Ways to Measure Loyalty of Service Users

Ways to Measure Loyalty of Service Users

Quang Dang Nguyen, Khoa Van Nguyen, Olga Kolosova
Copyright: © 2022 |Pages: 18
DOI: 10.4018/IJISSS.287580
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Abstract

The focus of this study was set on the empirical determination of the differences between the methods of measuring the loyalty of users of services. The research reviewed approaches to evaluating the loyalty of taxi service users in Ho Chi Minh (Vietnam), Moscow (Russia), and Novosibirsk (Russia). The goal implied the segmentation of service users depending on the patterns of conduct and giving advice on the development of loyalty programs. The novelty lies in grouping respondents by age and gender and determining the ways to measure their loyalty. The research findings imply that people under 30 tend to make a choice based on reviews of others. The study developed possible customer behavior models and options for actions depending on their satisfaction and loyalty. This matrix can be used for building a comprehensive strategy to increase the loyalty of their clients. Practical value of the study lies in the possibility of using the data obtained to model the behavior of consumers of different service types based on the proposed loyalty matrix.
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Introduction

Recent global economy socialization and the general acceleration of economic processes have facilitated the creation of a marketing mix and promoted a notable improvement in marketing strategies’ content (Vilkaite-Vaitone & Skackauskiene, 2020). Modern trends in the development of both the economy and society have led to an increase in the importance of forming sustainable relationships with customers and emphasized the significance of building customer loyalty. In this connection, mending relationships with customers to increase their loyalty and acquire the so-called client capital is frequently referred to as one of the priority tasks of modern business.

Today, the foundation for ensuring a stable sales volume is represented by a positive attitude towards the company and its products, that is, the availability of customer loyalty. This particular event has given rise to an active investigation of the customer loyalty concept within the framework of practical marketing activities and, accordingly, stimulated the interest in this topic among the world academic community. Even though the idea of customer loyalty is closely related to a client’s behavior psychology, this phenomenon is often studied from the perspective of several sciences at once. In a majority of cases, these include psychology, sociology, management theory, and marketing.

Customer behavior is entitled as a type of social behavior and is characterized by a considerable number of different, often contradictory, approaches to predicting it. Due to the lack of a unified approach to understanding loyalty, all its interpretations are likely to complement each other but remain limited to a greater or lesser extent. Haziness and general complexity of the customer loyalty concept have introduced an element of uncertainty in methods to measure it, which, in turn, compounds a problem of developing a loyalty management strategy. The central difficulty in measuring customer loyalty is that the corresponding methods are grounded on data on the already made customer decisions. These strategies project past experience onto the future and fail to consider the possibility of spontaneous purchases and relations between the client and the direct executor (not the company as a whole).

The relevance of this research is explained by the fact that specific methods and tools for measuring customer loyalty with reference not only to financial but also other marketing factors are examined insufficiently and require further development. The simultaneous use of several loyalty measurement methodologies allows overcoming the limitations of each of them and disclosing the problem posed more fully (Agrawal et al., 2012).

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