Impact of Brand Knowledge on Brand Trust in Private Higher Education Institutions: How Do Word of Mouth Sources Intervene'

Abstract

Private higher education institutions (PHEIs) in Malaysia are facing intensive competition that poses considerable challenges for them, especially the upcoming private universities. Many are struggling to maintain their presence or locate their positions in the market. Past studies suggest that this issue could be dealt with by increasing the enrolment of students. This is highly possible by the dissemination of positive word-of-mouth (WOM) sources that greatly enhance students' existing knowledge of a particular PHEI and the resulting trust. This study examines the moderation impact of WOM influences on the relationship between brand knowledge and brand trust of PHEIs. Person-administered survey was carried out among 230 randomly selected students of PHEIs in the Klang Valley, Malaysia. Good Cronbach Alpha scores obtained and a stringent validity procedure adopted have demonstrated accuracy of the instrument used in this study. This study discovered that the inclusion of influences from WOM sources has significantly heightened the impact of brand knowledge towards brand trust of PHEIs. PHEIs are recommended to capitalize on the potential of effective branding and the management of WOM sources in order to improve student enrolment.