Document Type : Research Article

Authors

1 Associate Professor, Department of Management Sciences, Faculty of Economics, Management, and Accounting, Yazd University, Yazd, Iran

2 MA Student of Behavior and Human Resources, Department of Management Sciences, Faculty of Economics, Management, and Accounting, Yazd University, Yazd, Iran

3 MBA, Department of Management Sciences, Faculty of Economics, Management, and Accounting, Yazd University, Yazd, Iran

4 Ph. D Student of Marketing, Department of Management Sciences, Faculty of Economics, Management, and Accounting, Yazd University, Yazd, Iran

Abstract

Introduction
In agricultural industry, saffron is one of the most valuable products that can be produced and exported due to its special characteristics. Iran is the largest producer of this product in the world due to its vast land and dry and semi-arid climate. The research title "The Effect of Marketing Mix on Brand Equity" has been the focus of many researchers in the marketing field across various industries. This particular study aims to identify the appropriate strategies to create a competitive advantage and enhance brand equity in Iran's saffron industry through the implementation of the marketing mix. The research examines the relationship between the elements of the marketing mix and brand equity, with the ultimate goal of assisting companies involved in saffron production, purchase, and sale in developing strategies to increase their brand equity. The researchers emphasize that saffron, as a strategic product in Iran's growing economy, requires the development of effective marketing channels. Hence, this research aims to identify the factors that influence the marketing mix on brand equity in the saffron industry. To achieve this objective, the study measures the relationship between the marketing mix elements (product, distribution channel, price, and promotional activities) and four dimensions of brand equity (brand awareness, perceived quality, store image, and brand loyalty) using structural equation modeling (SEM).
Materials and Methods
The current research is applied in terms of purpose and descriptive-correlation in terms of method. The statistical population includes people within reach who were consumers of Iranian saffron. Considering the unlimited size of the statistical population and Morgan's table, 384 people were selected by simple random. To collect data from the questionnaire containing 40 closed questions, 24 questions of the marketing mix scale of Sharma and Gautam (2018), 16 questions of the standard brand equity questionnaire of Yu et al. (2000) with a 5-point scale. Likert has been used to measure the variables of the conceptual model.
This research has investigated the relationships between variables using PLS2 software and structural equation modeling. There is no need for the distribution to be normal compared to other existing software (Kline, 2014). This method is a statistical model to investigate the relationship between latent variables and manifest variables.
Results and Discussion
The findings of the research indicate that the product dimension of the marketing mix has the strongest relationship with the dependent variables of the study. Specifically, the effect of the product on perceived quality, store image, brand loyalty, and brand awareness is positive and significant. More specifically, the effect of the product on perceived quality is positive and significant. Similarly, the product has a positive and significant effect on the store image. Additionally, the product dimension has a positive and significant impact on brand loyalty and brand awareness. However, the effect of price on perceived quality is not found to be positive and significant. On the other hand, the effect of price on the store image is positive and significant. The impact of price on brand loyalty is not significant, and the effect of price on brand awareness is not positive and significant. Regarding the distribution dimension of the marketing mix, it has a positive and significant effect on perceived quality. However, the effect of distribution on the store image is not positive and significant. Furthermore, distribution has a positive and significant impact on brand loyalty and brand awareness. In terms of the promotion dimension of the marketing mix, it has a positive and significant effect on perceived quality. However, the effect of promotion on the store image is not positive and significant. Overall, these findings suggest that the product dimension of the marketing mix plays a critical role in influencing brand equity, while the effects of price, distribution, and promotion vary in their impact on the dependent variables of perceived quality, store image, brand loyalty, and brand awareness.
Conclusion
Centers operating in the saffron industry should prioritize the creation of high-quality products and the establishment of brand loyalty. Additionally, they can enhance the positive perception of customers by focusing on the desirability of after-sales services, maintaining regular communication with customers through representatives, and ensuring that the price of their products aligns with their quality. By implementing these strategies, companies can improve the customers' mental image of the company, leading to enhanced perceived quality, brand awareness, and customer loyalty. This, in turn, will have a positive impact on their overall success in the market.

