Abstract:
This study sought to examine how brand equity influence financial performance of mobile
telecommunication in Nairobi, Kenya. The population of the study comprised of two thousand
seven hundred and fifty subscribers distributed across four mobile telecommunication firms. The
study adopted mixed methods research design. Convenience sampling, stratified sampling and
purposive sampling techniques were employed. Primary data was collected using structured
questionnaires while secondary data was obtained from financial statements. Data was
summarized and analyzed using descriptive statistics and inferential statistics methods. The
research findings indicate that brand loyalty, perceived quality, brand awareness and brand
association have a significant influence on financial performance of mobile telecommunication
firms implying that the stronger the brand equity the stronger financial performance of the firms.
It was concluded that there is potential to enhance financial performance by addressing elements of concern to subscribers such as pricing, variety of products and services, reliability
of network services amongst other issues which directly improves brand equity. It is
recommended that mobile phone service providers invest more in new product development
initiatives, improve their network systems to enhance reliability, invest further in branding,
advertising & promotions and address issues of pricing in respect to benefits.