• Title/Summary/Keyword: Customer loyalty program

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The Role of Customer Trust and Reputation on Customer Loyalty: An Empirical Study of Micro Finance Institutions in Indonesia

  • ANIS, Marjukah;WIDJI, Astuti;FAJAR, Supanto
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.9
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    • pp.205-216
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    • 2022
  • This study investigates the effect of serv-qual and reputation on customer loyalty through the trust of deposit customers in Micro Finance Institutions. The population was deposit customers at BMT distributed into 5 provinces of the Special Region of Yogyakarta, and a survey was conducted from January 2021 to February 2022. The probability random sampling technique was used to select the final sample, and a total of 221 responses were collected using a questionnaire. Technical data analysis was done using the Structural Equation Modeling (SEM), supported by AMOS 22.0 program. The results showed that serv-qual and reputation have a positive and significant impact on the trust and loyalty of deposit customers at BMT. Customers positively and significantly impact the relationship between serv-qual and reputation on customer loyalty. The biggest contribution to loyalty was generated by the variable customer trust (0.399), followed by service quality (0.359) and reputation (0.166). Micro Finance Institution needs to improve the management of deposit customers by improving serv-qual, reputation, and customer trust and conduct comparative research between conventional financial institutions and other informal financial service institutions.

The Study on Customer Loyalty Programs of Retailers (유통 업태별 고객보상프로그램 실태 조사)

  • Park, Min-Jung;Jung, So-Jin
    • Fashion & Textile Research Journal
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    • v.13 no.2
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    • pp.242-252
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    • 2011
  • The purpose of the study was to investigate customer loyalty programs of diverse types of retailers. As offline retailers, department store and discount store retailers were examined, and as nonstore retailers, online store and TV home shopping retailers were investigated. Types of customer loyalty programs were analyzed based on Dowling and Uncles'(1997) loyalty program framework which included two schemes, types of reward(direct versus indirect rewards) and timing of reward(immediate versus delayed rewards). The study found that different types of retailers utilized different types of loyalty programs: Department store used all the type of rewards, discount store focused on direct/immediate rewards, online store retailers used direct/delayed rewards and/or direct/immediate rewards, and TV home shopping retailers focused on direct/delayed rewards. The study provided diverse managerial and academic implications.

The Impact of Korean Franchise Coffee Shop Service Quality and Atmosphere on Customer Satisfaction and Loyalty

  • Shin, Chung-Sub;Hwang, Gyu-Sam;Lee, Hye-Won;Cho, Sun-Rae
    • Asian Journal of Business Environment
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    • v.5 no.4
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    • pp.47-57
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    • 2015
  • Purpose - The purpose of this study is to analyze franchise coffee shop service quality factors based on pilot research. In the proposed analysis, store atmosphere is added as one of the service quality factors. We aim to examine how franchise coffee shop service quality and store atmosphere influence customer satisfaction and loyalty. Research design, data, and methodology - Data was collected from 482 Korean coffee shop franchises and analyzed using frequency analysis, reliability/validity assessments, correlation analysis, and regression analysis with the software program SPSS 19.0. Results - The results are as follows. First, taste is revealed to be the most influential factor among components that have an impact on service quality. Second, taste also turned out to have the most impact on service quality among components influencing customer loyalty. Last, customer satisfaction affected customer loyalty. Conclusions - This study's findings show that taste was the most influential factor on service quality. The conclusion here is that most of the coffee shop customers are very familiar with coffee taste and this is influencing their loyalty.

Customer's Response to CRM of Fashion Business (패션 기업의 CRM에 대한 고객 반응 연구)

  • 정인희;김순철
    • Journal of the Korean Society of Clothing and Textiles
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    • v.27 no.9_10
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    • pp.1060-1071
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    • 2003
  • This study was intended to identify customer's response to CRM of fashion business.488 questionnaires were distributed to male and female respondents aged 16 to 55, and then analyzed by descriptive statistics, oneway-ANOVA, chi-square test, and factor analysis. As a result of customer information management, respondents evaluated taste, interest and demographic informations as most valuable. But they did not value personal and credit information. For CRM concept, 4 factors were determined: continuous care and suggestion, particular service to important customer, customer management program development, and customer convenience consideration. For CRM activity, 3 factors were determined: customization, information offering, and programmed service strategies. Respondents were having positive attitude toward CRM concept and activity of fashion business. Among customer loyalty programs, they affected by immediate and direct programs most. The preference of customer contact methods was differentiated by sex and age groups. Males and teenagers preferred e-mail, and females preferred catalog and telephone connection.

