Impact of Branding on Customer Purchase Decision in Apparel Industry: An Application of Stimulus-organism-response Theory

Abstract

The success of a branded apparel industry in the long run depends on whether the customers are purchasing branded products. However, one of the biggest challenges is to influence customers’ decision to purchase various branded apparels available in the market. Our study addresses the challenge by: (a) examining the role that branding plays in customers’ purchase decisions for apparels, and (b) providing managerial implications to promote purchases of branded apparel. The study follows the stimulus-organism-response theory and uses structural equational modelling to test the developed hypotheses on a sample of around 222 Indian customers’ responses. Results indicate that branding influences customers’ preferences for apparel. In fact, it is found that branding influences customers’ perceptions towards the brand which in turn influences their purchase decision. The moderator role of gender and information medium is also found to be significant. Male customers are found to have more impact of branding on their preferences and perceptions compared to females. Further, information through online mediums is found to have more impact on the relationship between branding and customers’ preferences and perceptions compared to information through offline mediums. Overall, the outcome of this study is the developed managerial implications for enhancing the sales of apparel through branding initiatives.

Keywords

Branding Customer Purchase Decision Stimulus-Organism-Response Theory Structural Equation Modelling

Introduction

Apparel industries are one of the most dominant global industries in the world satisfying human needs. The volatility that apparel industries face in the market is associated with various factors such as demand uncertainty, inflexibility, supply chain complexity, ever-increasing varieties of products and fleeting product life cycles (Ku et al., 2020). To maximize their profit and sustainability in the market, these industries need to adopt new and advanced methodologies such as digital marketing and sensory marketing (Tsao et al., 2020). Besides, expeditious changes in the market environment and diversity in customer preferences distinguish purchase behaviour in the apparel industry from other industries (McNeill & Venter, 2019). Successful apparel businesses depend on adopting techniques that effectively understand customers’ purchase behaviour and respond with products that are preferable to those customers (Dhir et al., 2021).

Among the factors that affect purchases and consumption of products and services, branding has been identified as an important determinant (Pu et al., 2023). Brand is a collection of tangible and intangible attributes intended to promote recognition and enhance the reputation of a product whereas the holistic perspective of branding as a long-term strategy includes a wide set of activities ranging from product innovation to marketing communications (Sammut-Bonnici, 2015). In fact, the goal of branding strategy is to develop brands that stand out from the competitors, hence lowering the number of substitutes available in the market (Sammut-Bonnici, 2015). Branding includes various aspects like brand identity, brand purpose, brand innovation, brand marketing, brand strategy, brand positioning, brand storytelling, brand culture, brand experience and branding ideas (Smilansky, 2009). In this study, branding has been considered as a marketing tool that impacts customer purchase behaviour psychologically, creates awareness about the brand and motivates customers to buy the products.

Other possible factors that might influence customers’ purchase decisions are their perceptions and preferences towards the product (Li et al., 2022; Song et al., 2013). In fact, the viable factor that might influence customers’ perceptions and preferences might be the branding activities that the companies attempt (Mostafa & Kasamani, 2021; Paydas Turan, 2021). Branding activities such as promotions, advertisements, and presence on social media platforms create awareness among consumers about the brand and might influence their purchases (Bozkurt et al., 2023; Paul & Bhakar, 2017). Following this line of thinking, the authors propose that branding is an important determinant that leads customers to purchase apparel.

Prior studies have investigated the impact of brand loyalty and customer engagement (Ul Islam & Rahman, 2017), brand love and behaviour (Safeer et al., 2023), brand experience and loyalty (Mostafa & Kasamani, 2021) and brand credibility and purchase intention (Kareem & Venugopal, 2023) in various sectors (refer to Table 1), however, literature on branding and consumer purchase behaviour for apparels is scarce. Extant studies have viewed branding as a psychological trigger or stimulus causing customers to associate the brand with the products (Sammut-Bonnici, 2015; Swain et al., 2023). Little research, however, has examined the interaction of branding and consumers’ perceptions and preferences. To the best of our knowledge, no research has examined the interaction of branding and customer purchase behaviour within an apparel industry context, especially among Indian consumers. How branding of apparel impacts customers’ perceptions and preferences is still unclear. In fact, how the moderator role of consumers’ socio-demographics (like gender) and information medium (online/offline) affects purchase decisions remains in doubt. Therefore, this study addresses the following research questions:

RQ1: What role does branding have on customers’ purchase behaviour for apparels in India?

RQ2: Does branding influence customers’ preferences and perceptions about apparel?

RQ3: What is the role of moderators like consumers’ socio-demographics (such as gender) and information medium (online/offline) in customers’ purchase decisions for apparels?

Table 1.

Related Literature Review.

