• Title/Summary/Keyword: Customers' loyalty

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The Impact of Interpersonal Relationships on Department Stores Customer Satisfaction and Trust, Loyalty (백화점 고객이 가지는 관계가 고객만족과 신뢰 및 충성도에 미치는 영향에 관한 연구)

  • Lee, Joung-gun;Bea, Mu-eun
    • Journal of Distribution Science
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    • v.4 no.1
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    • pp.27-51
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    • 2006
  • This study is to understand the existing relation-marketing based on a result that social-relationship in market can effect on customer's action with expanding the seller-purchaser relationship, and understanding purchaser-purchaser relationship in the community. The result of this study could be summarized as below: First, the customer-sales person friendly relationship effects respectively on customer satisfaction and loyalty. Second, friendly relationship of customers effects on customer satisfaction and loyalty. Third, customers' satisfaction and trust increases customers loyalty. Considering that they could cause others to re-buy, friendly word of mouth, recommendations, we should know improving customers loyalty about a company(department store) is very important. This study presents not only customers and sales clerks relationship but also developing customer-customer relationship is important as well. From the viewpoint, this study gives the following strategic tactics to companies. First, customer's relationship with sales clerk is not able to be built in a short time unlike discount or gifts. Second, relationship around customers effects on loyalty of the department store, over the relationship of simple customer-sales clerk. Finally, companies, to make a relationship like fabric, should escape a two-level channel, a company to a customer, then recognize a three-level channel, a company to a friendly customer to a neutral or a unfriendly customer. That means a business should use the positive to make the negative or the neutral change their behavior to it.

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Research on the Customers' Dissatisfaction Behavior Types After Product Purchase from the Internet Shopping Mall : Case Study for Korea Post Office Shopping

  • Sun, Han-Gil;Jung, Hye-Eun
    • Journal of Information Management
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    • v.40 no.4
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    • pp.151-171
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    • 2009
  • This study is to investigate dissatisfaction behavior of customers who purchase products on the Internet shopping mall and to find customers' dissatisfaction behavior types for effectively responding to that. Managing dissatisfaction behaviors are related to the customer satisfaction. To conduct this study, Call Center data was collected and analysed by qualitative method. The results showed that dissatisfaction of product quality and disappointment have different effects on post--purchase behaviors. Customers who feel more dissatisfaction with product quality showed the aggressive response such as exchange, refund, while customers who feel disappointment are likely to switch the shopping mall or to cancel the order. These results of customers' dissatisfaction behaviors indicate that company has to manage both product quality and the customer's experience dimension.

Effect of Entrepreneurial Passion and Positive Emotions on Customer Responses: Mixed Methods Approach

  • HAN, Youngwee;HAN, Sangho
    • Journal of Distribution Science
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    • v.18 no.5
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    • pp.35-47
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    • 2020
  • Purpose: In the highly competitive franchise market, the perceived entrepreneurial passion and emotions of customers are very important, because it impacts on the success of companies. Thus, the purpose of this paper is to suggest how the impact of the franchise entrepreneurial passion and positive emotions on the brand trust and loyalty of customers. Research design, data and methodology: This study analyzes data was collected through questionnaires on customer(n=480) who had visited franchise restaurants. Analysis of used collected data was based on the mix method using quantitative and qualitative comparative analysis. Results: The quantitative analysis results showed inventing passion, developing passion, positive emotions that perceived by customers have a positive impact on brand trust. On the other hand, founding passion did not have an impact on loyalty in quantitative analysis. but when combined with developing passion in qualitative comparison analysis, but when combined with developing passion in qualitative comparison, that became the sufficient condition of high loyalty of customers. Conclusions: The franchisor of the Korean franchise industry is indiscriminately overusing the founding franchisees, causing social problems. In this situation, founding passion can have a negative impact on customers. Therefore, the franchisors must have management capabilities by strictly managing the founding rules of the franchisee and disclosing the corporate vision.

