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Affecting Customer Loyalty: Do Different Factors Have Various Influences In Different Loyalty Levels?

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  • Andres Kuusik

Abstract

The current paper studies the influence of various factors on customer loyalty. The main hypothesis of the study insists that the list of most important factors affecting loyalty is dependant on the level of loyalty of costumers. LOGIT method was used for testing the hypotheses on the sample of survey data about 1000 private customers of the biggest telecommunication company in Estonia. The results reveal that four analysed factors affecting customer loyalty (satisfaction, trustworthiness, image and importance of relationship) are playing different role on the different levels of customer loyalty.

Suggested Citation

  • Andres Kuusik, 2007. "Affecting Customer Loyalty: Do Different Factors Have Various Influences In Different Loyalty Levels?," University of Tartu - Faculty of Economics and Business Administration Working Paper Series 58, Faculty of Economics and Business Administration, University of Tartu (Estonia).
    • Handle: RePEc:mtk:febawb:58
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    1. Birger Wernerfelt, 1991. "Brand Loyalty and Market Equilibrium," Marketing Science, INFORMS, vol. 10(3), pages 229-245.
    2. Frank Harary & Benjamin Lipstein, 1962. "The Dynamics of Brand Loyalty: A Markovian Approach," Operations Research, INFORMS, vol. 10(1), pages 19-40, February.
    3. Spekman, Robert E., 1988. "Strategic supplier selection: Understanding long-term buyer relationships," Business Horizons, Elsevier, vol. 31(4), pages 75-81.
    4. N. Sheth, Jagdish & Parvatiyar, Atul, 1995. "Relationship marketing," International Business Review, Elsevier, vol. 4(4), pages 391-396.
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    Cited by:

    1. Akpoviroro Kowo Solomon & Amos Akinbola Olufemi & Oladipo Akinrinola Olalekan & Adewale Adegbite Ganiu, 2020. "Product Branding and Consumer Loyalty in Telecommunication Industry," Economics and Culture, Sciendo, vol. 17(1), pages 94-103, June.
    2. Mohammed A. Hajar & Ammar Ahmed Alkahtani & Daing Nasir Ibrahim & Mohammed A. Al-Sharafi & Gamal Alkawsi & Noorminshah A. Iahad & Mohd Ridzuan Darun & Sieh Kiong Tiong, 2022. "The Effect of Value Innovation in the Superior Performance and Sustainable Growth of Telecommunications Sector: Mediation Effect of Customer Satisfaction and Loyalty," Sustainability, MDPI, vol. 14(10), pages 1-20, May.
    3. Claudia Bobâlcă, 2014. "Determinants Of Customer Loyalty. A Theoretical Approach," Economy & Business Journal, International Scientific Publications, Bulgaria, vol. 8(1), pages 995-1005.
    4. Claudia BOBALCA, 2015. "The Loyal Customers’ Perception Regarding The Online Buying Process," CES Working Papers, Centre for European Studies, Alexandru Ioan Cuza University, vol. 7(2), pages 241-255, August.
    5. Yuen Yee Yen* & Wan Fahmy Wan Rasdi & Devinaga A. P. Rasiah & Suganthi A. P Ramasamy, 2018. "Key Determinants of Smart Phone Brand Loyalty," The Journal of Social Sciences Research, Academic Research Publishing Group, pages 724-733:2.
    6. Khansa Zaman & Asma Arshad & Aqeel Shahzad, 2012. "Customer Loyalty in FMCG Sector of Pakistan," Information Management and Business Review, AMH International, vol. 4(1), pages 41-48.
    7. Md. Shahnawaz Abdin & Dr. N. H. Mullick, 2016. "A Conceptual Perspective on Brand Switching Behaviour of Consumers in Telecommunication Industry," Journal of Commerce and Trade, Society for Advanced Management Studies, vol. 11(1), pages 50-58, April.
    8. Syahida Abd Aziz & Muhammad Shahar Jusoh & Mohammad Harith Amlus, 2017. "Investigating Critical Success Factors of Brand Loyalty: A Meta-data Analysis Approach," International Review of Management and Marketing, Econjournals, vol. 7(3), pages 233-237.
    9. Claudia, 2014. "Romanian Perspective On Customer Loyalty For Direct Selling Companies," CES Working Papers, Centre for European Studies, Alexandru Ioan Cuza University, vol. 6(3), pages 6-16, September.
    10. Sunaryo & Soegeng Wahyoedi & Achmad Sudiro & Sudjatno, 2020. "The Effect of Religiosity on the Improvement of Customer Loyalty Towards Islamic Banks," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(4), pages 132-151.
    11. Claudia BOBALCA, 2013. "Study Of Customers’ Loyalty: Dimensions And Facets," Management and Marketing Journal, University of Craiova, Faculty of Economics and Business Administration, vol. 0(1), pages 104-114, May.

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