UNIVERSITY OF ECONOMICS AND LAW FACULTY OF BUSINESS AND ADMINISTRATION --- DOAN LE PHUONG UYEN Factors of Event Sponsorship Affecting Customer's Purchase Intention and Brand Awareness - A Case of HaNoi Beer, Vietnam. Major: Business Administration Major code: K20407 UNIVERSITY GRADUATION COURSE MR. PHUNG THANH BINH Ho Chi Minh City, 12 March, 2024 UNIVERSITY OF ECONOMICS AND LAW FACULTY OF BUSINESS AND ADMINISTRATION --- DOAN LE PHUONG UYEN Factors of Event Sponsorship Affecting Customer's Purchase Intention and Brand Awareness - A Case of HaNoi Beer, Vietnam. Major: Business Administration Major code: K20407 STUDENT : DOAN LE PHUONG UYEN ID NUMBER : K204071547 INSTRUCTOR : MR.
PHUNG THANH BINH Ho Chi Minh city, 12 March, 2024 i TABLE OF CONTENT CHAPTER 1: INTRODUCTION .1 Reason for choosing the topic .2 Reason for choosing Ha Noi Beer to research .8 Main content of the topic .4 CHAPTER 2: LITERATURE REVIEW .1 Event Sponsorship-Fit. Attitude Toward Event .2 Theory used in the research .3 Previous Research related to the topic .4 Suggested Research Model .1 Proposed research model .19 ii CHAPTER 3: RESEARCH METHODS .2 Qualitative research methods .3 Quantitative research methods .5 Data analysis and processing methods .1 Descriptive statistics of study samples .2 Evaluation of the reliaBAlity of the scale .3 EFA Discovery Factor Analysis .4 CFA factor analysis. 30 CHAPTER 4: RESEARCH RESULTS .1 General overview of Hanoi beer .2 BAg event sponsored by Hanoi Beer .2 Statistics descriBAng the study sample .1 Statistics descriBAng the survey sample .2 Statistics descriBAng variables .3 Test the reliaBAlity of the scale .4 EFA factor analysis .1 Exploratory factor analysis for independent variables .2 Factor analysis for dependent variables .5 CFA determinant factor analysis .2 Quality of variables. 39 CHAPTER 5: DISCUSS RESEARCH AND PROPOSE SOME ADMINISTRATIVE IMPLICATIONS .2 Propose some administrative implications .3 Limitations and implications for future research .49 APPENDIX 2: RESEARCH FINDINGS .46 iv LIST OF FIGURE Figure 2 - 1: Model of Consumer-Focused Sponsorship-Linked Marketing………11 Figure 2 - 2: The research model by Phan Lam Quynh el at (2022) ……………….13 Figure 2 - 3: The research model by Mai Ngoc Khuong and Ngo Thi Kim Chau (2016) ……………………………………………………………………………14 Figure 2 - 4: The research model by Nguyen Dinh Toan (2016) …………….……15 Figure 2 - 5: The research model by Divine Mawuli Akwensivie, Bedman Narteh, William Kofi Iden (2014) ……………………………………………………16 Figure 2 - 6: The research model by Elham Fakhri Tomalieh (2016) …………….17 Figure 2 - 7: The research model by Jun Young Park et al.18 Figure 2 - 8: The research model proposed by author………………………………19 Figure 3 - 1: The research process……………………………………………………26 Figure 4 - 1: The SEM result……………………………….…………………………39 Figure 4 - 2: SEM model after analysis…………………….40 v LIST OF TABLE Table 2 - 1: Empirical studies on Sponsorship-Linked Marketing Theory………… 11 Table 2 - 2: Scales Design……………………………………………………………….24 Table 4 - 1: Respondent Profile……………………………………………………… 31 Table 4 - 2: Descriptive statistical results………………………………………….… 32 Table 4 - 3: Results of scale reliability test with Cronbach's Alpha …………….… 35 Table 4 - 4: KMO results for the independent variable……………………….…… 36 Table 4 - 5: Factor rotation matrix……………………………………………….… 37 Table 4 - 6: KMO results for dependent variables ……………………………….… 37 Table 4 - 7: The load factor of the dependent variable ………………………….1 Reason for choosing the topic The intense competition within the market for goods and services necessitates optimal solutions for businesses to thrive in this volatile environment.
