Global Journal of Finance and Management.

ISSN 0975-6477 Volume 6, Number 7 (2014), pp. 619-636

Research India Publications
http://www.ripublication.com

Impacts of Marketing Mix and Customer

Perception on Brand Loyalty
B.K. Suthar* R. Lathangi** Dr. Shamal Pradhan *** and *B.K. Suthar
*Faculty of Management Studies, Pacific University, Udaipur (Rajasthan)
**Faculty of Management Studies, Pacific University, Udaipur (Rajasthan
**Faculty of Commerce M S University of Baroda, Vadodara, Gujarat

Abstract
Purpose: This study aims to examine the relationship between
marketing mix and customer perception on brand loyalty in context to
Bharat Sanchar Nigam Limited, Vadodara. Telecom As the downsizing
and aging workforce of such a leading state-owned public sector unit is
facing tough competition with the rivals especially in the area of
cellular services, its marketing activities can be examined in relation to
brand loyalty of the organization because brand success have power to
allow marketers to gain competitive advantage.
Research Methodology: The survey questionnaire was administered
to prepaid cellular service users of Bharat Sanchar Nigam Limited,
Vadodara Telecom District through email and in person by (430 out of
250270) by employing sample size determinants like: confidence level,
confidence interval and population. The convenience sampling
technique is used. The questionnaire consists of factors like; brand
loyalty, product, place, price and promotion. All the 430 respondents
are considered as valid respondents for further investigation. The study
is quantitative research approach and the collected data are analyzed by
scale reliability for questionnaire scaling validity, descriptive statistics,
factor analysis and regression analysis including other applicable
statistical tests with a view to know that at what level both marketing
mix and brand loyalty are related with each others.
Findings: The collected data reveals on positive relationship among
different dimensions of marketing mix and customer perception on
brand loyalty of Bharat Sanchar Nigam Limited as one of the Cellular
Service Providers (CSPs) in Vadodara Telecom District of Gujarat

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B.K. Suthar et al
Research Implications/ Limitations This study indicates on
selectivity of right marketing activities to suit the particular business at
a particular time and then to use it at particular situation. Further
research can be held with more samples by extending the area of
research.
Keywords: Brand loyalty, product, place, price, promotion

1. Introduction
Brand loyalty that occurs when a customer prefers to repeatedly purchase a product or
service from the same company instead of a substitute product or service from a
competitor. It has to play inevitable role in service organization. The cellular mobile
service industry of India became customer-centric during the last decade and consumer
perception on brand loyalty and marketing mix are put in nucleus by the researchers
for the market research work. This paper aims to examine the impacts of marketing
mix and customer perception on brand loyalty with reference to Bharat Sanchar Nigam
Limited, Vadodara Telecom District (BSNL, VTD).. The collected data reveals on
positive relationship among different dimensions of marketing mix and customer
perception on brand loyalty of Bharat Sanchar Nigam Limited as one of the Cellular
Service Providers (CSPs) in Vadodara Telecom District of Gujarat.

2. Problem identification and Research Gaps

Brand loyalty cannot be isolated from marketing mix in service sector. The evaluation
of consumer perception on marketing mix and its impacts on brand loyalty may help
on increasing market share of cellular service provider like;BSNL in such environment
in Indian mobile phone service industry. Despite the considerable progress of previous
research in explaining the link between brand loyalty and marketing mix, this study
adds further insight to understand the link between them. Marketing mix is considered
for 4Ps (i.e. product, price, place, promotion).The dimensions of brand loyalty are
identified and evaluated through questionnaire. The 4Ps are also identified and
evaluated through the primary data collection which adds alternative values in the area
of research.BSNLis in need of innovative marketing activities to retain and acquire the
customers. The market penetration for BSNL cellular services is difficult without
understanding the customer. In such a situation, this study may be bridge for the
knowledge gap between perceptions on marketing mix and its impacts on brand loyalty
by keeping the customer in center in its business.

3. Implications of Study
This study examines various aspects of marketing mix in context to BSNLThe present
study enlightening on marketing tactics and importance of brand loyalty through
implementing 4Ps.In this study, value for money customer intention to stay with
BSNL, reliability as CMSP, service accessibility, advertising techniques, brand image,

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

621

tariff transparency, promotional offers and personal selling mantra are significantly
related with brand loyalty. This investigation may accelerate the BSNL management to
make the services customer-centric with a view to increase competitive advantages in
the market place.

