Articles

Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District

T.Lesly Vannarajah
Asst. Lecturer, Advanced Technological Institute, Jaffna
Ajith Medis
Head of Department, University of Kelaniya, Colombo
Online First: January 11, 2020
| Google Scholar
[1]
T. Vannarajah and A. Medis, “Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District”, sshj, vol. 4, no. 01, pp. 1716-1726, Jan. 2020.

Abstract

This research takes a cautionary stance to a study of customer satisfaction and customer loyalty of leading supermarkets in the Jaffna district. Customers now demand better customer services from retail supermarkets of KFC (Jaffna), TCT (Nallur), CO-OPCITY, SATHOSA and GARGILS (Jaffna, Manipay) have been better to upgrade their service-oriented propositions. This study attempts to find out the impact of customer satisfaction on customer loyalty. Data was composed over a period of one month using survey questionnaire from 50 walk-in customers who met during the survey time at each entity. The data collected were then analyzed using SPSS 20. Pearson correlation and multiple regression analysis were used to examine the correlation between independent variables and dependent variable. The results of the study indicated that there is a positive correlation between customer satisfaction and customer loyalty at the level of 0.1 and more customer satisfaction significantly impacts on customer loyalty. Thus, this study will bring some interesting outcomes and also will be helpful to marketers, policy makers, and future researchers on the same area. Further, the successful completion of this study would hopefully add to the new dimensions of literature with regards to the important aspects of entrepreneurship in the Jaffna District.

References

• Read Marketing Books Hill, N. and Alexander.
• Business Dictionary (Internet)
• Hill, N. and Alexander, J. (2006) The Handbook of Customer Satisfaction and Loyalty Measurement. 3rd ed. Aldershot: Gower.
• Wikipedia
• Pallant, J. (2005) SPSS survival Manual, Sydney: Allen and Unwin. Hema, W., Anura, D.Z., Tilak, F. & Basil, P. (2000). Factors Contributing to the Success of Manufacturing Enterprises in Sri Lanka: An Empirical Investigation. Sri Lankan Journal of Management, 5(1&2), pp. 110-130.
• Pal, Y. (1986) A theoretical study of some factor analysis problems and Pal,Y., & Bagai, O.P. (1987). A common factor better reliability approach to determine the number of interpretable factors”, a paper presented at the IX Annual conference of the Indian society for probability and statistics held at Delhi, University of Delhi, India.Pal, Y.(1997). A New Factoring Criterion Based on Principal Factor Reliability Coefficient’s and its Comparison, with some well-known Factoring Criteria, Indian Psycological Review, 48(3), pp. 187-200.
• Saunders, M., Lewis, P. and Thornhill, H. (2007) Research Methods for Business Students. 4th ed. London: Prentice Hall.
• Solomon, M., Bamossy, G., S. and Hogg, M.K (2006) Consumer behaviour: a European perspective. 3rd ed. London: Prentice Hall.
• Solaiman, M.D. and Pramanik, Q.A. (2000) Rural youth entrepreneurship development: a study of some selected villages in Chittagong. The Chittagong University Journal of Commerce, 15, pp. 53-66.
