Antecedents of customer loyalty: An empirical synthesis and reexamination

Despite the importance of customer loyalty, no comprehensive, empirical work has attempted to assess the general findings across academic studies. The study intends to fill that void by conducting a meta-analysis of empirical findings on the predictors of customer loyalty. Although findings of this study support all the hypothesized main effects, they indicate stronger effect size for trust than for other determinants of loyalty. The study also tests the robustness of previous findings across various research and measurement contexts. The analysis of moderating effects reveals several interesting findings. For instance, attitudinal loyalty measures seem to be a plausible surrogate for behavioral loyalty measures. The effects of customer satisfaction and trust on loyalty are less prominent when products are purchased on a regular and relatively short (as opposed to an irregular and relatively long) purchase cycle. Factors that largely relate to product performance (e.g., satisfaction, quality) have a weaker impact on loyalty in B2B than in B2C settings. Some relationships (e.g., the effect of quality on loyalty) become stronger over time. Furthermore, our results detect consistently weaker effects from studies using single-item (relative to multi-item) loyalty measures.     

Customer perceived value,satisfaction, and loyalty: The role of switching costs

It is a marketplace reality that marketing managers sometimes inflict switching costs on their customers, to inhibit them from defecting to new suppliers. In a competitive setting, such as the Internet market, where competition may be only one click away, has the potential of switching costs as an exit barrier and a binding ingredient of customer loyalty become altered? To address that issue, this article examines the moderating effects of switching costs on customer loyalty through both satisfaction and perceived‐value measures. The results, evoked from a Web‐based survey of online service users, indicate that companies that strive for customer loyalty should focus primarily on satisfaction and perceived value. The moderating effects of switching costs on the association of customer loyalty and customer satisfaction and perceived value are significant only when the level of customer satisfaction or perceived value is above average. In light of the major findings, the article sets forth strategic implications for customer loyalty in the setting of electronic commerce. © 2004 Wiley Periodicals, Inc.     

Examining E-Commerce Customer Satisfaction and Loyalty: An Integrated Quality-Risk-Value Perspective

Because of the inherently virtual nature of online environments, maintaining customer loyalty on business-to-customer (B2C) e-commerce websites is a challenging task. Although there have been many e-commerce studies that investigate customer loyalty in various B2C contexts, none of them have examined loyalty by simultaneously adopting quality-, risk-, and value-driven perspectives. This study integrates the quality-satisfaction-loyalty paradigm and the extrinsic cue-quality-risk-value chain to develop a theoretical model of customer loyalty that is based on an integrated quality-risk-value perspective. Data collected from 542 experienced online shoppers are used to validate the theoretical research model. Additionally, the mediation effects of perceived e-service quality, perceived risk, perceived value, and satisfaction on the relationship between electronic word-of-mouth (eWOM) and loyalty in B2C websites are validated using rigorous statistical methods. As hypothesized, the findings indicate that both positive and negative eWOM significantly influence perceived e-service quality and perceived risk and, in turn, significantly affect perceived value, customer satisfaction, and customer loyalty via the mediation of perceived e-service quality and risk. This study substantially enriches our understanding of the success of B2C websites by highlighting how the sequential causal relationships among key extrinsic cues, quality, risk, and value can strongly influence customer satisfaction and loyalty on these websites. Theoretical and practical implications are discussed.     

Consumers’ relationships with brands and brand communities – The multifaceted roles of identification and satisfaction

This study integrates consumer-brand identification and customer satisfaction as core relationship drivers to study their interrelationships as well as the effects on customer loyalty and word-of-mouth communication. Considering multiple interacting targets of identification in brand communities, the empirical study unfolds the multifaceted, context-specific relevance of identification and satisfaction: While the effect of identification on brand loyalty is mediated by customer satisfaction, satisfaction has no significant effect on community loyalty. Moreover, brand communities are particularly useful for gaining new customers, whereas no increase in brand loyalty could be found. Managers are generally advised to specify constructs of interest related to different relevant targets of identification.     

E-retail factors for customer activation and retention: An empirical study from Indian e-commerce customers

Customer satisfaction has emerged as one of the most important factors that guarantee the success of online store; it has been posited as a key stimulant of purchase, repurchase intentions and customer loyalty. A comprehensive review of the literature, theories and models have been carried out to propose the models for customer activation and customer retention. Five major factors that contributed to the success of an e-commerce store have been identified as: service quality, system quality, information quality, trust and net benefit. The research furthermore investigated the factors that influence the online customers repeat purchase intention on the basis of the Means End Chain theory (MEC) and Prospect theory. By hypothesising that a combination of both utilitarian value and hedonistic values are needed to affect the repeat purchase intention (loyalty) positively, Structural equation model has been presented on the primary data collected from the Indian online shoppers. Results indicate the e-retail success factors, which are very much critical for customer satisfaction. By increasing the utilitarian value and hedonistic values derived by the customers, customer satisfaction and hence the customers repeat purchase intention can be increased significantly.     