4. Objectives of study
(1) To study the customer perception on brand loyalty towards cellular mobile services
of BSNL (2) To examine the customer perception on marketing mix towards cellular
mobile services of BSNL (3) To study the impacts of marketing mix on brand loyalty
towards cellular mobile services of BSNL

5. Research Questions
(1) Is there any significant relations between brand loyalty and product/service quality
of cellular services in context to BSNL, Vadodara Telecom District? (2) Is there any
significant relations between brand loyalty and product/service placement of cellular
services in context to BSNL, Vadodara Telecom District? (3) Is there any significant
relations between brand loyalty and pricing strategies of cellular services in context to
BSNL, Vadodara Telecom District? (4) Is there any significant relations between
brand loyalty and product/services promotional strategies of cellular services in context
to BSNL, Vadodara Telecom District?

6. Review of Literature
Brand loyalty perspectives: Over the past four decades brand loyalty has been
recognized as a focal point of marketing literatures and for practitioners. It is
considered as a contributor to build and maintain brand equity (Aaker, 1991) Statistics
show that it costs 6 times less (for customer retention) than attracting and/or acquiring
new customers (Rosenberg & czepiel, 1984). Loyal customers are less engaged in
decision making, for example, whether to buy a product or service among alternates or
not? (Rundle-Theile & Bennet, 2001) or they are willing to pay more for a particular
brand? (Reichheld, 1996 & Bennet, 2001) etc. The concept of brand loyalty is
comparatively more important for services sector, especially for those who provide
services with little differentiations and compete in dynamic environment i.e.
telecommunication sector (Santouridis & Trivellas, 2010). Brand loyalty received a
great deal of interest and attention in telecommunication sector. Many foreign studies
carried out for this sector. For example, France (Lee, Lee & feick, 2001), South Africa
(Van der wal, Pampallis & Bond, 2002), Turkey (Aydin & Ozer, 2005), USA (Lim,
Widdows & Park, 2006), South Korea (Shin & Kim, 2007) and Greece (Santouridis &
Trivellas, 2010). Parasuraman et al. (1988) defined service quality as the overall
evaluation of a specific service firm that results from comparing that firms
performance with the customers general expectations of how firms in that industry
should perform Dick and Basu, 1994). Bontis et al. (2007) conducted the research and

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B.K. Suthar et al

found that customer satisfaction improves reputation in the services markets.

Reputation partially intervene the relationship between satisfaction and loyalty and the
relationship between satisfaction and recommendation Tax et al. (1998) focused on
complaint handling in service sector and commitment. Morgan and Hunt (1994)
described that Trust is an important factor in the development of marketing
relationships and exists when one party has confidence in an exchange partner's
reliability and integrity"(p. 23). Aydin et al. (2005) researched the GSM mobile
telephony sector, according to them; the foremost precondition of brand loyalty
creation among customers is to guard the clients base who have subscribed to the
services.
Product perspectives: Product is anything that can be offered to a market for
attention, acquisition, use or consumption that might satisfy a want or need (Kotler,
2002) Mitra, K., (2009), analyzed various factors contributing to competition in Indian
Telecom Industry. Besides lowering of prices, increased efficiency, greater innovation,
high tech industry and better quality services are some of the reasons which are
boosting competition amongst various telecom service providers. Raja, Sharma and
Shashikala, (2006), have identified product quality, service support, product
distribution, service personnel, information services and corporate brand equality as
the underlying factors of customer satisfaction Seth, A., (2007), in his study on
Quality of Service Parameters in Cellular Mobile Communication developed a
model of service quality and a set of dimensions for comparative evaluation which
could provide useful directions to regulators and service providers. Seth et al (2008), in
their study titled Managing the Customer Perceived Service Quality for Cellular
Mobile Telephone: An Empirical Investigation analysed that there is relative
importance of service quality attributes and showed that responsiveness is the most
important dimension followed by reliability, customer perceived network quality,
assurance, convenience, empathy and tangibles. This would enable the service
providers to focus their resources in the areas of importance. The research resulted in
the development of a reliable and valid instrument for assessing customer perceived
service quality for cellular mobile services High quality goods and service are favored
in the marketplace and high service quality performance does produce measurable
benefits in profits, cost savings, and market share (Anderson, Fornell, & Lehmam,
1994). The SERVQUAL scale operationalises and measures service quality along five
district dimensions that can be viewed as indicators of the construct of perceived
service quality. The SERVQUAL instrument has been verified and tested in assessing
service quality in restaurant business (Bojanic & Rosen, 1994; Fu, 1999; Fu, Cho, &
Parks, 2000) as well as in the tourism industry (Riemer & Reichel, 2000). Stevens,
Knutsons, & Patton (1995) proposed an instrument called DINESERV to assess
customers perceptions of a restaurants service quality. DINESERV was adapted and
refined from SERVQUAL and LODGSERV (a measuring scale for service quality in
lodging properties) containing 29 statements on a 7-point response scale.
Promotion Perspectives: According to Alvarez and Casielles (2005), promotion is a
set of stimuli that are offered sporadically, and it reinforces publicity actions to
promote the purchasing of a certain product. Huber et.al. (2001), Henning-Thurau et al.
(2002), Wong and Zhou (2006), Avlonitis and Indounas (2006), Consuegra, Molina