Keywords

Main Subjects

  •  

    • Akbari, M., Asadpour, M., Karimian Ravandi, M., & Hosseini Koupaei, S. (2019). Identifying the difficulties of horticultural product distribution channels (case study: the central fruit and vegetable organization of Tehran province). Journal of Rural Research 10(3): 408-423. (In Persian)
    • Almasi, S., & Dadaneh, K.Z. (2017). The mediating role of brand equity in the relationship between the brand personality and obssessive shopping behavior of sport clothes consumers. European Journal of Management and Marketing Studies 2(1): 42-55. https://doi.org/10.46827/ejmms. v0i0.102.
    • AmiriAghdaie, S.F., & Roshan, J. (2015). Investigaying effective factors on Iran’s saffron exportation. International Review of Management and Business Research 4(2): 590-600. (In Persian)
    • Azadi, R., Yusefi, B., & Eydi, H. (2014). The role of media advertising on promoting brand equity in the clothing industry. Communication Management in Sports Media 2(6): 66-75. (In Persian)
    • Babin, B.J., Borges, A., & James, K. (2016). The role of retail price image in a multi-country context: France and the USA. Journal of Business Research 69(3): 1074-1081. https://doi.org/10.1016/j.jbusres.2015.08.023.
    • Bakhshizadeh, A., Kord Naeij, A., Khodadad Hosseini, S.H., & Ahmadi, P. (2016). The impact of visual aspects of outdoor advertising on consumer brand awareness. Brand Preference and Brand Loyalty (Case Study: Palladium Mall) 4(32): 1-24. (In Persian)
    • Biriya, S., & Jabal Ameli, F. (2007). Factors affecting the export of pistachios, saffron, and dates in Iran's non-oil exports (1370-1380). Journal of Agricultural Economics and Development 54: 85-101. (In Persian)
    • Chan, K., & Cheng, B. (2011). Awareness of Outdoor Advertising in Hong-Kong. International Journal of Consumer Research 1-29.
    • Chin, W.W. (1998). Commentary: Issues and Opinion on Structural Equation Modeling. MIS Quarterly 22(1): vii-xvi.
    • Cronbach, LJ. (1951). Coefficient alpha and the internal structure of tests. Psychometrika 16(3): 297-334. https://doi.org/10.1007/BF02310555.
    • Davari, A., & Rezazadeh, A. (2012). Structural equation modeling with PLS software, first edition, Jihad University Press. (In Persian)
    • Davis, S.M. (2002). Brand Asset Management, Driving Profitable Growth through Your Brands, 1st edition, Jossey-Bass.
    • Esfahaninan, V. (2011). Examining, selecting and compiling the appropriate model for the creation and development of the saffron brand in the Iranian consumer market, master's thesis, Payam Noor University, Tehran. (In Persian)
    • Fornell, C., & Larcker, D.F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research 18(1): 39-50. https://doi/abs/10.1177/002224378101800104.
    • Ghaffari, M., Abasi, A., & Konjkav Monfared, A. (2018). The role of tourist experience in the Tourism destination image of Isfahan. Journal of Tourism and Development 7(2): 97-112.
    • Gorska-Warsewicz, H. (2020), Factors determining city brand equity—A systematic literature review. MDPI: Sustainability 12: 7858. https://doi.org/10.3390/su12197858.
    • Henseler, J., Ringle, C.M., & Sinkovics, R.R. (2009). The use of partial least squares path modeling in international marketing. In New challenges to international marketing. Emerald Group Publishing Limited.‏
    • Hqiqi, M., Rabiei, A., & Chowdari Nemin, N. (2020). Extraction and investigation of effective external indicators in the selection of foreign target markets by successful Iranian exporters (in the saffron export sector), Master's thesis, Payam Noor University, Tehran. (In Persian)