Online purchase determinants of loyalty: The mediating effect of satisfaction in tourism

The purpose of this research is to investigate the impact of four online purchase determinants (website image, routine, website knowledge and innovativeness) on customer loyalty and the mediating effect of customer satisfaction within the context of e-commerce. The research model is tested using data collected from 3188 regular buyers of the national leader in the sector being studied. The statistical analyses were conducted within the Structural Equation Modeling framework. Results show that there is a complete mediating effect of e-customer satisfaction in the relationship between three online purchase determinants (website image, online routine and website knowledge) and e-customer loyalty. The research results provide an important insight into how e-companies can pursuit and use delight to highlight customers' loyalty. These results allow for a better understanding of customer specificities, with practical actions aimed at their real needs and expectations.     

Key drivers of services website loyalty

The ease of website comparison and strong price competition encourage users to constantly switch tourism service providers. The present work analyses how satisfaction, trust, and commitment can help to strengthen loyalty towards websites selling accommodation services. Moreover, special attention is paid here to evaluate the moderating effects of gender on the relationships between these variables. Structural equation models were used to test the hypotheses on a sample of 230 Mexican Internet users, online purchasers of tourist accommodation services. The results show significant differences between men and women's post-purchase behaviour with a higher influence in women of trust on commitment and of commitment on loyalty towards accommodation services websites. Managerial implications for accommodation websites are provided.     

Differential effects of atmospheric cues on emotions and loyalty intention with respect to age under online/offline environment

Effects of atmospheric cues are usually not compared across offline and online contexts as well as across age groups. This study proposes a model that examines the effect of the atmospheric cues graphics design and information design on positive emotions and loyalty intentions. The model is compared across offline and online stores and regards the consumers' age as moderator. A field study was conducted, which collected data from 363 customers. Hypotheses are tested using structural equation modeling. Results for the offline context reveal that graphics design foster positive emotions and loyalty. Information design predicts loyalty. Results for the online context reveal that information design is salient over graphics design. Information design fosters positive emotions and loyalty, while graphics design does not. Further, we found that in the offline context positive emotions predict loyalty among younger customers but not among older ones. In the online context the effect of graphics design on loyalty is stronger and, thus, significant for younger customers than compared to older ones.     

Work and Fun on the Internet: The Effects of Utilitarianism and Hedonism Online

Consumers may act on the spur of the moment, driven by fun and curiosity, or be goal-oriented, task-focused utilitarians. This study investigates the effects of consumers’ hedonic and utilitarian orientation online on price consciousness, frequency of purchase, purchased amount, intention to re-patronize a Web site and expertise with the Internet. It specifically considers purchasing, not mere browsing, basing on data collected on customers of one of the largest Italian online retailers for electronics. The data show significant differences between hedonic and utilitarian orientation online with regard to past purchase frequency, the amount purchased and the intention to re-patronize the Web site in the future. The findings suggest that utilitarianism is strongly present online, and is valuable, thus utilitarian consumers should not be neglected, but hedonism is even more profitable, impacting on the number of items purchased and the intention to come back to the Web site. No differences are found in the level of price consciousness or in the degree of expertise with the Internet.     

The relationship between trusting beliefs and Web site loyalty: The moderating role of consumer motives and flow

This research (1) examines how specific consumer motives (i.e., goal‐directed: searching for information, experiential: browsing for recreation) influence the trusting belief–loyalty relationship at a Web site in a distinct manner and (2) investigates how the online flow experience in each of the motive states strengthens or weakens the trusting belief–loyalty relationship. The results suggest that for consumers with an experiential motive, benevolence‐ and integrity‐related beliefs are the key drivers of loyalty, while ability‐related beliefs do not drive loyalty. On the other hand, for consumers with a goal‐directed motive, the ability‐ and integrity‐related beliefs are the key drivers of loyalty, while benevolence‐related beliefs are not influential. Further, this research illustrates that when consumers with an experiential motive experience a high level of flow, the impact of trusting beliefs on loyalty weakens. However, for consumers with a goal‐directed motive, trusting beliefs continue to exert the same impact on loyalty across both high and low levels of flow. ©2010 Wiley Periodicals, Inc.     