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

623

and Esteban (2007) and Banyte, Salickaite, (2008), Tamosiuniene and Jasilioniene
(2007) and other scientists performed empiric research confirm that service price as
one of customers loyalty factors, becomes an important object of marketing research.
Ostaseviciute and Sliburyte (2008) confirm that service price is the only marketing mix
element bringing income to an enterprise). Promotions impact consumers purchasing
behavior and decisions towards that particular brand, especially during the sales
promotion period.(Freo,2005) Promotion is one of the medium which is used by
organization to communicate with consumers with respect to their product offerings
(Rowley, 1998).
Price perspectives: According to Kotler and Armstrong (2010) price is one the
important factor which plays a vital role in brand switching, price is that amount which
consumer pays for any product or service, while purchasing or using of that product or
service. If service providers charge price sensible and give the better services than it
will create customer satisfaction and very less consumer will switch to another brand,
because price fairness is an extremely significant concern that leads toward satisfaction
(Martin et al., 2007). Thats mean price has a positive impact on brand switching. If
service provider charge high price than more consumers will switch to another brand
(Herrmann et al., 2007). Kalpana and Chinnadurai (2006) in their study titled
Promotional Strategies of Cellular Services: A Customer Perspective analyzed that
the increasing competition and changing taste and preferences of the customers all
over the world are forcing companies to change their targeting strategies
Place perspectives: Distribution channels are primarily set up to perform a set of
essential economic functions in society, bridging the gap between production and
consumption (Stern and Reve 1980) The distributor's key function is to provide the
right product to the customer when and where it is needed. The distributor stocks the
products that he sells, has at least one outside salesperson as well as an inside
telephone and/or counter salesperson, and performs a broad variety of marketing
channel functions, including customer contact, credit, stocking, delivery, and providing
a full product assortment (Frederick E. Webster 1976).

7. Research Methodology
This is correlation type of study and survey questionnaires were administered to
prepaid cellular service users of BSNL, VTD through email and in person by (430 out
of 250270) by employing sample size determinants like: confidence level, confidence
interval and population. The convenience sampling technique is used. The
questionnaire consists of factors like; brand loyalty, product, place, price and
promotion with 35 items. All the 430 respondents are considered as valid respondents
for further investigation. The study is quantitative research approach and the collected
data are analyzed by scale reliability for questionnaire scaling validity, descriptive
statistics, factor analysis and regression analysis including other applicable statistical
tests with a view to know that at what level both marketing mix and brand loyalty are
related with each others.IBMSPSS.20is employed for data analysis as statistical tool.
The following sample size formula is determined (Daniel, 1999)

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B.K. Suthar et al

n=Z P( P)
d2
where n = sample size, Z = Z statistic for a level of confidence, P = expected
prevalence or proportion (in proportion of one; if 20%, P = 0.2), and d = precision (in
proportion of one; if 5%, d = 0.05).

The hypotheses are formulated in the following manner for the purpose of
examining association amongst factors considered for the study.
H01: No significant positive relations between brand loyalty and perceived service
quality in context to BSNL Vadodara Telecom District..
H02: No significant positive relations between brand loyalty and pricing strategies
in context to BSNL Vadodara Telecom District..
H03: No significant positive relations between brand loyalty and product/services
placement strategies in context to BSNL Vadodara Telecom District..
H04: No significant positive relations between brand loyalty and product/services
promotional strategies in context to BSNL Vadodara Telecom District

