Strengthening of a Private Brand: the Aspect of a Store’s Image
According to many scientists a brand is one of the most important sources of acquiring competitive advantage. This attitude is confirmed by the fact that there are many scientific works on brand image. But there is a lack of theoretical and empirical research on the formation and strengthening of an image of a private brand. It should be noted that theoretical and empirical research, performed by Reda (2002), Ailawadi et al. (2003), based on Batra and Sinha (2000), Garretson et al. (2002), Burton and Lichtenstein (1998), confirm that factors that influence the formation and strengthening of the image of a private brand have not been sufficiently analysed. The scientific problem of this article is formulated with the help of the following questions: what is the influence of a store’s image and factors that determine it on the image of a private brand? The aim of this article is to analyse and summarize factors that form private brand image theoretically, and to test them empirically with the help of the example of the store “Aprangos galerija”. The methods of comparative analysis of scientific literature and systematization were used in order to reach the set aim. Quantitative research method (survey) was applied for empirical research of private brand image strengthening in the aspect of the store “Aprangos galerija”. Factor analysis was used for data analysis. Multiple linear regression was used for identification of causalities between variables. Based on the analysis of scientific literature, having summarized the results of the performed theoretical and empirical research it is stated that one of the sources of competitive advantage for stores is the creation of a positive and strong private brand image in consumers’ consciousness. It should be noted that brand identity elements and associations, related to the product itself and its perceived quality and emotions, form a positive private brand image. Having revealed the conceptual essence of an image, having analysed the structure of a company’s image, having identified factors that determine a store’s image and based on the results of scientific theoretical and empirical research it is stated that a store’s image depends on the following factors: services, convenience, quality, product variety, product prices, and store atmosphere. The results of the performed empirical research have shown that factors forming a store’s image (convenience and store atmosphere) have the biggest influence on a positive private brand image. It should be noted that factors determining a store’s image such as product variety and price also form a positive private brand image. Based on theoretical provisions and results of empirical research a conclusion is made that in order to strengthen a private brand image it is necessary to make decisions related to the store’s place, atmosphere, stock formation, and pricing.DOI: http://dx.doi.org/10.5755/j01.ee.23.1.1227