Brand Management practices and its effect on Customer Based Brand Equity: The Case of Bottled Water Industry in Ethiopia

Abstract

The aims of this study is to determine which variables are common as brand management practices(BMP), how these variables affect a company’s consumer’s perception in terms of consumer-Based Brand Equity(CBBE) , and whether there are statistically significant differences between companies in the sample in terms of individual elements of the Brand Management Practice (BMP) model. The research took place in Addis Ababa and the surrounding, and comprised of 6 bottled water manufacturers selected using convenience sampling and 384 adult bottled water consumers in the city selected using probability sampling techniques. Both descriptive and analytical tools have been employed to analyze the data. After validating the proposed BMP model and the instruments used for consumer survey, it was found that there exists a link between certain variables of BMP and CBBE. The results of multiple regression analysis also revealed that the five dimensions (brand oriented approach, innovativeness, brand performance measurement, marketing channel relationship and unique marketing offers) have a positive influence on the overall CBBE however brand support activities negatively associated with CBBE. There are statistically significant differences between companies in terms of individual elements of brand management practice (BMP). Providing appropriate brand orientation, Strong focus on innovation and improving the innovation process and Effective planning and efficient implementation of the individual instruments of marketing programs; have been recommended.