Brand equity analysis and its impact on the loyal customer of local batik to develop its competitiveness (an empirical study of batik Banten in south tangerang)
Nila Krisnawati, Loina K Perangin-angin, Munawaroh Zainal, Imelda Suardi
Abstract
Batik industry has been growing well since the enclosure of batik by UNESCO (United Nations Education, Scientific and Cultural Organization) in "Intangible Cultural
Heritage of Humanity" items on September 30, 2009. However, many local batik in
Indonesia do not concern about their brand and leave them far away behind the superior
brand of existing batik in the market, including Batik Banten. This study was carried out in
Tangerang focusing on the brand of Batik Banten. This study aims to determine the effect
of brand awareness, brand association, perceived quality, brand loyalty and uniqueness
towards customer’s loyalty. The study is also to identify the brand existence of Batik
Banten through analyzing its strengths, weaknesses, opportunity and threat. The 203
respondents were the batik lovers in Tangerang and their data were collected by using
survey method. The Regression Analysis wasused in this study with the aim to prove the
hypothesis of the influence of variables Brand Awareness (X1), Brand Association (X2),
Perceived Quality (X3), Brand Loyalty, and Uniqueness (X4) that are partially or jointly
against Consumer Loyalty (Y). Results of regression calculation show that the value of
Adjusted R Square is 0.211. This shows that only by 21.1%, Consumer Loyalty in the
purchase of the Batik Bantenis affected by variations of the four independent variables,
namely Brand Awareness (X1) , Brand Association (X2) , Perceived Quality (X3) , Brand
Loyalty (X4) and Uniqueness (X5). The remaining 79,1% was influenced by other variables
which are not examined in the research. The study also provides a contribution to the
better strategy implementation to Batik Banten owner and local government to increase
the brand equity of Batik Banten towards consumers’ loyalty.