A Research Study On Ikea

Given such a turbulent business environment, building relationships with important stakeholders is crucial to a firm’s well-being. Both customers and employees are major concerns for firms that want to develop loyalty and competitive advantages. The challenge for long-run success in business is to continually increase the customer’s dependence on the company to provide products in an environment of mutual respect and perceived fairness. Creating mutually beneficial exchange relationship with customers mean that both parties work together to understand needs and develop trust.

Value and image are equally important for being the biggest reasons for IKEA’s growth and popularity. Value is important because for the majority of people this is their main criteria. The value the people receive from IKEA are portrayed through the cost, quality, and style of the product. These three terms if done correctly will continually help IKEA’s growth and popularity. The image of IKEA is what helps IKEA stick out amongst its competitors. The image is one of a

7. Consumer loyalty needs to be increased: - The main recommendation is to increase the good relationship with the consumer at all. The reason is that if there is a good relationship between the organisation and the consumer then the benefit will be to the organisation as good relationship sometimes helps to reduce expense on the other factors like huge expense that is done on the advertising of the brand of the organisation. In Asian markets, areas such as relationship building and a ‘benefit-the-country’ attitude are sometimes more important than investing enormous amounts on advertising (LaForet and Chen, 2012).

This research proposal aims to address the several customer retention strategies implemented by the famous food chain restaurant, Mc Donald. Bearing in mind the increased significance of enhanced customer relationships, this topic is worthwhile to be examined for gaining an insight about the different tactics and strategies used by large organizations to sustain the dynamic environment characterized by fierce competition.

This research aims to know the influence of product quality and customer satisfaction toward customer loyalty. This type of research is a research

Customer loyalty is much harder to obtain that customer service satisfaction. The most important first step is to satisfy the customer by meeting their expectations. Customers only give a company one chance and if they aren’t satisfied they will not do business with that company again, as well as tell others of their experience. The next step would be to exceed the customer’s expectations. If a business goes above and beyond to assist the customer they begin to build loyalty. The next step is to truly surprise the customer. In order to dominate the marketplace the company must find a way to make them selves stand out with their product or service, accompanied with phenomenal customer service. Once this has been done customer satisfaction and loyalty will be gained. “Acquiring a new customer can cost four or five times more than keeping a current customer” (Bestmark, 2013). So it’s essential to keep the current customer’s happy and coming back for more.

In the last 20 years, more and more emphasis has gone into investigating the core components of customer loyalty and seeking to single out the factors that cause customers to return. Studies have consistently demonstrated that clients who feel that they can trust the business or worker to care for them and to be honest will reward the business by their devotion even, occasionally, at cost to themselves. Han et al. (1993) rated trust as the most important characteristic in any business relationship, whilst Kumar et al. (1995) saw trust and commitment as being indistinguishable one from the other. When client learns to trust producer, commitment, almost inevitably followed.

It is imperative to satisfy customers and give them an amazing experience at the company. While it cost less to sell to existing customers and companies can increase profit by selling to the same customers; if customers are satisfied, there is more chance they will come back for more services or products. Satisfied customers are a free marketing for the company. However, it is the opposite if customers are dissatisfied. Dissatisfied customer will tell 8 to 10 people about his or her experience (O’Brien, A & Marakas, G. 2004). If by any reason, representatives see that the customer is not satisfy, they should act fast and fix the problem. Furthermore, there is more chance for sale representatives to sell to an existing customer that to a new customer. A good strategy for customer retention is to reward good customers. Companies can easily do

In order to operate a successful and profitable business, certain strategies must be put in place. One very important strategy is customer relationship management. To ensure that every customer has the opportunity to receive exceptional customer service and the ability to become a loyal customer, an organization must follow these steps. First, the organization must evaluate their current customer service strategies and organizational goals. This will help decipher strengths and weaknesses of the organization. Once the organization’s weaknesses are determined, action must be taken immediately. The weaknesses should act as opportunities, while the strengths can be used as something to capitalize off of. If an organization lacks a loyalty program, their next step would be to design one that correlates with their business model and organization goals. Once an organization redesigns their customer service strategies and customer loyalty programs, they will need to accurately apply metrics to successfully measure the value of the changes being made.