Marketing plays a crucial role within this context, shaping consumer demand and building connections between suppliers and consumers. By effectively utilizing marketing strategies, businesses can leverage their internal resources and capitalize on market opportunities. This allows them to enhance efficiency, competitiveness, and ultimately, success – a dynamic that's especially important within liberalized and open markets. Sponsorship, one of the fastest-growing components of the marketing communication mix, exemplifies such an optimal solution.
With an estimated $48.6 BAllion invested globally in 2011 (IEG, 2012), sponsorship offers a diverse range of options, encompassing reality TV shows, music events, and sporting activities. Companies can leverage sponsorship to achieve various marketing objectives, including boosting sales, enhancing brand awareness, reaching new target markets, and cultivating a positive corporate image (Shank, 1999). The FMCG industry, particularly the beer segment, has witnessed a significant rise in sponsorship as an effective marketing communication method in recent years. This trend stems from brands' growing awareness of the benefits associated with sponsorship, such as increased brand awareness, customer purchase intention, sales and market share growth.
Some beer brands like Tiger, Tuborg, Heineken, and Strongbow exemplify this trend with their significant investments in large-scale event sponsorships. However, navigating the fierce competition within this industry and utilizing event sponsorships effectively to enhance brand awareness, boost sales, and optimize costs remains a complex challenge. Therefore, this research aims to investigate the factors affecting customer purchase intention and brand awareness through event sponsorship in the beer segment of the FMCG industry. By understanding these factors, this research strives to contribute valuable insights to optimizing event sponsorship as a power marketing tool for this specific industry segment.2 Reason for choosing Ha Noi Beer to research Hanoi - Thanh Hoa Beer Joint Stock Company (HTB), a subsidiary of Hanoi Beer and Alcohol Beverage Joint Stock Corporation (Habeco), specializes in producing and selling beverages, primarily beer.
HTB recently launched a new brand identity for its flagship product, Hanoi Beer, aiming to connect past and future, tradition and modernity, and cultural values with the spirit of the new era. To promote this new identity and enhance brand awareness and recall, HTB has invested heavily in sports sponsorships, particularly in football, the most popular sport in Vietnam.These sponsorships include: A 2018 partnership with the Ministry of Culture, Sports, and Tourism to sponsor and organize a program welcoming and honoring the U23 Vietnam football team after their success in the U23 Asian Football Championship. Sponsorship of the V. League, Vietnam's top professional football league.
Sponsorship of the Toyota Mekong Club Championship, a regional football tournament for Mekong region clubs. Despite these efforts, Hanoi Beer's brand awareness and purchase intention remain low in this competitive landscape, so it needs to be researched and strategized to improve brand awareness and purchase intention in a more effective way, thus, the brand can develop quickly and sustainably. With the above reasons: The factors of event sponsorship affecting customer’s purchase intention and brand awareness is an enthusiastic and necessary experiment. That helps business have more useful information about the effect of event sponsorship toward the brand awareness and purchase intention of individual customers, thereby based on the scientific findings of the experimental study, researchers find solutions to improve brand awareness and purchase intention, contributing to support businesses to maintain and develop a sustainable business performance.3 Research Objective A research designed to study the factors of event sponsorship to brand awareness and purchase intention of Hanoi beer.
In addition, this research will also make some 3 theoretical and practical implications based on research results and models to help businesses develop the appropriate strategies, improve and find solutions.4 Research Subject The object of research is the impact of event sponsorship on brand awareness and customers' purchase intent for Hanoi beer.5 Research Scope Geographic Area: Ho Chi Minh City Time: the research is carried out from January 2024 to March 2024 1.6 Research Question What are external factors that influence Hanoi Beer's brand awareness and customer intent? How does event sponsorship impact Hanoi Beer's brand awareness and customer intent? What are the most significant external factors that positively or negatively affect brand awareness and purchase intention What are the appropriate managerial implications that help companies to have powerful impacts on brand awareness and purchase intention; and give guidance for students to gain and utilize the external opportunities 1.7 Research Methodology Qualitative method: collect information and theoretical basis from various sources such as reports, research topics, textbooks, and other relevant documents. Quantitative method: indirect interview through a questionnaire to collect information and data. Once collected, the data will be processed through SPSS 20.0 software to conduct Cronbach's Alpha analysis to assess the reliaBAlity of the scale and, at the same time, eliminate non-conforming observed variables. For the remaining variables, a discovery factor analysis (EFA) is conducted to group the observed variables into factors that influence the research topic.
