being clear, engaging, different and in line/relevant to the targeted audience, echoed by all partners/team players, be able to incorporate positive emotional attachment that is better beyond the concept of good. Additionally, the preposition needs to be always consistent although several marketing as well as media of advertisement and finally be always consistent with the ability of the workforce to deliver the promise made (Fan, 2002). Arguably, it has been demonstrated that a well though, planned and executed brand strategy brings with it a successful brand performance. Similarly, brand management does positively determine successful industry performance. Influences of brand on potential targeted audience As suggested by Chaudhuri 2002 brands are not only names, signs, symbols, terms or expression but something more than that. It is true that it helps differentiate products and services. A successful brand is a name praised every now and then in almost every household. Creating a brand personality makes people to identify themselves with it. This is achieved by making the target population to see the organization and what if offers affect their minds which entails sensation, intuition, thinking and feeling.
  • 20. Surname 20 There are those brands that aim at appealing to the rational part of individuals, to aspects of logics as well as good sense which is ascribed to be the thinking dimension. A typical example is how a tooth paste will help teeth not to decay. Some appeal to human sense of smell, seeing, taste among others (Keller, 1993). On the other hand other kind of brands does attract emotional aspect of human beings. This kind of appealing has been thought as impacting on the feeling making customers respond with such feelings as of warmth as well as belonging (Alden, 1999). A brand also brings some sense of intuition to human beings especially the potential end-users of products or services being offered by an organization. Persons do get attracted to a brand just because they feel comfortable to be associated with. The reason here is that they feel the brand is an extension of what they are, fitting to their way of life, personality as well as behavior (Birkin, 1994). Judging by what is currently happening in the business world and drawing from past history of branding, we are in the world of brand-scape (Ward, 1998). For this reason each and every serious organization that need to be always ahead of its competitors need to have in place plans on how to execute successful branding, this applies to Hong Kong supermarkets. Questionnaire Branding Questionnaire I am Joan Cheng Yuk Yi a student in Edinburgh Napier University. I am carrying out a research on “Brand Strategy for the Supermarket Industry in Hong Kong” as a partial fulfillment for the award of Master of Science in Marketing. I will be obliged if you would tick the appropriate box and provide necessary information in spaces provided. The information provided herein will only be used for the stated purpose. Additionally your identity will be kept confidential. Profile and basic information Yes or No questions
  • 21. Surname 21 Multiple choice questions 1. Age 15-25 25-35 35-45 45+ 2. Gender Male Female 3. To which of the following racial or ethnic groups do you belong? European Asian Hispanic Indian African Others 4. Are you Employed Unemployed Student Self employed 5. What is your level of education?
  • 22. Surname 22 Some high school High school graduate Some college Graduated from college Graduate 6. Monthly income in US Dollars 0-5,000 5001-10,000 10,001-15,000 15001-20,000 20,001-25000 25,001-30,000 30,001+ 7. Marital status Single Married Divorced Separated
  • 23. Surname 23 8. How many dollars did you spent in a supermarket in the last two months? 1-500 501-1000 1001-1500 1501-2000 2000+ 9. How close to your residential place is a supermarket located (Distance in Meters)? 0-500 501-1000 1001-1500 1501-2000 Over 2001 10. Are you the principle shopper in your household? Yes No 11. How frequent do you visit the supermarket? Every day Thrice a week Twice a week
  • 24. Surname 24 Weekly Twice a month Monthly Others 12. Are you aware of branding usage in Hong Kong supermarkets? Yes No 13. If yes in 9 above how did you get to know about it? From friends From media From relatives Other sources 14. In your opinion, how developed is branding in the country’s supermarkets? Highly developed Moderately developed Developed Poorly developed 15. On the basis of your response in question 11, rate what constitute a good brand by using values 1 to 10 where 1 is poorly rated and 10 is highly rated. Easy to read Bring added value
  • 25. Surname 25 Eye catching Unique and differentiated Household name Bring a sense of security Creating identity Build customer loyalty Cost effective Create positive emotional impact 16. Branding do influence where you shop Strongly disagree Disagree Undecided Agree Strongly agree 17. Does Hong Kong supermarkets mastered firmly staying top in providing customers by delivering quality products, consistent brand messages and innovative ideas? Strongly disagree Disagree Undecided Agree Strongly agree 18. In your own opinion, are you satisfied with the kind of branding exhibited by supermarkets in Hong Kong?
  • 26. Surname 26 Yes No 19. For your response in question 18 please elaborate. 20. What is your opinion on how Hong Kong supermarkets carryout their branding strategies. Poorly Fairly good Good Very good Excellent 21. Basing on your response in question 20, what then needs to be done? 22. Please indicate whether you agree with these statements; Hong Kong supermarkets need to change their branding strategies Strongly disagree Disagree Undecided Agree Strongly agree 23. As a consumer, provide the possible benefits brought about by branding to you. 24. Please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of the supermarket industry in Hong Kong.
  • 27. Surname 27 Strongly disagree Disagree Undecided Agree Strongly agree 25. Please indicate whether you agree with these statements; brand strategy is positive determinant of brand performance. Strongly disagree Disagree Undecided Agree Strongly agree 26. Do you agree with the statement that brand Management is positive determinant of industry performance Strongly disagree Disagree Undecided Agree Strongly agree
  • 28. Surname 28 27. On the basis of how the supermarket you shop utilize address issues pertaining branding, will you continue shopping there? Yes No Please elaborate.
