Value, satisfaction and loyalty in the retail industry (original) (raw)
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The Relationship Between Customer Satisfaction and Perceived Value on Customer Loyalty
2022
This study using structural equation modelling (SEM) investigates the relationship between customer satisfaction and perceived value on customer loyalty. The model was tested using JASP program. Cronbach's Į and McDonald's Ȧ were used for evaluate the reliability of measurement model. The conceptual model used in the study combines 3 latent variables: perceived value, customer satisfaction and customer loyalty. Each latent variables were described by 3 manifest variables. The survey questionnaires were distributed using snowballing method. The researches was conducted among supermarket customers from southern Poland. Respondents evaluated a total of 35 criteria-manifest variables (describing 6 latent variables). The findings revealed a significant positive correlation between customer satisfaction and loyalty, perceived value and customer satisfaction. The perceived value was found to have significant effect on customer loyalty at a lower level of significance than customer satisfaction.
The influence of value on loyalty in the supermarket industry
Acta Oeconomica, 2013
The advent of service-dominant logic has led to increasing attention being given to value experienced by customers in the marketing literature. Customers' shopping value is multidimensional and consists of two dimensions, namely utilitarian value and hedonic value. The main objective of this study was to determine whether selected constructs impact on value and whether value impacts on loyalty amongst customers of a firm operating in the South African supermarket industry. The findings indicate that satisfaction has the strongest relationship with utilitarian value, which, in turn, has a strong relationship with customer loyalty. More loyalty will not result from an increase in the hedonic value that a supermarket customer experiences, regardless of an enhanced shopping experience.
Customer Satisfaction and Loyalty in Retailing
For decades, retail marketing strategy has analyzed the alternative routes to retail industry growth. Despite the strong interest in retail marketing, there is no consensus in the literature about what constitutes retail marketing strategy for customer satisfaction and loyalty as well as whether it affects a company’s retailing performance. Today, retailers need to devote more consideration to long-term strategic planning to cope effectively with the growing intensity of retail competition as well as shift in customer needs. This book provides how retailers will deal effectively with their customers’ patronage and satisfaction. Customer loyalty is measured through satisfaction using structural equation modeling technique. The findings should assist retailers operating in other markets, entrepreneurs, managers of firms and policy makers to enter the market for the marketing efforts and target customers.
Loyalty in retailing: multidimensional approach to customer perceived value
2016
Purpose: To deepen, in grocery retail context, the roles of consumer perceived value and consumer satisfaction, as antecedents’ dimensions of customer loyalty intentions. Design/Methodology/approach: Also employing a short version (12-items) of the original 19-item PERVAL scale of Sweeney & Soutar (2001), a structural equation modeling approach was applied to investigate statistical properties of the indirect influence on loyalty of a reflective second order customer perceived value model. The performance of three alternative estimation methods was compared through bootstrapping techniques. Findings: Results provided i) support for the use of the short form of the PERVAL scale in measuring consumer perceived value; ii) the influence of the four highly correlated independent latent predictors on satisfaction was well summarized by a higher-order reflective specification of consumer perceived value; iii) emotional and functional dimensions were determinants for the relationship with t...
Customer Value and Customer Loyalty: Comparison and Application
Advances in economics, business and management research, 2022
Customer value and customer loyalty are hot research points. They have attracted many researchers in recent years, and they are the keys to increasing companies' profit, maintaining high-value customers, and cultivating potential value customers. In this article, we summarize some popular researches on customer value and customer loyalty. To go a step further, we analyze some valuable research in current marketing to support our view. After that, we discuss the difference and connection between customer value and customer loyalty to show readers how closely related they are. Lastly, we talk about applying customer value and customer loyalty to show how they can be utilized in current marketing.
2020
The purpose of this study is to explain the role of customer satisfaction mediating the effect of perceived value and service quality on customer loyalty. The study was conducted in Denpasar City involving 140 respondents who used the service in Auto 2000 through a purposive sampling method. Data collection uses questionnaires. Data analysis technique used is path analysis and multiple test. The results showed the perception of value and service quality has a positive and significant effect on customer loyalty. Customer satisfaction, perceived value has a positive and significant effect on customer loyalty. Customer satisfaction positively and significantly mediates the effect of perceived value and service quality on customer loyalty. This research is expected to be able to make empirical contributions in maximizing services and benefits that build positive customer value perceptions of the company so consumers will feel satisfied and will have an attachment to the company that wil...