Next, regression is carried out to determine the impact of each factor on the research topic. Structure of the research This research has five chapters: Chapter 1: Introduction. In this part, the research will present the reasons for choosing the topic, research objectives, the research subject, the scope of the research, the research question, and the research methodology. Chapter 2: Literature Review.
In this part, the research will present concepts related to Event Sponsorship, Brand awareness, Purchase Intention, related theories, and previous studies, thereby synthesizing and formulating research hypotheses and research models. Chapter 3: Research Methods. The study will present the research process in this section, including research design, measurement scales, qualitative research methods, sampling methods, data analysis, and processing methods. Chapter 4: Research results.
In this part, the study will present the content of a general overview of Hanoi beer, statistics descriBAng the research sample, Testing the reliaBAlity of the scale, using EFA factor analysis, correlation analysis, and regression analysis. Chapter 5: Discuss research and propose some administrative implications.In this part, the research will present a Research Discussion and Propose some administrative implications Chapter 1 summary: Chapter 1 presented an overview of the research content on the following issues: (1) The reason for choosing the topic, (2) Literature Review, (3) Research objectives (4) Research questions, (5) Delimitation and scope of research, (6) Research methodology, (7) Meanings of The Research, (8) Research structure. The theoretical basis will be presented in Chapter 2. 5 CHAPTER 2: LITERATURE REVIEW This chapter provides the theoretical framework for constructing the model, which consists of four main sections.
The initial section defines some of the terminologies relevant to the research. The second section outlines the theories that relate to the research problem. The third section illustrates the elements that influence brand awareness and purchase intention. The final section of this chapter will present the hypotheses and models.1 Event Sponsorship-Fit Event sponsorship fit refers to the alignment between a sponsoring brand and the event being sponsored.
It includes factors such as sponsor product relevance, attitude similarity, geographic similarity, audience similarity, and sponsorship duration (Olson & Thjømøe, 2011). The fit construct is crucial in determining the success of event sponsorships, impacting consumer-based brand equity, Brand Awareness, and purchase intentions (Donlan, 2014). Research shows that congruency between the sponsor and the event is a key variable affecting memory, recall, and recognition levels in sponsorship marketing (Cornwell et al., 2006; Scully et al. The match-up hypothesis suggests that sponsor-event congruence significantly influences consumer responses to sponsorships, similar to the effects seen in celebrity endorser advertising (Roy & Cornwell, 2004; Na & Kim, 2013).
The effectiveness of event sponsorship on customer purchase intention and brand awareness is mediated by factors such as brand awareness and brand equity (Khuong & Chau, 2017; Selvakumar, 2014). Positive attitudes towards sponsors enhance willingness to pay a price premium and purchase intention, emphasizing the importance of sponsor-event fit in driving consumer behavior (Bruhn & Holzer, 2015). Additionally, sponsorship impacts Brand Awareness, consumer attitudes, and intentions towards sponsor brands beyond brand awareness (Dixon et al., 2018; Woisetschläger & Michaelis, 2012; Roy & Cornwell, 2003). Studies demonstrate that sponsorship can effectively build brand loyalty, recognition, and influence purchase decisions (Rotthoff et al.
In conclusion, event sponsor-fit is a complex concept influenced by factors such as congruency, 6 relevance, and similarity between the sponsor and the event. Understanding and leveraging these factors are essential for maximizing the effectiveness of event sponsorships in enhancing brand awareness, Brand Awareness, and driving consumer purchase intentions. Attitude Toward Event Attitude towards an event encompasses an individual's emotional and cognitive responses towards a specific event, influenced by their experiences and interactions Chiu & Pyun (2020).