Customer Satisfaction Lead to Loyalty

The company knows the demands of the customers and they are well orientated in the service and the knowledge of the products and this is the element that makes them prosperous. Jean’s Rare Find Books belief in customer service and satisfaction enables a comfortable and peaceful atmosphere and in return produces a strong customer loyalty for the company. Customer satisfaction and customer retention externally and internally is measured by the perspective of the customers and thus implements the reason for the company’s prosperity. Customer perspective is a key factor on how the customer views the company.

Customer service is the most important aspect of any business. Without an adequate relationship with its consumer base, a company is at an enormous disadvantage.

It requires a great deal of effort to induce satisfied customer to switch away from their current existing. Thus, customer satisfaction is been given top priority in today’s competitive world.

Customer service is the most important aspect of any business. Without an adequate relationship with its consumer base, a company is at an enormous disadvantage.

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: Understanding the pulse of the customer and providing exceptional customer service by offering the fair measures of product policies like discounts, return policies of retailing and thus enhancing the business policies.

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.

Secondly, providing high quality customer service might be another essential factor in any customer loyalty strategy. The better a vendor treats their customers, the more likely the customers will return. As Cater and Cater (2009) state, an outstanding customer service could create a sustainable loyal customer

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 order to survive in the competitive business environment organisations have to concentrate upon strengthening their consumer’s satisfaction strategies for ensuring consumer loyalty in the long run of business. In order to incorporate a long term customer retention strategy, organisations are in immediate need for assessing and unveiling the reasons and elements prior to the designing and implementation process of the consumer retention programmes. The importance of consumer loyalty could be

There is a market opportunity for the improvement of customer service that will satisfy the customer resulting in revenue improvement. First employees must be trained learning skills in customer service having commitment and confidence in handling customers professionally. Customers will feel that they were treated as an individual and taken care of. It is through the direct experience of customer service with the employee and the customer, showing how important they are and what the company can deliver. Satisfying the needs by delivering what is valuable to the customers will drive them to purchase more products and services, achieving customer loyalty. Good customer service and care is the most essential method for improving customer loyalty. Building loyalty with 5% more customers would lead to an increased average profit per customer of between 25% and 100% (Carter 2014).

Higher levels of customer loyalty in service organizations initiate a series of economic effects in a business system. Revenues and market share grow as loyal customers commit to the organization, become repeat customers, and recommend the organization to others. Reichheld & Sasser (1990) conducted their studies across 14 industries in the United States and found that a 5% increase in customer retention leads to an increase in profit of between 25% to 95%.

The high quality relationship with customers is the main influence of a successful service provider (Panda, 2003) “which determines customer satisfaction and loyalty” (Jones, 2002 as cited by Lymperopoulos et al., 2006). Organizational outcome such as performance superiority is primarily influenced by the service quality (Poretla & Thanassoulis, 2005), “increasing sales profit” (Levesque & Mc. Dougal, 1996; Kish, 2000; Duncan & Elliot, 2002) and “market share” (Fisher, 2001), progressing customer relations, improving corporate image and promote customer loyalty (Newman, 2001; Caruana, 2002;). “Furthermore, service quality and customer satisfaction were found to be related to customer loyalty through repurchase intentions” (Levesque & Mc. Dougall, 1996; Newman, 2001; Caruana, 2002). Banks must convey quality service to ensure success and survival in today’s competitive banking. It is logical that a satisfied customer will become at the end… a repeat purchaser and a loyal buyer for many causes. This relationship between satisfaction and buyer

To become succeed and different in the new customer economy where loyalty particularly among high value customers, can be extremely difficult and companies need to target investment strategies.in order to get customer loyalty.

Most of the literature focuses on the impact of customer satisfaction on profitability. This particular research acknowledges the possibility of profitability affecting the customer satisfaction. Research attempts to analyse the effect of past profitability on customer satisfaction. Considering this aspect, following hypothesis is proposed: