Relationships among customer loyalty programs, service quality, relationship quality and loyalty

Abstract

Purpose-The purpose of this paper is to measure the impact of customer loyalty programs on relationship quality, relationship commitment, and loyalty. Design/methodology/approach-A survey with 480 qualified observations from department store customers in Taiwan was conducted. A structural equation modeling approach was used. Findings-Customer loyalty programs have a partially supported positive impact on relationship quality; service quality has a positive impact on relationship quality; customers with a positive relationship quality impact their relationship commitment; the higher the relationship commitment, the higher the loyalty; and a customer loyalty program partially supports a positive impact on loyalty. Originality/value-The paper shows that customer loyalty programs have positive influences on loyalty. However, short-term customer loyalty programs, namely, Minimum Purchase Gift Cards, displayed no significant influence on loyalty. The incentive of short-term customer loyalty programs is not sufficient for loyalty.

An investigation on the relationship between Service Quality and Customer Loyalty: A mediating role of Customer Satisfaction

“…(1998) defined customer (bank) loyalty as the biased (non-random) behavioural response (revisit), expressed over time, by some decision making unit with respect to one bank out of a set of banks, which is a function of psychological (decision making and evaluative) processes resulting in brand commitment. Likewise, Ou et al (2011) defined loyalty as a held commitment to re-buy or repatronize a preferred product consistently in the future.…”

“…There are several constructs identified by the past researchers as the determinants of customer loyalty such as service quality (Tarus and Rabach, 2013;Malik, Naeem and Arif, 2011;Puja and Yukti, 2011;Gurbuz, 2008;Ehigie, 2006;Bloemer, Ruyter and Wetzels, 1999;Zeithaml et al 1996) customer satisfaction (Keisidou et al 2013;Santouridis and Trivellas, 2010;Ehigie, 2006;Yang and Peterson, 2004), perceived service value (Tarus and Rabach, 2013;Yang and Peterson, 2004), customer trust (Roostika, 2011;Filip and Anghel, 2009), commitment (Ou, Shih, Chen, and Wang, 2011;Filip and Anghel, 2009), and perception of image (Keisidou et al 2013;Akhter et al 2011;Andreassen and Lindestad, 1998;Bloemer et al1998). In addition, switching cost serves as a moderator (Rahman and Kamarulzaman, 2012;Filip and Anghel, 2009;Yang and Peterson, 2004) in the service quality and customer loyalty relationship.…”

“…Previous studies have focused different industries namely, telecommunication (Tarus and Rabach, 2013;Santouridis and Trivellas, 2010), hotel industry (Poku, Zakari and Soali, 2013;Rousan, Razmi and Mohamed, 2010;Lee, Barker and Kadampully, 2003), casinos (Pretice, 2013), tourism (Andreassen and Lindestad, 1998) entertainment, fast food industry, health care, Supermarkets (Bloemer et al, 1999;Rutyer et al, 1998), restaurants (Puja and Yukti, 2011), department stores (Ou et al 2011;Sivadas and Baker-Prewitt, 2000), e-mail service providers (Ranganathan, Madupu, Sen and Brooks, 2013), call centres (Dean, 2002), library service (Kiran and Diljit, 2011) and banking industry (Caruana, 2002;Ganguli and Roy, 2011;Bloemer, Ruyter and Peeters, 1998;Hallowell, 1996;Olorunniwo and Hsu, 2006;Ehigie, 2006) Service quality is one of the important antecedents of customer loyalty which has a direct and indirect impact on the later . Therefore, this is an attractive area for researchers over the last decade in banking sector Ruyter and Peeters, 1998;Caruana, 2002;Dhandabani, 2010;Sureshchandar et al 2002;Mosahab et al 2010).…”

Pengaruh Kualitas Pelayanan Terhadap Loyalitas Pelanggan Pada Toko Buku Online Universitas Tebuka

“…Tingkat determinasi model regresi ini adalah R 2 = 46.5%. Hasil ini mendukung hasil penelitian Ou et al (2011) dan Shanka (2012 yang menunjukkan bahwa kualitas pelayanan berpengaruh positif terhadap loyalitas pelanggan. Pencapaian kualitas pelayanan menjadi faktor penting bagi setiap bisnis untuk mempertahankan persaingan (Hu et al, 2009).…”

A mediated model of relationship quality factors affecting behavioural intention at a luxury motor vehicle dealership

“…It has been stated that, compared to new vehicle sales, gross profit margins are higher in the post-purchase service and repairs department (Henry, 2012). It is further believed that revenue in a retail environment, as with postpurchase service and repairs at a luxury motor vehicle dealership, is primarily dependent on customers who conduct business with the organisation over a long term (Ou, Shih, Chen and Wang, 2011). Therefore, building long-term relationships with customers through relationship marketing is of paramount importance for an organisation to survive and prosper (Khojastehpour and Johns, 2014).…”