8. Results and Discussion

Table-1 of annexure shows the results on demographic profile of respondents. Male
respondents are 270(62.8%) and the females are 160(37.2%) The teenage (<20 years)
respondents are 150(34.9%), young respondents (21-35 years) are also the same.
80(18.6%) respondents having age group of 36-50 years and 50 (11.6%) respondents
have more than 50 years of age.330 (76.7%) respondents are married and 100(23.3%)
are unmarried. 99(23.0%) respondents are undergraduate.160(37.2%) respondents are
graduate and 131(30.5%) respondents are post graduate.40(9.3%) respondents have
more than master degree.111(25.8)respondents are financially dependent and
319(74.2%) are financially independent.88(20.5% ) respondents are under student
category.182(42.3%) are jobbers.160(37.2%) respondents have their own
business.65(15.2%) respondents have less than one year usage period of BSNL cellular
mobile services.75(17.4%) respondents have BSNL as CMSP between 1-3 years and
290(17.4%) have BSNL cellular mobile services from the more than three
years.100(23.3%) respondents have average monthly consumption of cellular mobile

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

625

charges of 200Rs.177(41.2%) respondents have monthly consumption between 2001000Rs.153(35.5%) respondents are paying average more than 1000Rs.

Table-1: Demographic Profile

Sr.
1

3
4

5
6

Demographic Profile
Gender

Category
Male
Female
Total
Age
20 years
21-35
36-50
50+
Marital Status
Married
Unmarried
Education
< Graduate
Graduate
PG
PG+
Financial Status
Dependent
Independent
Profession
Student
Service
Business
Usage Period
One year
1-3 years
> 3 years
Monthly
Consumption 200Rs
towards Mobile phone
200-1000Rs
> 1000Rs

Frequency
270
160
430
150
150
80
50
330
100
99
160
131
40
111
319
88
182
160
65
75
290
100
177
153

Percentage%
62.8
37.2
34.9
34.9
18.6
11.6
76.7
23.3
23.0
37.2
30.5
9.3
25.8
74.2
20.5
42.3
37.2
15.2
17.4
67.4
23.3
41.2
35.5

Table-2 of annexure shows on results on scale reliability of scaling technique.5point Likert scale (strongly disagree to strongly agree) applied. Scale reliability is
commonly said to limit validity (John & Soto, 2007) Improper use of alpha can lead to
situations in which either a test or scale is wrongly discarded or the test is criticized for
not generating trustworthy results. To avoid this situation an understanding of the
associated concepts of internal consistency, homogeneity or unidimensionality can
help to improve the use of alpha. Internal consistency is concerned with the
interrelatedness of a sample of test items,. Internal consistency is a Cronbachs alpha
reliability coefficient normally ranges between 0 and 1. However, there is actually no
lower limit to the coefficient. The closer Cronbachs alpha coefficient is to1.0 the
greater the internal consistency of the items in the scale. Based upon the formula _ = rk
/ [1 + (k -1)r] where k is the number of items considered and r is the mean of the inter-

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B.K. Suthar et al

item correlations the size of alpha is determined by both the number of items in the
scale and the mean inter-item correlations. George and Mallery (2003) provide the
following rules of thumb: _ > .9 Excellent, _ > .8 Good, _ > .7 Acceptable, _ >
.6 Questionable, _ > .5 Poor, and_ < .5 Unacceptable (p. 231). While increasing
the value of alpha is partially dependent upon the number of items in the scale, it
should be noted that this has diminishing returns. It should also be noted that an alpha
of .8 is probably a reasonable goal. It should also be noted that while high value for
Cronbachs alpha indicates good internal consistency of the items in the scale, it does
not mean that the scale is one-dimensional. In this study, level of Cronbach alpha is in
the range of 0.778- 0.875(Brand Loyalty-Price) It reports on acceptable and good
internal consistency of factors considered for the study.

Table 2: Scale Reliability

Sr.
No

Factor

Brand Loyalty

2
3
4
5

Product
Price
Place
Promotion

Items Exclude Valid Measu

d Items Items red
Cronb
ach
Alpha
8
0
8
0.778
8
6
6
7

0
0
0
0

8
6
6
7

0.839
0.875
0.842
0.852

Standard
Internal
Consistency

Decision

0.7 < 0.8 acceptabl

e
0.8 < 0.9 good
0.8 < 0.9 good
0.8 < 0.9 good
0.8 < 0.9 good

Table-3 of annexure shows on results on descriptive statistics. Descriptive statistics

is the discipline of quantitatively describing the main features of a collection of
information(Mann, Prem S. (1995) Measures of central tendency include the mean,
median and mode, while measures of variability include the standard deviation (or
variance), the minimum and maximum values of the variables. In this study, mean,
mode, standard deviation, minimum and maximum is mentioned in table-3 which
describes simple summaries of samples and about the observation that have been
made. These summaries may either form the basis of the initial description of the data
as part of a more extensive statistical analysis, or they may be sufficient in and of
themselves for a particular investigation. In this study, the range of mean is
3.14(promotion) to 3.63(product).The mode value is 2.The range of standard deviation
is 1.51(brand loyalty) to 1.69(place).Minimum and maximum values are one for the
410 respondents and 35 items.