References	Sector Considered	Factors Considered in the Brand and Consumer Behaviour Studies
Ul Islam & Rahman, 2017	Digital marketing	Quality, interactivity, brand loyalty and customer engagement
Kamboj et al., 2018	Social commerce	Motivation, participation, brand trust, loyalty and co-creation
Wu and Li, 2018	Social commerce	Marketing-mix components on consumer loyalty
Cho et al., 2018	Electronics market	Interactivity, autonomy, aesthetics, self-expression, satisfaction and pleasure influence product attachment
Kim et al., 2020	Tourism	Authentic experience, attachment, visit intention and consumers visit destinations
Hussein, 2020	Tourism	City branding, city image, visitor satisfaction and revisit intention.
Gilal et al., 2021	Airline	Celebrity attractiveness, expertise, trustworthiness and brand passion
Manikandan, 2020	Retail	Retailer equity factors, perceived risk factors on attitude towards brand
Islam and Rahman, 2016	Banking	Website interactivity, website aesthetics, customization, ease of use, telepresence, customer trust, customer retention and customer engagement
Laato et al., 2020	Retail	Online information source exposure, information overload, perceived severity, cyberchondria, self-efficacy, self-intention and consumer behaviour
Zhu et al., 2020	Retail	Perceived information quality, social presence, trust, satisfaction and purchase intention
Song et al., 2021	Healthcare	Perceived information threat, overload, sadness, anxiety, cognitive dissonance, information avoidance and preventive behaviour intention and consumers’ preventive behaviours
Paydas Turan, 2021	Food	Ingredient branding and consumers’ purchasing behaviours
Pina and Dias, 2021	Food	Experiences and consumer-based brand equity
Mostafa and Kasamani, 2021	Electronics market	Brand experience, attachment, passion, connection and affection and brand loyalty
Li et al., 2022	Healthcare	Perceived risk, social influence, social norm and panic buying
Zhang et al., 2022	Live commerce	Anchor characteristics, online comments, logistics service quality, promotion incentive information, promotional time limit, purchase behaviour
Hewei and Youngsook, 2022	Social e-commerce	Social media interactivity, perceived value, immersion experience and continuous purchase intention.
Lin et al., 2023	Live commerce	Demand, convenience, interactivity, playfulness, consumers’ perceived enjoyment, purchase intention
Kareem and Venugopal, 2023	Retail	Social media influencers trustworthiness, expertise, attractiveness, attitude towards brand credibility, and purchase intention
Shang et al., 2023	Live commerce	Background fit, perceived trust, perceived value, perceived pleasure and purchase intention
Rana et al., 2023	Retail	Review rating, review content and security and privacy, trust and satisfaction, purchasing behaviour
Safeer et al., 2023	Service and manufacturing industries	Perceived brand authenticity, brand love and behaviour

This study draws from the stimulus-organism-response (SOR) theory (Mehrabian & Russell, 1974; Rana et al., 2023) to develop a conceptual model that explains how branding (stimulus) affects customers’ (organisms) preferences and perceptions about the brands and impacts the customers’ purchase behaviour for apparels (response). The interaction of branding and customer purchase decision (CPD) is investigated to verify whether various branding activities to create awareness about branded apparel enhances the customers’ purchases of apparel. Further, we explore the mediation effect of customers’ perceptions (CBPC) and their preferences (CBPR) and the moderator role of consumers’ gender and information medium. The study is conducted in India as India is one of the most significant sectors of the Indian retail market and apparel accounts for around 39% of all organized retail sales (Invest India, 2023). Moreover, India represents around 18% of the world’s population (Pu et al., 2023). This implies that India is one of the biggest markets for the apparel industry and therefore, it is necessary to understand Indian customer behaviour.

Overall, our research findings contribute to the branding and consumer behaviour literature and help fill the gaps regarding the direct and indirect effects of branding on customer purchase behaviour for apparels. Further, we profile Indian customers and investigate the moderator role of their gender and information medium. We also discuss the practical implications for apparel marketing managers.

Theoretical Background, Conceptual Model, and Hypotheses Development

Stimulus-organism-response (SOR) Theory

Various environmental components stimulate customers’ cognitive and emotional situations which in turn generate distinct behavioural consequences. This can be described by the SOR model (Jacoby, 2002; Mehrabian & Russell, 1974). The SOR model reflects three strands: ‘stimulus, organism, and response’. ‘Stimulus’ represents ‘the influence that arouses the individual’. In the CPD context, the stimuli are ‘external to the individual that affect their internal states’ (Eroglu et al., 2001; Zhang & Wang, 2023). This notion has been used in a range of sectors for CPD. Hussein (2020), Yu et al. (2021) and Hussain et al. (2023) considered brand motivation and experience as the stimuli and studied the impact of fashion products from social e-commerce on consumer purchase intention considering SOR theory. Zhang et al. (2022) considered the SOR theory for understanding the influence of hunger marketing on consumer purchase behaviour. Lin et al. (2023) investigated the impact of factors of live streaming environment of shopping on consumer purchase intention. Shang et al. (2023) applied the SOR model to understand the relationship between e-commerce live streaming and consumer purchasing intention and considered product and anchor background as stimuli. Rana et al. (2023) explored consumer online purchasing behaviour under the effect of reviewer rating using the SOR model and considering review rating and content as stimuli.

