• Title/Summary/Keyword: customer loyalty program

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The Impact of Loyalty Program on Customer Retention: Empirical Evidence from Bangladesh

  • AHSAN, Syed Md. Hasib;ALAUDDIN, Md.;ALAM, Mohammad Manjur;NAZIA, Adiba;ISLAM, Tasnim
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.6
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    • pp.195-206
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    • 2022
  • The purpose of this paper is to examine how loyalty programs designed by retail stores affect customer retention. The present study is one of the few empirical studies finding the role of different loyalty programs that help to build customer retention. The study also seeks to explore the moderation role of customer perceived value between intrinsic motivation - customer retention and extrinsic motivation - customer retention. The researchers employed a quantitative research design to collect data from the 350 respondents who purchased goods from the retail chain/departmental stores in Bangladesh. The collected data are then analyzed using structural equation modeling. The result of their findings indicated that the size of the organizational reward has a positive effect on intrinsic and extrinsic motivation; further extrinsic motivation has a significant relation to customer retention. Surprisingly, no support was found for the positive impact of intrinsic motivation on customer retention. Customer perceived value (CPV) is critical as a moderator in building client retention, which improves the positive association between extrinsic motivation and customer retention. CPV, on the other hand, was found to mitigate the negative link between intrinsic motivation and client retention.

Switching Cost and Brand Loyalty preference on Customer Satisfaction and Repurchase (브랜드 충성도와 전환비용이 고객만족과 재구매에 미치는 영향에 관한 연구)

  • Han, Kyong-Hee;Cho, Jai-Rip
    • Proceedings of the Korean Society for Quality Management Conference
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    • 2006.11a
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    • pp.294-301
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    • 2006
  • This study attempts to investigate a general service sector model which aims to describe the extent to which customer repurchase intention is influenced by customer satisfaction, Customer loyalty, switching cost. This study attempts to investigate different group. Brand group 1 is higher Brand loyalty than Brand group 2. Brand Group 1 is 276 and Brand Group 2 is 271 consumers in service sector that they were used into data analysis. The data were analyzed by factor analysis and Structural Equation Model using SPSS and AMOS program. The results show that nearly all of the hypothesized relationships construct are supported. First, the direct effects of customer satisfaction on customer loyalty and switching cost were confirmed. The service company not only strengthens customer loyalty, but also strategically makes the most use of switching cost to satisfy customer satisfaction and create sustainable company advantages. Second, the interactive relationships among switching cost and customer loyalty were very significant. The proper management of these mediating variables plays key roles in connecting customer satisfaction with repurchase intention. Third, the effects of customer loyalty and brand preference on repurchase intention were supported but switching cost rejected in the path analysis. Implications of the results for path analysis are discussed and future research directions are offered.

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Switching Cost and Customer Loyalty preference on Customer Satisfaction and Repurchase (전환비용과 고객애호도가 고객만족과 재구매 의도에 미치는 영향에 관한 연구 - 이동통신 업체를 중심으로 -)

  • Han, Kyong-Hee;Cho, Jai-Rip
    • Proceedings of the Korean Society for Quality Management Conference
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    • 2006.04a
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    • pp.120-125
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    • 2006
  • This study attempts to investigate a general service sector model which aims to describe the extent to which customer repurchase intention is influenced by customer satisfaction, customer loyalty, switching cost. 195 consumers in service sector were used into data analysis. The data were analyzed by factor analysis and Structural Equation Model using SPSS and AMOS program. The results show that nearly all of the hypothesized relationships construct are supported. First, the direct effects of customer satisfaction on customer loyalty and switching cost were com firmed. The service company not only strengthens customer loyalty, but also strategically makes the most use of switching cost to satisfy customer satisfaction and create sustainable company advantages. Second, the interactive relationships among switching cost and customer loyalty were very significant. The proper management of these mediating variables plays key roles in connecting customer satisfaction with repurchase intention. Third, the effects of customer loyalty and brand preference on repurchase intention were supported but switching cost rejected in the path analysis. Implications of the results for path analysis are discussed and future research directions are offered.

