The Effect of Brand Credibility and Customer Loyalty on iPhone Smart Phone Brand Image
Silcyljeova Moniharapon a,1, Lucky O.H. Dotulong a,2, Paulina Van Rate a,3, Ferdy Roring a,4, Mirah H.Rogi a,5, Indrie Debbie Palandeng a,6
a Department of Management Faculty of Economic and Business, Universitas Sam Ratulangi Manado, Indonesia
1[email protected] , 2[email protected] , 3[email protected] , 4[email protected] ,
5[email protected] , 6[email protected]
I. Introduction
In this modern era, the level of competition faced by companies can be said to be very high. This happens because many companies offer similar products, both through electronic media and print media that are intended to meet certain needs of consumers according to the type of goods or services that the company offers. Under these conditions, the competition situation will be even tighter and will bring each other down, so many companies will try various effective ways to win the competition that occurs among competing companies to be at the forefront and also the choice of consumers.
(Xiaowen, 2012) Every company that could win the competition is a company that can or can design and develop strategies for marketing programs for goods and services that are superior to its other competitors. In addition, companies are also required to create, maintain and increase customer satisfaction with a product offered by the company itself. And, at this time, only companies that can commit to always keeping up with the market and winning the hearts of consumers can survive and continue to exist in today's business world (Azis, 2021; Murtini, 2021; Pradana et al., 2022). In today's modern marketing, marketers must be oriented to the market and to customers because they are the spearhead or also the backbone of the success or failure of the marketing of these goods and services.
Modern marketing requires much more than planning a good product, offering it at an attractive price, promoting it properly, and making it accessible to the target customer. But it also needs an attitude to be able to strengthen and maintain the recognition of consumers and other companies with various innovations that must always be carried out and developed by the company. (Sujová & Marcineková, 2015) So that even if there is competition between companies, it will only have a small effect, or not have too much influence on the company. In this case, companies must strengthen the brand image of the goods or services they offer. If their image has developed or grown strongly and rapidly, then it will be very profitable for the company. Because the company's brand image is firmly formed and attached to consumers, it will generate a sense of loyalty from customers which also refers to credibility or trust for the company's brand itself (Minnema et al., 2017). Which in turn will benefit the company itself in the process of competition with other companies that are within the scope and
ARTICLE INFO A B S T R A C T
Article history:
Received 12 June 2022 Revised 6 Nov 2022 Accepted 29 Dec 2022
This study aims to analyze the relationship between the variables brand credibility, customer loyalty to the brand image of Iphone smartphone users.
This study involved 40 respondents from the Faculty of Economics at Sam Ratulangi University, the data collection method used a questionnaire, and the data analysis method used a multiple regression analysis approach which was then processed using SPSS. The results of this study state that brand credibility and customer loyalty have a positive and significant effect on brand image.
Based on the results of the research that has been done, suggestions are made, including the following: (1) The researcher suggests further research to expand the object of research so that the results can be generalized better than previous studies. (2) Then, companies should also improve brand image, and must pay attention to brand credibility and customer loyalty, because it is proven that greater brand credibility is accompanied by existing customer loyalty, which will improve the existing brand image. This is an opportunity for the company to support the success of the company in the future.
Copyright © 2022 International Journal of Artificial Intelligence Research.
All rights reserved.
Keywords:
Brand Credibility, Customer Loyalty, Brand Image
According (Desmet, 2014) Credibility in this case can be in the form of quality, capability, or power to generate trust in something, as, in the example, I took at this time, it was towards a brand.
This is a legitimate general application of the term credibility as it relates to economic processes in society. Credibility is built using several important factors, but the most important is the perception of the intent of the source. Therefore, credibility also holds an important factor in the process of marketing the company's products to consumers (XU et al., 2014). Meanwhile, customer loyalty arises because of the trust from consumers, which does not just happen to a product brand, in this case, goods, but through a process that is quite long and natural or cannot be forced. Loyalty can be interpreted as loyalty, devotion, and trust given or directed to a person or institution, in which there is a sense of love and responsibility to try to provide the best service and behavior.(Qu et al., 2011) Loyalty from customers plays the most decisive role in the future continuity of certain companies in offering their products or services to every consumer. Then the brand has become the most important element that contributes to the success of a company in marketing and introducing its products to consumers. A brand is a name, identity, sign, symbol, design, and a combination of these which are entered to identify the goods or services of one seller or group of sellers and to differentiate them from competitors' products (Dahliah & Nur, 2021; Elpisah et al., 2021). Brands are also useful or function as a differentiator between one product offered by one company with products offered by other companies. Because the image is the impression, feeling, and picture of the consumer on the value of the company (Bungatang, 2021; Farida & Ardiansyah, 2022; Marpaung et al., 2021; Saraswati, 2022).
