OFF CAMPUS DIVISION Course / Programme: Dissertation Module: BAM6001 Tutor: Dr. David Racliffe Supervisor: Dr. Asma Begum Project Title: A study of Customer-based Brand Equity of the Grab company. Assignment Length: 11795 words Submission Deadline: May 1st, 2023 Cohort: 16 Student’s name: Hoang Bich Khuyen Student ID: 2124791 BA Bussiness Studies Bolton Bussiness School 1 Table of Contents Abstract:.
Overview of the brand:. Overview of technology companies related to transportation:. Overview of the Grab company:. Definition of brand:.
Definition of Brand Equity :. Definition of Customer-based Brand Equity:. Factor of Customer-based Brand Equity:. Collection data technique:.
Interview data collection:. Reliability, Validity, and Triangulation:. FINDINGS AND DISCUSSIONS:. CONCLUSION AND RECOMMENDATION:.
Limitations of the topic:. 47 3 List of Figure: Figure 2. The Customer-based Brand Equity Model (Aaker 1991). Frequency of use of transportation services (e., ride-hailing, car sharing, public transit).
The frequency of use of food delivery services. The frequency of use of digital payment services (e., GrabPay, GoPay, BeaminPay) 322 Figure 4. The familiarity level of the Grab company among respondents. 333 List of Table: Table 4.
Results of the surveys .5: Descriptive statistics of Customer-based Brand Equity factor .6: Descriptive statistics of Brand Awareness factors .7: Descriptive statistics of Brand Loyalty factors .8: Descriptive statistics of Brand Image factors .9: Descriptive Statistics of Perceived Quality. Multiple regression results. 41 List of Abbreviations Customer-based Brand Equity CBE Brand awareness BA Brand loyalty BL Brand image BI Perceived quality PQ 4 Abstract: Purpose: Nowadays, competition is getting fiercer among technology companies in Vietnam. Besides, the penetration of foreign technology companies has also increased with various products and services.
Thus, building brand equity with distinctive features, high identity, conveying unique values and corporate culture, and providing various products and services, are extremely important to the company (Chi, 2022). This study aims to determine the customer-based brand equity of the Grab company in Ho Chi Minh City. The study examines the effects of brand awareness, perceived quality, brand image, and brand loyalty on overall brand equity using the consumer-based brand equity model created by Aaker (1991). Design/methodology: Data from 235 consumers of Grab's services were examined using descriptive, correlational, and multiple regression methods utilizing the computer program Statistical Package for Social Sciences.
The author employed qualitative data as a research strategy for this study. Research limitations: All the respondents live in the Ho Chi Minh City area; thus, they may not represent the entire population of Vietnam. Practical implications: Input on how brand equity among consumers is affected by brand awareness, brand loyalty, brand image, and perceived quality. This aids marketers and practitioners in creating strategies to build brand equity in order to gain an advantage over rivals and sustain a firm.
Keywords: Grab, Brand image, Brand awareness, Brand loyalty, Brand equity, Brand association, customer-based brand equity. Overview of the brand: The management of intangible resources is becoming more essential in today's business environment due to the complexity of the changing markets, fragmented media and distribution channels, growing importance of networks, and focus on the co-creation of value between the organization and its customers. Organizational capabilities, skills, and knowledge, as well as brands, are some of the intangible resources that are widely used to differentiate firms (M' Zungu et al. The term "brand" has become increasingly common, and this issue interests many domestic and international researchers.
The brand is one of the key elements in developing domestic and international markets for enterprises, advancing commercial civilization, and assisting in the fight against unfair competition. Building brands for a business's products and services is crucial because it helps consumers form an impression of the company and its offerings. Brand equity is another crucial issue to take into account. Brand equity influences the quality of the user experience and improves customers' ability to perceive and process information (Keller 1993).
Additionally, brand equity may assist marketers in gaining an advantage over their competitors through the creation of a strong brand (Aaker, 1991). For instance, brand assets accounted for 90% of the $220 million total price Cadbury- Schweppes paid for Procter & Gamble's "Hires" and "Crush" product lines (Kamakura and Russell, 1991; Schlossberg, 1990). Therefore, brand equity is a factor that aids in the survival, sustainable growth, and maintaining the position of businesses in the market. Overview of technology companies related to transportation: Thanks to the rapid growth of information technology and telecommunications, mobile devices are not simply a common communication and information search tool, but they perform a variety of useful tasks for users, including entertainment, shopping, and education.
Accordingly, smart service applications on mobile phones are also appearing more and more to meet people's needs for fast and convenient living. In particular, the well-known GPS- integrated technology applications, such as the following brands: Uber, Grab, Gojek. These service providers are constantly researching, developing, and keeping an eye on diverse types of transportation and services, suitable for many different travel purposes. In Vietnam, online 6 booking applications are making a big difference from traditional car services and are loved by most users.
According to Q&Me (2018), in the technological-based motorbike market in Vietnam, Grab presently holds 60% of the market share, followed by Gojek (19%) and Be (18%). About cars, Grab had a 66% market share for vehicles, "Be" maintained a 22% market share, and the remaining 20% was split among other applications. Technological-based motorbike/car services bring convenience and provide multi-services, so more and more people are interested in them. In 2021, Vietnam's online motorbike/ car booking market has had a boom with more than 20 different platforms launched, along with 67,000 taxis, 90,000 registered business vehicles, and granted badges (Vu, 2022).