  • 29. Surname 29 Methodology Research Methodology This chapter describes in details how the research was accomplished especially the manner with which the study was carried out. In addition, the issue of qualitative and quantitative methods employed in the study is brought out clearly, the entire mechanisms used to identify the sample of the data; mechanisms of data collection, analysis of the data collected and finally the interpretation of results from the analyzed data as well as presentation of the finding are addressed. The study sought to critically examine Brand Strategy for the Supermarket Industry in Hong Kong. Additionally, branding characteristics that make goods of a given organization for this case Park n’ Shop supermarket unique are brought out in a clear manner. The research will also bring forth how branding influences the targeted audience. On the same note, the advantages to customers brought about by branding are also examined among other issues. The study will put forward recommendations that will help the industry successfully adopt best branding strategies as well as management in order to remain competitive in this business world. Both primary and secondary sources of data will be used to collect the required data, while qualitative research methodology and quantitative methodology will be used in carrying out this research. This provided me with an opportunity to come up with suitable information that one can bring forth relevant recommendation (Patton, 2002). Data will be analyzed and presentation done using graphs charts and tables where appropriate. The research will seek to obtain the necessary data that will be very informative in try to answer the research questions and find out more about branding strategies and management in Hong Kong supermarkets. A mixed study and a research approach will be used to carryout the research in order to make comprehensive findings (Creswell, 2003). This method was chosen due to the ability to implement it easily and effectively with few error; it is also practical and suited for the study. The approach lays its basis on various studies that have been done by others and an understanding of the past and current
  • 30. Surname 30 information from literature. The data required will be needed in order to support the following research questions. Research Questions The research questions that guided the study are the following; 6. What is branding? What constitute a good brand as supported by such management and strategy in factors pointing to customer value and market operations within the Hong Kong supermarket industry? 7. What relevance do certain theories provide in the application of brand strategy? 8. Is there a better brand retailing for such innovative paradigm as applying in supermarkets in Hong Kong? Use Park n’ Shop as a sample in such application of branding strategy and management. 9. What are the assumption that indicates ample supermarket demand in branding creation and influence over the Hong Kong market? 10. Does the brand strategy impose as an ideal tool for the success of the supermarket industry in Hong Kong? Hypotheses from the research questions to be investigated are; The relationship between brand strategy and marketing: H1. Brand strategy is positive determinant of brand performance. H2. Brand strategy is positive determinant of supermarket value. The relationship between brand management and success: H3. Brand Management is positive determinant of industry performance H4. The congruency of marketing ways is positive determinant of brand success
  • 31. Surname 31 Research design The research employs a mixed research design method. It is important to note that theoretical study calls for deeper digging of various literatures ranging from journals, publications, books, other forms of literature and from the internet (Beiske, 2002). What this implies is that some of the data required will be collected by perusing through secondary sources of data. Qualitative research is also employed in the study; the approach seeks to contextualize the research by immersing the researcher into the study scenario as well as with the study subjects. Hypotheses are developed and data is collected and the results tend to be subjective. A case study as a sub type of qualitative research is used to ensure that the study is flexible enough to give the researcher room to investigate issues that were not previously thought of and could be worth being brought to light (Tabachnick, & Fidell, 2000). The aim of this research is to critically examine Brand Strategy for the Supermarket Industry in Hong Kong. This will provide me with an opportunity to offer recommendations regarding the same to businesses especially supermarkets in regard to branding. The objectives of the study will be to establish what relationship between branding and supermarket values and success exist. Secondly establishing how branding influences potential target audiences are clearly brought out. Population and sampling procedure The population of interest for the study are residence of Hong Kong shoppers from Park n’ Shop supermarket. This is because they were in a better position to provide the necessary and relevant information as regards to branding in Hong Kong supermarkets. Due to the fact that the study cannot fully incorporate all of them, selecting a sample which will represent the whole population is always deemed necessary in such a study. The sample will however be representative of the general population. The sampling strategies that will be used to obtain the sample population will include; random sampling, stratified random sampling, snowball sampling and careful biased sampling (Creswell, 2003).
  • 32. Surname 32 Use of random sampling ensures that a group of the entire population is selected to represent it in the research being done. This will involve the whole population being divided into samples that represent the entire population. Careful biased sampling will also be used; this ensures that specific individuals especially shoppers that frequent Park n’ Shop supermarket are selected. Stratified random sampling will be used to subdivide (distinguish) between individuals/shoppers according to residential distance from the supermarket (Yu & Cooper 1983). Additionally, snowball sampling a technique for developing a research sample where existing study subjects recruit future subjects from among their acquaintances. Thus the sample group appears to grow like a rolling snowball. As the sample builds up, enough data will be collected. This sampling technique is often used in hidden populations which are difficult for researchers to access. According to Salganik & Heckathorn, 2004 this kind of sampling makes it possible for me to include individuals I do not know in the study, similarly the technique allows for locating individuals having vital information that are otherwise difficult to locate. The main down fall of the sampling technique is that it’s prone to creating biasness. Data collection methods The data required to fully address all the objectives and research questions will be obtained through perusal of secondary as well as primary data sources. It is worth mentioning that before embarking on collection of the required and necessary data one would first seek permission from the relevant authorities from the institutions of higher learning targeted. This was done to eliminate plagiarism and make the report comprehensive and conclusive. The main activities will be outlining the required data, data collection preparation of the material and tools, and the arrangement of the needed assistance. The tools will include preparing, the questionnaires structures and questions and the data collection items to record the collected data. Forms will be designed so as to ensure the data collected is systematic and easily understood. After the collection of data there will be presentation of findings before the analysis where the data collected will
