Share:


The consumers perceptions of employer and service brand equity’s: the exploratory and confirmatory factor analysis

Abstract

While the traditional components of employer brand equity are applied in the context of an organization’s employees, this study sought to assess a hitherto unexplored context – the extent to which employer brand equity impacts on consumers of an organization’s service brand rather than the target audience. The two research objectives were: 1) to identify the specific dimensions of both employer and perceived service brand equities 2) to assess the relationship between them and consumer behavioral intentions. The study was based on quantitative data of 526 respondents, using both Exploratory (EFA), Confirmatory factor analysis (CFA) and structural equation modelling (SEM). The findings confirmed the 3 (employer brand image, reputation, and awareness) and 4 (service brand image, perceived quality, service brand awareness, brand loyalty) factors of employer and service brand equities respectively. The study revealed the employer brand equity significant relationship with service brand equity, but the lack of direct effect on consumers’ behavioral intentions. The research is novel as it assesses the employer brand equity’s impact not only on the service brand’s overall perceived equity, but also on consumers’ behavioral intentions, by examining the impact on two different groups (existing and potential service brand consumers).

Keyword : service brand equity, employer brand equity, consumer perspective, impact, telecommunications, perception, purchase intention, repurchase intention

How to Cite
Ščiukauskė, I., Romeika, G., & Šarkiūnaitė, I. (2024). The consumers perceptions of employer and service brand equity’s: the exploratory and confirmatory factor analysis. Journal of Business Economics and Management, 25(1), 85–103. https://doi.org/10.3846/jbem.2024.20716
Published in Issue
Feb 5, 2024
Abstract Views
635
PDF Downloads
667
Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

References

Aaker, D. (1991). Managing brand equity: Capitalizing on the value of a brand name. The Free Press.

Alshathry, S. (2015). Exploring the role of employer brand equity in the labour market: Differences between existing employee and job seeker perceptions [Doctoral dissertation]. The University of Adelaide.

Ansary, A., & Hashim, N. M. H. N. (2018). Brand image and equity: The mediating role of brand equity drivers and moderating effects of product type and word of mouth. Review of Managerial Science, 12(4), 969–1002. https://doi.org/10.1007/s11846-017-0235-2

Anselmsson, J., Bondesson, N., & Melin, F. (2016). Customer-based brand equity and human resource management image: Do retail customers really care about HRM and the employer brand? European Journal of Marketing, 50(7–8), 1185–1208. https://doi.org/10.1108/EJM-02-2015-0094

Augusto, M., & Torres, P. (2018). Effects of brand attitude and eWOM on consumers’ willingness to pay in the banking industry: Mediating role of consumer-brand identification and brand equity. Journal of Retailing and Consumer Services, 42, 1–10. https://doi.org/10.1016/j.jretconser.2018.01.005

Backhaus, K., & Tikoo, S. (2004). Conceptualizing and researching employer branding. Career Development International, 9(5), 501–517. https://doi.org/10.1108/13620430410550754

Bagozzi, R. P., Yi, Y., & Phillips, L. W. (1991). Assessing construct validity in organizational research. Administrative Science Quarterly, 36(3), 421–458. https://doi.org/10.2307/2393203

Banerjee, P., Saini, G. K., & Kalyanaram, G. (2020). The role of brands in recruitment: Mediating role of employer brand equity. Asia Pacific Journal of Human Resources, 58(2), 173–196. https://doi.org/10.1111/1744-7941.12209

Bareket-Bojmel, L., & Shuv-Ami, A. (2019). The brand is my workplace. International Journal of Manpower, 40(5), 818–833. https://doi.org/10.1108/IJM-07-2017-0176

Baum, M., & Kabst, R. (2014). The effectiveness of recruitment advertisements and recruitment websites: Indirect and interactive effects on applicant attraction. Human Resource Management, 53(3), 353–378. https://doi.org/10.1002/hrm.21571

Čekanavičius, V., & Murauskas, G. (2002). Statistika ir jos taikymai. TEV.