An Application of Support Vector Machines to Customer Loyalty Classification of Korean Retailing Company Using R Language

  • Nguyen, Phu-Thien;Lee, Young-Chan
    • The Journal of Information Systems
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    • v.26 no.4
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    • pp.17-37
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    • 2017
  • Purpose Customer Loyalty is the most important factor of customer relationship management (CRM). Especially in retailing industry, where customers have many options of where to spend their money. Classifying loyal customers through customers' data can help retailing companies build more efficient marketing strategies and gain competitive advantages. This study aims to construct classification models of distinguishing the loyal customers within a Korean retailing company using data mining techniques with R language. Design/methodology/approach In order to classify retailing customers, we used combination of support vector machines (SVMs) and other classification algorithms of machine learning (ML) with the support of recursive feature elimination (RFE). In particular, we first clean the dataset to remove outlier and impute the missing value. Then we used a RFE framework for electing most significant predictors. Finally, we construct models with classification algorithms, tune the best parameters and compare the performances among them. Findings The results reveal that ML classification techniques can work well with CRM data in Korean retailing industry. Moreover, customer loyalty is impacted by not only unique factor such as net promoter score but also other purchase habits such as expensive goods preferring or multi-branch visiting and so on. We also prove that with retailing customer's dataset the model constructed by SVMs algorithm has given better performance than others. We expect that the models in this study can be used by other retailing companies to classify their customers, then they can focus on giving services to these potential vip group. We also hope that the results of this ML algorithm using R language could be useful to other researchers for selecting appropriate ML algorithms.

A Study on Effects of Customer Orientation Factors in Relation to Medical Services on the Values of the Services and Customer Satisfaction (의료서비스에서 고객지향요인이 서비스가치와 고객만족에 미치는 영향)

  • Kim, Min-Ho;Park, Chang-Sik;Seo, Jong-Bum
    • The Korean Journal of Health Service Management
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    • v.2 no.1
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    • pp.1-27
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    • 2008
  • The purpose of this study is to investigate the effects of customer orientation factors in relation to medical services on the values of the service and customer satisfaction and loyalty. Those factors include patient safety and, as found by previous studies, specialization, explanation of what to be medically examined and customer orientation itself. Based on these pervious studies, this study surveyed customers of 7 general hospitals located in Busan to empirically identify relations between customer orientation factors of medical services and the values of the services and customer satisfaction. Results of the study can be summarized as follows. First, this study is very meaningful in that it established a basic theory of patient safety as one of the above customer orientation factors, and tried to empirically demonstrated the theory by applying it to medical services. Second, another of the factors, specialization was found positively affecting the values of medical services, but not affecting customer satisfaction. Customers are likely to choose specialized medical institutions even at higher cost when they undergo an accident or disease. Nevertheless, in factors, whether medical service providers are specialized is not influencing customer satisfaction. This is because medical institutions are failing to properly make recognized their specialization to customers who want to receive specialized medical services. Third, another of customer orientation factors, that is, explanation of what to be medically examined was found not having positive effects on the values of medical services and customer satisfaction. This is probably because enough time was not given for the explanation or because the explanation itself was not provided enough. Fourth, medical service providers' customer orientation was found positively influencing the values of medical services and customer satisfaction. In other words, it seems that customer-centered attitudes and behaviors of medical service providers had positive effects on customers' perception of medical services. Fifth, another of the factors, that is, patient safety was found positively affecting the values of medical services and customer satisfaction. This is probably because medical services' accurate diagnoses and reliable services had positive effects on customers' perception of medical services. Sixth, customers' perceived values of medical services were found having positive effects on customer satisfaction and loyalty. This suggests that the values of medical services are an antecedent variable that directly influences customer satisfaction and loyalty. Seventh, customer satisfaction was found positively affecting customer loyalty. This suggests that customer satisfaction is an antecedent variable of customer loyalty. In conclusion, this study showed that in relation to medical services, customer orientation factors' significant influences on the values of the services and customer satisfaction requires continuous efforts for raising customers' perceived qualities of medical services.