• Spiller, A., Bolten, J and Kennerknecht, R. (2006). Customer Satisfaction and Loyalty as Success Factors in Organic Food Retailing. Paper presented at 16th Annual world Forum and Symposium, Agribusiness, Food, Health and Nutrition, IAMA Conference, June 10-13, 2006 in Buenos Aires, Argentina.
• Sivadas, E and Baker – Prewitt, J.L. (2000). An Examination of the Relationship between Service Quality, Customer Satisfaction, and Store Loyalty. International Journal of Retail and Distribution Management, 28(2), pp.73-82.
• Verdict Consulting research (2007) UK grocery Market: more competitive than ever. Market watch Journal, 6 (12), pp.12-13.
• Hair, J.F., Anderson, R.E., Tatham, R.L. and Black, W.C. (2003) Multivariate Data Analysis, New Delhi: Pearson Education.
• Stone, M. (2005) Customer relationship management and the impact of corporate culture - a European study. Database Marketing & Customer Strategy Management, 13(1), pp. 28-54.
• Gregory, J.R. and Wiechmaan, J.G. (1999) Marketing corporate image. 2nded. Chicago: NTC Business Books. (Online).
• Grønholdt, L., Martensen, A. and Kristensen, K.(2000) The relationship between customer satisfaction and loyalty: cross industry differences. Total quality management. 11(4, 5 and 6), pp. 509-514.
• Foresee online satisfaction Measurement Company (2007). Satisfaction = Loyalty. Marketing Management Journal, 16(4), pp5-5, 1/5.
• Srinivasan, R. and Moorman, C. (2005) Strategic firm commitments and rewards for customer relationship management in online retailing. Journal of Marketing, 69 (October 2005), pp. 193–200
• Stone, M., Woodcock, N. and Machtynger, L. (2000) Customer relationship marketing: get to know your customers and win their loyalty. 2nd ed. London: Kogan Page.
• Shajahan.S (2006) Relationship marketing: Text and cases. Tata McGraw–Hill. New Delhi.
• Sivadas, E. and Baker-Prewitt, J.L. (2000) An examination of the relationship between service quality, customer satisfaction, and store loyalty. International Journal of Retail and Distribution Management. 28 (2), pp. 73-82.
• Ather, S.M. and Nimalathasan, B. (2009) Factor Analysis: Nature, mechanism and uses in social and management researches. Journal of the Institute of Cost of Management Accountant of Bangladesh, XXXVII (2), pp. 12-17.
• Malhotra, N.K. (2002). Marketing research: an applied orientation. 3rd ed. New Delhi: Pearson Education Asia.
• Bagozzi, R. P. and Yi, Y. (1988). On the evaluation of structural equation models. Journal of the Academy of Marketing Science, 16 (1), pp. 74-95.
• Dibb, S., Simkin, L., Pride, W.M. and Ferrell, O.C (2006) Marketing: Concepts and Strategies. Boston. Charles Hartford.
• Keiningham, T.L., Cooil,B.A., Andreassen, T.W & Weiner,J.(2007). The Value of Different Customer Satisfaction and Loyalty Metrics in Predicting Customer Retention, Recommendation, and Share – of- Wallet, Managing Service Quality, 17(4), pp.361-384.
• Kuusik, A. (2007) Affecting Customer Loyalty: Do Different Factors Have Various Influences In Different Loyalty Levels.
Published January 11, 2020
How to Cite
[1]
T. Vannarajah and A. Medis, “Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District”, sshj, vol. 4, no. 01, pp. 1716-1726, Jan. 2020.