Organismic variable is ‘the internal processes and structures intervening between stimuli external to the person and the final actions, reactions, or responses emitted’ (Bagozzi & Yi, 1988). Specifically, organismic variables represent ‘affective and cognitive state of the individual’ (Eroglu et al., 2001; Ul Islam & Rahman, 2017). Prior studies have considered brand attachment, image, satisfaction and participation as various organismic variables (Hussein, 2020; Mostafa & Kasamani, 2021). Peters and Bodkin (2021) considered online retail store community engagement as their organismic variable. Karim et al. (2021) incorporated perceived enjoyment as an organismic variable while investigating the CPD for e-tailing sites. Rana et al. (2023) considered trust and satisfaction as their organismic variables. The final component in the SOR model is ‘response’, where it is the ‘outcome’ (Jacoby, 2002).

Further, the SOR theory indicates that organismic variables can mediate the effect of the stimulus on response (Hussein, 2020). Fu et al. (2021) identified the mediating impact of organismic variables, health issues on student smartphone usage and their academic performance. Karim et al. (2021) noticed the mediation effect of organismic variable perceived enjoyment between stimuli (website, marketing, and product variety) and CPD. Shang et al. (2023) and Rana et al. (2023) investigated the mediation effect of the considered organismic variable perceived trust. In line with the past studies, the current study applies the SOR model to the realm of CPD but in the context of branding as a stimulus, customers’ preferences and perceptions as organisms, and CPD for apparels as the response.

Branding as Stimulus

A brand is a collection of tangible and intangible attributes intended to promote recognition, establish identity and enhance the reputation of a product or service and the holistic perspective of branding as a long-term strategy includes a wide set of activities ranging from product innovation to marketing communications (Kotler & Keller, 2021; Sammut-Bonnici, 2015). Branding acts as a psychological trigger or stimulus causing customers to associate the brand with the products (Sammut-Bonnici, 2015; Swain et al., 2023). An effective branding strategy can leave a strong, favourable, and long-lasting impact on a customer’s mind (Quach et al., 2022; Tan et al., 2021). In this study, branding is considered as an external environmental component and it functions as a stimulant for understanding CPD for apparel.

CBPR and CBPC as Organismic Variables

According to Jacoby (2002), organismic variables are fundamentally the warehouse of individual’s emotive and cognitive systems and include prior understanding, preferences, perceptions, motives, feelings and expectations, involving the brands, etc. In this study, we have considered CBPR and CBPC as the organismic variables. CBPR denotes an individual’s preference for one brand over another based on their liking and acceptance of that brand (Keller, 2021). CBPC denotes customers’ opinions and beliefs about the brand (Kang et al., 2022; Liu et al., 2021; Yasri et al., 2020).

CPD as Response

The response, which is the ‘outcome’ is in the form of CPD, is the model’s last component (Mostafa & Kasamani, 2021). CPD is a decision-making psychological process regarding whether to purchase or not. It is driven by an individual’s attitude and intention, which motivates the purchase of a product.

CPD as a response variable can convey what customers think and feel about products, brands, etc., and their purchase decisions (Yu et al., 2021). While there are five stages in the consumer decision-making process (problem recognition, information research, alternatives evaluation, purchase decision, post-purchase evaluation) (Mitchell & Boustani, 1994), this study focuses on its fourth stage (i.e., purchase decision). Customers may choose the more expensive branded product based on the brand’s quality or reputation (Rahman et al., 2023). Well-established brands make life easier for consumers when making purchasing decisions. Depending on the outcome of their learning and assessing process, consumers’ purchasing behaviour might be either positive or negative (Pereira et al., 2023). Hence, we use CPD as a response in our SOR model.

Hypotheses Development and Conceptual Model

Relationship Between Branding, CBPR, CBPC and CPD

The impact of branding on customers’ purchase decisions refers to the aspect that aids customers in selecting a specific brand based on their needs and inclinations. In an effective branding process, the characteristics and benefits of products are appropriately communicated which helps and supports consumers to quickly identify the product for purchasing. Prior studies such as Kumar and Kaushik (2022) explored the interaction of brands with consumers’ sense of authenticity. Zhu et al. (2020) studied the impact of perceived information quality and purchase intentions. Safeer et al. (2023) examined the interaction of perceived brand authenticity and behaviour. Liu et al. (2022), Javed et al. (2023), and Sudhana et al. (2023) mentioned brand attributes as an important factor that may influence CBPR and CBPC. Further, Júnior et al. (2023) identified that branding has a significant impact on purchase intention. Sung et al. (2023) examined the impact of branding on CPD for luxury brands and found it significant. In this line, we investigated the relationship between branding and CBPR, branding and CBPC, and branding and CPD in the apparel context considering Indian consumers. Hence, we posit that:

H₁: Branding has a positive significant impact on CBPR for apparels.

