Strategic Marketing Management: Brand Loyalty

This assignment discusses brand loyalty, its advantages, and how companies like Nike use various strategies such as emotional branding, consistency, and offers/discounts to build customer loyalty. It also highlights the importance of repeat business, cross-selling opportunities, and reducing marketing costs through word-of-mouth advertising.

Strategic Marketing Management
3/21/2018

Marketing Management 1
Contents
Brand loyalty...................................................................................................................................2
Advantages of loyal customers....................................................................................................2
Example of product..........................................................................................................................2
References........................................................................................................................................4

Marketing Management 2
Brand loyalty
Brand loyalty refers to as the propensity of the customers to make the regular buying one brand’s
product over an alternative. The loyal customers continuously obtain products from their desired
brands irrespective of the price of the product. In addition, there are numerous companies who
use marketing strategy to make customer loyal (Nam, Ekinci and Whyatt, 2011).
Advantages of loyal customers
 Repeat business: - Loyal customers make the repeated purchase of the products and
service from the brand which helps the brand to conduct the repeat business.
 Cross-ups selling opportunity: -The customers who make the purchase, again and
again, are able to form the good connection with the business which helps the business to
get an opportunity to cross-sell products. This will help the company in enhancing sales
volume and acquiring new customers.
 Reduce marketing cost: - Business will be able to save the amount of marketing as word
of mouth is one of the effective tools in marketing. A loyal customer can make the other
potential customers aware of the brand.
Example of product
Nike Inc. is an American multinational corporation that is involved in the development,
manufacturing, and design of the products. The company offers different products like footwear,
shoes, apparel, and others.
Strategies used by Nike for generating customer loyalty for Nike shoes

Marketing Management 3
 The way of presenting brand- Brand presents itself as high-end, high-performance and
product catering for athletics which makes the customers loyal.
 Emotional branding- Nike advertisement for the heroism inspire customer loyalty by
making the customer emotionally connected towards the Nike shoes. Moreover, the
company offers innovation in their products which attracts the customer again and again
towards the brand (Westwood, 2015).
 Consistency- The brand is consistent towards the quality of the products with the
innovation which motivates the customers to show loyalty towards the brand.
 Offers and discount- There are some customers who become loyal towards the brand
when they find fair prices with quality.

Marketing Management 4
References
Nam, J., Ekinci, Y. and Whyatt, G. (2011) Brand equity, brand loyalty and consumer
satisfaction. Annals of Tourism Research, 38(3), pp.1009-1030.
Westwood, R. (2015) Three Ways To Build Brand Loyalty [Online]. Available from:
https://www.forbes.com/sites/ryanwestwood/2015/07/30/three-ways-to-build-brand-loyalty/
#2b82fe6a79c3 [Accessed on 21st March 2018]