The Effect of Brand Name of Long-Term Care Facilities on Consumer's Choice

Abstract

Older adult consumers with long-term care needs choose long-term care facilities (LTCFs) by searching for LTCFs' information, but no studies have been conducted on LTCFs' enrollments and their brand names. This study examined how the LTCFs' enrollments differed from their brand names in South Korea in 2014 (Time 1: T1) and 2015 (Time 2: T2). Data for the present study included information on 4,846 LTCFs that was extracted from the Korean National Health Insurance Service database. Multiple regression analysis results showed that LTCFs' enrollments varied from their brand names at T1 rather than at T2. In addition, propensity score matching and difference-in-difference analyses revealed that the enrollment difference (T2-T1) of LTCFs in which changed their brand names was lower than those of LTCFs not changed their brand names. Taken together, these findings indicated that although the LTCFs' brand name influenced consumer's choice, the impact of brand name on the enrollment decreased over the one year.