If a product is perceived by consumers as homogeneous, which of the following strategies will work to induce brand loyalty?
A)Intensive advertising campaign.
B)Price wars with competitors.
C)Frequent buyer rebate programs.
D)None of the statements associated with this question are correct.

Question

Quizplus · Accepted Answer

When consumers perceive a product as homogeneous, i.e. having little differentiation from competitors, offering frequent buyer rebate programs can create incentives for consumers to choose one brand over another. This creates customer loyalty towards the brand, which can lead to repeat purchases and positive word-of-mouth advertising. Intensive advertising campaigns and price wars may not be effective in creating brand loyalty in a homogeneous market.

If a Product Is Perceived by Consumers as Homogeneous, Which