Determinants of customer brand loyalty in the retail industry: A comparison between national and private brands in South Korea

Finding motivations for customer brand loyalty is one of the most popular academic and practical research fields; in this regard, some scholars have explored motivations in the retail industry. As the concept of private brands has been one of the most widely employed strategies for business success in the industry, comparing private and national brands in terms of customer loyalty is an important topic in the retail industry. Thus, the current research focuses on exploring antecedents of customer loyalty in private and national brands, as well as investigating whether there are notable structural differences between the brands. The results, based on 1,631 responses, indicate that customer perceived service/product quality, satisfaction, trust, and cost are notable determinants of brand loyalty, while the relationship between customer satisfaction and service quality of private brands is not supported. Moreover, both indirect and direct effects of the employed factors on customer brand loyalty are reported.     

CUSTOMER SERVICE IN THE INTERNET‐ENABLED LOGISTICS SUPPLY CHAIN: WEBSITE DESIGN ANTECEDENTS AND LOYALTY EFFECTS

This article extends the existing research on logistics customer service‐loyalty relationships to the online logistics supply chain environment by examining potential website determinants of logistics customer service quality. A structural equation analysis of 373 online shopping transactions suggests that perceived quality of all logistics customer service activities (perceived cycle time, in‐stock availability, and customer responsiveness) varies inversely with: (1) perceived ease of use, and (2) content vividness of the website; and positively with product information content. However, only retailer customer responsiveness assessment was found to have any significant influence on consumer intended loyalty behavior in Internet‐enabled supplies chains.     

Platform quality factors influencing content providers’ loyalty

This study investigates what platform quality factors affect the contents of the loyalty of content providers to support the continued expansion and sustainability of online platforms. It analyses empirically the influence of platform quality on the satisfaction with and loyalty to the service as well as on the platform's ability to secure content providers from a survey of 222 platform users. It confirms five significant findings for platform quality and user loyalty. First, all five factors of SERVQUAL have meaningful effects on platform user satisfaction. Second, factors affecting service quality differ by gender. Third, while male users regard platform technology as most critical, female users are more concerned about platform events and interests. Fourth, female users care more about customer responses than male users do; however, the user interface is the most critical aspect for both genders. Finally, platform quality has a significant impact on satisfaction and loyalty among content providers. It identifies the importance of platform service quality as a factor to increase user (content providers) loyalty on the platform. And it also investigates differences according to user gender by subdividing platform service users and indicates how service quality effects can change according to user characteristics.     

The importance of customer satisfaction in explaining brand and dealer loyalty

The positive influence of customer satisfaction on brand and dealer loyalty is often taken for granted. In this study we attempted to prove whether this relationship really exists. In order to do so we examined the case of an automobile‐dealer network. Three different types of customer satisfaction were distinguished: (a) satisfaction with the car; (b) satisfaction with the sales service and (c) satisfaction with the after‐sales service. It was expected that all three types of satisfaction would have an influence on brand loyalty as well as on dealer loyalty. More specifically, it was expected that satisfaction with the car would be the major determinant of brand loyalty and that satisfaction with the service (both sales‐ and after‐sales service) would be the major determinant of dealer loyalty. Furthermore, a study of the literature revealed that dealer loyalty might also significantly affect brand loyalty.

In the empirical part of the study, customers (n = 416) of different automobile‐dealers of the same brand were asked to fill in a mailed questionnaire. The three different types of customer satisfaction and the intention to buy the same brand of car again, as well as the intention to buy from the same dealer again were measured. The customers were also asked why they would buy the same brand (again) or from the same dealer. In general, the analyses of the results revealed that: customer satisfaction with the car, as well as dealer loyalty are major determinants of brand loyalty; customer satisfaction with the sales service as well as with the after‐sales service are major determinants of dealer loyalty and dealer loyalty is an intervening variable in the relation between satisfaction and brand loyalty. Furthermore, it was found that the strength of the relationship between different types of satisfaction and loyalty indicators differs markedly between various market segments (private/business use of car and new/used car buyers). Several marketing implications are presented. A distinction may be made between the implications for the manufacturer of the physical product and the automobile dealer rendering the service.     