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

627

Table 3: Descriptive Statistics

Sr. No
1
2
3
4
5

Factor
Brand Loyalty
Product
Price
Place
Promotion

Items Excluded Valid

Items
Items
8
0
8
8
0
8
6
0
6
6
0
6
7
0
7

Mode

Mean

SD

2
2
4
2
4

3.42
3.63
3.27
3.26
3.14

1.51
1.63
1.67
1.69
1.59

Table-4 indicates the results on factor analysis of analyzed data. Field (2005) says
that in general over 300 cases for sampling analysis is probably adequate. There is
universal agreement that factor analysis is inappropriate when sample size is below 50.
Kaisen (1974) recommend 0.5 as minimum (barely accepted), values between 0.7-0.8
acceptable, and values above 0.9 are superb. In this study, KMO results are in the
range of 0.833-0.871(brand loyalty to promotion). Bartlett's test is another indication
of the strength of the relationship among variables. This tests the null hypothesis that
the correlation matrix is an identity matrix. In this study, total total 35 items are
investigated with seven factors. Hogarty et al. and McCollum et al. (1999) and Hogarty
et al.(2005) noted that, our results show that there was not a minimum level of N or
N:p ratio to achieve good factor recovery across conditions examined. The KMO
values of different factors are barely accepted and allows for further investigation. The
"Total Variance Explained" part of table-4 shows the eigenvalues, which are the
proportion of total variance in all the variables which is accounted for by that factor. A
factor's eigenvalue may be computed as the sum of its squared factor loadings for all
the variables. A factor's eigenvalue divided by the number of variables (which equals
the sum of variances because the variance of a standardized variable equals 1) is the
percent of variance in all the variables which it explains. The ratio of eigenvalues is the
ratio of explanatory importance of the factors with respect to the variables. If a factor
has a low eigenvalue (<1.0), then it is contributing little to the explanation of variances
in the variables and may be ignored as redundant with more important factors. The
table-4 shows five factors. However, SPSS was told to extract only factors with
eigenvalues of 1.0 or higher. The "Initial Eigenvalues" and "Extraction Sums of
Squared Loadings" columns are the same, except the latter only lists factors which
have actually been extracted in the solution. The "Rotation Sums of Squared Loadings"
give the eigenvalues after rotation improves the interpretability of the factors (we used
Varimax rotation, which minimizes the number of variables which have high loadings
on each given factor). Total percent of variance explained is the same but rotation
changes the eigenvalues for each of the extracted factors. That is, after rotation each
extracted factor counts for a different percentage of variance explained, even though
the total variance explained is the same. Communalities indicate the amount of
variance in each variable that is accounted for Initial communalities are estimates of
the variance in each variable accounted for by all components or factors. Extraction
communalities are estimates of the variance in each variable accounted for by the
factors (or components) in the factor solution. Small values indicate variables that do

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B.K. Suthar et al

not fit well with the factor solution and dropped from the analysis. Table-4 indicates on
results of component matrix. This table contains component loadings, which are the
correlations between the variable and the component. Because these are correlations,
possible values range from -1 to +1. Table-4also indicates results on rotated
component matrix. It shows the factor loading for each variable. In this study, BL1,
PRODUCT3, PRICE3, PLACE4 and PROMOTION7have the significant interaction
with respondents. The further investigation is conducted on the basis of above results
on factor analysis.