The impression deliberately created of an object, person, or organization (Bingöl et al., 2013). So the brand image represents the overall perception of the brand and is formed from information and experience of the brand that has been tried and proven by the consumers themselves. Brand image is also the sum of the images, impressions, and beliefs that a consumer has about a product that the company offers. And the brand image will be formed through a fairly long process is successful or not, depending on the achievement of a positive image or a negative image attached to the brand offered by a particular company.
Every company must always be demanded to be able to pamper consumers with the products they offer. Given this modern era, with the development of science and technological sophistication that offers a variety of needs on the one hand that is practical and instantaneous. So, in connection with the holding of this research, the researcher is interested in taking products from interesting companies to study this time, where these products are currently well-known and are becoming a trend in society, namely the Iphone smartphone from RIM (Research in Motion). Currently, Iphone users are very widespread and scattered, from various ages, and various economic levels in the existing area. In our country, Indonesia, the Iphone phenomenon has existed since several years ago, until now there are more and more users from the center to the regions. Currently, in the city of Manado, you can say quite a lot of users, especially young people. Iphone smartphones seem to have become a lifestyle that cannot be separated from mobile phone users, especially young people, who in this case are within the scope of the city of Manado. It is this modernizing lifestyle of young people that makes Iphone smartphones more and more popular among young people (Fernandez, 2017). Because that itself certainly cannot be separated from the various excellent features that are the mainstay of the attractive Iphone smartphone and also support the daily activities of these young people, and that is what makes this Iphone smartphone product from RIM (Research In Motion) company so popular (Kastner et al., 2010). Accepted in the hearts of consumers, especially young people who are in the economics faculty of the city of Manado. Iphone smartphone users who are more inclined towards young people are what make researchers interested in focusing more on research for students in the economics faculty of Sam Ratulangi University, Manado. So, from that, it attracted the interest of researchers to research and further specialize the object for students who are in the economics faculty of Sam Ratulangi University, Manado City. The problem that occurs is, even though Iphone smartphones have gained a lot of enthusiasts or mobile phone users in Indonesia, especially in the city of Manado and students at the Faculty of Economics at Sam Ratulangi University, are they able to maintain customer loyalty and their brand credibility, through a brand image? What do they offer consumers through the marketplace? So, we cannot deny that there are still users from other brands of smartphones.
Considering that currently there are lots of competitors that have emerged and have quite strong and tight competitiveness, both those who have been in the smartphone world for a long time and newcomers who are a threat. Based on the research background that has been described previously, the formulation of the problem can be described as follows: Do brand credibility and customer loyalty
affect the brand image of students who use iPhone smartphones at the Faculty of Economics, Unsrat, Manado City.
The relationship between brand credibility and brand image
If the notion of credibility is taken from the basic words of trust, then brand credibility is a belief in a brand from consumers (Dwivedi & Johnson, 2013). And that trust must always be competent and always varied in issuing a company brand. This is done if the company's brand wants to be accepted as something that can have competitiveness in the eyes of society. So, between one brand and another, credibility will state that the quality of the brand image offered by the company is in demand by consumers if consumers do not switch from one brand to another competing company brand. Brand image is strongly influenced by attitudes in the form of belief and trust or credibility towards a brand from consumers (Yoo & MacInnis, 2005). Consumers with a positive image of a brand are more likely to make purchases. Because the trust that has been built with a positive image of the company for the brand, they offer to consumers will bring great benefits to the brand image of the company itself. And if this will happen continuously for a long enough period, it will be profitable for the company. So, the relationship between brand image with trust is a major determinant of the long-term relationship between producers and consumers, and making that sense of trust will be very expensive (Martínez Salinas & Pina Pérez, 2009). Therefore, companies must always and always think critically and be creative in innovating. This must be done by every company to maintain the trust of the public who are consumers who must always be prioritized by strengthening the brand image in their hearts and minds.
The relationship between customer loyalty and brand image
In this case, loyalty can be interpreted as loyalty, devotion, and trust given or directed to a person or institution, in which there is a sense of love and responsibility to try to provide the best service and behavior. So the relationship between customer loyalty and brand image can be said to be quite closely related (Syed Alwi & Kitchen, 2014). Where the loyalty of customers will be created or centered on an object. In this case, the object means goods or services offered by certain companies to the public.
And an object of goods and services offered by the company must have an identity such as a name or brand so that it is more easily recognized and remembered by customers. So, from that thing will emerge a loyalty that will be expressed by consumers towards the image of the brand of a related company. Where it will have a positive impact on the company. Because the loyalty of positive consumers will bring benefits or profits to the brand image of the company concerned. Therefore, loyalty will not appear without an identity or name from the image of a brand of goods or services that are always offered by the company. Therefore, researchers can say that the relationship between customer loyalty and brand image is quite close and there is mutual attachment because both will mutually grow one another. In other words, loyalty from customers will grow the image of a company's brand, and a good brand image that has been created in the eyes of the public will always foster loyalty from the hearts and minds of customers (Lien et al., 2015). And that will also be the main capital of the company to be able to continue to grow.
