The consumer loyalty formation process and its particularities in the retail sector

Vēvere²,

Zvirgzdiņa

2019

ETR

Self Cite

Everyday life is unimaginable without telecommunication services; they are the significant players in the national economy. All business activities, including the ones of telecommunication services, are directed towards the satisfaction of customers’ needs and wants, and hence towards the profit earning. This process, in its turn, entails the formation of different company/customer relations, where both parties want to gain something out of these relations. The company strives, first of all, to increase the turnover and profit, while the customer wants to receive the desired services, information and the proper attitude. These customer gains can be basis of the loyalty formation, that is very important for the company, because the process of attracting new consumers always involves spending money, time and energy. The goal of this work is to explore the loyalty formation process and its peculiarities in the telecommunication services. Based on the results of the study, it was found that the experts rated the offer of corporate loyalty programs at the lowest, then followed the service offer and the price, but slightly higher the service quality. The experts assigned the highest rating to the prestige of the service. Based on the low assessment of the experts in the telecommunication industry of the loyalty program offer, the authors propose the conceptual consumer loyalty model for the practical use.

Section: Methodsmentioning

confidence: 99%

Necessity of Customer Loyalty Formation and Its Peculiarities in the Telecommunication Services

Vēvere²,

Zvirgzdiņa

2019

ETR

Self Cite

“…Of course, these characteristics of loyal consumers and the benefits to the company depend on the level of loyalty. Consequently, the loyalty building process needs to be studied in more detail [14].…”

Section: Theoretical Aspects Of Consumer Loyaltymentioning

confidence: 99%

“…Retail is an intermediary in the distribution channel for products. A product distribution channel is a set of interconnected companies that participate and perform all functions in the process of transferring, distributing, promoting and selling products and related values from the producer to the consumer [21]. The development of retail companies in recent years shows that retail trade as a whole is a profitable business in Latvia, which is also evidenced by the dynamic growth of turnover every year since the end of the global economic crisis.…”

Section: Consumer Loyalty Dimensions (Dimensions)mentioning

confidence: 99%

Evaluation of buyer‘s loyalty process in retail companies in Latvia under the conditions of globalization

Zvirgzdiņa

2020

SHS Web Conf.

Self Cite

Retail sector has always played an important role in the Latvian economy. The success of a profitable retail business depends on meeting the needs of buyers and, in the long run, building relationships with the buyer. Process of attracting new buyers always involves spending more money, time and energy. In order for a company to retain existing buyers, it is necessary to develop a set of marketing activities that promote and ensure customer loyalty. The globalization of the market is also having a greater impact on retail companies, which makes them to look for solutions for competitiveness and development. In order to identify factors for competitiveness, the authors of the study have set out to investigate the customer loyalty-formation activities in Latvian retail companies. To reach a goal the authors of the paper will study theoretical basis of loyalty formation employing the monographic or descriptive method, the next step will be analysis of the retail development tendencies in Latvia and loyalty-creation activity level of the Latvian retail companies. This study will give retailers an understanding of the importance of loyalty and the need to build it for the competitiveness of retail businesses. The authors have summarized these theoretical aspects and have defined a common approach to loyalty building and provisions for it. After completing the research, the authors conclude that by understanding the essence and formation of loyalty, the company can manage this process and maybe loyalty can be one of the tools for ensuring competitiveness.

“…), which has led to positive attitudes (cognition, trust and emotional) and positive action regarding the offer (repeat-ed purchases, additional purchases, high consumption intensity, etc.) (Linina & Zvirgzdina, 2016). The research literature exhibits an array of loyalty models, but for the purpose of the current research we would like to stress three of them, respectively, the one-dimensional, the two-dimensional, the three-dimensional, and the four-dimensional ones.…”

Section: Literature Reviewmentioning

confidence: 99%

Enhancement of Retail Consumer Loyalty in Latvia by Means of Social Media Communication

Vēvere

2020

EurInsStud

Self Cite

Social media communication has become an important tool both in relying information to potential consumers, as well as in creating experience sharing opportunities. The purpose of this paper is to examine the impact of’ social media communication on the loyalty formation in retailing. The tasks to be carried out are: (1) to research theoretical framework of social media communication and loyalty; (2) to work out methodology for empirical research; (3) to carry out research on consumers’ perception of retail stores online communication. Within the framework of the current study the authors employed a method of customer survey. Applying the non-probability snowball sampling method the questionnaire was distributed via e-mails and Facebook groups (n=327). The general population in this research consisted of the economically active Latvia residents in 2020. The authors used 5-point Likert scale (1-low evaluation, 5 – very high evaluation). The SPSS program was used for this purpose, the following indicators were calculated: arithmetic mean (X ̅), Median (Me); Mode (Mo); Variation; Standard Deviation; Variation Coefficient. The research question posed in the article was the following: What role does social media play in enhancing consumer loyalty in retailing? Findings: 87% of all respondents have noticed the communication of Latvian retail store networks on social media and 60% of all respondents have chosen to follow the profile of social networks to one of them, which indicates the untapped opportunities of companies in this respect. Evaluating the communication of Latvian retail store chains, the arithmetic average is 2.68, but for communication on social media - 2.72. It means that in order to increase these indicators, Latvian retail store chains must develop a communication strategy taking into account both the values of the target audience and the basic principles of building relationships with customers. The current research results can serve as grounds for the strategy development.