FACTORS UNDERLYING CHOICE OF HOSPITAL BRANDS AMONG CONSUMERS IN ADDIS ABEBA, ETHIOPIA

Abstract

Every customer in the market has his/her own brand choice. Customers consider certain attributes before purchasing products or services. The objective of this study was to identify the underlying factors of brand choice among consumers of private hospital in Addis Ababa, Ethiopia. The variables included in this study are perceived cost of care, location, reputation of institution, recommendation of other, availability of specialist, advertisement and modern technology and equipment offer. A sample of 360 private hospital consumers was selected using convenience sampling technique. A semi -structured questionnaire based on likert type scale was used to elicit information from the sampled respondents in the city of Addis Ababa. The data were analyzed using descriptive statistics, one way ANOVA, independent sample t- test and multiple regressions. The findings of the study showed that most of respondents were aware of hospital brands available in Addis Ababa. Particularly St. Gabriel General Hospital Plc., Hayat Hospital and Bethzatha General Hospital are found to be a top of mind and mostly preferred brands of all brands available in Addis Ababa. The study reveal that cost of care, location, reputation of institution, recommendation of other, availability of specialist, advertisement make a significant contribution to hospital brand choice of consumers in Addis Ababa. Moreover, the study finding shows that, there is a difference among consumers of the different age groups with regard to advertisement as a factor for brand choice. Regarding the difference between educational level of respondents on the factors they consider in brand choice, cost of care and reputation of institution were found to have a significant difference. However, the test result for variation on reputation of institution and availability of specialist brand preference based on respondent’s gender and income level was found to be insignificant.