The relationship between brand credibility and customer loyalty with the brand image
Through some of the explanations described above, we can see clearly that brand credibility and customer loyalty are closely related to brand image (Ghaderi et al., 2015). The influence of brand credibility and customer loyalty is indeed a significant factor in enhancing the image of a particular brand offered by the company. The image of the company to attract awareness or credibility of the brand that the company offers to customers is not only as easy as turning the palm but there are certain sacrifices, they must make so that the brand image they offer can be accepted among the public. If the image offered by the company is well-attached in the eyes of the public, it is not difficult to find loyal customers. (Abbade, 2014)A loyalty that arises from customers will be largely determined by the brand image that has been built by the company. If the brand image built by the company is good and of high quality, of course, the public will not hesitate to place their loyalty and trust in only one brand they trust. From there emerged a close relationship between brand credibility and customer loyalty to brand image.
Based on the background of the problems and the theoretical basis previously described, the research hypothesis can be described as follows:
H1: It is suspected that brand credibility affects the brand image of students who use Iphone smartphones at the Unsrat Faculty of Economics, Manado city.
H2: It is suspected that customer loyalty affects the brand image of students who use Iphone smartphones at the Unsrat Faculty of Economics, Manado city.
H3: It is suspected that brand credibility and customer loyalty affect the brand image of students who use Iphone smartphones at the Unsrat Faculty of Economics, Manado City.
II. Methods Research Design
The type of research used here is quantitative. The researcher chose to use quantitative research, which was obtained from written responses. That is research that takes samples from the population and uses questionnaires as the principal data collection tool. And regarding this research, the researcher took the students of the Faculty of Economics at Sam Ratulangi University, especially Iphone smartphone users as respondents, to be willing to answer and fill out written questionnaires that were distributed. They will be asked to answer questions regarding the use of Iphone smartphones.
The time of this research was around the end of June 2022, until mid-July 2022. The research location chosen and used by researchers, in this case, was within the scope of Sam Ratulangi University, Manado, with respondents from the Faculty of Economics students, especially Iphone smartphone users. The population that the researchers used in this study were students using Iphone smartphones at the Unsrat Faculty of Economics, Manado City. The sample in this case is part or representative of the population being studied. In this study, samples were taken from the Faculty of Economics, especially students who use Iphone Smart Phones as many as 40 people.
Research Method
Regarding this research, the researchers focused more on research subjects or respondents who were within the scope of the Faculty of Economics, Sam Ratulangi University, Manado. Namely students, especially users of Iphone smartphones. This was selected and carried out by taking purposive sampling or a sample with the aim that it would be able to formulate more detail the results of this study later. When viewed according to the origin of the source, the data is divided into 2 groups, namely primary data and secondary data. The primary data in this study were obtained from research objects both from companies and from respondents or Iphone smartphone users, especially those at the Faculty of Economics, Unsrat, Manado City. Secondary data is obtained from institutions or agencies related to the research object under study. In this case, it includes a library that provides literature that is used as a guide in carrying out research. There are several types of data collection techniques or field research methods that researchers use in this study, namely: Observation, Questionnaire, and Library Research Method.
Data analysis 1. Validity Test
Testing the validity by correlating the score of each item with the total score which is the sum of each item's score, so if the correlation between items with a total score is less than 0.3 then the items in the instrument are declared invalid.
2. Reliability Test
This reliability calculation uses the computer program SPSS 22 for Windows. With a significance level of 0.05.
3. Classical Model Assumptions
Because this study uses two independent variables and one dependent variable, the statistical method used is multiple linear regression analysis. Before carrying out multiple linear regression analysis, classical assumptions are first carried out. Several classical assumptions must be met by a regression model so that the model can be used. The classic assumptions are as follows:
a) Normality Assumption
This study uses the PP normal chart approach of Regression Standardized Residual and follows the direction of the diagonal line, then the regression model meets the normality assumption, but if the data pays far, the regression model does not meet the normality assumption. In addition to using the normal PP or graph approach Regression Standardized Residual, you can also use the Chi-Square test (X2) with the following criteria. If the probability (Asy mp. Sig) > a = 0.05, then the data distribution is not normal; If the probability (Asymp. Sig) < a = 0.05, then the data distribution is normal.