  • 33. Surname 33 be sorted or arranged appropriately to bring out a meaning; this will make it possible to emphasis on time management, accuracy and precision of the data (Beiske, 2002). Primary sources The primary sources of data collection to be used depending on where they were most applicable will include: interviews, observation and questionnaires. Questionnaires will also be used to collect relevant information; I will distribute them to respondent situated in the targeted institution of higher learning and would be collected later at an agreed date. According to Beiske, (2002) questionnaire covers a large population at a time as they would be distributed to different participants at a time and be collected later or at the same day depending on the willingness of the responded in addressing the questions, due to it being standardized they are more objective, data collected from questionnaire are easy to analyze, due to familiarity with the tool, responded will not be apprehensive, it is also very cost effective as compared to face to face interviews, the tool also reduces bias. The questionnaires will be issued to persons who shop at Park n’ Shop supermarket who are in a position to provide the required sett of data. It is expected that these individuals will also issue such questionnaires to other individuals they know who usually shop at the supermarket. According to Cohen & Manion, (1996) the major problem with questionnaires as a tool of data collection is that there is tendency of respondent to forget vital information, they may answers the questions superficially when it is a long one, to counter this I developed a short but very inclusive questionnaire, due to standardization, there is no room for explanation incase respondents misinterpret or do not understand the questions (Yu, & Cooper, 1983). This error will be eliminated through interviewing numerous respondents who will have different answers; which will later be combined to make out a comprehensive and conclusive analysis. Observation were also used, this seemed to provide more accurate information. However, this tool had some challenges. One, with this kind of data collection analyzing data obtained form it prove in most cases to be a serious challenge. To counter this there is need to have qualified personnel that were
  • 34. Surname 34 capable of interpreting physical as well as outward characteristics associated with branding in supermarkets. To supplement the two tools, interviews were also used. This was chosen because when the research will be done, as a researcher there will be need to be able to have directs contacts with the interviewee and obtain first hand information. Both the interviewer and the interviewee would be able to clarify on issues of the research done hence, being able to obtain information which is well elaborated and authentic (Yu & Cooper, 1983). The main questions to be asked will be revolving around the research questions where the interviewee will be asked to briefly expound on issues with regard to branding and organization performance. It is also a flexible data collection tool as when questions are not well grasped by the interviewee I will be in a position to rephrase and elaborate them. Interview will allow one to learn about things and facts that cannot be observed directly and finally it adds internal viewpoints to outward behaviors. Despite the advantage mentioned, according to Beiske, (2002) it’s a slow method because the process calls for interview of one person at a time, cannot fully trace events and trends that occurred in the past. Additionally, interview is an expensive tool to use; it is also subject to respondent and interviewer bias. This will be eliminated through a tight time and structural frame work that will ensure that everything is done on time and appropriately. Secondary source Materials from the library, internet and related research reports will be used to provide the required data and information concerning branding management, characteristics its association with organization performance. Internal sources to be sort after as the study is being carried include information compiled by the supermarkets regarding branding and how it has been performing over time. External data sources included information from the government sources, previous research studies and academic institution (colleges and universities material related branding in supermarkets). According to Creswell, 2003 the secondary sources will be very essential to support what has been collected in the primary data session i.e. from the observations, interviews, and questionnaires.
  • 35. Surname 35 Data analysis and presentation The collected data will be analyzed using non parametric statistics. The data will be filtered to clean it, modeling and transformation will be done in a way that will expose useful information in drawing of conclusion and recommendation, then codification follows. Descriptive statistics will also be employed in analyzing the data. T-test will also be used to test research questions. The data will first be entered in to spreadsheets after coding where initial analysis will take place such as checking the errors logs and percentages of the data to check any outliers which will then be transferred to Statistical Program for Social Science (SPSS Version 12.0) package which will aid in the final data analysis (Pallant, 2007). To find out what are the significant issues (ranking the issues from the most significant to those not significant) that concerning branding and supermarket performance a principle component analysis will be carried out. Logical regression and correlation analysis will also be done to see the relationship between branding strategy and industry success and performance. Cross tabulations will be used to establish the most important attributes supermarket opts to include while branding. Cross-tabulation is a multivariate statistical method of data analysis used most often in marketing research. It will be easy to interpret. T-test will be used for analyzing the relationship between brand strategy and marketing as well as brand management and success. To analyze the demographic characteristics such as age, gender, income level and the frequency of shopping among others of the sample used in the study, descriptive statistics such as frequency, means graphs will be employed (Pallant, 2007. The presentation of the results will be done by using tables, graphs and charts which will present the required information of the population and what they have said about brand strategy for the Supermarket Industry in Hong Kong. Ethical consideration In view of the fact that the research involves human subjects, there was need for high level of ethical consideration to upheld. As indicated by Beiske, 2002 some of the ethical consideration includes the following; the targeted sample populations that will be involved in the study to provide relevant
  • 36. Surname 36 information are to be informed about the same in advance. The reasons for carrying out the survey as well as how they stand to gain from the study will also be brought out clearly. As well, research ethics demands that the information be sought after by the researcher will be provided in good faith, and voluntarily without any influence be it monetary or otherwise for instance giving of incentives, rewards, and gifts. It is important to note here that the rights and welfare of the participants involved in the study must be protected and guaranteed. To do this, their identities will be kept confidential. Moreover, the information collected while soliciting for data is to be kept confidential and opt not to be used in any other purpose apart from what was initially intended for. It is expected that the interviewees/respondents will be ethical and provide accurate information to the best of their knowledge. This means that they should not knowingly give false full information. More importantly, I opt to be ethical in providing the participant especially the respondent’s guidelines and necessary information that are correct. Similarly, I should not be judgmental on the information am provided with during the course of interview and should be as neutral as possible during the entire process. Lastly, there is need to omit any kind of personal bias that might arise; this will be done at the end of the study. This is with the knowledge that such bias can negatively impact on the statistical analysis. Scope, assumptions and limitations of the study In every study, there are a number of assumptions made. In the case of this study, the following are among the assumptions held; 1. That the response rate will be slightly above the standardized threshold for proper inferences to be made. 2. Effective branding strategy does positively influence performance and success of supermarkets in Hong Kong. 3. The target sample will be a representation of the whole Hong Kong shoppers 4. All survey questions will be answered. 5. The responses will correctly reflect branding strategy in Hong Kong supermarkets.