H₂: Branding has a positive significant impact on CBPC for apparels.

H₃: Branding has a significant positive impact on CPD for apparels.

Relationship between CBPR, CBPC and CPD

Prior studies such as Ma et al. (2019) investigated the influence of customer preferences on electric vehicle purchasing behaviour. Rondoni et al. (2020) examined the impact of customer preference towards the purchase of products like eggs. Manikandan (2020) examined the perceived risk towards brands on consumer behaviour. Laato et al. (2020) studied the impact of perceived severity on customer behaviour in the retail sector. Zhu et al. (2020) and Song et al. (2021) examined the perceived information and consumer behaviour in the retail and healthcare sectors, respectively. Japutra et al. (2022) revealed that customers having a positive perception towards mobile commerce have positive intentions for purchasing online. Safeer et al. (2023) investigated the interaction between perceived brand and behaviour. Purohit et al. (2023) found that the experience level of a brand impacts the perception of the customer and thus, the CPD. Sharif et al. (2023) posited that quality perception impacts CPD. These studies show that preferences and perceptions are important factors driving customer behaviour but are not studied specifically in the apparel context. Therefore, we posit that:

H₄: CBPR has a significant positive on CPD for apparels.

H₅: CBPC has a significant positive influence on CPD for apparel.

Mediating Effect of CBPR and CBPC

Following the SOR model, the indirect effect of branding on CPD can be explained. CBPR and CBPC represent the affective and cognitive states of consumers that mediate the stimulus-response interaction. In this study, CBPR and CBPC can capture CPD, thereby representing the cognitive aspect of the orgasmic component. Limited studies have considered the mediation effect of preferences and perceptions. Ebrahim et al. (2016) and Yasri et al. (2020) studied the mediation effect of brand preferences on the link between brand experience and repurchase intention. Paydas Turan (2021) investigated the mediation effect of quality perception on the link between ingredient branding and purchasing behaviour. Mostafa and Kasamani (2021) studied the mediating effect of brand adoration, brand love and self-branding on the link between brand experience and loyalty. However, no study has investigated the mediating role of CBPR and CBPC on the relationship between branding and CPD from the perspective of apparel purchasing. Therefore, we hypothesize that:

H₆: CBPR significantly mediates relationship between branding and CPD for apparel.

H₇: CBPC significantly mediates relationship between branding and CPD for apparel.

Moderator Role of Consumers’ Gender

One of the most prevalent categories for segmenting customers in marketing is through consumers’ gender. Prior literature suggests that men and women perceive advertisements differently and, as a result, react to marketing communication efforts in their own unique way (Middleton & Turnbull, 2021) which ultimately influences their purchase decisions. This study strengthens the understanding of consumers’ gender differences during apparel purchases. The distinctions are a crucial component of the larger cultural variations that influence customers’ behaviour (Drury et al., 2022). Due to its accessibility and recognizability, consumers’ gender is a crucial strategic tool for market segmentation (De Cristofaro et al., 2023; Simon, 2000). The decision-making processes of consumers, the purchasing processes and online consumer behaviour have all been found to differ between gender (Essiz et al., 2023; Kol & Levy, 2023). Even though gender is an important segmentation factor in branding, a very few research has been studied on how gender differs and impacts purchase decisions. This study can help brands to customize product presentations and brand themselves based on gender. Therefore, we posit that:

H_8a: Gender moderates the relationship between branding and CBPR for apparel.

H_8b: Gender moderates the relationship between branding and CBPC for apparel.

H_8c: Gender moderates the relationship between branding and CPD for apparel.

H_8d: Gender moderates the relationship between CBPR and CPD for apparel.

H_8e: Gender moderates the relationship between CBPC and CPD for apparel.

Information Medium as a Moderating Variable

Branded apparels have both online and physical retail outlets (Liu et al., 2022). In physical stores, customers can view and touch the apparel and receive personal recommendations from merchants while the online medium provides visual images, some description and reviews as the source of information for customers (Alrawad et al., 2023; Awal et al., 2023; Tan et al., 2021). Hence, information medium plays an important role. Information mediums record the availability of pertinent data, capture the quantity, significance and simplicity of information about products and services and the presence of information regarding payment methods (Katsumata et al., 2023). Prior studies such as Brüggemann and Schultz (2023) discussed the importance of information media considering both online and offline channels and their impact on CPD. Based on the discussion, we hypothesize:

H_9a: Information medium moderates the relationship between branding and CBPR for apparels.