In todays competitive environment, the issue of customer relations has become ever more important. With such wide choices available to the customer, the slightest dissatisfaction can easily result in customer taking their business else where. There are many methods available for an organisation to establish and maintain positive relationships with customer to help them retain their business.

The company's products, processes and systems all demonstrate the environmental stance. For occasion, clever use of packing and design means more items can fit into a crate, which means fewer delivery journeys. This kind of in turn reduces IKEA's carbon footprint. IKEA feels that there is no compromise between doing good business and becoming a good business. It should go beyond profitability and reputation. IKEA is intent on becoming a leading example in developing an ecofriendly business. This will likely create an improved everyday life due to the customers. IKEA has found out a business fact being sustainable and dependable is not only good for customers and our planet, it is also good for business. Customer Expectations " the ideas and feelings that a customer has about a product or service, based on what he or she needs from it and expects it to do." The merchandise itself -quality, quantity, business presentation, price the service - timing and speed to match the market, efficiency, knowledge of staff, appearance and social skills of personal. Customer Satisfaction is the level of satisfaction provided by items or services of a company as measured by the quantity of do it again customers. For example, Analyses carried out by companies like Argos and Cadburys have found very high levels of customer satisfaction. It is not necessarily surprising because these companies emphasize market research and marketing as the tools to determine what customers want. Knowing what your customer wants then makes it possible to customize everything you do to pleasing the customers Elizabeth. g. providing the goods that customers want, in the packaging that they really want, in retail outlets which are simple to use and well placed. Right now, there are

Also, in terms of efficiency, customer loyalty is very important in these days. First, getting new customers is very hard and ineffective. It costs 5 to 10 times more to attract new customers than retaining the existing ones. In addition, even if companies succeed to get new customers, they cannot be sure that new customers will continue using their products or services. However, if a company has many loyal customers, they don 't need to be worry about that. Not only is it less expensive to retain a customer than to acquire a new one, loyal customers spend more and purchase more profitable products and services. It is already proved as 'Pareto 's Law '. The longer the customer is loyal, the more profit the company gains. Therefore, if companies care about not only long term growth and profits but efficiency, customer loyalty has to be a top priority.

Introduction:Businesses has grown on fast pace in last few decades. This rapid growth in business ha snot only increased the competition but also provided the customers to choose from the products .increased competition and market uncertainty has left organization to think the ways to retain and attract more and more customers. Wining the heats and minds of customers is now the ultimate goals of much organization to earn profitability. (Kicaid, 2003) It is because organizations know a satisfied customer can refer many new customers to them with no cost of marketing. Customer

The term “Brand Loyalty” also called as “Customer Loyalty” has been in the business industry since a very long time as a model to be used in conducting business. But it wasn’t until the mid to late 1900’s that the term was actually given its due importance by making it a vital part of advertising and marketing. The concept of marketing evolved substantially from being focused on sales of a product to having Customer satisfaction to be its focal point. Studies further revealed that there was a positive correlation between customer satisfaction and Brand Loyalty.

Over time, businesses have recognised that brand loyalty plays a key role in sustaining steady demand and sales flows over time (Aaker, 1991). In fact, Gralpois, (1998), as cited by Lodorfos, Mulvana and Temperley, (2006), labels brand loyalty as a fundamental asset of any business. Findings by Keiningham et al., (2006) have shown that it costs on average, five times more to replace a customer than it does to retain one. This underlines how businesses cannot afford to lose loyal customers and simply replace them with new customers. Subsequently, this has become a major reason why so much research is focused on achieving a better understanding of customers’ loyalty behaviour (Dick and Basu, 1994) (Liebermann, 1999).