FACTORS AFFECTING CONSUMERS BRAND PREFERENCE OF BEER : INSELECTED GROCERIES & HOTELS IN LIDETA AND KIRKOS SUB CITIES

Abstract

This study was conducted with an objective of identifying factor affecting brand preference of beer in Lideta and Kirkos sub city. It conceptualized and adopts six dimensions of preference affecting variable: product quality, price, promotion, distribution, reference group influence and emotional benefit and the relationships between, brand preferences. The study employed both descriptive and explanatory research designs. Convenience & judgmental non probability sampling methods was used. Data were collected from primary sources through questionnaire. Accordingly, the Primary data was collected from 384 respondents, out of which 367 valid questionnaires was collected and analyzed through both descriptive and explanatory methods .The descriptive analysis was conducted by using mean and standard deviation. On the other hand, explanatory analysis was conducted by using Pearson correlation and linear regression method. The result revealed that five of the explanatory variables have significant positive effect on brand preference for the product. Whereas price has significantly negative effect on brand prefers of beer. In addition, Promotion has the highest effect as compared to other explanatory variables and followed by product quality. But the effect of price had statistically significant effect on brand preference and inversely proportional to each other. Based on the findings, the researcher recommends that management of the company has to focus on company’s promotional mix, produce product with consistency quality and product distribution.