H_9b: Information medium moderates the relationship between branding and CBPC for apparels.

H_9c: Information medium moderates the relationship between branding and CPD for apparels.

H_9d: Information medium moderates the relationship between CBPR and CPD for apparels.

H_9e: Information medium moderates the relationship between CBPC and CPD for apparels.

The proposed conceptual model along with the developed hypotheses is presented in Figure 1.

Figure 1.

Proposed Conceptual Model.

The model proposes that branding (independent variable) will have a significant impact on CBPR, CBPC, and CPD. Besides, the model also posits that CBPR and CBPC act as mediating variables in the relationship between branding and CPD. CPD is the dependent variable in the conceptual model, which depicts the ultimate impact of branding, CBPR, and CBPC on CPD.

Methodology

The research methodology comprises the questionnaire design and validation, data collection, and data analysis.

Questionnaire Design and Validation

To test the proposed hypotheses, we applied an online questionnaire survey-based quantitative approach. The survey measures used in this study are adapted from the existing literature. The questions used to assess branding includes celebrity endorsement (which measures brand communications), brand sponsorship (which measures brand visibility and brand identity), brand packaging (which measures brand identity and brand credibility) and finally, brand logos (which measures brand awareness and brand recognition) (De Luca & Botelho, 2020; Paydas Turan, 2021; Rana et al., 2023; Rossi et al., 2015). Similarly, to measure the CBPR, questions related to brand preference, recommendations, availability and satisfaction were included in the questionnaire (Keller, 2021; Rondoni et al., 2020). CBPC was assessed by including questions related to brand excellence, self-esteem, alignment of brand values and brand suitability (Slaton et al., 2020; Techawachirakul et al., 2023). Finally, CPD was reviewed using questions related to the purchase decision of the customer such as frequency of purchasing, quality and offers on branded apparel (Joshi & Rahman, 2015; Kim & Seock, 2019). To measure the questions five-point Likert scale (5 being strongly agree and 1 being strongly disagree) is used. To ensure the content validity, first the questionnaire is shared with five academic experts in the field of marketing and consumer behaviour. After implementing their suggestions, the questionnaire is circulated randomly among six researchers and fifteen Indian consumers. After considering their suggestions, the final questionnaire is prepared. The questionnaire is divided into two parts. The first part is about participants’ demographic information such as gender, age, and information medium. The second part contains constructs with their indicators (see, Supplementary file Table S1).

Data Collection

Data was collected from May 2022 to July 2022 using an online google form. Using the convenience sampling method, the form was distributed through platforms such as e-mail, LinkedIn, Facebook and ResearchGate. The participants targeted were Indian consumers above the age of 18 years. Around 536 questionnaires were distributed, of which around 234 responses were received. Besides, around 12 incorrect and incomplete responses were removed which led to 222 correct and usable responses. This shows around 41% response rate which is acceptable for performing the analyses (Jaiswal & Kant, 2018; Rathore & Sarmah, 2021). From the initial observation of the final data set, it is identified that among the 222 respondents, 63.4% were male and the remaining were female. Around 39%, 33.34% and

27.66 % belonged to the age group of 18–25, 26–30, and above 30 years, respectively. Also, among the respondents, 65.6% received brand information through online mediums while around 34.4% through offline mediums.

Data Analysis and Result

Exploratory Factor Analysis (EFA)

Before conducting EFA, the Bartlett sphericity test and Kaiser–Meyer–Olkin (KMO) test were performed to check the suitability of the data. It was observed that the Bartlett sphericity test significance level is 0.00 and the KMO value was identified as 0.726, higher than the recommended value of 0.5 (Rathore & Sarmah, 2021). Hence, the data was suitable for further data analysis. Factor loading of all the indicators is above the recommended value of 0.6 (Hair et al., 2019; Saha et al., 2022) (see Table S2). This infers the validity of the indicators with their constructs. Further, the composite variability (CR) values for constructs vary from 0.646 to 0.794 and they are higher than the recommended value of 0.6 (Hair et al., 2019) (see Table S2). This implies that the constructs of the current study are consistent and reliable for analysis.

Confirmatory Factor Analysis (CFA)

For validity testing, the average variance extracted (AVE) was identified and observed that AVE values for constructs are between 0.5 and 0.8 which is above the suggested threshold value of 0.5 (Hair et al., 2019) (see Table S2). This implies constructs are valid. Similarly, to identify common method biasness (CMB), variation inflation factor (VIF) was calculated. The VIF values for none of the constructs have values higher than the threshold value that is, 3.3 (Hair et al., 2019) (see Table S2). These results confirm that constructs do not have any significant collinearity among themselves and thus CMB is not a risk. Subsequently, correlation among the constructs was examined using a discriminant validity test and it was found that the constructs had no significant collinearity and thus they were independent (Hair et al., 2019).