Customer satisfaction and retailer image as drivers of customer loyalty
Journal of Lviv Polytechnic National University. Series of Economics and Management Issues , 2020
The paper presents results of research on customer loyalty drivers on retail market. It verifies the degree of impact of customer satisfaction and retailer image on customer loyalty. The paper uses primary survey data, multi-item scales and structural equations modelling (SEM). The conceptual model used in the study combines 3 latent variables: retailer image, customer satisfaction and customer loyalty. Latent variables were equipped with a set of manifest variables, and they were measured in a survey. The paper assumes the following hypotheses: H1: there is a strong positive impact of retailer image on customer loyalty; H2: there is a strong positive impact of customer satisfaction on customer loyalty; H3: retailer image has a certain influence on customer satisfaction, as well. The survey was focused on supermarkets from southern Poland and their clients. The questionnaires were distributed using snowballing method. In total the sample included 328 respondents. A given table provides the results of the survey with the elements and structure of the sample. Reliability of the measurement model was evaluated with reliability coefficients: Cronbach's α and McDonald's ω. All blocks of manifest variables showed sufficient internal consistency (α and ω >0.7) so they could be used to determine the model. Structural equation modelling confirmed all relationships in the model at a high significance level (p <= 0.001). Additionally the model fit reached sufficient level. In the result the study showed that retailer image and customer satisfaction have important influence on customer loyalty. An important finding is that customer satisfaction has two times bigger impact on loyalty than retailer image. This led into conclusion that retailers should focus on building customer satisfaction, as it is the main drive of loyalty. The conclusion is made about the understanding of customer needs and expectations and meeting them should be a priority for managers, because it translates into customer affection and adequate profitability in the long term. The author highlights, that future research should concentrate on the different types of loyalty and theirs drivers, because there relation are not sufficiently explained in the literature. In author's opinion, the relation between brand loyalty and loyalty to the retailer is also an interesting field of research. In general, the article emphasizes the importance of scientific research of the relationships of buyers and retailers, that provide those services is very important in both
The Relationships of Customer-Perceived Value, Satisfaction, Loyalty and Behavioral Intentions
Journal of Relationship Marketing, 2007
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Linking Perceived Service Quality, Perceived Customer Value and Customer Loyalty in Retail
Managing Geostrategic Issues, 2019
There is empirical evidence in literature on importance of service quality for customers generally and on retail market. There is evidence on importance of customer loyalty for companies, but also those on positive influence of perceived service quality on customer loyalty in general, and on retail market. However, service quality is only one of customer loyalty determinants. In order to be successful, marketing activity has to create value for customer. Customers' decisions in retail are driven by perceived service quality and also by perceived customer value. Service quality in retail (hypermarkets) research extends service quality definition and incorporates aspects of particular importance for the afore mentioned activity. Furthermore, recent research determines perceived service quality and perceived customer value as multidimensional constructs. Therefore, this paper determines perceived service quality by the following dimensions: merchandising, physical environment and interaction with employees. Perceived customer value has been operationalised as two-dimensional, as emotional and economic value. Customer loyalty has been operationalised in behavioural intentions form. The purpose of this paper is to research linkage between the dimensions of service quality and perceived customer value, influence of service quality dimensions on customer loyalty, and perceived customer value dimensions on customer loyalty. The research was conducted on sample of 740 respondents. According to its characteristics the applied sample is quota one with the following control variables: city, shop, gender and age. In order to be a part of sample, respondents have had to be regular customers of consumer products (food and non-food products) in one of hypermarkets selected for this research within the area of the Federation of Bosnia and Herzegovina. According to the research results high service quality and delivery of superior value for a customer on retail market result in creation of their loyalty. Shedding light on relationship between perceived service quality, perceived customer value, and customer loyalty is a precondition for successful loyalty management on hypermarket and creation of loyal customers' base depending on perceived service quality, perceived customer value and customer loyalty.
A Research Proposal: The Relationship between Customer Satisfaction and Consumer Loyalty
The purpose of this research is to study the relationship between customer satisfaction and consumer loyalty and apply its relationship into all the market industries including products and services, particularly in financial institutions. Preliminary sample data (N=80) will be collected from faculties and students at Johnson and Wales University of all ethnicities, national and international students. The hypothesis of the study is developed as H1: There is a significant positive relationship between customer loyalty and customer satisfaction. A t-test for independent samples is used to address the hypothesis. The discussion of the study indicated that there is a significant positive relationship between customer loyalty and customer satisfaction, however, it is important to fully understand that the loyalty which is the main goal of each industry is very hard to achieve and is not very easy to be reached by industries due to the customer satisfaction which is very hard to reach by itself, and the service quality as well. There are many other variables that can affect the consumer loyalty such as the high level of competition among today's companies and the fast track of technological advancement. These reasons indicate that companies should work hard because loyalty is a fleeting issue, today's loyal customer would not be tomorrow's loyal customer.