Chai, J. C. Y., Malhotra, N. K., & Alpert, F. (2015). A two-dimensional model of trust–value–loyalty in service relationships. Journal of Retailing and Consumer Services, 26, 23–31. https://doi.org/10.1016/j.jretconser.2015.05.005

Chang, H. H., & Liu, Y. M. (2009). The impact of brand equity on brand preference and purchase intentions in the service industries. The Service Industries Journal, 29(12), 1687–1706. https://doi.org/10.1080/02642060902793557

Chang, H. P., & Ma, C. C. (2015). Managing the service brand value of the hotel industry in an emerging market. International Journal of Hospitality Management, 47, 1–13. https://doi.org/10.1016/j.ijhm.2015.02.005

Collins, C. J. (2007). The interactive effects of recruitment practices and product awareness on job seekers’ employer knowledge and application behaviors. Journal of Applied Psychology, 92(1), 180–190. https://doi.org/10.1037/0021-9010.92.1.180

Collins, C. J., & Kanar, A. M. (2013). Employer brand equity and recruitment research. In D. M. Cable, & K. Y. Trevor Yu (Eds.), The Oxford handbook of recruitment (pp. 284–297). Oxford Academic. https://doi.org/10.1093/oxfordhb/9780199756094.013.0016

Collins, C. J., & Martinez‐Moreno, J. E. (2022). Recruitment brand equity for unknown employers: Examining the effects of recruitment message claim verifiability and credibility on job pursuit intentions. Human Resource Management, 61(5), 585–597. https://doi.org/10.1002/hrm.22089

Costello, A. B., & Osborne, J. (2005). Best practices in exploratory factor analysis: Four recommendations for getting the most from your analysis. Practical Assessment, Research, and Evaluation, 10(1), 1–9.

Davies, G., Mete, M., & Whelan, S. (2018). When employer brand image aids employee satisfaction and engagement. Journal of Organizational Effectiveness: People and Performance, 5(1), 64–80. https://doi.org/10.1108/JOEPP-03-2017-0028

De Stobbeleir, K. E., De Clippeleer, I., Caniëls, M. C., Goedertier, F., Deprez, J., De Vos, A., & Buyens, D. (2018). The inside effects of a strong external employer brand: How external perceptions can influence organizational absenteeism rates. The International Journal of Human Resource Management, 29(13), 2106–2136. https://doi.org/10.1080/09585192.2016.1239120

De Winter, J. C., & Dodou, D. (2012). Factor recovery by principal axis factoring and maximum likelihood factor analysis as a function of factor pattern and sample size. Journal of Applied Statistics, 39(4), 695–710. https://doi.org/10.1080/02664763.2011.610445

Edwards, M. R. (2010). An integrative review of employer branding and OB theory. Personnel Review, 39(1), 5–23. https://doi.org/10.1108/00483481011012809

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.org/10.1177/002224378101800104

Gaskin, J. (2014). Confirmatory factor analysis. Retrieved January 13, 2021, from http://statwiki.gaskination.com/index.php?title=CFA/

Grigore, G., Chapleo, C., Homberg, F., Alniacik, U., & Stancu, A. (2023). Employer branding dimensions: An adapted scale for Eastern Europe. Journal of Strategic Marketing, 1–20. https://doi.org/10.1080/0965254X.2023.2241460

Gupta, S., & Saini, G. K. (2020). Information source credibility and job seekers’ intention to apply: The mediating role of brands. Global Business Review, 21(3), 743–762. https://doi.org/10.1177/0972150918778910

Highhouse, S., Lievens, F., & Sinar, E. F. (2003). Measuring attraction to organizations. Educational and Psychological Measurement, 63(6), 986–1001. https://doi.org/10.1177/0013164403258403

Hoppe, D. (2018). Linking employer branding and internal branding: Establishing perceived employer brand image as an antecedent of favourable employee brand attitudes and behaviours. Journal of Product & Brand Management, 27(4), 452–467. https://doi.org/10.1108/JPBM-12-2016-1374

Jiang, T., & Iles, P. (2011). Employer‐brand equity, organizational attractiveness and talent management in the Zhejiang private sector, China. Journal of Technology Management in China, 6(1), 97–110. https://doi.org/10.1108/17468771111105686

Joglekar, J., & Tan, C. S. (2022). The impact of LinkedIn posts on employer brand perception and the mediating effects of employer attractiveness and corporate reputation. Journal of Advances in Management Research, 19(4), 624–650. https://doi.org/10.1108/JAMR-10-2021-0343

Kashive, N., & Khanna, V. T. (2017). Study of early recruitment activities and employer brand knowledge and its effect on organization attractiveness and firm performance. Global Business Review, 18(S3), S172–S190. https://doi.org/10.1177/0972150917693334

Keller, K. L. (1993). Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing, 57(1), 1–22. https://doi.org/10.1177/002224299305700101

Kim, K. H., Ko, E., Xu, B., & Han, Y. (2012). Increasing customer equity of luxury fashion brands through nurturing consumer attitude. Journal of Business Research, 65(10), 1495–1499. https://doi.org/10.1016/j.jbusres.2011.10.016