Downloads

Download data is not yet available.
Downloads

References

• Read Marketing Books Hill, N. and Alexander.
• Business Dictionary (Internet)
• Hill, N. and Alexander, J. (2006) The Handbook of Customer Satisfaction and Loyalty Measurement. 3rd ed. Aldershot: Gower.
• Wikipedia
• Pallant, J. (2005) SPSS survival Manual, Sydney: Allen and Unwin. Hema, W., Anura, D.Z., Tilak, F. & Basil, P. (2000). Factors Contributing to the Success of Manufacturing Enterprises in Sri Lanka: An Empirical Investigation. Sri Lankan Journal of Management, 5(1&2), pp. 110-130.
• Pal, Y. (1986) A theoretical study of some factor analysis problems and Pal,Y., & Bagai, O.P. (1987). A common factor better reliability approach to determine the number of interpretable factors”, a paper presented at the IX Annual conference of the Indian society for probability and statistics held at Delhi, University of Delhi, India.Pal, Y.(1997). A New Factoring Criterion Based on Principal Factor Reliability Coefficient’s and its Comparison, with some well-known Factoring Criteria, Indian Psycological Review, 48(3), pp. 187-200.
• Saunders, M., Lewis, P. and Thornhill, H. (2007) Research Methods for Business Students. 4th ed. London: Prentice Hall.
• Solomon, M., Bamossy, G., S. and Hogg, M.K (2006) Consumer behaviour: a European perspective. 3rd ed. London: Prentice Hall.
• Solaiman, M.D. and Pramanik, Q.A. (2000) Rural youth entrepreneurship development: a study of some selected villages in Chittagong. The Chittagong University Journal of Commerce, 15, pp. 53-66.
• Spiller, A., Bolten, J and Kennerknecht, R. (2006). Customer Satisfaction and Loyalty as Success Factors in Organic Food Retailing. Paper presented at 16th Annual world Forum and Symposium, Agribusiness, Food, Health and Nutrition, IAMA Conference, June 10-13, 2006 in Buenos Aires, Argentina.
• Sivadas, E and Baker – Prewitt, J.L. (2000). An Examination of the Relationship between Service Quality, Customer Satisfaction, and Store Loyalty. International Journal of Retail and Distribution Management, 28(2), pp.73-82.
• Verdict Consulting research (2007) UK grocery Market: more competitive than ever. Market watch Journal, 6 (12), pp.12-13.
• Hair, J.F., Anderson, R.E., Tatham, R.L. and Black, W.C. (2003) Multivariate Data Analysis, New Delhi: Pearson Education.
• Stone, M. (2005) Customer relationship management and the impact of corporate culture - a European study. Database Marketing & Customer Strategy Management, 13(1), pp. 28-54.
• Gregory, J.R. and Wiechmaan, J.G. (1999) Marketing corporate image. 2nded. Chicago: NTC Business Books. (Online).
• Grønholdt, L., Martensen, A. and Kristensen, K.(2000) The relationship between customer satisfaction and loyalty: cross industry differences. Total quality management. 11(4, 5 and 6), pp. 509-514.
• Foresee online satisfaction Measurement Company (2007). Satisfaction = Loyalty. Marketing Management Journal, 16(4), pp5-5, 1/5.
• Srinivasan, R. and Moorman, C. (2005) Strategic firm commitments and rewards for customer relationship management in online retailing. Journal of Marketing, 69 (October 2005), pp. 193–200
• Stone, M., Woodcock, N. and Machtynger, L. (2000) Customer relationship marketing: get to know your customers and win their loyalty. 2nd ed. London: Kogan Page.
• Shajahan.S (2006) Relationship marketing: Text and cases. Tata McGraw–Hill. New Delhi.
• Sivadas, E. and Baker-Prewitt, J.L. (2000) An examination of the relationship between service quality, customer satisfaction, and store loyalty. International Journal of Retail and Distribution Management. 28 (2), pp. 73-82.
• Ather, S.M. and Nimalathasan, B. (2009) Factor Analysis: Nature, mechanism and uses in social and management researches. Journal of the Institute of Cost of Management Accountant of Bangladesh, XXXVII (2), pp. 12-17.
• Malhotra, N.K. (2002). Marketing research: an applied orientation. 3rd ed. New Delhi: Pearson Education Asia.
• Bagozzi, R. P. and Yi, Y. (1988). On the evaluation of structural equation models. Journal of the Academy of Marketing Science, 16 (1), pp. 74-95.
• Dibb, S., Simkin, L., Pride, W.M. and Ferrell, O.C (2006) Marketing: Concepts and Strategies. Boston. Charles Hartford.
• Keiningham, T.L., Cooil,B.A., Andreassen, T.W & Weiner,J.(2007). The Value of Different Customer Satisfaction and Loyalty Metrics in Predicting Customer Retention, Recommendation, and Share – of- Wallet, Managing Service Quality, 17(4), pp.361-384.
• Kuusik, A. (2007) Affecting Customer Loyalty: Do Different Factors Have Various Influences In Different Loyalty Levels.
Published January 11, 2020
How to Cite
[1]
T. Vannarajah and A. Medis, “Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District”, sshj, vol. 4, no. 01, pp. 1716-1726, Jan. 2020.
No Supplimentary Material available for this article.
Published January 11, 2020
How to Cite
[1]
T. Vannarajah and A. Medis, “Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District”, sshj, vol. 4, no. 01, pp. 1716-1726, Jan. 2020.

Statistics from Altmetric.com

Statistics from Dimensions.ai

Statistics from PlumX

Published January 11, 2020
How to Cite
[1]
T. Vannarajah and A. Medis, “Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District”, sshj, vol. 4, no. 01, pp. 1716-1726, Jan. 2020.

Sections

We Recommend


Related Articles

Related Authors

 



In Google Scholar

In Social Science and Humanities Journal

In Google Scholar

 
  • T.Lesly Vannarajah
  • Ajith Medis

  • Published January 11, 2020
    How to Cite
    [1]
    T. Vannarajah and A. Medis, “Impact of Customer Satisfaction on Customer Loyalty – The Study on Supermarkets in the Jaffna District”, sshj, vol. 4, no. 01, pp. 1716-1726, Jan. 2020.