b) Heteroscedasticity Assumption
One of the methods used to detect heteroscedasticity is to use the Rank Spearmen correlation method. The high value of r ` (Spearmen's correlation) indicates the presence of heteroscedasticity in the variance of the error terms of the estimated regression model. (Sumiok, 2008:29)
c) The Classical Assumption of Multicollinearity
Detect whether there is multicollinearity, namely by analyzing the correlation matrix of independent variables which can be seen through the Variance Inflation Factor (VIF). The VIF value that can be tolerated is 10. If the VIF of the independent variables is < 10, it means that there is no multicollinearity.
d) Classical Assumptions of Autocorrelation
To check for autocorrelation, usually use the Durbin-Watson test with the following decision criteria: If DW count > dL then there is autocorrelation; If DW count < dL then there is no Autocorrelation
4. Multiple Linear Regression
Multiple linear analysis uses the following formula:
Y = α + β 1 X 1 + β 2 X 2 +e Information:
α = Constant
β1 = Regression coefficient for X1 β2 = Regression coefficient for X2 X1 = Brand Credibility
X2 = Customer Loyalty Y = Brand Image e = Confounding Factors
To complete the analysis of this data, the SPSS for windows software program is used. And all the output results that appear are then interpreted one by one including determining the correlation coefficient (R) and the coefficient of determination (R2).
5. Correlation Coefficient (R)
A correlation coefficient analysis (R) is used to measure the strength or weakness of the relationship between brand credibility and customer loyalty to brand image. In addition to measuring the strength of the relationship, the correlation coefficient can also be used to determine the direction of the relationship between 2 variables. The "+" sign indicates a unidirectional relationship, meaning that the value of the independent variable increases, and the value of the dependent variable also increases. The "-" sign indicates a relationship in the opposite direction, meaning that if the value of the dependent variable decreases and vice versa.
6. Coefficient of Determination (R2)
If the coefficient of determination and the regression model is getting smaller, it means that the influence of the dependent variable is getting smaller. Conversely, if the coefficient value is closer to 100%, the greater the influence of the independent variable on the dependent variable.
7. Hypothesis Test
This section will explain the steps for testing the hypothesis as follows:
a. F test
F test or test of variance (ANOVA) on the dependent variable with the hypothesis:
H0: β1, β 2 = 0, meaning that the variables of brand credibility and customer loyalty have no significant effect on brand image.
Ha: β1, β 2 ≠ 0, meaning that the variables of brand credibility and customer loyalty have a significant effect on brand image.
Furthermore, the criteria for deciding on the f test with a significance level of 5% (l= 0.05), namely: Reject H o if f count > f table or ∑ f <l; Accept H o if f count < f table or ∑ f >l
b. t-test
Statistical testing of t-test on hospitality performance (Variable Dependent) with the following hypothesis:
H 0: β 1 = 0 means that the objective brand credibility variable has no significant effect on brand image.
Ha: β 1 ≠ 0 means that the brand credibility variable has a significant effect on brand image.
H 0: β 2 = 0 means that the customer loyalty variable has no significant effect on brand image.
Ha: β 2 ≠ 0 means that the customer loyalty variable has a significant effect on brand image.
III. Result and Discussion Research result
Table 1. Composition of Respondents by Gender
No. Gender Number of Respondents Percentage
1. Man 28 70 %
2. Woman 12 30 %
Total 40 100
Based on the presentation from the table above, the number of students at the Faculty of Economics, University of Sam Ratulangi Manado who became the largest sample in this study was male with a percentage of 70% or 28 respondents. While the rest are women with numbers 12 respondents with a percentage of 30%. This means that more male respondents were sampled in this study compared to female respondents.