Structural Equation Model (SEM)

The SEM analysis was performed for testing the hypotheses by building the model structures and analysing as per the conceptual model. The result of the analysis is presented in Table 2 and Figure 2. From Table 2, it can be deduced considering direct effect, hypotheses H₁, H₂ and H₅ were supported while H₃ and H₄ were not supported. It infers we cannot confirm that branding and CBPR have a significant direct impact on CPD. The possible reason may be that Indian customers feel branded products are expensive. Moreover, Indian customers have low awareness of branded products, and this was also observed in the collected data. They found it difficult to connect brand logos with the respective brands. Meanwhile, branding is significantly impacting CBPR and CBPC and CBPC is significantly influencing CPD. This infers that branding is successfully affecting the customers’ perception and their brand preferences. Similarly, the customer brand perception influences the customer’s decisions regarding purchases of apparel. Table 2 also shows that from the mediation analysis hypotheses H₇ is supported while H₆ is not supported. This indicates that branding has a significant indirect effect on CPD through CBPC. However, we cannot confirm that branding significantly impacts CPD for apparels through CBPR.

Table 2.

Hypotheses Testing and SEM Results.

Hypothesis	Effect	β Value	p Value	Supported? [Yes\| No]
H ₁	Branding → CBPR	0.440	.000***	Yes
H ₂	Branding → CBPC	0.414	.000***	Yes
H ₃	Branding → CPD	–0.041	.797	No
H ₄	CBPR → CPD	0.224	.226	No
H ₅	CBPC → CPD	0.375	.037**	Yes
H ₆	Branding → CBPR → CPD	0.099	.276	No
H ₇	Branding → CBPC → CPD	0.115	.047**	Yes
H _8a	Gender*Branding → CBPR	0.460	.000***	Yes
H _8b	Gender*Branding → CBPC	0.415	.000***	Yes
H _8c	Gender*Branding → CPD	–0.076	.604	No
H _8d	Gender*CBPR → CPD	–0.090	.561	No
H _8e	Gender*CBPC → CPD	0.075	.679	No
H _9a	Information*Branding → CBPR	0.055	.572	No
H _9b	Information*Branding → CBPC	0.330	.028**	Yes
H _9c	Information*Branding → CPD	–0.046	.702	No
H _9d	Information*CBPR → CPD	–0.068	.701	No
H _9e	Information*CBPC → CPD	0.327	.036**	Yes

Note: **p < .05; ***p < .01.

Figure 2.

SEM Result.

In addition, fitness of the model is analysed using the model fit indices such as root mean square error of approximation (RMSEA), standardized root means square residual (SRMR), goodness of fit index (GFI), adjusted goodness of fit index (AGFI), normed fit index (NFI), comparative fit index (CFI), and normed chi-square (χ²/df). It is observed that the RMSEA value for the model is around 0.065 which is less than the cut-off value of 0.08 and thus implies a good model fit (Rana et al., 2023). Similarly, it is identified that the SRMR value is 0.07, GFI is 0.95, AGFI is 0.92, NFI is 0.93, CFI is 0.97, and χ²/df is 1.4. The obtained values of indexes indicate that the model is a good fit (Bilgihan, 2016; Kumar & Kaushik, 2022).

Assessment of Moderation Effect

To assess the moderation effect on relationships between the constructs gender and information medium are considered as the moderator. Initially, in gender, we have nominal data as male and female and for information medium it is online and offline. For analysis, the nominal data of both moderators is converted into numerical data. For gender male is assigned as 1 and female as 0 (Middleton & Turnbull, 2021). Similarly, for information medium online is replaced by 1 and offline by 0 (Awal et al., 2023). Then both the moderators are introduced in the SEM model and analysis was performed. The result of the analysis is provided in Table 2. It can be observed from Table 2 that from the moderation hypotheses H_8a, H_8b, H_9b and H_9e are supported while the hypotheses H_8c–e and H_{9a, c, d} are not supported. This implies that gender has a moderation effect on the relationship between branding and CBPR and branding and CBPC while there is no impact of gender on the relationship between branding and CPD, CBPR and CPD and CBPC and CPD. The results also indicate that information mediums have a significant moderation impact on the relationship between branding and CBPC and between CBPC and CPD while it does not have a significant impact on the relationship of branding and CBPR, branding and CBPC and CBPR and CPD.

H₆: β = 0.099.

