n Management Dynamics : Journal of the Southern African Institute for Management Scientists - Advertising, brand knowledge and attitudinal loyalty in low-income markets : can advertising make a difference at the 'bottom-of-the-pyramid'?




As the world's attention is shifting towards emerging markets, the issue of marketing to low-income segments at the proverbial 'bottom-of-the-pyramid' is attracting renewed attention. Brand loyalty and its relationship with advertising in those markets deserves particular enquiry as many studies have examined the role of advertising in building brand loyalty in developed markets, but similar work in emerging markets appears scant. This study investigates outdoor advertising that can be used to build attitudinal brand loyalty among low-income consumers in South Africa. In addition, the association of brand knowledge with attitudinal brand loyalty is examined. Based on the authors' conceptualisation that brand awareness drives brand knowledge, which in turn supports attitudinal brand loyalty, the relationship was tested between cognitive image, affective image, brand affect and brand trust, by using variance-based structural equation modelling. The results support advertising as a strong driver in creating attitudinal brand loyalty in this market, while brand knowledge, brand affect and brand trust all exhibit significance in this relationship. These results demonstrate the value of advertising in low-income markets.


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