A Study on How Trust and Commitment in Airlines' Mileage Program Affects the Customers' Loyalty (항공사 마일리지 프로그램에 대한 고객의 신뢰와 결속이 브랜드 충성도에 미치는 영향)

  • Baek, Sun Hee;Lee, Seung Chang;Lee, Sanghak
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.22 no.1
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    • pp.95-107
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    • 2014
  • A customer loyalty program (i.e., FFP) has become more important to keep loyal customers especially for legacy airlines. Therefore, the researchers intended to examine the elements of an airline loyalty program and how these elements influenced the effects of the loyalty program. To set up the research framework, the commitment-trust model (i.e., KMV model) in the loyalty program was used in this study. Shared values, benefits, serviceabilities, and affiliated companies were considered as independent variables (i.e., elements of FFP). Trust and commitment added as mediating variables and customers' loyalty were examined as a dependent variable. A survey has been conducted. All independent variables had positive relationships with trust and commitment and trust influenced commitment. Lastly, the mediating variables had positive effects on customers' loyalty.

The Reward Program Effect: A Strategic Framework for Acquiring New Customers (고객 보상프로그램의 효과성에 관한 연구: 신규 고객 유치를 위한 전략적 프레임웤)

  • Lee, Sukekyu;Kim, Kyoungsik
    • Asia Marketing Journal
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    • v.7 no.2
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    • pp.123-139
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    • 2005
  • Until now, There are many studies of reward program effect about retaining current customers. But main goal of this study is acquiring new customer in competitive environment. We also reveal strategic framework for maximizing acquisition of new customer. For increasing customer loyalty of non-use brand, we'd better to give Out My Own reward non-user immediately and for increasing customer loyalty of use brand we'd better to give In My own Brand user accumulatively. Implication of the results for markets and future research are discussed

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The Effects of Perceived Interaction Effort and Service Justice on Satisfaction with Complaint Handling and Customer Loyalty in the Internet Fashion Shopping Mall Service Recovery (인터넷 패션쇼핑몰 서비스 회복 과정의 지각된 상호 작용성과 서비스 공정성이 불평 처리 만족 및 충성도에 미치는 영향)

  • Ju, Seong-Rae;Chung, Myung-Sun
    • The Research Journal of the Costume Culture
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    • v.15 no.6
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    • pp.1023-1037
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    • 2007
  • The focus of this study was on service recovery process of domestic internet fashion shopping mall, the purposes of this study were to extract perceived interaction effort and service justice with the recovery factors according to service failure by literature review, and to empirically examine the effect this variables on customer satisfaction with complaint handling and loyalty. The questionnaires was administered to 256 internet shopping mall customer, who has experiences of dissatisfaction and complaining behavior after buying fashion products. The data was analyzed by Cronbach's a, confirmatory factor analysis, correlation analysis, and structural equation modeling using LISREL 8.30 program. The results were as follows. First, perceived interaction partly affected serviced justice consumer. Interaction effort on the part of consumer negatively affected interactional justice, but didn't affected distributive justice and procedural justice. However interaction effort on the part of shopping mall positively affected all justice. Second, distributive, procedural and interactive justice positively affected customer satisfaction with complaint handling and loyalty. Finally, customer satisfaction with complaint handling positively affected customer loyalty. The implications of the research and directions for future researchers were discussed.

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An Empirical Study of the Service Quality, Customer Satisfaction, and Switching Barrier on Store Loyalty (대형할인점 의류매장의 점포애호도에 대한 서비스 품질과 전환장벽 및 고객만족 영향력에 관한 연구)

  • Lee, Ok-Hee;Kim, Ji-Soo
    • Journal of the Korean Society of Clothing and Textiles
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    • v.32 no.9
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    • pp.1450-1460
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    • 2008
  • The goal of this study was to investigate the impacts of service quality, customer satisfaction, and switching burier on store loyalty of the clothes shops at large-scale discount stores. The subjects were 357 female adults living in Suncheon City, Jeollanam Province. The questionnaires were conveniently sampled from June 1 to 30, 2006. The collected data were factor and reliability analyzed using the SPSS program. And Regression was used to verify the relationships between the variables. Among the six hypotheses set in the research model, total three were accepted through empirical analysis and the rest three were accepted partially. The empirical results showed the following managerial implications. First, consumer' perceived service quality has relationship with customer satisfaction and store loyalty. Second, service quality has a positive relationship with switch barrier. Third, customer satisfaction has significantly related with switch barrier. Fourth, switch barrier has positively related with store loyalty. Finally, 'sales people', 'VMD/atmosphere', and 'assortment' of the service quality factors have positive relationships with store loyalty, but 'policy' has a negative relationship with store loyalty.

The Effect of 6 Sigma Program on Culinary Quality Performance, Work Commitment, and Customer Loyalty in the Culinary Division (호텔, 급식 및 외식업소 조리부서에서의 6시그마 기법이 조리품질성과, 업무몰입 및 고객충성도에 미치는 영향)

  • Kim, Hyun-Mook;Yoo, Young-Jin;Ha, Dong-Hyun
    • Korean journal of food and cookery science
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    • v.24 no.6
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    • pp.818-828
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    • 2008
  • A recurrent theme within the literature on the 6 Sigma program is the study of its effect on organizational performance. Therefore, the aim of this study was to investigate the effect of 6 Sigma on culinary quality performance, work commitment, and customer loyalty in the culinary division of hotels and family restaurants. The samples of this study included the employees of the culinary division of hotels and family restaurants that implemented or were about to implement the 6 Sigma program. A total of 248 questionnaires were analyzed with statistical methods of factor analysis, reliability test, and regression analysis. The findings of this study showed that the 6 Sigma program affected the culinary quality performance and work commitment of culinary division employees. Also, the 6 Sigma program, culinary quality performance and work commitment affected customer loyalty. Furthermore, work commitment affected culinary quality performance. Based on these research findings, it is required that the culinary division of hotels and family restaurants should incorporate the 6 Sigma program. For this purpose, good quality data should be collected with sufficient preparation procedures, and task force team should be made. Moreover, experts in this field should be cultivated, with the training of employees in mind. It is also crucial that the current quality of product and services be measured and that all the employees of the culinary division participate in the implementation of the 6 Sigma program. The intervention and heavy participation of the top management and head of the culinary division is expected for the successful implementation of 6 Sigma program.

The Effects of Rapport Building Behavior on Customer Loyalty in the Banking Service Environment : Through Customer Attitude (은행서비스 환경에서 라포형성행동이 고객충성도에 미치는 영향 : 고객태도를 매개로)

  • Kim, Cheon-wook;Hwang, Chan-kyu
    • Journal of Venture Innovation
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    • v.6 no.2
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    • pp.67-82
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    • 2023
  • The purpose of this study is to investigate the effect of Rapport Building Behavior on Customer Loyalty through Customer Attitude in the banking service environment targeting bank customers residing in Seoul and the metropolitan area. This study applied a significant sampling method, and the number of samples used in the final analysis was 201, and statistical analysis was performed on the input data using the SPSS 20.0 program. As a result of the analysis, first, it was found that the sub-factors of Rapport Building Behavior in the banking service environment, Attentive, Courtesy, and Information Sharing, had a significant positive (+) effect on customer loyalty, and Connecting was found that there was no positive (+) effect on customer loyalty. Second, Attentive, Courtesy, and Information Sharing, which are sub-factors of rapport building behavior, were shown to have a significant positive (+) effect on customer attitude, and Connecting was found that there was no positive (+) effect on customer attitude. Third, customer attitude was found to have a significant positive (+) effect on customer loyalty. Fourth, customer attitude was shown to mediate the relationship between rapport building behavior and customer loyalty. Therefore, it was found that rapport building behavior is a factor influencing customer attitude and customer loyalty in the banking service environment. This means that rapport building behavior between customers and banks can change customer attitudes and have a positive effect on customer loyalty. It can be seen as implying that customer management is necessary to increase customer loyalty through rapport building between customers and banks even in the changing banking service environment.