Moderating Effect Analysis of Gender

After identifying that gender has a significant impact over the relationship between branding and CBPR and between branding and CBPC, further analysis was conducted to understand the difference between the behaviour of male and female customers (refer to Supplementary File). The response data is divided into two subsamples Male (67.3%) and Female (32.7%). The SEM was run using these two subsamples separately and it was identified that in the case of male customers, the moderation effect between branding and CBPR and between branding and CBPC is more significant compared to female customers (see Supplementary File Table S4 and S5). This implies branding influences male customers’ apparel brand preferences and perceptions more than female customers.

Moderating Effect Analysis of Information Medium

After identifying that information medium has significant impact over relationship between branding and CBPC and between CBPC and CPD, further analysis was conducted to understand the difference in CPD due to online and offline mediums of information (refer to Supplementary File). The response data is divided into two categories online (65.6%) and offline (34.4%). The SEM model is run using the separate data of online and offline mediums and it is observed that information through online mediums have more impact on the relationship between branding and CBPC and between CBPC and CPD compared to information through offline medium (see Supplementary File Table S6 and S7). This implies customers receive most of their branding information from the online medium which impacts their perception about the brand and influences their purchase decisions.

Discussions and Implications

Discussion on the Findings

Branding

From the results, it is identified that branding significantly and positively influences the perceptions of Indian customers towards a brand and further leads to product purchasing. The result aligns with previous studies (Jhamb et al., 2020; Paydas Turan, 2021). There are different branding stimuli that impact the perception of the customer and motivate them to purchase the product. For example, celebrity brand ambassadors, company sponsorship, packaging with characters and colours and logos influence the Indian customers’ perceptions and prompt them to buy the products. However, in the study, it is observed that the direct impact of branding on CPD is found to be non-significant. This observation is consistent with the SOR theory, which describes how humans’ emotions that is., the organismic variable (in this case, CBPC) link the stimuli (here, branding) and responses (i.e., CPD). Besides, the reason for the non-significant direct impact of branding on CPD can be that Indian customers are acquiring the impression from different branding stimuli that branded apparels are overpriced (Kumar & Kaushik, 2022). Moreover, many spurious products in the market impact the trust of the customer (Kamel et al., 2022). In addition, due to globalization, there are so many brands and a variety of products that customers cannot remember or connect the branding with the brand (Aro et al., 2023). However, further investigation is required to support these arguments.

CBPR

Customers make their purchasing decision according to their awareness and feeling about the brand (Tan et al., 2021). The more they know about the brand and have a positive feeling, the more likely they will purchase the product of that brand. Hence, it is considered that branding is a significant factor that can affect the preference of the customer which in turn may influence the purchase behaviour (Bilgihan, 2016). The result of this study confirms that branding influences CBPR. However, it has been identified that CBPR may not always reflect on CPD. Such a response is encountered when consumers are buying branded products because consumers generally consult friends and family, explore multiple shops and e-commerce sites and rethink before investing in branded products (Van Tonder et al., 2023). In addition, results also reveal that there is no mediating effect of CBPR. This means that even though branding is influencing CBPR, it is not impacting the relationship between branding and CPD.

CBPC

The behaviour of a person about anything depends on their perception. Researchers have identified that positive perception has significant positive impact on the behaviour of a customer towards purchasing a product (Bilgihan, 2016; Kronrod & Huber, 2019). The result of this study also confirms that positive CBPC has a strong positive influence on CPD for apparels. From the results, it can be inferred that customers’ positive perception towards the brand provokes them to buy the product of that brand. Therefore, branding has a positive indirect impact on CPD because branding develops a strong positive perception of a brand on the customer. This positive perception motivates the customer to purchase the product that belongs to the brand with a positive perception. For instance, (Zhang & Wang, 2023) identified that customers with positive perceptions towards artificial intelligence (AI) purchasing the AI products. Pink et al. (2023) noticed the positive impact of brand perception as a family brand on the CPD. Khan and Fatma (2023) suggested that customers got influenced by the corporate social responsibility (CSR) activities of the companies. These CSR activities create a positive perception about the company in the customer’s mind and provoke them to purchase their products.

Customers’ Gender and Information Medium

It is evident from many studies that customers’ gender has a moderating impact on various relationships (Lin et al., 2019). Male and female react differently towards factors and relationships. For instance, this study shows males have more impact on the relationship between branding and CBPR for apparels, while females have more impact on the relationship between branding and CBPC for apparels. This indicates, for males, branding leads to preferences of brands while, for females, branding creates perceptions about the brands. Similarly, information and the medium of information also play a key role (Ma et al., 2023). In this study, the medium of information moderation effect has been investigated and identified that it significantly strengthens the relationship between branding and CBPC and CBPC and CPD for apparels. On further analysis, it is identified that consumers getting information via online medium have higher brand preference, perception and behaviour.