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Effects of Apparel Product Attributes on Customer Satisfaction, Trust, and Loyalty in Online Stores (온라인 점포에서 의류상품특성이 고객만족, 고객신뢰, 고객충성도에 미치는 영향)

  • Park, Eun-Joo
    • Journal of the Korean Society of Clothing and Textiles
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    • v.32 no.8
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    • pp.1299-1308
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    • 2008
  • Customers’ loyalty to an online store may be worth up to ten times as much as its average customer. To develop a loyal customer base, most online stores try their best to continually satisfy their customers and to generate long-run relationships with them. This study investigates the effects of product attributes on customer satisfaction, trust, and loyalty in the context of online shopping for apparels. A self-administered questionnaire with multi-item scale was developed based on literatures. A total of 356 usable questionnaires were obtained from respondents and were analyzed using by LISREL 8.54 Program. The results showed that attributes of apparel products (e.g., products variety, price, and information) have indirectly influenced customer loyalty, which are moderated by customers’ satisfaction and trust. Additionally, customer satisfaction plays an important role to develop customer loyalty of online apparel stores. The findings suggest that, to satisfy their customers, online apparel stores should focus on product variety, and reasonable/economic prices of their apparel products, while they should provide the information about contents/care of apparels in building trusting relationships with their customers. In light of the major findings, this study sets forth strategic implications for customer loyalty in online settings of apparel store.

The Effect of Mileage Program in e-Business on Brand Loyalty : Focused on the Mediating Roles of Trust and Relational Commitment (e-Business에서의 마일리지프로그램이 신뢰와 관계몰입을 통해 브랜드애호도에 미치는 영향)

  • Lee Joung-Sil;Lim Chae-Kwan;Park Bong-Gyu
    • The Journal of the Korea Contents Association
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    • v.5 no.4
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    • pp.28-35
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    • 2005
  • This paper examines empirically the effect of mileage program in e-Business on brand loyalty, and the mediating role of customers' trust and relational commitment. The results show that customer's benefits and convenience of the program significantly influences positively customer's trust. In addition, customer's trust also influences positively relational commitment, and relational commitment significantly influences positively brand loyalty. Thus, trust and relational commitment should be considered in the mileage program to improve the brand loyalty of internet shopping mall. Implications and limitations of this study are suggested.

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A Study on the Relationship among Service Quality of Membership Programs, Customer Satisfaction, and Customer Loyalty in Korean Mobile Telecommunications (국내 이동통신 멤버십프로그램의 서비스품질과 고객만족, 고객충성도와의 관계)

  • Paik Chun-Hyun;Kim Cheol-Min;Byun Hee-Jun
    • Korean Management Science Review
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    • v.23 no.1
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    • pp.115-133
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    • 2006
  • From early 1999 years, the mobile telecommunication companies have introduced the mobile telecommunication membership program to attract more customers. However, the severe competition in the mobile telecommunication market has made the mobile telecommunication membership program to be faced with the matured mobile telecommunication market and the mobile number portability. Wain focus of this study is to find what are the core elements of service qualify of the mobile telecommunication membership program. To achieve research objective, we conceptualized the service quality of mobile telecommunication membership program. We also derived hypotheses regarding the relationships between service quality of the program, customer satisfaction, and customer loyalty and examined it by using the empirical research methodology. We suggest new marketing strategies of the mobile telecommunication membership program which can be applied to improve the corporate competitiveness.

E-Satisfaction and E-Loyalty of Online Marketplace Mobile Applications: An Empirical Channel Study in Indonesia

  • LOE, Kevin;TASIA, Aniq;INDRA, Ricardo;MANI, La
    • Journal of Distribution Science
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    • v.20 no.9
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    • pp.61-71
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    • 2022
  • Purpose: This study analyzes the effects of variables affecting e-satisfaction and e-loyalty in e-commerce. Research design, data, and methodology: A survey was conducted to 384 Indonesia online shopping mobile application users. The questionnaire construct was designed based on several independent variables, such as application attractiveness, application functionality, and customer service on e-satisfaction and e-loyalty. E-satisfaction was positioned as an intervening variable to determine the effect on e-loyalty. Results: Application attractiveness, application functionality, and customer service shown positive effect on e-satisfaction in online shopping mobile application. At the same time, e-satisfaction also affected e-loyalty significantly as referred in previous studies. However, application attractiveness, while showed positive effect on e-satisfaction, in contrary with previous study does not showed very significant effect. Conclusion: Application functionality significantly influences users satisfaction compared to application attractiveness. E-satisfaction mediates as a factor between visual design, information access, and transaction in online shopping mobile application, which stimulates user loyalty. The study findings' can be a reference for companies to create and maintain users' satisfaction and loyalty via different aspects of mobile application. Further research should be conducted on other field of study as the industry has different aspects that affects user loyalty.