Table-4: Factor Analysis

Fact K Ap
or* M pro
O x.
Chi
Squ
are

Bartlett Commun Extraction Component

Rotated
's Test
alities
Sums of
Matrix(PCA)
Component
of
Squared
Matrix
Spheric
Loadings
ity
df Sig Ini Extra T % Cu Item Co Co Item C Co
p<,0 tia ction ot of m
m m
o mp
.05 l
al Va ula
p1 p2
m 2
ria tiv
p1
nc e
e %
Bran 0.8 577 1 0.00 1 BL1 3. 52. 61. BL1 0.8 0.8 BL1 0. 0.0
d
33 .68 5 0
0.777 21 24 88
66 34
91 81
Loya
7
1 3 7
2
lty
0.8 659 1 0.00 1 PRO 2. 65. 65. PROD 0.8 0.0 PRO 0. 0.0
Prod 43 .86 5 0
DUC 77 61 66 UCT3 77 03 DUC 91 89
uct
5
T3
7 4 5
T3
1
:
0.845
0.8 719 1 0.00 1 PRIC 3. 60. 60. PRIC 0.8 0.0 PRIC 0. 0.0
Price 34 .27 5 0
E3
04 41 42 E3
67 03 E3
89 87
3
:
5 3 1
9
:0.68
7
0.8 774 1 0.00 1 PLA 3. 72. 72. PLAC 0.8 0.0 PLAC 0. 0.0
Place 65 .07 5 0
CE4: 24 91 90 E4
89 09 E4
83 81
1
0.632 5 2 3
4
Prom 0.8 878 1 0.00 1 PRO 3. 75. 75. PRO 0.8 0.0 PRO 0. 0.0
otion 71 .72 5 0
MOT 36 63 65 MOTI 01 13 MOTI 79 82
8
ION7 7 2 9 ON7
ON7 9
:0.64
5

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

629

*(BL1: I do prefer to use BSNL cellular services. PRODUCT3: BSNL is the most reliable among
the all in my area PRICE3: I receive the value for money from BSNLPLACE4: BSNL services are
easily accessible up to end users PROMOTION7: Use of social media for promotional activities by
BSNL help on purchase decision)

Table-5 indicates on results of regression analysis conducted for testing the

following hypothesizes.
H01: No significant positive relations between brand loyalty and perceived service
quality in context to BSNL Vadodara Telecom District
H01: Significant positive relation between brand loyalty and perceived service
quality in context to BSNL Vadodara Telecom District
Table-5 indicates the results on regression analysis. Model summary part of table-5
shows the results on R.Rsquare and adjusted R square for BL1*PRODUCT18..Adjusted R square=0.821(i.e.82.1 %) which represents the correlation. It indicates a
high degree of correlation. The adjusted R2 value indicates how much of the dependent
variable brand loyalty(BL1) can be explained by the independent
variable,PRODUCT1-8.ANOVA part of table-5 shows that the statistical significance
of the regression model that was applied. Here, p < 0.000, which is less than 0.05, and
indicates that, overall, the model applied can statistically significantly predict the
outcome variable..Coefficient part of table-5 shows that information on each predictor
variable.Unstandardized coefficient value is 0.851 for PRODUCT3 (i.e. BSNL is the
most reliable among the all in my area.) t-value is 33.386 for PRODUCT3.which is
enough greater, F value 319.051 which is also large .In this situation, the values of
adjusted R square, standard error of estimate, square of sum, mean square are also
large. So that, there is significant relationship between BL1 and PRODUCT3.That is
why H01 is rejected and H11 is accepted. It can be concluded that there is significant
positive relationship between brand loyalty and perceived quality of product.
H02: No significant positive relations between brand loyalty and pricing strategies
in context to BSNL Vadodara Telecom District..
H02: Significant positive relations between brand loyalty and pricing strategies in
context to BSNL Vadodara Telecom District..
Table-5 indicates the results on regression analysis. Model summary part of table-5
shows the results on R.Rsquare and adjusted R square for BL2*PRICE1-6..Adjusted R
square=0.639(i.e.63.9 %) which represents the correlation. It indicates a high degree of
correlation. The adjusted R2 value indicates how much of the dependent variable
brand loyalty(BL1) can be explained by the independent variable,PRICE16.ANOVA part of table-5 shows that the statistical significance of the regression
model that was applied. Here, p < 0.000, which is less than 0.05, and indicates that,
overall, the model applied can statistically significantly predict the outcome
variable..Coefficient part of table-5 shows that information on each predictor
variable.Unstandardized coefficient value is 0.851 for PRICE6 (i.e. Tariff plans of
BSNL re transparent.) t-value is 22.838 for PRICE6.which is enough greater, F value
123.382 which is also large .In this situation, the values of adjusted R square, standard
error of estimate, square of sum, mean square are also large. So that, there is

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B.K. Suthar et al

significant relationship between BL4 and PRICE6.Another significant results between

BL4*PRICE1-6 is observed during analysis. Adjusted R square for there is
0.0850(i.e.85.0%) correlations between BL4 and PRICE1-6..t value is 37.036,F value
is 387.941 which is enough greater. So that it can be said that the significant
correlations exist betweenBL4 and PRICE3. That is why H02 is rejected and H12 is
accepted. It can be concluded that there is significant positive relationship between
brand loyalty and price factor of marketing mix.

