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The Relationship of Brand Equity to Purchase Intention

This study empirically examines the relationship between Brand Equity (BE) as the independent variable and Purchase Intention (PI) as the dependent variable in relation to branded baby soaps selectively. While both the variables individually have high level attributes of the customers, the Pearson’s correlation analysis explores a positively significant linear relationship between BE and PI. This implies that the PI of a customer for purchasing branded baby soap can be predicted with the customer’s nature of BE. The correlation coefficient between the BE and PI indicates that the BE of a customer is useful to explain the variation in PI of a customer. Further analysis of regression model with intercept indicates that it needs additional suitable variables to predict unexplained variation of 68% of the PI. However, the model without intercept indicates that BE alone can predict the PI by explaining its more than 99% variation.