CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND TO THE STUDY
Brand switching is the consumers decision to purchase a product of a brand different from that previously or usually purchase. Brand switching is when a consumer or group of consumers switches their allegiance from one brand of a certain type of product to another. This brand switching may be temporary, or it may be long lasting.
Sometimes known as brand jumping, brand switching is the process of choosing to switch from routine use of an product or brand to steady usage of a different but similar product.
Brand switching is the most common with products that have no great perceived variation in quality across brands such as bottled water, dairy products, or paper towels etc. Brand switching takes place most commonly by price promotions, in-store displays, superior availability, perceived improvements or innovations in competitive brands, desire for novelty, number fo available brands, perceived risk, frequency of purchase, changes in quality, or level of satisfaction with the most recent purchase.
It is possible to research when consumer in a marketplace determine their attitude to brands and their likehood to switch from a brand they are using at the moment, and in particular to which other brand the might switch. This allows the building of a picture of likely brand switching behavour. If consumers propensity to switch is known, the market can be modeled to indicate future market share. Such modeling could also indicate the relative positioning of the competing brands.
The chartered institute of marketing (1984) in England defines marketing as “ the management process responsible for identifying, anticipating and satisfying customer requirement profitable.
American marketing association (1960:1) also defined marketing as “the performance of business activities that direct the flow of goods and services to the consumers or users. In other words, all activities that are undertaken to facilitate the flow of goods and services come under marketing. According to Nwaizuggo (2004:8) modern marketing concept is built on three foundation namely:
(i) Consumer satisfaction
(ii) Profitable sales volume
(iii) Integrated marketing
This means that consumers satisfaction must be at the centre of any business motive. The central aim of modern marketing is all about ensuring the consumer satisfaction and also to ensure that consumers always continue to patronize the marketer’s brand.
The American marketing association defines branding as a name, term, sign, symbol, or design, or a combination of them intended to identify the goods or a services of one seller or group of sellers and to differentiate them from those of competitors. Oxford Advanced Learner’s Dictionary
(2006: 170) defined branding as the activity of giving a particular name and image to goods and services so that people will be attracted to them a tool of marketing used for the purpose of product identification among other uses.
Branding is also to win consumers brand loyalty. Brand name is the name given to a product by the company that produces it and this enable the consumers to easily identify the products. Modern marketing is facing a lot of challenges which includes growing affluence and change in the tast of consumers coupled with the drift of market from a monopolistic structure to that of a near perfect competition consumer now have lots of products alternative to choose from. The result is a gradual elimination of the “concept called “Brand Loyalty” and the emergency of a new idea called “Brand Switching”.
Brand switching is the act of discontinuing the purchases of a product brand in favour of another brand. The marketing concept and Nigerian market structure (perfect competition or rather monopolistic) brought about product multiplicity in Nigeria. Lots of product close substitutes now exist an consumers are now dangling like pendulum from one product brand to another.