E-Procurement is Beneficial to a Small Business and its Brand Image

Literature Review

Introduction

E-Procurement is beneficial to a firm, especially a small business as it saves a lot of costs. This research will try to determine how e-procurement can beneficial to a small business and its brand image.

E-Procurement

E-procurement is growing at an exceptional rate around the world. Purchasing products and services is common around the world, and almost everyone indulges in shopping. The value of a brand is seen in its brand equity and the brand loyalty that the brand possesses. The way consumers perceive a product or service, and the importance it has in their life is what makes all the difference. How extensively a brand is advertised to remind people of its existence in the market and modification determine how people personify it. On the other hand, brand personification also helps enhance brand equity and provide ease in selling the company's products; this approach is often adopted by firms selling luxury goods that develop various other strategies as well, for instance having an endorser. M & M's strives to make a good example of brand personification which is perceived as a fun loving person, whereas, different coatings further reveal different sorts of personalities.

Brand Image

Brand image and brand personality are often used as synonyms for each other. However, marketers are of the view that brand image is a bigger picture which includes brand personality within it (Sengupta, 2007). Brand image refers to the physical, functional and symbolic meanings of a brand perceived by the customer. On the other hand, brand personality rests mainly on the symbolic aspect of the brand. According to Sengupta (2007), the functional benefits of a brand along with the symbolic aspects help the customer make the overall judgment about a brand.

For example, a bank may be considered to be reliable and highly responsive which contribute to its better brand image in the industry. According to Sanjay (2010), a high priced brand will be considered wealthy, stylish and perhaps snobbish or a new entrant will tend to have a younger personality. He gives the example of a trustworthy, dependable, conservative personality which seems to be boring belonging to a bank or financial product.

A good brand image has a brand value which is termed as being the brand equity. Owners often charge higher prices if they have high brand equity. For example; Nike and Adidas charge customers more than other sportswear. Hence it becomes important to understand that if brands want to be successful in the competitive environment, i.e. if they want a positive brand image in the industry, they must be careful in communicating the brand personality; the heart of a brand. Humans are composed of three parts; mind, emotions and physical. Similarly, a brand is composed of; a. value bundle (mind) which refers to the benefits a customer is receiving by using the particular brand, b. brand promise (heart/emotions) which establishes a connection between the brand and the customers' needs, c. brand picture (physical) which are the ...