Emotional Branding, Customer Loyalty, and Sales Performance of Cosmetic Firms in Uganda.
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Date
2025-10-29
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Makerere University Business School
Abstract
In 2023, the global cosmetics business was estimated to be worth over USD 374 billion. It has become a vibrant industry that is driving economic growth, employment, and local manufacturing, especially in emerging economies like Uganda. Ugandan cosmetics companies still struggle to maintain sales performance, with some failing to prosper, even after implementing a number of sales-boosting tactics, such as product diversification, R&D expenditures, digital marketing, and influencer partnerships. This study acknowledges the vital role that affective consumer connections play in generating revenue and market share by examining the impact of emotional branding and customer loyalty on the sales performance of cosmetics companies in Uganda. The study used a quantitative technique, guided by four objectives, and used purposive sampling to target 191 registered cosmetics companies. The respondents were marketing and sales department personnel. Structured self-administered questionnaires were used to gather primary data, which were then subjected to regression and correlation analysis. The results show that customer loyalty has a substantial positive correlation with sales performance (r = 0.731, p < 0.01), and that emotional branding significantly improves sales performance (r = 0.664, p < 0.01) and positively promotes customer loyalty (r = 0.726, p < 0.01). Additionally, mediation analysis shows that the relationship between emotional branding and sales performance is partially mediated by customer loyalty, which accounts for about 31.9% of the total effect. These findings highlight how crucial it is to combine loyalty-building programs with emotional branding tactics in order to promote long-term client engagement and enhance sales results. According to the survey, Ugandan cosmetics companies may improve client retention, foster stronger emotional ties, and achieve long-term economic growth by utilizing interactive digital platforms, targeted marketing, storytelling, and loyalty programs. Findings also provide a basis for further research into additional factors influencing sales performance, the long-term effects of emotional branding, and the role of cultural and digital trends in shaping consumer loyalty.
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This is a master's thesis.
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Citation
Opakrwoth, R. (2025). Emotional Branding, Customer Loyalty, and Sales Performance of Cosmetic Firms in Uganda. (Unpublished master’s dissertation). Makerere University Business School, Kampala, Uganda.