  • 37. Surname 37 6. The study will be completed within the stipulated time frame The research has a global scope highlighting the concept of branding strategy, management and supermarket as an industry success and performance. A number of limitations/constraints were anticipated in this study and are discussed herein. 1) Time constraints: I had to work under pressure especially where the sources of information gave me close deadlines, like in cases where interviews were used, and some respondents had just a particular time in which they were free. Also some respondents delayed with questionnaires 2) Non cooperative respondents: Some respondents were not willing to corporate in availing required business information /documentations. I had to employ a lot of tact to counter this in order to get information from them and dispel fears that were developed. 3) Hostility: Some information sources and retail may appear hostile and not ready to give out the desired information. In fact I had to employ all tact of oratory prowess to dilute this hostility. 4) On the basis of the sampling method used, snowball might not be an accurate technique hence may result to biased findings. 5) Legal restrictions: I was unable to access some information due to legal restrictions and jurisdiction limits of businesses that only allow certain sensitive information to be accessed by specific people. In order to get a clear picture of this trend, I was needed to access even the company’s inventory accounts, capital accounts and other relevant ones that could give a projection of the changes that have occurred as stipulated by the research objectives. I had to convince certain premise that I had no intentions of making any legal implications with the information I collected from them before I could win their policies.
  • 38. Surname 38 6) Hostility: Some information sources and retail officials appeared hostile and did not readily give out the information I needed .In fact I had to employ all tact of oratory prowess to dilute this hostility. 7) Ignorance: Some shoppers may seem to be uninformed and could not therefore give me the required information as pertains branding in supermarkets. Data analysis, presentation and discussion The section thoroughly presents the finding after carrying out statistical tests. Information is presented by use of descriptive statistics. It is worth noting that 120 survey questionnaires were distributed to customers shopping at various Hong Kong supermarkets particularly, Park n’ Shop. 100 of the questionnaires were filled and made available for data analysis, representing 83.33 response rates which is way above the recommended percentage. SPSS version 12.0 was used to analyze data (Coakes, 2008) Demographic characteristics Age Of the 100 respondents, 18 were between 15 and 25 years representing 18.0%, 26 were between 26-35 years representing 26.0%, between 36 and 45 and those above 45 years were 28 representing 28%. There were no missing data on this variable. Table 1 Age characteristics of the respondents Frequency Percent Valid Percent Cumulative Percent Valid 15-25 18 15.8 18.0 18.0 26-35 26 22.8 26.0 44.0 36-45 28 24.6 28.0 72.0 45+ 28 24.6 28.0 100.0 Total 100 87.7 100.0 Total 100.0
  • 39. Surname 39 Males were 51 (51.0%) while females were 48 (48.0%). There was one missing data representing 1.0%. male female missing are you a female or male 0 10 20 30 40 50 60 Frequency are you a female or male Figure 1 A bar Graph showing gender of the respondents In terms of racial groups, Asian constituted the largest percent standing at 51.0% (51), Indians 15.0% (15), others 12.0% (12), European 9.0% (9),, African 7.0% (7) and Hispanic 6.0% (6).
  • 40. Surname 40 european Asian Hispanic Indian African others to which racial group do you belong? 0 10 20 30 40 50 60 Frequency to which racial group do you belong? Figure 2 A bar graph of racial group Concerning employment status, 38.0% (38.0) were employed, 23.0% unemployed, 16.0% were student and 21.0% were self employed. Two individuals did not offer information regarding their employment status representing 2.0%. with regards to education level, 25.0% had acquired some high school education, 24.0% were high school graduates, 24.0% had some college education 13.0 graduated from college and 14.0% were graduates. Annual income characteristics of the sample population was as follows, 17.0% earned between 0- 5000 US dollars, those earning 5001-10000 represented 19.0%, 17.0% were earning between 10001- 15000, 15.0% 15001-20000, 13.0% 20001-25000, 11.0% 25001-30000, 11.0% earned annual salaries in excess of 30000.
  • 41. Surname 41 0-5,000 5001- 10000 10001- 15000 15001- 20000 20001- 25000 25001- 30000 30001+ 99.00 annual income in US dollars 0 5 10 15 20 Frequency annual income in US dollars Figure 3 Annual incomes in US dollars One respondent did not provide information concerning annual earning. When asked how much the respondent spent in buying things from a supermarket, 25.0% reported to have spent over 2000 in the last two months, 2.0% said they spent between 501-1000 dollars, 21.0% spent between 1001-15000, 17.0% used 1-500 while 13.0% spent between 1501 and 2000.
  • 42. Surname 42 1-500 501-1000 1001-1500 1501-2000 2001+ How many dollars did you spend in a supermarkt in the last two months? 0 5 10 15 20 25 Frequency How many dollars did you spend in a supermarkt in the last two months? Figure 4 Dollars spend in supermarket in the last two months With regards to marital status, 17.0% were single, 47.0% married, 14.0% divorced, 19.0% separated. 3 individuals did not provide data on the same which represented 3.0%. of the 100 respondents, 31.0% live within 0-500 meters to a supermarket, 28.0% between 501-1000 meters, 19.0% reside within 1001-1500 meters, 12.0% reside within 1501-2000meters and 10.0% are live over 2000 meters ways from a supermarket.
  • 43. Surname 43 Table 2 How close to your residential place is a supermarket located in meters Frequency Percent Valid Percent Cumulative Percent Valid 0-500 31 27.2 31.0 31.0 501-1000 28 24.6 28.0 59.0 1001- 1500 19 16.7 19.0 78.0 1501- 2000 12 10.5 12.0 90.0 2001+ 10 8.8 10.0 100.0 Total 100 87.7 100.0 Missing System 14 12.3 Total 114 100.0 With regards to visiting supermarkets to do shopping, 24.0% went everyday, 17.0% thrice a week, 20.0% twice a week, 14.0% weekly, 13.0% twice a month and 12.0% did shopping once a month. everyday thrice a week twice a week weekly twice a month monthly how frequent do you visit the suppermarket to shop? 0 5 10 15 20 25 Frequency how frequent do you visit the suppermarket to shop?
