Predictors of brand trust and brand equality for energy drinks in Gauteng township

Abstract

A massive growth area in the consumption of FMCG products in South Africa still largely lies within the Township areas. A significant amount of research has been conducted around building brand equity within the FMCG space, however very few if any studies in South Africa have investigated the predictors of brand trust and brand equity within the Energy Drinks Category. The research intends toexploredrelationship between store image, distribution intensity and price deals, paying particular interest to the mediating role of brand trust in building brand equity amongst township energy drinks consumers. Using a data set of 288 respondents, between the ages of 18-35, from the townships of Gauteng province in South Africa, the study examined the aforementioned respective relationships. A structural equation modelling approach using AMOS24 statistcal software was used to empirically test the proposed 4 hypothesis using the collected data set. The results indicate that store image, price deals and distribution intensity are predictors of brand trust and, brand trust is positively related to brand equity. However, what is evident is that distribution intensity results in a much stronger and important effect on brand trust. The research paper further discusses implications for both academic and marketing practitioners and lastly, future research directions are suggested.