Vietnam's online sector for booking cars and motorcycles generated roughly 2.4 billion USD in revenue in 2021, with an average annual growth rate of about 30% to 35% between 2015 and 2021 (Duy, 2021). Not only the motorbike taxi market but also the online food delivery market in Vietnam is being evaluated as having strong growth in recent years. In addition, the introduction of Decree No. 10/2020/ND on cutting and simplifying 50% of conditions for business investment in transport services for both taxis and cars (Bao Anh, 2022).
Under the contract, Decree 10 is expected to create favorable conditions for a business environment, transparent, healthy, and equal competition among entities engaged in the transport business, bringing many benefits to people and enterprises. In this study, the research subject chosen by the author is Grab- a technology company that provides transportation, delivery, and digital payment services. Overview of the Grab company: The Singapore-based technology business Grab Holdings Inc., also known as Grab, offers delivery, transportation, and digital payment services in Singapore as well as other Southeast Asian nations. Over the years, Grab has expanded its reach across Southeast Asia, providing delivery, transportation, financial services, business support, and more - all integrated within the platform as a super app (Grab, 2022).
These services help connect diverse users, deliver exciting experiences, and meet the daily needs of millions of people across 480 cities and 8 countries. 7 In February 2014, Grab made its first appearance in the Vietnamese market with a connection service for taxicabs. After that, the platform continues to launch the GrabBike 2- wheeler service to fit Vietnamese people's lifestyles. Currently, besides the two traditional services, GrabBike and GrabCar, Grab has expanded to many other services such as delivery (GrabExpress), food delivery (GrabFood), and grocery shopping (GrabMart).
The application now owns more than 200,000 driver partners, operating across 46 major cities and provinces in the country (Vietnamfinance, 2022). Currently, Grab brand is facing intense rivalry between businesses on the Internet, not only for service costs but also for quality and service diversification. Therefore, creating a strong brand is not enough for the business; it is required to understand what consumers think and feel about the Grab brand, how Grab stands out from other brands in the market, and how they perceptions the value of Grab's services. This highlights the importance of building a solid basis that may encourage a favorable perception of a brand.
This research emphasizes the customer-based brand equity of the Grab company since it recognizes the value of customers to a company's brand equity. In this study, the author will concentrate on studies of variables influencing customer-based brand equity. In addition to examining how consumers perceive Grab's brand equity, the study also makes recommendations for how Grab can strengthen its customer-based brand equity. To study factors affecting customer-based brand equity.
To understand consumers' perception of the brand equity of Grab company. To provide suggestions and recommendations to improve customer-based brand equity for the Grab company. Research contribution: The study will benefit three distinct sectors: The literature: This study aims to determine how customer-based brand equity affects the business. As a result, the literature knowledge will be beneficial for other researchers.
8 The industry: The study's findings may help managers and other organizational decision- makers better grasp the problems with customer-based brand equity and develop effective strategies. The company: By improving customer-based brand equity, the company could increase customer loyalty, improve brand image, and the ability to charge a premium price for products or services. Besides, building a strong brand that resonates with customers, companies can create a competitive advantage and develop long-term relationships with their customers. Research structure: There are five chapters in this study.
First, chapter one starts off with a summary of the thesis and the motivations for the research, including the research context. Next, the study's contribution is described along with the research objectives. Following the literature review, chapter two synthesizes the theories of customer-based brand equity. Accordingly, supporting them with commentary and critical analysis through in- depth research on the fundamental ideas, definitions, and components of customer-based brand equity.
The methodology of empirical research is covered in Chapter 3, where the research philosophy and strategy are first introduced. The research methodology, validity, reliability, and triangulation are also presented after that. Chapter three will be finished with the Research Ethics. The findings from the quantitative survey will be reported in chapter four, along with a critical analysis to address the research objectives and questions.
The conclusion of chapter five will include a summary of all the important research findings. Along with recommendations for future studies, the study's limitations are also presented. Definition of brand: 9 One of the company's most significant intangible assets is its brand. According to Philip Kortler (1995), “A brand is a name, slogan, sign, symbol, design, or combination of these features used to identify a seller's good or service and set it apart from those of rivals”.
On the other hand, a trademark is a non-physical asset with a value that cannot be properly identified until it becomes the subject of a specific economic transaction, according to Nandan (2005). Aaker et al., (1991) further noted that brand has been widely regarded as a significant element in consumer choice, acting as a tool for consumers to evaluate the differences and uniqueness of the products. Businesses regularly use marketing tools like slogans, logos, and other well- known marks that they own to promote and market their products and services. These resources work together to create a brand identity that sets the company apart from its competitors.
The brand can aid the business in communicating its message and might stir up feelings in its clientele. Customers have distinctive ties with businesses, enabling those companies to profit from their loyalty. Companies also depend on these clients to assist in attracting new clients, this promotes the credibility and confidence of businesses. Additionally, the brand makes the company's new products accessible to customers.
Customers that are brand loyal are more willing to spend money when new products are introduced, even if they are more expensive, because they have developed a deep relationship and trust with the brands.