Krystallis, A., & Chrysochou, P. (2014). The effects of service brand dimensions on brand loyalty. Journal of Retailing and Consumer Services, 21(2), 139–147. https://doi.org/10.1016/j.jretconser.2013.07.009

Liu, M. T., Wong, I. A., Tseng, T. H., Chang, A. W. Y., & Phau, I. (2017). Applying consumer-based brand equity in luxury hotel branding. Journal of Business Research, 81, 192–202. https://doi.org/10.1016/j.jbusres.2017.06.014

Oliveira, M. O. R. de, Heldt, R., Silveira, C. S., & Luce, F. B. (2023). Brand equity chain and brand equity measurement approaches. Marketing Intelligence & Planning, 41(4), 442–456. https://doi.org/10.1108/MIP-06-2022-0222

Pakalniškienė, V. (2012). Tyrimo ir įvertinimo priemonių patikimumo ir validumo nustatymas (Metodinė priemonė). Vilniaus universiteto leidykla.

Pappu, R., Quester, P. G., & Cooksey, R. W. (2007). Country image and consumer-based brand equity: Relationships and implications for international marketing. Journal of International Business Studies, 38(5), 726–745. https://doi.org/10.1057/palgrave.jibs.8400293

Park, H., & Kim, Y.-K. (2014). The role of social network websites in the consumer–brand relationship. Journal of Retailing and Consumer Services, 21(4), 460–467. https://doi.org/10.1016/j.jretconser.2014.03.011

Pinar, M., Girard, T., Trapp, P., & Eser, Z. (2016). Services branding triangle: Examining the triadic service brand promises for creating a strong brand in banking industry. International Journal of Bank Marketing, 34(4), 529–549. https://doi.org/10.1108/IJBM-04-2015-0043

Puncheva-Michelotti, P., Vocino, A., Michelotti, M., & Gahan, P. (2018). Employees or consumers? The role of competing identities in individuals’ evaluations of corporate reputation. Personnel Review, 47(6), 1261–1284. https://doi.org/10.1108/PR-04-2017-0116

Reio Jr, T. G., & Shuck, B. (2015). Exploratory factor analysis: Implications for theory, research, and practice. Advances in Developing Human Resources, 17(1), 12–25. https://doi.org/10.1177/1523422314559804

Rosethorn, H. (2016). The employer brand: Keeping faith with the deal (2nd ed.). Routlege. https://doi.org/10.4324/9781315616032

Rybaczewska, M. (2017). Employer image of the company from the perspective of its customers. International Journal of Contemporary Management, 16(1), 61–81.

Safeer, A. A., He, Y., Lin, Y., Abrar, M., & Nawaz, Z. (2023). Impact of perceived brand authenticity on consumer behavior: En evidence from generation Y in Asian perspective. International Journal of Emerging Markets, 18(3), 685–704. https://doi.org/10.1108/IJOEM-09-2020-1128

Shrivastava, N. K., & Shukla, A. V. (2023). Measuring an employer brand: A study towards valid scale development (as a second-order factor of a structural model). International Journal of Organizational Analysis, 31(2), 550–568. https://doi.org/10.1108/IJOA-02-2021-2615

Spears, N., & Singh, S. N. (2004). Measuring attitude toward the brand and purchase intentions. Journal of Current Issues & Research in Advertising, 26(2), 53–66. https://doi.org/10.1080/10641734.2004.10505164

Spry, A., Pappu, R., & Cornwell, T. B. (2011). Celebrity endorsement, brand credibility and brand equity. European Journal of Marketing, 45(6), 882–909. https://doi.org/10.1108/03090561111119958

Theurer, C. P., Tumasjan, A., Welpe, I. M., & Lievens, F. (2018). Employer branding: A brand equity‐based literature review and research agenda. International Journal of Management Reviews, 20(1), 155–179. https://doi.org/10.1111/ijmr.12121

Torres, P., & Augusto, M. (2019). Building resilience to negative information and increasing purchase intentions in a digital environment. Journal of Business Research, 101, 528–535. https://doi.org/10.1016/j.jbusres.2018.11.045

Yoo, B., & Donthu, N. (2001). Developing and validating a multidimensional consumer-based brand equity scale. Journal of Business Research, 52(1), 1–14. https://doi.org/10.1016/S0148-2963(99)00098-3

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.org/10.1177/0092070300282002

Yu, K. Y. T., & Cable, D. M. (2012). Recruitment and competitive advantage: A brand equity perspective. In S. W. J. Kozlowski (Ed.), The Oxford handbook of organizational psychology, (vol. 1, pp. 197–220). Oxford Academic. https://doi.org/10.1093/oxfordhb/9780199928309.013.0007