ASSESSMENT OF CUSTOMER BASED BRAND EQUITY OF ADDIS TEA PRODUCTION IN THE CASE OF TEA PROCESSING AND PACKING FACTORY

Abstract

Despite the fact that Tea Processing and Packaging Factory is still dominated by the country, this factory is differentiate their offering from those of their competitors in order for them to maintain their current positions as well as to sustain a significant amount of market share in the ever growing tea production. Meanwhile, the objective of this paper is to determine the determinant CBBE among customers and assesses the impact of customers’ socio demographic characteristics on CBBE elements in market of Addis Ababa. The study was conducted taking Tea Processing and Packaging Factory as a case and one specific product Addis tea which is mostly available in market. There by providing a conceptual framework for deeply understanding consumer based brand equity related to Tea Processing and Packaging Factory. In view of that, this study employed the Tea Factory using Aaker’s well-known conceptual framework, which comprises four exogenous variables: Brand Awareness, Brand Association, Perceived Quality, and Brand Loyalty along with the question of how these dimensions are influencing brand building in customers mind was assessing in Tea Processing and Packaging Factory of yeka and bole sub-cities. As to the methodology, this study is a descriptive study using self-administered questionnaires. Relevant sampling techniques were used and study conducted on 125 customers as a sample to represent the population. Respondents (customers) are selected using simple random and purposive sampling method from the two sub-cites. Questionnaires adapted from previous researches related with the study were utilized to collect the data and SPSS utilized for data analysis. This study has revealed that Brand Equity of Tea Processing and Packaging Factory product (Addis Tea) is directly made up of two dimensions namely perceive quality and brand loyalty. These two dimensions have shown a strong influence on brand equity with a mean of 3.6 and 3.58 respectively. Other dimension brand awareness and brand association have a very smaller impact on brand equity in yeka and bole sub-city market with a mean of 3.49 and 3.5.Accordingly, we can understand that brand awareness and brand association might be antecedents of brand equity by affecting perceived quality and brand loyalty.