  • 44. Surname 44 Figure 5 Frequency of visiting supermarkets to shop When asked if they are aware of branding in supermarket industry, 60.0% said they were, 39.0% were not aware while one person did not provide the information (1.0%). Of those who responded that they were aware, when asked how they got to know about branding 38.0% reported that they learnt about it through friends and media, 17.0% from relatives and 7.0% from other sources. Table 3 How did you know of branding in Hong Kong Supermarkets? Frequency Percent Valid Percent Cumulative Percent Valid from friends 38 33.3 38.0 38.0 from media 38 33.3 38.0 76.0 from relatives 17 14.9 17.0 93.0 other sources 7 6.1 7.0 100.0 Total 100 87.7 100.0 Missing System 14 12.3 Total 114 100.0 Out of 100 respondents, 56 (56.0%) were principle shoppers in their households while 44 (44.0%) were not principal shoppers in their households. Branding It is no doubt that the majority of the sample population is aware of branding. When asked to elaborate further on what they understand it to be, the numerous components used to define a brand were talked about. The respondent held the view that a brand is a sign, name, symbol or either a combination of these attributes. Thus this is in line with the definition of the term brand which is "name, term, sign, symbol or design, or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of other sellers (Chaudhuri 2002).
  • 45. Surname 45 As previously noted throughout the literature review, developing a brand without popularizing it is an effort that has been wasted (Prasad & Dev, 2000). On this regard, the majority of those who said they were aware of branding in Hong Kong supermarkets fully obtained information regarding the same through friends (38.0%), relatives (17.0%), media (38.0%) and other sources. from friends from media from relatives other sources how did you know of branding in hong kong supermarkets 0 10 20 30 40 Frequency how did you know of branding in hong kong supermarkets Figure 6 Knowing branding in Hong Kong supermarkets It is of interest to find that major characteristics of a brand brought forth by various scholars such as Holt, 2004 and Gregory 2003 have been manifested in the study carried out. Descriptive data clearly indicated that shoppers in Hong Kong believe that a brand should be eye catching 23.2%, creating a positive change 15.2%, unique and differentiated 13.1%, cost effective and bringing added value 9.1%
  • 46. Surname 46 each, build customer loyalty and household name 6.1% each, brings sense of security and creating identity were thought to be attributes of a good brand by 5.1% of the respondents. Being easy to read was thought to be an attribute of a good brand by 8.1% of the sample population. Strictly speaking, to customers, a brand is made up of; internal and external. Among the internal elements of a brand are; personality which typically refers to how end users of a good or service will describe a brand (O’Neill & Mattila, 2004). Self image is another internal element, this comprises what the audience or customers for that matter will feel and say as far as the brand in question is concerned, a typical example is provided by one’s image in driving a ford or a Jaguar. Concerning external elements of a brand, relationship revolves around the customer’s identification with the brand itself. Physique or rather the outward characteristics or attributes of a brand that will make the audience want to know more about the brand is equally an important external element of a brand. Lastly, reflection which refers to nurturing of customers towards a given brand is another example of an external element of a brand (Allan et al. 2004). For the reasons and ranking of the attributes brought forth, it will be rational for Hong Kong supermarkets to develop brands that are eye catching, that create positive notion and well differentiated. Similarly, it will be appropriate for supermarket industries in Hong Kong to work hard in further establishing the other attributes of a good brand as it will help serve in the interest of the industry as well as the customers.
  • 47. Surname 47 easy to read eye catching household nam e bringing aded value unique and differentiated bringssense ofsecurity creating identity costeffective build custom er loyalty creating positive change on the basis of your response in question 14, are what ... 0 5 1 0 1 5 2 0 2 5 Frequency on the basis of your response in question 14, are what constitute a good brand by using values 1 to 10 where 1 means poorly rated and 10 higly rated Figure 7 Attributes of a good brand Benefits of branding From the data analysis, it is evident that the respondent identified a number of benefits as a result of branding. 14.0% of those who answered the question regarding the benefits of branding said that it enhanced loyalty, familiarity and premium image. When the public hold a positive understanding with a brilliant brand, they're more likely to buy that product or service again than what the competitor is offering (Jones, 2003). Individuals who are closely associated with a given brand identity are not only more likely to repurchase what they bought, but also to buy related items of the same brand, to recommend the brand to others and to resist the lure of a competitor's price cut. “The brand identity helps to create and to anchor such loyalty” (De Chernatony, 2003).
  • 48. Surname 48 As suggested by Tepeci, 1999 very high competition and the desire to increase and preserve market share does not only entail winning new customers but also keeping them. It is no doubt that this can be achieved by using brand loyalty since it is the most significant tool that can help firms survive since customers who are loyal to an organization as they offer repeated business transaction, higher market shares as well as profits, competitive advantage and referrals. There are various strategies that need to be adopted in order to create a loyal customer among them developing a unique environment in service sector that encompasses balanced variables between employees as well as physical attributes of the firm. According to De Chernatony 2003 branding not only affects customers but also non customers. It has been established by psychologists that familiarity usually induces liking. For this reason, it is no doubt that although one has not transacted business with one’s organization but in one way or another have encountered your its identity are in a better position to recommend the company to others despite the fact that the individual do not have personal knowledge of the products and services offered by the organization in question. Additionally branding can lift what an organization is selling out of the realm of a commodity, so that instead of dealing with price-shoppers you have buyers eager to pay more for your goods than for those of competitors. The characteristic value intrinsic in a brand can possibly make individuals to discharge evidence they would normally use to make buying decisions. 16.0% of the respondents were of the opinion that branding enhances memorability. With the understanding that branding help create a distinctive and durable perception in the minds of potential customers, it eventually serves as a tool for building a company reputation as well as good will. It has come to the knowledge of a number of business entities that very few customers can take their time to go through yellow pages thus tit is rational for organizations to develop memorable brands that will capture the memories of the target consumers (Malhotra, 2010).
