5 April 2006
Victorians are happy to drink Cascade beer, even though it's Tasmanian, but baulk at buying Tooheys because it's from New South Wales, a Monash University study of brand loyalty has found.
Professor Charmine Hartel, who conducted the study with Professor Steve Worthington, also from Monash, and Dr Rebekah Bennett from the Queensland University of Technology, said focus groups in Brisbane and Melbourne revealed distinct, regional differences in what influenced product choice.
The study, which examined purchasing preferences for products ranging from groceries to telecommunication services, showed product purchases expressed a person's values.
"We picked up on a strong rivalry between Victoria and New South Wales, but Victorians were generally very fond of Tasmanian products," Professor Hartel said.
"Although there were common themes that drove consumer choice between the participants -- both groups mentioned football -- there were distinct regional differences in the emotional influences driving product choice.
"Victorians tended to focus on environmental factors, choosing products because they were clean and green. An example of this was their preference for Cadbury chocolate and Cascade beer because they were produced in Tasmania, the state that was seen to have the cleanest air and water.
"Queensland participants were more concerned about supporting Australia -- particularly for services -- choosing certain products because they were Australian-made, or contained Australian products."
These consumer 'values' were one of the key driving forces behind product loyalty, Professor Hartel said.
The study identified five determinants of brand loyalty from consumers -- if the product provided the required function, provided value for money, expressed the values of the customer, portrayed a certain image or provided convenience.
Professor Hartel said social context mattered when selecting products -- people bought a particular brand because it was Australian, their children liked it or their friends used it. "We are also seeing a greater number of consumers expressing their values by not buying a product," she said.
"The market is just starting to realise the power of consumer values. We are starting to see dynamic interplay between businesses and consumers, with companies now under pressure to change their practices to meet social values or otherwise risk losing consumers."
For further information contact Ms Natasha Whalley, Media Communications on +61 3 9905 9201 or 0437 458 457.
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