    • https://www.statista.com/statistics/1135621/leading-saffron-producers-worldwide/
    • Kashefi, M., Mohammadi, H., & Abolhasani, L. (2019). Effect of marketing strategies on export performance of agricultural products: The case of saffron in Iran. Journal of Agricultural Science and Technology 21(4): 785-798.‏ (In Persian)
    • Keller, K.L. (2009). Building a strong BusinesstoBusiness Brand”, Advances in Business Marketing and Purchasing, JAI Press is an imprint of Emerald Group Publishing Limited, First edition, vol15, pp. 1131. https://doi.org/10.1108/S1069-0964(2009)0000015006.
    • Kline, P. (2014). An easy guide to factor analysis. Routledge. https://doi.org/10.4324/9781315788135.
    • Konjkav Monfared, A. (2022). The effect of internet marketing capabilities on international communications and export capabilities of companies operating in the saffron industry. Journal of Saffron Research10(1): 96-112. (In Persian)
    • Konjkave Monfared, A.R., & Mirhoseini, M. (2013). Explaining the affecting factors of M-banking acceptance by Saderat Bank's customers. Journal of Marketing Management 8(18): 107-120. (In Persian)
    • Kurdlo, H., khorshidi, R., & Alahyar, A. (2016). Oral-to-mouth advertising with the desire of customers in sports clubs: A study of Ilam Bodybuilding Clubs. Journal of Communication Management in Sports Media 3(12): 25-34. (In Persian)
    • Kushwaha, G.S., & Agrawal, S.R. (2015). An Indian customer surrounding 7P's of service marketing. Journal of Retailing and Consumer Services 22: 85–95. https://doi.org/10.1016/j.jretconser.2014.10.006.
    • Lagorce, A. (2009). Carrefour pushes hard to restore its price image. Retrieved 19.07.2017 fromhttp://www.marketwatch.com/story/carrefour-detemined-to [1] restore-price-image.
    • Lane Keller, K., & Lehmann, R. (2005). Brands and branding: research findings and future priorities, Marketing Science Institute Research Generation Conference. https://doi.org/10.1287/mksc.1050.0153.
    • Lotfi, R., Samad, A., Mahmudzadeh, M., & Faryabi, M. (2021). Designing a conceptual model of the strategies of Iran's export saffron brand alliance and the influencing conditions. Saffron Research Journal (two quarters) 9(2): 227-214.
    • Magner, N., Welker, R.B., & Campbell, T.L. (1996). Testing a model of cognitive budgetary participation -processes in a latent variable structural equations framework. Accounting and Business Research 27(1): 41-50. https://doi.org/10.1080/00014788.1996.9729530.
    • Masoomzadeh Zavareh, A., Ebrahimi, A., Shamsi, J., & Dehbavi, K. 2013.Operational plan of Iran Saffron's Branding. Journal Saffron Agronomy L, & Technology 1(2): 39-68. (In Persian)
    • Moss, E., Rousseau, D., Parent, S., St-Laurent, D., & Saintonge, J. (1998). Correlates of attachment at school age: Maternal reported stress, mother-child interaction, and behavior problems. Child Development 69: 1390-1405. https://doi/ abs/10.1111/j.1467-8624. 1998.tb06219.x.
    • Mohammadi, H., & Reed, M. (2020). Saffron marketing: Challenges and opportunities. Saffron, 357-365.‏
    • Mousavi, N., Abhali, R., & Boadhar, M. (2019). Investigating the effect of service quality on brand image with the mediating role of relationship marketing, perceived brand value and brand loyalty (case study: companies providing internet and communication services in Khorramabad). Business Management Quarterly 11(43): 292-310. (In Persian)
    • Pirmalek, F., Karbasi, A., Ghorbani, M., & Rastegaripour, F. (2017). Pricing strategies of safforon: strategic factors analytical. Saffron Agronomy & Technology 6(3): 355-366. (In Persian)