Variable Description
Of the total number of questionnaires distributed as many as 40 pieces to 40 Iphone user students at the Faculty of Economics. Thus, the results of data tabulation are obtained as contained in the appendix, which then obtained the following analysis results:
Table 2: Frequency Analysis Results
Variable Indicator
Frequency
STS % TS % N % S % SS %
Skill 0 0 1 2.5 9 22.5 17 42.5 13 32.5
Trustworthiness 0 0 1 2.5 8 20.0 20 50.0 11 27.5
Quality 0 0 6 15.0 12 30.0 12 30.0 10 25.0
Variable Indicator
Frequency
STS % TS % N % S % SS %
Brand Credibility (X1)
Capability 0 0 1 2.5 11 27.5 15 37.5 13 32.5
The power to inspire
trust 0 0 1 2.5 9 22.5 21 52.5 9 22.5
The feeling of comfort and profit
from consumers 1 2.5 1 2.5 9 22.5 18 45.0 11 27.5
Loyalty Customer (X2)
Make regular repeat
purchases 1 2.5 0 0 6 15.0 24 60.0 9 22.5
Buying outside the
product/service line 0 0 0 0 12 30.0 23 57.5 5 12.5
Invite others 0 0 2 5.0 11 27.5 19 47.5 8 20.0
Immunity/not easily
affected 0 0 3 7.5 15 37.5 12 30.0 10 25.0
Tell/tell others 1 2.5 0 0 9 22.5 21 52.5 9 22.5
Be consistent in
subscribing 1 2.5 1 2.5 9 22.5 18 45.0 11 27.5
Recognize, Find, and
Measure 1 2.5 1 2.5 11 27.5 17 42.5 10 25.0
Image Brand (Y)
Declare Benefits 0 0 2 5.0 6 15.0 19 47.5 13 32.5
Declare Quality 0 0 3 5.0 9 22.5 21 52.5 8 20.0
Different 0 0 0 0 10 25.0 19 47.5 11 27.5
Unique 1 2.5 1 2.5 14 35.0 15 37.5 9 22.5
Easy to Pronounce, Recognize, And
Remember 1 2.5 1 2.5 9 22.5 21 52.5 8 20.0
Ease of buying and
selling process 0 0 2 5.0 10 25.0 17 42.5 11 27.5 It cannot have a bad
connotation in other countries and languages
1 2.5 2 5.0 8 20.0 17 42.5 12 30.0
From the table 2, it can be seen in more detail that for each indicator of the Brand Credibility variable (X1), each answer:
a. Expertise: The frequency of those who answered strongly disagree was 0 people, 1 person disagreed, 9 people neutral, 17 people agreed, and 13 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for indicators of experts agree.
b. Traits Worthy of Trust: The frequency of those who answered strongly disagree was 0 people, 1 person disagreed, 8 people neutral, 20 people agreed, and 11 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
c. Quality: The frequency of those who answered strongly disagree was 0 people, 6 people disagreed, 12 people neutral, 12 people agreed, and 10 people strongly agreed. Thus, the most responses given by respondents to the statements in the questionnaire for this indicator were two, namely neutral and agree.
d. Capability: The frequency of those who answered strongly disagree was 0 people, 1 person disagreed, 11 people neutral, 15 people agreed, and 13 people strongly agreed. Thus, most responses given by respondents to statements in the questionnaire for capability indicators agreed.
e. Strength to generate trust: The frequency of those who answered strongly disagree was 0 people, 1 person disagreed, 9 people neutral, 21 people agreed, and 9 people strongly agreed.
Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
f. Feelings of comfort and profit from consumers: The frequency of those who answered strongly disagree was 1 person, 1 person disagreed, 9 people were neutral, 18 people agreed, and 11 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
It can also be seen that for each indicator of the Customer Loyalty variable (X2), each answer:
a. Make regular repeat purchases: The frequency of those who answered strongly disagree was 1 person, 0 people disagreed, 6 people neutral, 24 people agreed, and 9 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
b. Buying outside the product/service line: The frequency of those who answered strongly disagree was 0 people, 0 people disagreed, 12 people neutral, 23 people agreed, and 5 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
c. Inviting other people: The frequency of those who answered strongly disagree was 0 people, 2 people disagreed, 11 people neutral, 19 people agreed, and 8 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
d. Immunity/not easily influenced: The frequency of those who answered strongly disagree was 0 people, 3 people disagreed, 15 people neutral, 12 people agreed, and 10 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator are neutral.
e. Telling/telling others: The frequency of those who answered strongly disagree was 1 person, 0 people disagreed, 9 people neutral, 21 people agreed, and 9 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
f. Consistent in subscribing: The frequency of those who answered strongly disagree was 1 person, 1 person disagreed, 9 people neutral, 18 people agreed, and 11 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
g. Recognizing, Finding, and Measuring: The frequency of those who answered strongly disagree was 1 person, 1 person disagreed, 11 people were neutral, 17 people agreed, and 10 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
Furthermore, for each indicator of the Brand Image variable (Y), each answer:
a. Stating Benefits: The frequency of those who answered strongly disagree was 0 people, 2 people disagreed, 6 people neutral, 19 people agreed, and 13 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
b. Declaring Quality: The frequency of those who answered strongly disagree was 0 people, 3 people disagreed, 9 people neutral, 21 people agreed, and 8 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator are agree
c. Different: The frequency of those who answered strongly disagree was 0 people, 0 people disagreed, 10 people neutral, 19 people agreed, and 11 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
d. Unique: The frequency of those who answered strongly disagree was 1 person, 1 person disagreed, 14 people were neutral, 15 people agreed, and 9 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for unique indicators agree.
e. Easy to Pronounce, Recognize, and Remember: The frequency of those who answered strongly disagree was 1 person, 1 person disagreed, 9 people were neutral, 21 people agreed, and 8 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
f. Ease of buying and selling process: The frequency of those who answered strongly disagree was 0 people, 2 people disagreed, 10 people neutral, 17 people agreed, and 11 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
g. It cannot have a bad meaning in other countries and languages: The frequency of those who answered strongly disagree was 1 person, 2 people disagreed, 8 people were neutral, 17 people agreed, and 12 people strongly agreed. Thus, most responses given by respondents to the statements in the questionnaire for this indicator agree.