Table 5: Regression Analysis

Factor* Varia M
bles od
Enter el
ed

R Adj
ANOVA
squ uste Sum d Me F
are d
of f an
R squ
sq
squ are
ua
are
re

si
g

DV:BL1 8
IDV:PR
ODUCT
1-8

0.9 0.8 0.82 842. 6 14 319 0.

01 24 1
309
0.3 .05 00
85 1
0

DV:BL2 8
IDV:PR
ICE1-6

.08 0.6 0.63 739. 6 13 123 0.

26 44 9
235
1.3 .38 00
43 2
0

DV:BL4 8
IDV:PR
ICE1-6

0.9 0.8 0.84 851. 6 14 387 0.

21 50 9
696
1.9 .94 00
49 1
0

DV:BL5 6
IDV:PL
ACE1-6

0.9 0.9 0.94 991. 8 16 622 0.

12 83 2
783
5.2 .39 00
97 9
0

DV:BL6 7
IDV:PR
OMOTI
ON1-7

0.9 0.9 0.94 970. 8 16 269 0.

19 49 1
473
1.7 .51 00
45 4
0

coefficients
Unstd
St
coefficient d t
Be
ta
Beta Std Be
.er ta
ror
PRO 0.0 0.8 33.
DUC 93 51 38
T3
6
20.88
1
PRIC 0.0 0.8 22.
E6
36 53 83
6
8
0.783
PRIC 0.0 0.9 37.
E3
26 52 03
3
6
0.952
PLA 0.0 0.9 14
CE4 27 23 9.3
71
24
.991
PRO 0.0 0.9 69.
MOT 24 12 52
ION3
2
60.98
1

si
g

0.
00

0.
00

0.
00

0.
00

0.
00

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

DV:BL8 7
IDV:PR
OMOTI
ON1-7

631

0.9 0.8 0.83 911. 6 16 221 0. PRO 0.0 0.9 43. 0.

10 45 2
431
8.6 .45 00 MOT 32 10 34 00
54 3
0 ION4
6
2
0.921

*(BL1: I do prefer to use BSNL cellular servicesBL2: I have enough knowledge on BSNL as a
brand BL4: I would like to recommend BSNL to othersBL5: I can pay more for my existing BSNL
BL6: I would go out of my way to BSNLBL8: BSNL is well-known for its brand image PRODUCT3:
BSNL is the most reliable among the all in my area PRICE3: I receive the value for money from
BSNL.PRICE6: Tariff plans of BSNL re transparent PLACE4: BSNL services are easily accessible up
to end users PROMOTION3: Special offers from BSNL are beneficial. PROMOTION4: Personal
selling mantra of BSNL is beneficial )

H03: No significant positive relations between brand loyalty and product/services

placement strategies in context to BSNL Vadodara Telecom District
H03: Significant positive relations between brand loyalty and product/services
placement strategies in context to BSNL Vadodara Telecom District
Table-5 of annexure indicates on results on BL5 *PLACE1-6.. Model summary
part of table-5 shows the results on R.Rsquare and adjusted R square for
BL5*PLACE1-6..Adjusted R square=0.942(i.e.94.2%) which represents the
correlation. It indicates a high degree of correlation. The adjusted R2 value indicates
how much of the dependent variable brand loyalty(BL5) can be explained by the
independent variable,PLACE1-6.ANOVA part of table-5 shows that the statistical
significance of the regression model that was applied. Here, p < 0.000, which is less
than 0.05, and indicates that, overall, the model applied can statistically significantly
predict the outcome variable..Coefficient part of table-5 shows that information on
each predictor variable.Unstandardized coefficient value is 0.923 for PLACE4 (i.e.
BSNL services are easily accessible up to end users.) t-value is 149.324 for
PLACE4.which is enough greater, F value 622.399 which is also large .In this
situation, the values of adjusted R square, standard error of estimate, square of sum,
mean square are also large. So that, there is significant relationship between BL5 and
PLACE4.That is why H03 is rejected and H13 is accepted. It can be concluded that
there is significant positive relationship between brand loyalty and PLACE dimension
of marketing mix.
H04: No significant positive relations between brand loyalty and product/services
promotional strategies in context to BSNL Vadodara Telecom District
H04: Significant positive relations between brand loyalty and product/services
promotional strategies in context to BSNL Vadodara Telecom District
Table-5 of annexure indicates on results on BL6 *PROMOTION1-7.. Model
summary part of table-5 shows the results on R.Rsquare and adjusted R square for
BL6*PROMOTION1-7..Adjusted R square=0.941(i.e.94.1%) which represents the
correlation. It indicates a high degree of correlation. The adjusted R2 value indicates
how much of the dependent variable brand loyalty(BL6) can be explained by the
independent variable,PROMOTION1-7.ANOVA part of table-5 shows that the

