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The Influence Of Product Quality On Brand Loyalty In Nigeria (a Case Study Of

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THE INFLUENCE OF PRODUCT QUALITY ON BRAND LOYALTY IN NIGERIA (A CASE STUDY OF

ABSTRACT

This study is about the discovery on the relationship between attributes of product quality and brand loyalty. In solving the research problems, both primary and secondary sources of data were collected. The respondents comprised the people of Ekwulobia in Aguata Local Government Area of Anambra State. In organizing and presenting data collected, tables, figures, frequencies and percentages were used. Taro Yamene statistical formular was used to determine the sample size of the respondents. The hypothesis was tested using Chi-square. Data analysis and interpretation gave the following: product quality influences brand loyalty, there is a relationship between product quality and brand loyalty, consumers purchased products with good quality, quality motivates consumers and finally quality of a product is a factor that affect consumers and finally quality of a product is a factor that affect consumer behaviour, the researcher draws conclusion and recommendation from the findings in order for firms and customer/respondents to see the need to be sensitized about  the actual level of quality of product they carry. Finally suggestions for further research on product quality were also given.  

CHAPTER ONE

INTRODUCTION

1.1     BACKGROUND OF THE STUDY

Dr. Joseph Juran (2013) defined product quality as a means to incorporate features that have a capacity to meet consumers need (wants) and gives customer’s satisfactions by improving product (goods) and making them free from any deficiencies or defeats.

The quality of a product could be sub divided into real quality and perceived quality.

Nevertheless in this research work, we will place more emphasis on perceived quality as such in the line with the marketing concepts, moreover the rhetoric of the matter in this, of what use is the quality if it does not have any influence on the customer?

        Shawn Grimsley (2015) defined brand loyalty as where a customer choose to repeatedly purchase a product by the same company instead of a substitute product produced by a competitor.

Brand loyalty is more than sample repurchasing customer may repurchase a brand due to situation oral constraints (such as vendor locking) a lack of viable alternations or out of convenience, such loyalty is referred to as “superior loyalty”. True brand loyalty exists when customers have a high relative attitude towards the brand which is then exhibited through repurchase behavior.

        According to Kolter and Keller (2006) this type of loyalty can be the extent of consumers faithful towards a specific brand and this faithfulness is expressed through repeat purchase and other positive behavior each as a word of mouth advocacy, irrespective of the marketing pressure, generating by the other competing brands.

It is important for it to be pointed out here that are not with standing, the redoubtable virtues in true brand loyalty, this research  does not  intend to entangle himself in the fractions trajectory of attempting to distinguish and analogize time and spurious loyalty in this work. Brand loyalty will be examined textually as it is in its definitions by Shawn Grimsley (2015). The repeatedly purchase a product by the same company.

        The topic of this research, of course the influence of product quality on brand loyalty in Nigeria (A case study of customers of Peak Milk Ekwulobia).

        Many factors have some impact of brand loyalty, they include price, peer and societal pressure, product availability and etcetera.

        Nevertheless we will restrict ourselves to the impact of product quality on such loyalty and with particular reference to customers of Peak Milk in Ekwulobia residents in Anambra State of Nigeria.

        Aguata is a local government Area East Central Nigeria. It is a region with marketing fertile land for agriculture with prominent product around like rice, yam, cassava and palm oil. Most of the populations are subsistence farmers and traders there are also a large students community as a result of the presence of Federal Polytechnic Oko located at Oko.

1.1.1               BRIEF HISTORY OF PEAK MILK COMPANY

Friesland compina WAMCO Nigeria Plc is a multinational manufacturing company. It is affiliated to Royal Cooperative compina of the Netherlands, the world largest daily cooperative, its headquarter is in the Ikeja Industrial Area of Lagos State and operate an extensive distribution network across Nigeria. 36 states and the Federal Capital Territory. The company was incorporates in April 1973 as West Africa Milk Company Nigeria Plc and commenced operations in 1975. The largest diary cooperative in the world. The company as continued to play a leading role in the productive, processing, packaging, marketing and distribution of various milk product in Nigeria with and annual turnover of #111.12 Billion in 2012 and a dominant market share driven by her key-brand, “Peak, Three Crowns and Olympic. It pioneered the manufactured of evaporated milk and is the market leader in the introduction of fortified based milk product in Nigeria. Friesland compina WAMCO Nigeria Plc will maintain its No 1 position as the rations leading milk manufacturing company by investing in its people, capacity expansion projects and by being an excellent corporate citizen.

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