Reliability Test
Table 3. Instrument Reliability Test Results
Variable Cronbach Alpha Information
Brand Credibility (X1) 0.865 Reliable
Customer Loyalty (X2) 0.859 Reliable
Brand Image (Y) 0.637 Reliable
Based on the table 3, the value of the Cronbach alpha variables X1 and X2 is above 0.800, the value is very reliable. While the Y variable which is between 0.600-0.800 is reliable.
Validity test
Table 4. Instrument Validity Test Results Variable Indicator Correct Item – Total
Correlation
Information
Brand Credibility (X1)
Skill 0.504 Valid
Trustworthiness 0.637 Valid
Quality 0.588 Valid
Capability 0.599 Valid
The power to inspire
trust 0.492 Valid
The feeling of comfort and profit from consumers
0.683 Valid
Customer loyalty (X2)
Make regular repeat purchases
0.557 Valid
Buying outside the
product/service line 0.575 Valid
Invite others 0.683 Valid
Immunity/not easily
affected 0.707 Valid
Tell/tell others 0.645 Valid
Be consistent in subscribing
0.680 Valid
Recognize, Find, and
Measure 0.756 Valid
Declare Benefits 0.457 Valid
Declare Quality 0.301 Valid
Different 0.499 Valid
Unique 0.421 Valid
Variable Indicator Correct Item – Total Correlation
Information Brand Image
(Y)
Easy to Pronounce, Recognize, And Remember
0.398 Valid
Ease of buying and selling process
0.352 Valid
It cannot have a bad connotation in other countries and languages
0.468 Valid
Testing the validity by correlating the score of each item with the total score which is the sum of each item's score, so if the correlation between items with a total score is less than 0.3 then the items in the instrument are declared invalid. Based on the table above, of all the question items from the indicators of each variable, the correct item–total correlation value is above the value of 0.3. So thus, it can be stated that each item of the questions contained in the questionnaire results is valid, so they can be used in research.
Normality Test
Figure 2: Normality Test Normal PP Plot of Regression Standardized Residual
Normal data distribution is done through graphical analysis. If the significance is less than 5%, it means that the data is normally distributed. From the picture above, the data is spread diagonally, so with these results, it can be said that the regression model meets the normality assumption requirements.
Heteroscedasticity Test
Figure 3. Heteroscedasticity Test
This is because the variables are not the same in all observations, and the errors that occur show a systematic relationship according to the size of one or more independent variables, so these errors are not random. The residue on heteroscedasticity is getting bigger when the observations are getting bigger. Through the picture that can be seen before, the pattern that appears on the scatter plot graph does not form or describe a particular pattern, it means that it can be said that the regression model is free from heteroscedasticity.
Multicollinearity Test
Table 5. Output of VIF and Tolerance Tests
Model Collinearity Statistics
tolerance VIF
1 (Constant)
X1 .859 1.165
X2 .859 1.165
Dependent Variable: Y
By looking at the VIF value in table 4.5, each independent variable is under a value of 5 (five), namely brand credibility (X1) of 1.165, and customer loyalty (X2) of 1.165. And said to meet the multicollinearity requirements if the tolerance value does not exceed 1, namely Brand Credibility (X1) which has a value of 0.859, and Customer Loyalty (X2) has a value of 0.859. So, it can be concluded that the research variables are free from multicollinearity effects.
Autocorrelation Test
Table 6. Autocorrelation Test
Model Durbin-Watson
1 1,465
a. Predictors: (Constant), X2, X1 b. Dependent Variable: Y
Detect autocorrelation can be done with the Durbin Watson (DW) test using the following provisions:
1. 1.65 < DW < 2.35, so there is no autocorrelation.
2. 1.21 < DW < 1.65 or 2.35 < DW < 2.79, it cannot be concluded.
3. DW < 1.21 or DW > 2.79, then autocorrelation occurs.
By looking at the test results in table 6, the Durbin Watson number is 1,465, between -2 and +2, it can be concluded that in this regression model, there is no autocorrelation.
Table 7. Multiple Regression Analysis and Hypothesis Testing Model Unstandardized
Coefficients Standar dized Coeffic
ients
Q Sig. 95%
Confidence Interval for B
correlations Collinearity Statistics
B std.
