Examining the Impact of Contextual Factors in Brand Relationship Initiation and Maintenance: Evidence from Bottom of Pyramid Markets

Banerjee Shubhomoy () and Shaikh Ateeque ()
Additional contact information
Banerjee Shubhomoy: Jindal Global Business School, O.P. Jindal Global University, Sonipat Narela Road, Sonipat131001, India
Shaikh Ateeque: Indian Institute of Management, Jammu180016, India

Review of Marketing Science, 2020, vol. 18, issue 1, 75-97

Abstract: This study examines the impact of contextual factors on brand trust, brand loyalty and cross-buying from the perspective of the bottom of pyramid rural consumers in India. Two important contextual factors – distribution intensity and outshopping orientation – were used as the contextual factors. Effects of distribution intensity in the initiation and maintenance of consumer–brand relationships are first examined. Further, it explores the moderating role of in versus outshopping orientation in the formation and maintenance of long-term relationships between consumers and brands in bottom of pyramid markets. Data collected from 478 consumers in three villages in Gujarat, India, were analysed using structural equation modelling technique to test the hypothesized relationships using IBM AMOS 23 software. Distribution Intensity was found to positively influence brand trust. Brand trust was found to mediate the relationships between distribution intensity and brand loyalty and distribution intensity and cross buying. The importance of distribution intensity in relationship initiation was more pronounced for consumers who shopped from local retailers than those who did not. The study underlines the importance of distribution intensity of brands a relationship-based marketing strategy, especially in those products, where the switching costs are low. This study establishes the role of contextual factors in the formation and maintenance of consumer–brand relationships in the bottom of pyramid markets.

Keywords: Consumer–Brand Relationships; Distribution Intensity; Brand Trust; Brand Satisfaction; Rural India (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1515/roms-2020-0006 (text/html)
For access to full text, subscription to the journal or payment for the individual article is required.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bpj:revmkt:v:18:y:2020:i:1:p:75-97:n:5

Ordering information: This journal article can be ordered from
https://www.degruyter.com/journal/key/roms/html

DOI: 10.1515/roms-2020-0006

Access Statistics for this article

Review of Marketing Science is currently edited by Ram C. Rao

More articles in Review of Marketing Science from De Gruyter
Bibliographic data for series maintained by Peter Golla ().