B2C网购环境下的顾客满意度与顾客忠诚度研究

通过对广州市各个高校共342位同学的实地和网上问卷调查,考察了B2C网购环境下的顾客信任在顾客满意度对顾客忠诚度之间关系的中介作用以及性别差异对该关系的调节效应。研究结果显示,在B2C网购环境下：顾客满意度对顾客忠诚有正向影响;顾客信任在顾客满意度与顾客忠诚的关系中具有中介作用;性别差异在顾客满意度与顾客忠诚度的关系中没有调节效应。     

How quality, value, image, and satisfaction create loyalty at a Chinese telecom

This study proposes and tests an integrative model to examine the relations among service quality, value, image, satisfaction, and loyalty in China. Analysis of survey data from 118 customers of a Chinese mobile communications company reveals that service quality directly influences both perceived value and image perceptions, that value and image influence satisfaction, that corporate image influences value, and that both customer satisfaction and value are significant determinants of loyalty. Thus, value has both a direct and indirect (through satisfaction) impact on customer loyalty. Other variables mediate the impact of both service quality and corporate image on customer loyalty.     

Operations in banking: the service quality and effects on satisfaction and loyalty

This paper studies the service quality provided by the banks. The objectives are (i) to identify which aspects of the transactions carried out by the banks are important for the service quality perceived by the customers, taking into account some aspects that are sometimes ignored (online channels) and (ii) to observe how service quality influences customer satisfaction and how customer satisfaction affects the loyalty towards the bank. Using a factor analysis, the research identifies the operative, physical, new technologies and human factors. Next, using structural equations models with AMOS, the results show an influence of the operative aspects and the new technologies on service quality, as well as the confirmation of quality as a precedent to customer satisfaction, and how such satisfaction influences on customer's loyalty towards the bank.     

Do Consumption Goals Matter? The Effects of Online Loyalty Programs in the Satisfaction‐Loyalty Relation

This study investigates the effects of online loyalty programs in the customer satisfaction‐loyalty relationship. It is proposed that loyalty programs may induce loyalty toward programs (program loyalty), which may then influence loyalty toward stores (store loyalty). According to the results of a two‐wave survey, consumption goals matter in the effects of program loyalty on online store loyalty. For consumers with hedonic goals, hedonic program loyalty (e.g., free gifts) has a significant effect on online loyalty. For consumers with utilitarian goals, however, utilitarian program loyalty (e.g., coupons) has a significant influence on online loyalty. Theoretical and managerial implications are also discussed.     

Customer perceived value,satisfaction, and loyalty: the role of willingness to share information

This study proposes and tests an integrative model to examine the relationships among customers’ willingness to share information, satisfaction, perceived value, and loyalty in a retailing context. This study extends research on customers’ willingness to share information from trust and privacy concerns toward key outcome measures such as perceived value, customer satisfaction, and loyalty, and is thus among the first to model customers’ willingness to share information with companies in robust theoretical retailing frameworks. The proposed relationships were tested using data from two retailing contexts – groceries (N = 429) and do-it-yourself (DIY) (N = 895). Findings from the two samples suggest that both perceived value and satisfaction are significant determinants of customers’ willingness to share information with a company. Although some differences emerge in the two studies, structural modeling largely supports the hypothesized framework and positions customers’ willingness to share information as an important antecedent of their loyalty intentions and behavior. This study provides practitioners with preliminary insight into the relationship between willingness to share information and perceived value, customer satisfaction, and customer loyalty. This study advances retailing research, as it is one of the few empirical studies investigating the role of customers’ willingness to share information in driving loyalty and its relationship with perceived value and satisfaction in a retailing context.     

Crosswise and reciprocal interdependencies within retailers’ multichannel structures

Understanding consumer behavior across channels is the fundamental basis for implementing successful multichannel retailing strategies. This study analyzes the crosswise and reciprocal relationships between offline and online brand beliefs, offline and online retail brand equity and consumers’ conative loyalty to a retailer in multichannel structures. The relationships are contextualized by investigating fashion and grocery retail sectors and different prior channel performances that are likely to affect the paths to loyalty across channels. To provide insight into these issues, two cross-sectional and two longitudinal models are employed. The results show that former brick-and-mortar retailers are able to significantly increase consumers’ loyalty to the firm by primarily designing offline (secondary online) attributes and beliefs. The results hold for retailers in both fashion and grocery retailing, however, with stronger effects in fashion, as well as for retailers with strong vs. weak prior channel performance. However, indirect effects indicate that online brand beliefs and offline retail brand equity are the central strategic levers for prior strong (vs. weak) retailers. Reciprocal relationships between online and offline retail brands underline important channel interdependencies. Managers thus need to take these crosswise and reciprocal interdependencies between channels into account when designing successful multichannel retailing systems. This study introduces the novel idea of simultaneous crosswise and reciprocal relationships within multichannel retail structures and shows that paths to loyalty vary for retailers in different retail sectors and retailers with strong vs. weak offline and online channel performances.