Error Betas lower
bound Upper bound Zero-
order partial Part tolera nce VIF 1 (Constant) 2,458 .565 4,349 .000 1,313 3,604
X1 .225 .128 .287 1,759 007 .034 .484 .357 .278 .266 .859 1.165 X2 .146 .127 .186 1,144 040 .112 .403 .294 .185 .173 .859 1.165 Dependent Variable: Y
Y = α + β 1 X 1 + β 2 X 2 + e Y = 2.458 + 0.225 X 1 + 0.146 X 2
With the interpretation that:
The constant α of 2,458 gives the understanding that if Brand Credibility (X1), Customer Loyalty (X2), is equal to zero (0), then the size of the Brand Image is 2,458 score units. A regression coefficient (X1) of 0.225 indicates that if the Brand Credibility variable increases by 1 unit score, then the Brand Image variable (Y) will increase by 0.225 assuming the other variables are considered constant. A regression coefficient (X2) of 0.146 indicates that if the Customer Loyalty variable increases by 1 score unit, then the Brand Image variable (Y) will increase by 0.146 assuming the other variables are considered constant.
Correlation Coefficient and Determination
The resulting linear correlation coefficient between the variables of brand credibility (X1), customer loyalty (X2), and brand image (Y) is 0.396. The correlation value (R) of 0.396 indicates that there is a moderate or sufficient relationship between the variables X1, X2, and the variable Y.
Meanwhile, the R Square value or the determination coefficient of 0.157 indicates that the contribution of the variables X1 and X2 to explain the variable Y is 15.7%, and the rest is explained by other variables not included in this research.
Table 8. Correlation Coefficient and Determination Summary Model b
Model R R Square Adjusted R std. The error in
the Estimate
1 .396 .157 .111 .39289
c. Predictors: (Constant), X2, X1 Dependent Variable: Y
F-test and t-test
Table 9. F Test Results ANOVA b
Model Sum of
Squares df MeanSquare F Sig.
1 Regression residual Total
1,063 5,712 6,775
2 37
39 3,445 042
a. Predictors: (Constant), X2, X1 b. Dependent Variable: Y
The F test was conducted to determine whether the independent variables, namely Brand Credibility and Customer Loyalty, have a simultaneous effect using the criterion level of significance
< 0.05. Significant value at the level of 0.042 < 0.05, it can be stated that simultaneously, brand credibility and customer loyalty variables affect brand image. Thus, the hypothesis states that the influence of Brand Credibility and Customer Loyalty on the Brand Image of Iphone Smart Phones at the Unsrat Manado Faculty of Economics is accepted.
T-Test
Table 11: T-Test Result Coefficients a Unstandardized
Coefficients Standardized
Coefficients t Sig
Model B std. Error Betas
1
(Constant) 2,458 .565 4,349 .000
X1 .225 .128 .287 1,759 007
X2 .146 .127 127 1,144 040
a. Dependent Variable Y
Testing the hypothesis to determine the effect of each independent/independent variable (X) on the dependent/dependent variable (Y) partially by using the t-test using the criteria for a significance level of <0.05, then H0 is rejected, and Ha is accepted. Based on the statistical value of the results of multiple linear regression analysis, the significance value of the brand credibility variable (X1) is 0.007 < 0.05, then H0 is rejected, and Ha is accepted. So that it can be concluded that the effect of brand credibility on the brand image of Iphone Smart Phones at the Unsrat Manado Faculty of Economics is accepted. While the statistical results in multiple linear regression analysis on variable X2, the significance value of the Customer Loyalty variable (X2) is 0.040 > 0.05, so H 0 is rejected, and H a is accepted. It can be concluded The Influence of Customer Loyalty on the Iphone Smart Phone Brand Image at the Unsrat Manado Faculty of Economics is accepted.
DISCUSSION
Research on the effect of brand credibility and customer loyalty on the brand image of the Iphone smartphone at the Faculty of Economics, Unsrat City of Manado, uses qualitative data which is quantified using a Likert scale and sourced from primary data. This data collection was carried out by distributing questionnaires by researchers to respondents or in this case, students who use Iphone smartphones at the Unsrat Faculty of Economics in the city of Manado.
1. The Effect of Brand Credibility on Brand Image
The first hypothesis states that Brand Credibility influences the Brand Image of the Iphone Smart Phone at the Unsrat Manado Faculty of Economics. The results of the statistical test using the significance value of the brand credibility variable = 0.007 <0.05, it can be stated that partially the Brand Credibility variable influences the Brand Image of students who use Iphone Smart Phones at the Faculty of Economics, Unsrat, Manado city. (Wang et al., 2017) This is in line with credibility or
trust which is the main determinant of long-term relationships between producers and consumers to make the company's brand image better. Brand Credibility influences brand image because a brand image is strongly influenced by attitudes in the form of belief and trust or credibility towards a brand from consumers. Credibility or trust is also the power to generate trust in something, as is the case in the example that the researchers took at this time, namely the brand. Where brand credibility that arises will reflect customer satisfaction with the Iphone Smart Phone brand (Halkias et al., 2017).
