Relationship between Brand Equity and Customer Loyalty

Project proposal-Task 1
(An investigation into the relationship between brand
equity and customer loyalty)

Table of Contents
INTRODUCTION ..........................................................................................................................3
Aim and objectives .....................................................................................................................3
Background ................................................................................................................................3
Research questions .....................................................................................................................4
LITERATURE REVIEW ...............................................................................................................5
PROPOSED METHODOLOGY ....................................................................................................7
PROPOSED ANALYSIS .............................................................................................................10
CONCLUSION .............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Aim and objectives
Aim: Main purpose of this research is “To identify the importance of brand equity in
improvement of the customer loyalty”. A study on Nike
Objectives:
 To increase knowledge about the brand equity within an organisations.
 To determine the influence of brand equity in enhancement of customer loyalty.
 To explore ways for increasing customer loyalty towards Nike.
 To examine the strategies for improving brand equity of an organisations.
Background
Brand equity introduces to an effective value of organisation that is gains from a product
with a admired and recognisable name. In simple word, Brand Equity introduces to the additional
value or importance that a customer attaches with the brand that is innovative form all the other
brands present in the market. Customer loyalty refers to the output of systematically positive
emotional experience, sensed value of experience as well as physical attribute-based satisfaction,
that covers the services or products. Along with this, brand equity has positive impact on
customer loyalty (Foroudi and et. al., 2018). This will helps company in increasing of sales,
improving brand awareness, attracting of larger customer base, reducing marketing cost etc.
These are considered major advantages of brand equality for company in maintaining of
customer loyalty.
For this research project, Nike is a chosen multinational organisation that is engaged in
the design, creation, producing and worldwide marketing and sales of accessories, footwear,
apparel, equipment, and services. Company was founded in 1964 by Bill Bowerman, Phil
Knight. Nike has successfully developed a strong brand by attaining the pillars of brand equity,
that include: awareness of brand, brand loyalty, sensed quality and brand associations. Company
has strong brand in marketplace that helps them in improvement of its growth and success easily
and successfully.
Main rationale behind selecting this topic is to identify the role of brand equality in
maintaining of customer loyalty. This project helps at personal as well as professional level.
According to the personal level, present study support researcher by enhancing its research skills

such as time management, literature review, data collection and data analysis. With the help of
these skills, researcher will complete entire project in systematic manner. At professional level,
this study also important as it support students by improving their understanding regarding the
relationship between the brand equity and customer loyalty (Kamath, Pai and Prabhu, 2019).
Research questions
 Explain about the concept of brand equity in context of an organisations?
 How brand equity helps in improvement of customer loyalty within Nike?
 What are the effective ways for increasing customer loyalty towards Nike?
 What are the effective strategies that will helps Nike in improvement of its brand equity?