Intensive distribution and sales promotion for improving customer-based brand equity (CBBE), re-purchase intention and word-of-mouth (WOM)

Abstract

PurposeInvestigating the influence of intensive distribution and sales promotion towards customer-based brand equity, repurchase intention and word-of-mouth (WOM) (study on Suzuki car owners in PT Surya Batara Mahkota Wilayah Nusa Tenggara Timur).Design/methodology/approachThe research was conducted in East Nusa Tenggara (NTT) and the analysis unit was customers of PT. Surya Batara Mahkota NTT (PT SBM NTT) as the owner of the Suzuki car. The population is 1,782 Suzuki car owners who bought their cars from PT SBM NTT, based on data from 2015. The sampling technique is the multi-stage area sampling.FindingsIncentives distribution had significant and positive influence towards brand equity and repurchase intention. Sales promotion had significant and positive influence towards word-of-mouth (WOM), but it did not have influence towards brand equity. Brand equity had significant influence towards repurchase intention and WOM. On the other hand, repurchase intention did not have influence towards WOM.Originality/valueThe originality of this study was that the researchers did not find a previous study that discussed the relationship between intensive distribution and repurchase intention, between sales promotion and WOM and between customer-based brand equity and WOM. Previous studies used different variables as determinants of positive WOM.