  • 49. Surname 49 It is worth noting that the concept of memorability when the respondents were asked to elaborate on this kind of benefit comes from their association with color combination, unique services, and employees’ style of clothing. For that reason, Hong Kong supermarket needs to come up with their own differentiated characteristics that will leave lasting memories in their minds of customers. Additionally, 12.0%, 9.0%, 8.0% 7.0% and 5.0% of the respondent were of the opinion that branding enhances premium prices, greater company equity, and lower risks to consumers, extension and lower marketing expenses respectively. It is held by some respondent that buying goods and services from a well established brand posses less risk to consumers as compared to products bought from no- name organization. This means that firms that have mastered in developing their brands are building a better brand thereby flattening their bottom line. On the same note, despite the fact that a firm needs to pump in money for the entire project of branding, immediately the brand is successfully developed, advertized and publicized the brand sell itself (Keller, 2004). For example, if the local populations are of the view that a supermarket is adequately using branding in a better way and re associated with it, there are high chances that they will jingle the same to other potential customers at no extra cost on the side of the firm in question. With regards to extension, a firm that has established and respected brand can use it to its advantage by developing new products that meet customers’ needs and desire which ultimately help the firm win the hearts of potential new customers. Influence of branding A cross tabulation which is merging of frequency distributions of two or more variables in a single table was carried out to establish how one variable for instance gender, income relates to another variables for instance, influence of branding on where one shops. A cross tabulation reveals that a greater percent of males, 39.2% strongly agree that branding influence where they shop as compared to female
  • 50. Surname 50 27.1%. On the same note, 39.6% as compared to 27.5% of males agree that branding do influence where they shop. On the basis of the percentages of both males and females responses to each category and by looking at the clustered bar chart it is apparent that male respondents were more likely to be influenced by branding when they intend to shop. Nonetheless, the percentage difference is too small that on average both genders are influenced by branding. 27.5% of males and 39.2% of female agree that they are influenced by branding. Similarly, 39.2% males and 27.1% females strongly agree that branding influence where they shop. The findings are in consensus with that of Kapferer, 1997. Table 5 Chi-Square Tests Value df Asymp. Sig. (2-sided) Pearson Chi-Square 8.770(a) 10 .554 Likelihood Ratio 9.494 10 .486 Linear-by-Linear Association .007 1 .932 N of Valid Cases 100 12 cells (66.7%) have expected count less than 5. The minimum expected count is .01. From chi-square test, the relationship between gender and whether branding influence where respondent shop is not significant. (t=8.770, DF= 10, p=0.554) thus there was no relationship between gender and influence of branding to where one can shop. However, the Cramer’s V =0.209 indicates that there is a weak positive relationship between gender and influence of branding on here individuals shop (Buchholz & Wolfram, 2000). To establish how developed branding is in Hong Kong supermarket, the respondents were asked to rank how developed it was using five -level Likert scale. From analysis of data, it is evident that majority of the respondent were of the view that the industry was moderately developed (31.0%), 27.0%
  • 51. Surname 51 said it was developed, 26.0% held the view that it was poorly developed and a mere 16.0% responded that it was highly developed. As a result of the views brought forth, there is much that needs to be done by supermarket industries to ensure that they are viewed by majority of both customers and non-customers that it is developed. In this sense, as suggested by Odin et al. 2004 developed brand industry means being at par with the expectations and aspiration of consumers. For instance a developed brand poses most if not all the attributes of a better brand. highly developed moderately developed developed poorly developed how developed is banding in supermarket in Hong Kong 0 10 20 30 Frequency how developed is banding in supermarket in Hong Kong Figure 8 How developed is branding
  • 52. Surname 52 Table 6 Are you a female or male * branding o influence where you shop? Cross tabulation Branding influence where you shop? Total strongly disagree disagre e undecide d agree strongl y agree 33.00 are you a female or male male Count 4 5 7 14 20 1 51 % within are you a female or male 7.8% 9.8% 13.7% 27.5% 39.2% 2.0% 100.0 % female Count 1 3 12 19 13 0 48 % within are you a female or male 2.1% 6.3% 25.0% 39.6% 27.1% .0% 100.0 % Missing Count 0 0 0 1 0 0 1 % within are you a female or male .0% .0% .0% 100.0 % .0% .0% 100.0 % Total Count 5 8 19 34 33 1 100 % within are you a female or male 5.0% 8.0% 19.0% 34.0% 33.0% 1.0% 100.0 %
  • 53. Surname 53 male female missing are you a female or male 0 5 10 15 20 Count branding o influence whereyou shop? strongly ydisagree disagree undecided agree strongly agree 33.00 Bar Chart Figure 9 Influence of branding on where respondent shop To establish if Hong Kong supermarket have mastered firmly staying top in providing customers with goods and services that are quality, consistent branding message and innovation, a five-level Likert scale was used to sought the responses. 34.0% and 32.0% of the respondents disagreed and strongly disagreed respectively on the questioned asked. 19.0% were undecided, while only 9.0% and 6.0% of the respondents strongly agreed and agreed in that order. This thus means that most shoppers in Hong Kong believe that the supermarket industries are have not mastered firmly the concept of providing consumers with products and services that are quality, consistent branding massages as well as ideas deemed to be innovative. This might be part of the explanation why the industry is not such a force in retail industry like in most developed countries (Braun, 2004). After a clear understanding of what branding is, the respondents were asked to state whether they were satisfied with the kind of branding being exhibited by Hong Kong supermarkets. Majority, 58.0% said that they were not satisfied while 42.0% were of the contrary opinion. To find out whether race