Consumers with a positive image of a brand are more likely to make purchases. Because the trust that has been built with a positive image of the company for the brand, they offer to consumers will bring great benefits to the brand image of the company itself. And if this will happen continuously for a long enough period, it will be profitable for the company, in this case, the RIM company which produces Iphone smartphones.
2. The Effect of Customer Loyalty on Brand Image
Statistical results on multiple linear regression analysis can be seen that Customer Loyalty influences the Iphone Smart Phone Brand Image at the Faculty of Economics, Unsrat Manado. The results of statistical tests using the significance value of the customer loyalty variable = 0.040 <0.05, it can be partially stated that the Customer Loyalty variable affects the Brand Image of students who use Iphone smartphones at the Faculty of Economics Unsrat Manado city (Sääksjärvi & Samiee, 2011). The results of testing this hypothesis are in line with the loyalty of customers that will be created or centered on an object. In this case, the object means goods or services offered by certain companies to the public. And an object of goods and services offered by the company must have an identity such as a name or brand so that it is more easily recognized and remembered by customers.
So from that thing will emerge a loyalty that will be expressed by consumers towards the image of the brand of a related company. Where it will have a positive impact on the company. Because the loyalty of positive consumers will bring benefits or profits to the brand image of the company concerned (Panda & Misra, 2014).Therefore loyalty will not appear without an identity or name from the image of a brand of goods or services that are always offered by the company. Therefore, the relationship between customer loyalty and brand image is influential (Martínez Salinas & Pina Pérez, 2009). In other words, loyalty from customers will grow the image of a company's brand, and a good brand image that has been created in the eyes of the public will always foster loyalty from the hearts and minds of customers. And that will also be the main capital of the company to be able to continue to grow.
3. The Effect of Brand Credibility and Customer Loyalty on Brand Image
Through some of the explanations from the research that has been described above, it can be seen clearly that brand credibility and customer loyalty have an effect on the brand image of the Iphone Smart Phone at the Unsrat Manado Faculty of Economics (Költringer & Dickinger, 2015). The influence of Brand Credibility and Customer Loyalty on Brand Image is indeed a significant factor in the company's efforts to build and enhance the image of a particular brand offered by the company.
An example was done by the RIM company which is arguably successful and quite successful in growing a positive brand image from this Iphone smartphone. But of course, this cannot be separated from building credibility or trust in related brands and loyalty from customers or users of the Iphone smartphone brand. According to (Uslu et al., 2013)Brand Credibility and Customer Loyalty have proven to have an effect on the Iphone Smart Phone Brand Image at the Faculty of Economics, Unsrat Manado. In this study, the influence can be seen from the coefficient of determination which obtained 15.7 % while the rest was caused by other factors which were not included in this study. An example that we can see is sales promotion, advertising, product quality, price, and so on.
IV. Conclusion
This study aims to determine the effect of brand credibility and customer loyalty on the brand image of the Iphone smartphone at the Unsrat Faculty of Economics, Manado City. Based on the research results, the following conclusions can be drawn: (1) Brand Credibility and Customer Loyalty influence the Iphone Smart Phone Brand Image at the Unsrat Faculty of Economics in Manado City.
Brand Credibility affects Brand Image, so better Brand Credibility or Trust in Brand Image will
provide great benefits for the company itself. The relationship between X1 and Y is influentially seen from the results of statistical tests that use significance values, so the result of the brand credibility variable is 0.007 < 0.05. (2) Customer Loyalty influences the Brand Image of the Iphone Smart Phone at the Unsrat Manado Faculty of Economics, so the higher the Loyalty that will be declared by consumers, the higher the Brand Image for the company concerned. Statistical results in multiple linear regression analysis also stated that X2 affected Y because the statistical test results used a significant value for the customer loyalty variable which was 0.040 <0.05. (3) Simultaneously, Brand Credibility and Customer Loyalty influence the Iphone Smart Phone Brand Image at the Faculty of Economics, Unsrat Manado. In this study, the influence can be seen from the coefficient of determination which obtained 15.7 % while the rest was caused by other factors which were not included in this study.
Based on the results of the research that has been done, suggestions are made, including the following: (1) The researcher suggests further research to expand the object of research so that the results can be generalized better than previous studies. (2) Then, companies should also improve brand image, and must pay attention to brand credibility and customer loyalty, because it is proven that greater brand credibility is accompanied by existing customer loyalty, which will improve the existing brand image. This is an opportunity for the company to support its success of the company in the future. (3) Furthermore, it is expected to be able to explore other factors that can make a significant contribution to brand image, of course, considering all the limitations that exist in this research.
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