632

B.K. Suthar et al

statistical significance of the regression model that was applied. Here, p < 0.000, which
is less than 0.05, and indicates that, overall, the model applied can statistically
significantly predict the outcome variable..Coefficient part of table-5 shows that
information on each predictor variable.Unstandardized coefficient value is 0.912 for
PROMOTION3 (i.e. Special offers from BSNL are beneficial) t-value is 69.522 for
PROMOTION3.which is enough greater, F value 269.514 which is also large .In this
situation, the values of adjusted R square, standard error of estimate, square of sum,
mean square are also large. So that, there is significant relationship between BL6 and
PROMOTION3.Another observation on BL8*PROMOTION1-7is also registered as
significant as shown in table-5 of annexure. Their adjusted R square is
0.832(i.e.83.2%) indicates level of correlations. The adjusted R2 value indicates how
much of the dependent variable brand loyalty(BL8) can be explained by the
independent variable,PROMOTION1-7.ANOVA part of table-5 shows that the
statistical significance of the regression model that was applied. Here, p < 0.000, which
is less than 0.05, and indicates that, overall, the model applied can statistically
significantly predict the outcome variable..Coefficient part of table-5 shows that
information on each predictor variable.Unstandardized coefficient value is 0.910 for
PROMOTION4 (i.e. Personal selling mantra of BSNL is beneficial) t-value is 43.346
for PROMOTION4which is enough greater, F value 221.453 which is also large .In
this situation, the values of adjusted R square, standard error of estimate, square of
sum, mean square are also large. So that, there is significant relationship between BL8
and PROMOTION4.That is why H04 is rejected and H14 is accepted. It can be
concluded that there is significant positive relationship between brand loyalty and
PROMOTION dimension of marketing mix.

9. Conclusion
Our research findings are consistent with hypothesizes. The objectives of this study are
satisfied.Objective-1 on customer perception are measured on brand loyalty with
dimensions like; brand preference, brand knowledge, brand need, brand
recommendation, brand charges, service quality and brand image. Objective-2 of this
study is satisfied by evaluating customer perception on dimensions of marketing mix
(i.e.27 items considered for primary data collection.. Objective-3 of this study is also
satisfied by observing the results of simple linear regression analysis..Brand loyalty
having significant positive relationship with dimensions of marketing mix, namely;
BL1*PRODUCT3 (correlations between brand preference and brand reliability)
BL2*PRICE6 (correlations between brand knowledge and service satisfaction)
BL4*PRICE3 (brand recommendation and value for money) BL5*PLACE4 (pricing
sense and service accessibility) BL6*PROMOTION3 (brand attachment and special
offers) and BL8*PROMOTION4 (brand image and personal selling mantra). It can be
concluded that brand loyalty and 4Ps are positively closed with each other from
customer perception point of view.

Impacts of Marketing Mix and Customer Perception on Brand Loyalty

633

10. Limitations and Scope for Further Research

The results of this research have implications for BSNL management. The findings
identify the significance of marketing and sales policies and practices in affecting
customer perception on brand loyalty. This study has certain limitations like; time
constraints, area of research, sample size determination and items considered for
questionnaire to collect primary data. In this study, questionnaire for primary data
collection. is considered for five factors with 35 total items. Further research can be
held by expanding area of research and with some more items for questionnaire. The
sample size also can be increased. The study can be held by utilizing various models
framed by the previous researchers

11. Recommendations
The recommendations are made on the basis of this study.(1) BSNL management may
organize brand loyalty programs by keeping customers in the nucleaus of business.(2)
Internal Customer Perception Index (ICPI) may be measured in a regular time
interval.(3) QoS measurement through study papers conducted by research institutes
may be examined by BSNL management at small unit level.(4)BSNL product(s) or
cellular service(s) may be made easily accessible and available.(5) Telecom Regularity
Authority of India(TRAI) may innovative guidelines to CMSPs on tariff plans more
transparent and easy to understand.(6) BSNL marketing tactics and marketing strategy
should be similarly tuned.(7) Promotional offers, special offers, advertising activities,
direct marketing, personal selling and usage of social media as marketing tool are in
need of frequent monitoring.

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