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Brand Loyalty – The New Recommended Direction for Ride-Sharing Companies: The Case of Vietnam

There is an alarming issue in any of the ridesharing companies such as Uber, Lyft, Grab, Go-viet (Vietnam) and Be (Vietnam), which they cannot make profits and have been on continuous losses. After a careful investigation, this paper suggests that the missing link to their profit is brand loyalty. Based from existing theory, the brand loyalty consists more than just offering differentiated values to hook customers, by which it develops a model of 7 influencing factors that will guide ways for business practitioners to start developing a 7 value-list that is useful for brands to consider differentiating themselves. Employing quantitative data analysis method, deductive approach, comparative-descriptive data model and crosssectional design, after an online survey was sent to 187 participants and generate 100% response which provides meaningful results. The findings suggest to adjust the model into only 6 influencing factors which are mental availability, physical availability, value offerings, brand trust, effective brand loyalty and purchase frequency. The value list is also reduced to only 6 qualities including economical, pleasant, usefulness, environmental, innovativeness, trust and safety. As a conclusion, this paper persuades that the next big thing of ride-sharing industry must be brand loyalty from multiple perspectives and recommends ways to build brand loyalty for this industry.