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Effects of Selection Attributes on Satisfaction and Loyalty of Multiplex Cinemas: Combining Quantitative and Qualitative Methods (멀티플렉스 영화관의 선택속성이 만족도, 충성도에 미치는 영향: 질적/양적 방법의 혼합)

  • CHO, Eun-Jeong;NAM, Chae-Eun;CHA, Ha-Young;SHIN, Jung-Hyung;HAN, Young-Wee
    • The Korean Journal of Franchise Management
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    • v.10 no.2
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    • pp.49-58
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    • 2019
  • Purpose - As the growth potential of the cultural contents industry steadily grows, the cinemas industry is growing fast especially due to popularity and commerciality. The recent in the cinemas industry is evolving on multiplex cinemas that combine cultural facilities such as theaters, restaurants, and shopping centers. Due to the rapid growth of multiplex cinemas, many researchers have studied the characteristics of visiting customers in Korea. Among them, selection attribute of multiplex cinemas, including the service quality and physical environment, is important because it may examines the cause of customer 's behavior. Thus, this research focuses on the effects of the selection attributes of the multiplex cinemas on customer satisfaction and their loyalty. This research suggests the guidelines for how cinemas should manage their customers and build their customers satisfaction and loyalty that improve business performance. Research design, data, and methodology - This study tests the structural relationship between selection attributes of multiplex cinemas, customer satisfaction, and loyalty. selection attributes of multiplex cinemas divide into five sub-dimensions such as movies facility quality, services, cleanliness, accessibility, and snack bars quality. In order to examine the purposes of this research, research model and hypotheses were developed. All constructs were measured with multiple items developed and tested in the previous studies. The data were collected from 100 students in their 10-20s and were analyzed using SPSS 22.0, SmartPLS 3.0 and fsQCA program. Result - The findings of this research are as follows. First, all selection attributes except cleanliness have significant positive impacts on customer satisfaction and loyalty. Second, customer satisfaction has significant positive impact on loyalty. Third, as a result of fsQCA, high satisfaction and high accessibility were the necessary conditions on loyalty. Fourth, the necessary conditions for male and female groups were different. Conclusions - The implications of this study are as follows. Overall, multiplex cinemas should manage selection attributes basically regardless of the type of theater. Especially, cleanliness was not significant, but the customer probably consider it an essential and basic factors. Also, they are able to manage the selection attributes differently depending on the type of gender. For the male customers, it is effective that centralized strategy and for female customers, it is effective that emphasized the multiplex cinemas image.

The Effect of Employee Authenticity on Customer Loyalty via Rapport : A Moderated Mediation Model (서비스 종업원의 진정성, 소비자의 감성지능, 레포 그리고 고객충성도 : 조절된 매개모형)

  • Jung, Ki Baek;Choi, Suk Bong
    • Journal of Korean Society for Quality Management
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    • v.48 no.3
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    • pp.361-379
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    • 2020
  • Purpose: The purpose of this study was to investigate the relationship between employee authenticity and customer loyalty. This study also examined whether rapport positively mediated the above relationship. In addition this study address the moderating role of customer emotional intelligence in the relationship between employee authenticity and rapport. By developing moderated a mediation model, we addressed indirect conditional effect of customer emotional intelligence on the relationship between employee authenticity and customer loyalty via rapport. Methods: The survey data was collected by customers who used various services in Korea. The main hypotheses were tested using a cross-sectional design, with questionnaires administered to 292 customers. Results: The result of empirical analysis has shown that employee authenticity was significantly positively related to customer loyalty. We have also found that rapport positively mediated the relationship between employee authenticity and customer loyalty. While there was a significant moderating effect of customer emotional intelligence on the relationship between employee authenticity and rapport, the moderated mediating role of customer emotional intelligence was found. Conclusion: The results provide useful theoretical and practical implications to the organizations and managers who want to improve customer loyalty. Future research directions with the limitation of the study were discussed.