Theoretical Contributions

This study provides several theoretical contributions in the related field. To begin with, most previous research has focused on the impact of brand image and brand experience on purchase intent (Islam & Rahman, 2016), customer-brand engagement (Aslam & de Luna, 2021), the impact of brand experience and loyalty through emotional attachments (Yu et al., 2017). But this study has extended the literature by considering the impact of branding on CBPR, CBPC and CPD. Moreover, this study has tested the mediating impact of both CBPR and CBPC, which is not available in the literature to date. Besides, this study has investigated the moderation impact of gender and information medium, which further adds information in theory. In addition, to the best of our knowledge, this is the first study that draws on the SOR theory to examine the considered relationships. Besides, the results also supported the SOR theory, which explains how an environment (here, branding) influences an individual’s perception and consumer behaviour. Moreover, it also adds knowledge that even if branding has influence over perception and preference, it is not necessary for the customer to purchase the product. There are some other factors that drive the purchasing intention of a customer more significantly and impact fully compared to branding. Further, the study conducted in India with all the above-mentioned factors is also a first of its kind. So, this study adds knowledge to the literature about Indian consumers, which is very important because of the market size that India provides to the whole world. In addition, the data that has been collected for this study mostly (around 70%) belongs to the young population (18–30 years of age). Thus, the results of this study describe young consumer of India which is again an extension of present knowledge.

Managerial Implications

India has a population of around 1.3 billion and this makes India a hot spot for the apparel business. Therefore, the result of the presented study is very useful for managers of the apparel industry around the world. From this study, they can understand that for Indian customers, CBPR and CBPC are affected by branding stimuli, and CBPC influences CPD. Thus, different branding stimuli, for example, logos, slogans, information sharing events, celebrity brand ambassadors, company sponsorship, packaging with characters and colours and other unique strategies, should be developed to attract Indian customers as branding positively impacts CBPC. The results of the study also indicate that branding is impacting significantly on CBPR. This suggests to managers that customers prefer branded clothes and may recommend them to friends and family. However, the findings also suggest that branding and CBPR may not always be reflected in the actual buying behaviour of customers. Besides, CBPC positively impacts CPD. Therefore, companies should focus on branding to create a positive perception of their brand on customers. For example, companies can do branding of their products as eco-friendly products because Indian customers have a positive perception towards eco-friendly products (Javed et al., 2023). Similarly, companies should provide social benefits of their products through commercial advertisements or by putting some label and logo on the product (Safeer & Liu, 2023). This will develop a positive perception about the brand in the Indian customers’ mind and motivate them to purchase the product. Moreover, males and females get affected differently by branding. Managers should incorporate this difference and accordingly target their customers using branding. Also, information via online has more impact, so managers should make decisions and promote more online branding compared to offline. It will allow managers to reach a larger number of customers at less cost. Thus, they should come up with unique strategies related to pricing strategies, campaigns, deals, personalized service, accurate information sharing through social media and augment experiential branding to increase their brand sale in India. Apparel brand managers must have a thorough understanding of their branding skills and explore the significant factors that might excite customer preferences and perceptions as well as drive long-term purchasing behaviour. Further, the respondents of this study are majorly young consumers, and they constitute a large section of the Indian population. Thus, the result of this research is very helpful for managers in targeting young consumers and increasing their customer base.

Limitations and Future Research Scope

Besides all the contributions of the study to the literature, the study also suffers from some limitations which can be considered as future research. First, this study can be done in other developing and underdeveloped countries to test the generalization of the results. Second, the study can be extended by incorporating more social and environmental factors. Third, this study has not analysed the moderating effect of demographic data like income, location and education level. These factors can be investigated for having a moderation effect by future study. Fourth, a city-level comparison of metropolitan and suburban cities will provide clearer information on customer purchasing behaviour.

Conclusions

Our study provides a model that follows the SOR model to provide unique insight about what will influence consumers to purchase apparels in India. This comprehensive approach is of utmost importance to understand the various factors that apparel industries, managers and retailers and other stakeholders must consider when planning and strategizing for enhancing the productivity and sales of apparels. In response to our research questions, branding is significantly impacting consumers’ preferences and perceptions, and perceptions are significantly influencing purchase behaviour for apparels. Further, the customers’ gender and information medium act as a significant moderator in these relationships. Overall, this study provides explicit practical implications for managers to help businesses to promote ways to increase consumers’ knowledge and awareness explicitly on the brands of the apparels and enhance the sales and productivity of businesses related to apparels through branding initiatives.

Supplementary Material

The supplementary material is available for this article at: https://drive.google.com/file/d/1mLmVMK87khRAaV_AZCuxA_WN_0CdIWBN/view?usp=drive_link

Footnotes

Declaration of Conflicting Interests

The authors declared no potential conflicts of interest with respect to the research, authorship and/or publication of this article.

Funding

The authors received no financial support for the research, authorship and/or publication of this article.

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