Factors that influence brand loyalty during times of economic depression in Lebanon

Abstract

Companies always aim for a loyal consumer base as they know that their longevity comes from repeat customers. They will aim for loyal customers so much to the point of interacting with them on social media and even offering exclusive deals for those with loyalty cards. During a time of economic turmoil, this relationship between company and customer is tested as consumers have less purchasing power and thus fewer options due to being priced out of their favorite brands. In this study we take a look at supermarket grocery items and how much brand power food items hold over the Lebanese consumer. We looked at different variables that play a role in the decision making process of whether consumers will stick to a brand or move to a different one entirely, assuming they still even buy the item itself. Variables such as economic and marketing factors, product characteristics and brand image factors. We sent out a survey to over 200 individual households in Lebanon to determine their behavior towards the topic. The Results of the testing and the analysis of the data extracted from the survey showed a significant influence from these dependent variables on brand loyalty. More so we tested the correlation between the dependent variable with each other and results were that these dependent variables had mid to strong correlations with each other.