Managing Customer's Usage Behavior in a Multi-vendor Loyalty Program

  • Koo, Kay-Ryung;Woo, Won-Seok
    • Journal of Distribution Science
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    • v.13 no.5
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    • pp.5-14
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    • 2015
  • Purpose - Loyalty programs enable retailers to maintain longer and better customer relationships. In successful services, customers actively use and value these programs. As the proximity to the goal (goal gradient) might signal active participation, this study empirically examines customer's goal gradient behavior in a multi-vendor loyalty program. We also consider the effect of customer's accrual diversity on goal gradients, which is a differentiating feature in a multi-vendor loyalty program, and is further examined. Research Design, Data, and Methodology - The data consists of6,646 OK Cashbag members' individual transaction records from 2006 to 2009. The goal gradient hypothesis was tested as an increase in both the speed and the amount of accumulated award points. Result - The findings suggest that the goal gradient is also observed in a multi-vendor loyalty program, occurring more strongly among members with high accrual diversity. Conclusions - The results indicate that customers with high accrual diversity attend strongly to goal gradients in multi-vendor loyalty programs; hence, it is important for such program managers to better inform members about affiliated partners.

Antecedents of Customer Loyalty: Study from the Indonesia's Largest E-commerce

  • RIZAN, Mohamad;FEBRILIA, Ika;WIBOWO, Agus;PRATIWI, Rianti Dea Rizky
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.10
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    • pp.283-293
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    • 2020
  • This study examines the effect of service quality and perceived value on customer loyalty with the intervening role of customers' satisfaction in the e-commerce industry. The research method uses a quantitative research design with a survey model. The sample used in this study is Tokopedia consumers who live in DKI Jakarta and have done online shopping at Tokopedia at least twice in the last six months. All variables used were reliable and valid and met the research requirements. The object of this research were the 200 customer respondents who had made purchases on the largest e-commerce platform of Indonesia, Tokopedia. Data analysis was done by using SPSS and Structural Equation Modeling (SEM). The results show that: first, the service quality and perceived value affect customer satisfaction positively. Second, there is a mediating effect of customer satisfaction on the relationship between service quality and perceived value on customer loyalty. Third, service quality and perceived value directly affect customer loyalty positively but insignificantly. The result implies that the role of customer satisfaction is significant in creating loyalty. In the e-commerce industry, good quality and perception could positively influence customers but not necessarily form loyalty. For that, e-commerce players should pay a lot of attention on customer satisfaction.

The Determinants of Customer Loyalty: The Case Study of Saigon Co.op Supermarkets in Vietnam

  • NGUYEN, Cuong Quoc;PHAM, Ngan
    • Journal of Distribution Science
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    • v.19 no.5
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    • pp.61-68
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    • 2021
  • Purpose: Retailing is one of the fastest-growing sectors in Vietnam. In the sight of foreign investors, the Vietnamese retailing market is very prospective. However, the current competition is very intensive, and retailers are keen on gaining new customers. Hence, Vietnamese retailers have paid more attention to customer loyalty. Saigon Co.op is one of the largest retailers in Vietnam, but its consumers have more choices over a retailer. As a result, Saigon Co.op has realized the significance of customer loyalty. This study aims to determine the factors impacting customer loyalty of Saigon Co.op supermarket in Vietnam. Research design, data and methodology: this study applied the multiple regression analysis with 250 samples collected from Saigon Co.op customers. The questionnaire is provided to respondents via Google Form, and the link is sent to the fan page of Co.op mart on Facebook. Two hundred eighty-seven samples were collected, but 37 samples were removed due to missing values. Exploratory Factor Analysis (EFA) and regression analysis are used for data analysis on SPSS software version 20. Results: The findings show all four determinants of Saigon Co.op's customer loyalty, including Product Quality, Brand Image, Price Strategy and Service Quality. Conclusions: managerial recommendations are provided for supermarkets to improve their customer loyalty in Vietnam and other emerging markets. Limitations and suggestions for further research are also discussed.