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Determinants of service quality
Research proposals on customer satisfaction
Value of customer loyalty
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Recommended: Determinants of service quality
“In investigation of the association among Service quality, Customer Satisfaction and Customer Loyalty in the retail sector”
1. Introduction
In current competitive and dynamic business setting, it is not something easy for a company to distinguish itself from rival firms, both in terms of quality and quantity. On the other hand, the changing business environment along with the increased level of customers’ power are pushing the companies towards the customer focused business strategies for creating long term and strong relationship with consumers (Ryding, 2010). Retailing is a process through which the goods will be transported from the final customers. It can also be defined as the process that is consisting of the activities involved to make the products available to the final customers. The idea of customer satisfaction becomes one of the most important objectives that may kept on the top priority by a firm which is striving for building and maintaining relationship with consumers. The idea of customer loyalty is also term that is related to the satisfaction level of the consumers. In
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To identify views of consumers about the service quality in the retail industry. ii. To assess the level of customer satisfaction among the retail sector customers. iii. To investigate and analyze the customer loyalty of the retail sector customers. iv. To study the association among the service quality, customers’ satisfaction and customers’ loyalty in the retail industry.
1.2 Research Questions
i. What are the customers’ perception about the service quality in the retail sector? ii. What are the levels of customer satisfaction among the retail sector customers? iii. How the customers of the retail sector will become more loyal? iv. What is the association among the three constructs, service quality, customers’ satisfaction and customer loyalty in the retail sector
High levels of customer satisfaction will not guarantee future sales, but are more likely to result in repeat future sales than indifferent or poor customer service. Moreover, satisfied customers are more likely to try out other products/services in the firm’s range, or recommend it to friends and family. Build on customer loyalty Customer loyalty is valued highly by most businesses and can be
According to Business Studies ‘’Customer service is one of the most important ingredients of the marketing mix for products and services. High quality customer service helps to create customer loyalty. Customers today are not only interested in the product they are being offered but all the additional elements of service that they receive from the greeting they receive when they enter a retail outlet, to the refund and help that they receive when they have a complaint about a faulty product that they have paid for’’ (Business Studies, n.d).
Therefore, examining company’s capacity and being the leader in the retail industry, it is evident that the company has embraced a quality culture. The quality culture has enabled the company to remain profitable. The high customer relations have allowed the company to constantly provide and improve its product and service quality. This means that the company’s priority is quality for the products and services they offer to its clients. The quality culture has enabled the company to be successful in the retail industry with excellent customer satisfaction ratings (Pahl et al, 2007).
According to this research the customer satisfaction and service quality is vary from different sectors. If dimension are different but customer satisfaction is same for all services and products. In this report I want to draw a conclusion to point out how relationship is different in different sectors. Here we are dealing with different organization of the same sector, the customer satisfaction is depends upon the services, product quality, delivery time etc.
Zeithaml, Valarie A, Berry, Leonard L, & Parasuraman, A. (1996). The behavioral consequences of service quality. Journal of Marketing, 60(2), 31. Retrieved April 1, 2011, from ABI/INFORM Global. (Document ID: 9401886).
“Customer Service” describes the full purchase cycle from the pre-purchase decision-making to the actual purchase experience to the after purchase attitude of a customers. It encompasses every service, which a company offers to its clientele in order to achieve the company’s mission of driving revenue by fostering customer satisfaction, customer retention, and customer referrals. In this increasingly consumer driven economy, Customer Service is a vital strategy utilized by businesses to obtain a multitude of competitive advantages and acquire market share.
Williams, P. & Naumann, E. 2011, "Customer satisfaction and business performance: a firm-level analysis", The Journal of Services Marketing, vol. 25, no. 1, pp. 20-32.
While there have been no studies focusing exclusively on reliability, past SERVQUAL research shows it to be an important influence on customer perceptions of service quality in different settings. Zeithaml, Parasuraman, and Berry (1990) found that customers ranked reliability as the most important criterion in judging service quality regardless of service industry. Participants also discussed their experiences with staff, helping them find missing materials.... ... middle of paper ...
Customer satisfaction is the overriding factor for the successful operation. Sales of the supermarket can grow when it makes its customers satisfied with the goods or services by best policy to fit customers’ requirement. So, it can be told that customer satisfaction is followed by customer revisiting or repurchasing. They can also tell their acquaintances about products or services as good. Customer satisfaction and sales might be linked directly, companies have to check the factors periodically such as quality, schedule, layout, inventory and so on to lift customer satisfaction because even small factors that employees didn’t recognize can affect consumer satisfaction enormously.
Definition of brand loyalty is quite broad and can build up in various forms depending on the source of research from repeat purchases to favourable attitudes towards a brand (Lofgren and Li, 2010). From Figure3 brand loyalty can be divided into two major characteristics which are attitudinal and behavioural (Lofgren and Li, 2010). There are three types of users classified by frequency of purchase and attitude toward brand. Single user is a group of consumers who have highest purchase rate and most probability to be loyal consumers to one brand in particular, which makes these consumers become the hardest one to influence as marketing tools have minimal impact on them. Multiple users are the largest group, they tend to use
It’s essential that companies or businesses today listen to their customers. No company or business today can afford to disregard the importance of customer satisfaction and loyalty. Aren’t they the same thing? No, they are absolutely not and they are enormously different. “Customer satisfaction is a self-reported measure of how much customers ‘likes' a company and how happy they are with goods purchased or services obtained from the company. Customer loyalty, on the other hand, is a company-calculated metric of likelihood to purchase again or not defect to a competitor” (Klein, 2013).
Customer satisfaction measures the expectation of a customer relating to the product and services provided by the retail stores. Satisfied customers tend to be loyal to the organization and make more and more purchase from the same store, which in turn is beneficial for the organization. According to Hoyer and Maclnnis (2001) satisfaction can be compared with the feeling of acceptance, relief, pleasure and
Customer Relationships is about building a relationship of trust and convenience. A customer wants the company they are working with to be intuitive. To know their needs before they do. They want to feel respected, they need to believe you are honest and have integrity. This relationship breeds comfort and familiarity and causes the consumer to continue to do business with your company. This relationship that is built develops a personal relationship, like a friendship and it is one that the consumer cannot get from the store down the road and it is that personal touch of sincerity, of knowing their needs, of servitude that will turn them into lifelong branded customers.
It’s subjective opinion or psychology of customers. Satisfaction is often confused with loyalty. The range of customer’s emotion is shown with surprise, contentment, happy, unhappy or relief. The entire gap between perceived quality and expected quality is influenced customer satisfaction. Customer loyalty is always is frequency buying action.
The dimensions of service quality refer to the attributes which contribute to consumer expectations and perceptions of service quality, thus serving as the determinants of consumers’ quality assessment (Rowley, 1998). The most well-known, commonly used service quality scale is the SERVQUAL, a general instrument for measuring service quality developed by Parasuraman et al., (1988). It includes five dimensions of service quality: (1) tangibles: appearance of physical facilities, equipment, personnel and communication materials; (2) reliability: ability to perform the promised services dependably and accurately; (3) responsiveness: willingness to help customers and provide prompt service; (4) assurance: knowledge and courtesy of employees and their ability to convey trust and confidence; and (5) empathy: caring, individualized attention that a firm provides its