    • Qadri, B. (2018). Examining saffron income and choice of marketing channel connection. Asian Journal of Managerial Science 7(1): 25-30. (In Persian)
    • Qodoosi, M., Mohteshmi, T., Metoli Habibi, M., & Sheghti, S. (2016). Identification and prioritization of effective marketing mix elements in saffron export from experts' point of view. Saffron Agriculture and Technology Journal: 285-296. (In Persian)
    • Qorbani, M. (2008). The efficiency of saffron’s marketing channel in Iran. World Applied Sciences Journal 4(4): 523-527. (In Persian)
    • Rostagaripour, F., & Mohammadi, N. (2018). Investigating the effective factors on saffron exchange rate in Iran with emphasis on packaging and branding. Saffron Research Journal (two quarterly) 6(1): 51-73. (In Persian)
    • Sadeqlo, T. (2016). Analysis of effective factors in favorable marketing of saffron product from the point of view of Gonabad saffron farmers. Agricultural Economy and Development 26(104). (In Persian)
    • Salimi, M. (2015). Prioritization of Iran's saffron export target markets using network analysis process (ANP).D thesis, Ferdowsi University of Mashhad. (In Persian)
    • Sammut-Bonnici, T. (2017). Academy for Disciplined Forces: strategic plan 2017-2020. Ministry of Home Affairs and National Security, Valletta.
    • Sanjuán-López, A.I., Resano-Ezcaray, H., & Camarena-Gómez, D.M. (2009). Developing marketing strategies for Jiloca saffron, a price hedonic model. Spanish Journal of Agricultural Research 7(2): 305-314. https://doi.org/10.5424/sjar/2009072-421.
    • Shahvali, M., Fatemi, M., & Melkian, A. (2012). Designing a communication model and marketing optimization information for saffron growers of Estehban city, Fars province. Planning and Preparation of Space 17(1): 87-104. (In Persian)
    • Sharma, V., & Gautam, V. (2018). An empirical analysis to study the impact of marketing mix elements on overall quality of water purifiers: evidence from India. International Journal of Business Forecasting and Marketing Intelligence 4(1): 86-98. https://doi/abs/10.1504/IJBFMI.2018.088630.
    • Shirvani, A., & Shamsi, A. (2020). Designing a model to improve the mental image, awareness and recognition of Iran Post Bank brand in attracting customers, Business Management Quarterly 49: 347-404. (In Persian)
    • Tajpour, M., & Hosseini, E. (2021). Towards a creative-oriented university. Journal of Business Strategy Finance and Management 2(1): 2.‏ https://doi.org/10.2139/ssrn.3838535.
    • Tong, X., & Hawley, J.M. (2009). Creating brand equity in the Chinese clothing market (The effect of selected marketing activities on brand equity dimensions). Journal of Fashion Marketing and Management 13(4): 566-581. https://doi.org/10.1108/13612020910991411.
    • Tran, V.D., Vo, T.N.L., & Dinh, T.Q. (2020). The relationship between brand authenticity, brand equity and customer satisfaction. Journal of Asian Finance, Economics and Business 7(4): 213-221. https://doi.org/10.13106/jafeb.2020.vol7.no4.213.
    • Werts, C.E., Linn, R.L., & Jöreskog, K.G. (1974). Intraclass reliability estimates: testing structural assumptions. Educational and Psychological Measurement 34(1): 25-33. https://doi/abs/10.1177/001316447403400104.
    • Wyeth, P., & Malik, N. (2008). A Strategy for Promoting Afghan Saffron Exports, RALF (Research in Alternative Livelihoods Fund) Program Manager ICARDA, Aleppo, Syria, October.
    • Yoo, B., Donthu, N., & Lee, S. (2000). An examination of selected marketing mix elements and brand equity. Journal of the Academy of Marketing Science 28(2): 195-211. https://doi/abs/10.1177/0092070300282002.

     

CAPTCHA Image