  • 54. Surname 54 influenced such a notion a cross tabulation was carried out. Compared to all the racial groups used in this study, Indian 60.0% were satisfied with the manner with which Supermarkets industry in Hong Kong exhibited the concept of branding while Europeans were the one with the least percentage that believed the industry was exhibiting branding in the best way that satisfy them (11.1%). Consequently, European 88.9%, African 71.4%, Hispanic 66.7%, others 58.3%, Asian 54.9% and Indian 40.0% were of the opinion that they were not satisfied with the kind of branding exhibited by supermarket industries I Hong Kong. To test for significance difference between racial groups and satisfaction of respondents with regard to how branding is exhibited, a chi-square was carried put. Data established that there is no significance difference between race and how satisfied the respondent were regarding exhibition of branding (Χ2 =6.425, DF=5, p=0.267). Nonetheless, there is a weak positive association between the two variables, Cramer’s V=0.253. From the clustered bar graph, it is evident that majority of the responded from various ethnic group apart from Indians indicated that they were not satisfied with the manner with which branding was being exhibited in Hong Kong supermarkets. The implication of the result here in is that Hong Kong supermarket despite being seen by Indian to be satisfactory, other racial group’s views that the supermarkets are not satisfactorily exhibiting branding needs to be factored in when strategizing for the industry’s brands. As previously mention, when a brand is viewed by the majority of the customers as well as non-customers, then the brand is said to have developed and thus meet the aspirations as well as demands and expectations of the target audience thus working at the advantage of the firm. It was of interest to establish the relationship between age of the respondent and their views on whether Hong Kong supermarkets exhibition of branding is satisfactory or not. To do this a correlation analysis was carried out. The results clearly depict that the Pearson correlation r=0.112 which means that the association between age and satisfaction is positive but weak; similarly, the association is not
  • 55. Surname 55 significant since p=0.268>0.05. This thus suggests that age does not in any way dictate how satisfied one feels with regards to the way Hong Kong supermarkets exhibit branding. Table 7 Correlations what is your age In your own opinion are you satisfied with the kind of branding exhibited by Hong Kong supermarkets ? Spearman's rho what is your age Correlation Coefficient 1.000 .112 Sig. (2-tailed) . .268 N 100 100 In your own opinion are you satisfied with the kind of branding exhibited by Hong Kong supermarkets? Correlation Coefficient .112 1.000 Sig. (2-tailed) .268 . N 100 100 european Asian Hispanic Indian African others to which racial group do you belong? 0 5 10 15 20 25 30 Count in your own opinion are you satisfied with the kind of branding exhibited by hong kong supermarkets? yes no Bar Chart Figure 10 Respondent satisfactions on branding exhibition The relationship between brand strategy and marketing
  • 56. Surname 56 A number of scholars among them Matsuno &Mentzer, 2000 and Smith & Wright, 2004 have shown that there is a relationship brand strategy and marketing. It is worth to note that brand strategy refers to long-term marketing support an organization offer to its brand on the basis of how the target audience or consumers have been defined. The concept include a clear understanding of an organization as well as customer preferences, aspiration needs, demands and expectations from the brand. On the other hand marketing refers to a process by which firms perform market research, sell products or services to consumers and promoting them through advertisements to further enhance sales. Marketing is the major strategy that is fundamental in nurturing sales techniques, how information is shared and development of the businesses in various firms. Strictly speaking marketing is employed to clearly identify who the potential customers are, meet their need in a satisfactory manner as well as keeping them via creating an environment that will foster customer loyalty. There is agreement among marketing research scholars that brand strategy is a positive determinant of brand performance as well as industry value, for this matter supermarket value. When asked whether the respondent strongly agreed, agreed, undecided, disagreed or strongly disagreed, with the statement that brand strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong, 55.6% of male agreed with the statement as compared to 44.4% of the female respondent. 45.2% of males strongly agreed as compared to 51.6% of females. This means that both the gender were of the opinion that brand strategy is an ideal tool for supermarkets to be successful in Hong Kong. It was also necessary establish whether gender affected such an opinion; which fostered a chi- square analysis to be executed. Χ2 =4.461, DF=8 p=0.813. This means that there is no significant relationship between gender and the opinion held concerning brand strategy being an ideal tool for supermarkets success in Hong Kong. However, there is a positive weak relationship between the two
  • 57. Surname 57 variables (Cramer’s V=0.149) meaning that gender is linked with how individual thinks of brand strategy being an important tool to enhance success of the industry (Simoes & Dibb, 2001) Table 8 Are you a female or male * please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong Cross tabulation please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong Total strongly disagree disagre e undecide d agree strongl y agree are you a female or male Male Count 3 5 9 20 14 51 % within please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong 33.3% 55.6% 60.0% 55.6% 45.2% 51.0% Female Count 6 4 6 16 16 48 % within please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong 66.7% 44.4% 40.0% 44.4% 51.6% 48.0% Missing Count 0 0 0 0 1 1 % within please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of supermarkets .0% .0% .0% .0% 3.2% 1.0%
  • 58. Surname 58 industry in Hong Kong Total Count 9 9 15 36 31 100 % within please indicate whether you agree with these statements; brand strategy imposes as an ideal tool for the success of supermarkets industry in Hong Kong 100.0% 100.0% 100.0% 100.0 % 100.0% 100.0 % To establish the relationship between brand strategy and brand performance, respondents were asked if they agreed, strongly agreed, undecided, disagreed or strongly disagreed with the statement; brand strategy is a positive determinant of brand performance. With the understanding that those who shop frequently can be in a better position to respond, I resorted to also establish whether there was an association between being a principle shopper for a household and the view held on the statement asked. The finding here in were contrary to what a number of scholars did find out (Jones et al., 2002) as the analysis showed that a greater percent of those who were principle shoppers were in disagreement with the statement (72.7% for strongly disagreeing and 80.0% for disagreeing with the statement asked). On the other hand, a greater percent of those who were not principle shoppers agreed with the statement (53.1% for agreeing and 38.5% for strongly agreeing). It is worth noting that there is no significant relationship between the two variables; being a principle shopper or not and the view with regards to brand strategy being a positive determinant of brand performance (Χ2 =7.247, DF=5 p=0.203). Nonetheless, there is a weak positive relationship between these two variables meaning that individual gender may slightly influence the views held (Cramer’s V=0.269)
