Relationship Between Customer Satisfaction and Loyalty

Sharma, A., Gupta, J., Gera, L., Sati, M., & Sharma, S. (2020) Relationship between Customer Satisfaction and Loyalty. Social Science Research Network.

12 Pages Posted: 30 Aug 2021 Last revised: 16 Feb 2022

A Sharma

Delhi School of Business

J Gupta

Delhi School of Business

L Gera

Delhi School of Business

M Sati

Delhi School of Business

S Sharma

Delhi School of Business

Date Written: December 25, 2020

Abstract

One of the most important aspects to ensure the attention of the customers is to provide the best and the most favourable products at this competing market. With customer satisfaction comes customer loyalty. The topic for this review article is to determine the relationship between customer satisfaction and loyalty and the factors influencing these concepts. Further we will get to know that how these concepts affect the relationship that customers have with the organization that helps the organization to be at a better place in the market or beat the competitors. A highly satisfied customer will spread positive WOM and a loyal customer leads to an increase in both sales and profitability. Customer satisfaction affects the trust and customer trust is an antecedent of loyalty. When customers connect with emotions through the product/ services of the brand then it creates a bond between the customer and the brand. The relationship between satisfaction and loyalty influences the profits. The more customer is satisfied, the more loyal towards the brand. A loyal customer leads to an increase in both sales and profitability. Customer satisfaction mediates the relationship between customer loyalty and service quality.

Keywords: Customer Satisfaction, Customer Loyalty, