Extending the Understanding of Sales promotions’ Influence on Brand Knowledge : A Quantitative Study

Abstract:

Title: A quantitative study extending the understanding regarding the influence of sales promotion on brand knowledge

Background: Sales promotion is a marketing communication activity that aims to promote a purchase, usage or trial of a particular brand. Sales promotion activities can provide significant benefits and incentives that could help the brand to differentiate from competitors and can contribute to the consumer’s brand knowledge. Prior to this thesis, there has been little attempt to integrate research to determine the relationship between the use of sales promotions and brand knowledge, which is why this study intends to extend the existent understanding.

Purpose: The aim of this study is to extend the understanding regarding the relationship between sales promotion and brand knowledge and its drivers.

Research questions:

R1: What influence does monetary promotions have on brand awareness?

R2: What influence does monetary promotions have on brand image?

R3: What influence does non-monetary promotions have on brand awareness?

R4: What influence does non-monetary promotions have on brand image?

Hypotheses:

H¹: Monetary promotions of a brand influence brand awareness

H²: Non-monetary promotions of a brand influence brand awareness

H³: Monetary promotions of a brand influence brand image

H⁴: Non-monetary promotions of a brand influence brand image

Methodology: In order to test the hypotheses a quantitative research approach was conducted and a questionnaire was used to collect data from Swedish consumers, the data was analyzed in the IBM SPSS program to find out if the hypotheses was supported or rejected.

Conclusions:

H¹,H³ and H⁴: May from this study be supported.

H²: May from this study be rejected.