  • 59. Surname 59 Table 9 Are you the principal shopper in your household? * Please indicate whether you agree with these statements, brand strategy is a positive determinant of brand performance Cross tabulation please indicate whether you agree with these statements, brand strategy is a positive determinant of brand performance Total strongl y disagr ee disagree undecid ed agree strongl y agree 12.00 Are you the principal shopper in your household ? yes Count 8 8 9 15 16 0 56 % within please indicate whether you agree with these statements, brand strategy is a positive determinan t of brand performanc e 72.7% 80.0% 45.0% 46.9 % 61.5% .0% 56.0% no Count 3 2 11 17 10 1 44 % within please indicate whether you agree with these statements, brand strategy is a positive determinan t of brand performanc e 27.3% 20.0% 55.0% 53.1 % 38.5% 100.0% 44.0% Total Count 11 10 20 32 26 1 100
  • 60. Surname 60 % within please indicate whether you agree with these statements, brand strategy is a positive determinan t of brand performanc e 100.0 % 100.0% 100.0% 100.0 % 100.0 % 100.0% 100.0% The relationship between brand management and success Marketing researcher’s for instance Roberts & Downing, 2002 content that there is a relationship between brand management and industry success. Currently, a number of multinational companies such as coca cola, fastest growing companies for instance Research in Motion among other have used brand management as a competitive advantage in this world of fierce competition (Docters, 2004). By definition brand management refers to a process of sustaining, civilizing, and keeping a brand so that the name is linked with desirable positive outcomes. This process entails several significant aspects for instance competition, cost, in-store presentation and customer satisfaction (Mooij 1998). As previously mention, creating customer loyalty is one way of ensuring that a firm not only attracts new customers but also keep them as well as the existing ones. It is no doubt that all companies do have identity and there are issues it must tackle in order to remain competitive (Temporal, 2000). Brand strategy aims at increasing the appeal and attraction of the firm in the eyes of the customers. There is also a relationship between brand strategy and brand management and the two opt to be used in a manner that they complement one another and thus need to be ultimately integrated to enhance the industry success (Aaker, 1996). A cross tabulation analysis was carried out to establish how those who were aware or not of branding in Hong Kong thought of the idea of brand management as being a determinant of supermarket
  • 61. Surname 61 success. The finding clearly depicted that a higher percentage of those who were aware of branding activities in the country were in disagreement with the statement; brand management is a determinant of industry’s success (57.8% for strongly disagreeing and 84.6% for disagreeing). On the other hand, a higher percentage of those not aware of branding in Hong Kong were in agreement with the same statement (56.3% agreeing and 38.7% strongly agreeing). The clustered bar graph gives a clear illustration. yes no 99.00 are you aware of branding in Hong Kong supermarkets 0 5 10 15 20 Count do you agree with the statement that brand managment is positive determinant of industry performance strongly disagree disagree undeided agree strongly agree 13.00 22.00 Bar Chart Figure 11 Branding awareness It was of interest to also know whether, customers in Hong Kong could continue shopping where they used to base on how the supermarket utilizes and address issues relating to branding. A descriptive statistic was run to give an over view. The result shows that only 47.0% were of the view that they would
  • 62. Surname 62 continue shopping where they used to. On the other hand, 53.0% of the respondent clearly depicted that they would not continue shopping where they used to initially shop. The research was limited in establishing the underlying factors behind the decision arrived at by the respondents. However, the reasons are open to discussion based on what has been established herein (Aconis et al. 2006). This is in line with the desires of a majority of the respondent who were of the view that Hong Kong supermarket need to change their branding strategies, 34.0% and 40.0% of the respondents agreed and strongly agreed with the statement that Hong Kong supermarkets needs to change their branding strategies as compared to 8.0% and 5.0% of those who strongly disagreed and disagreed with the statement. A higher percentage of those who were aware of branding activities in the country were in disagreement with the statement; brand management is a determinant of industry’s success (57.8% for strongly disagreeing and 84.6% for disagreeing).
  • 63. Surname 63 Conclusion and recommendation The relationships between branding strategy, brand management and company success, performance and supermarket value were closely examined. Survey questionnaires were distributed to 120 individual of whom only 100 filled the survey and made available for inferences to be made. Males were 51 (51.0%) while females were 48 (48.0%). 60.0% of the responded were aware of branding while 39.0% were. It is worth to note that friends, relatives and media are what made individual be aware of banding. Out of 100 respondents, 56 (56.0%) were principle shoppers in their households while 44 (44.0%) were not principal shoppers in their households. Shoppers in Hong Kong believe that a good brand should be eye catching 23.2%, creating a positive change 15.2%, unique and differentiated 13.1%, cost effective and bringing added value 9.1% each, build customer loyalty and household name 6.1% each, brings sense of security and creating identity were thought to be attributes of a good brand by 5.1% of the respondents. Being easy to read was thought to be an attribute of a good brand by 8.1% of the sample population. Customers believed that branding brings with it numerous advantages such as memorability, enhances premium prices, greater company equity, and lower risks to consumers, extension and lower marketing expenses, loyalty, extension among others. It was evident that branding does influence where customers shop (Tellis & Golder, 2002). It is apparent that majority of the respondent were of the view that the industry was moderately developed (31.0%), 27.0% said it was developed, 26.0% held the view that it was poorly developed and a mere 16.0% responded that it was highly developed. With regards to being satisfied with the kind of branding exhibited by Hong Kong supermarkets; most of the respondent 58.0% were not satisfied while 42.0% were of the contrary opinion. There was no significant difference between a number of variables such as gender, being a principle shopper and such variables as brand strategy being a positive