An Expanded Website Quality Model in Online Shopping Malls for Developing Satisfaction and Loyalty: The Moderating Effect of Gender

  • Sang Min KIM;Tian JIAQI;Yong-Ki LEE
    • Journal of Distribution Science
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    • v.22 no.5
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    • pp.93-104
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    • 2024
  • Purpose: This study used the SORmodel (or cue utilization theory) to examine the impact of expanded quality factorsincluding product quality on customer satisfaction, attitude, and behavioral loyalty. This study examined the moderating effect of gender on the customer satisfaction-attitudinal and behavioral loyalty relationship. Research design, data, and methodology: 364 respondents were collected through an online survey and analyzed using the SmartPLS 4.0 program. Results: The findings show that product quality, along with system quality and service quality, are key determinants of customer satisfaction. In addition, this study shows that the relationship between customer satisfaction and attitudinal loyalty (repurchase and word-of-mouth intention) does not differ depending on gender, but the relationship between customer satisfaction and behavioral loyalty (share-of-visit and share-of-wallet) is stronger for women than for men. Conclusions: This research integrates concepts from environmental psychology and marketing focusing on website quality (information, system, service, and product), as well as satisfaction, attitudinal and behavioral loyalty. Online shopping mall practitioners must systematically analyze and assess the quality of online shopping, a pivotal factor driving customer satisfaction, attitude, and behavioral loyalty. Acknowledging the influence of gender on consumers' online purchasing behavior can aid online retailers in devising tailored e-commerce marketing strategies aimed at attracting and retaining customers.

A Study on Service Quality and Customer Loyalty of Foodservice Industry (급식산업의 서비스품질과 고객애호도 연구)

  • Park, Sang-Gyu;Kim, Gyeong-Suk
    • Journal of the Korean Dietetic Association
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    • v.8 no.4
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    • pp.398-407
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    • 2002
  • This study is for confirming and finding which kinds of parameter is on Service Quality and Customer Loyalty of Foodservice Operation. For this, the purpose of the study is investigating the relationship between A Customer Loyalty and the factors which would affect it, relative influence-relation about meditate roles of influence-factors. A study model and several hypotheses were developed regarding the relationships. Moreover, after making a question sheet, based on the collected and analyzed 250 of them. The study model was analyzed with, SPSS 10.0 and AMOS 4.0 program. At first, when the quality of service is high, it directly affects Customer satisfaction. With the result from the study, it is prove that the service quality is very important. On the other hand, the service quality do not directly affect the Customer Loyalty. The second, when the value of service is high, it affects the customer-satisfaction. But, although the value of service is high, it doesn't directly affect the Customer Loyalty. So, it is clear that the value of Service on Foodservice Operations is the variable precedent of customer-satisfaction. The third, when the customer-satisfaction is high, customer loyalty is high. It is necessary to make the strategy about the management of Foodservice for keeping customer-satisfaction steadily. According to this study, the important variables are the value of service, the service quality and customer-satisfaction. With these results, we have to manage the factors for keeping the Customer Loyalty in Foodservice Operations.

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A Study on Influence of Service Quality on Customer Satisfaction and Customer Loyalty - Based on Public Enterprise Hotels in Seoul - (서비스 품질이 고객만족과 고객충성도에 미치는 영향에 관한 연구 -서울시내 공기업 호텔을 중심으로-)

  • Lee, Chang-Kuk;Lee, Jung-Ja;Lee, Sun-Ho
    • Culinary science and hospitality research
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    • v.17 no.2
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    • pp.35-50
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    • 2011
  • This study aims at conducting an empirical research on customer satisfaction and customer loyalty targeting the customers of public enterprise hotel restaurants in downtown Seoul. It seeks to activate management as a result of customer satisfaction and customer loyalty based on the theoretical background and positive research. The collected data was analyzed in factor, reliability and multiple regression analyses by using the SPSS 12.0 statistical program. As a result of this study, it was shown that product service, employee service, customer management service and facility service all have influenced on customer satisfaction. Finally, the customer satisfaction has an effect on customer loyalty.

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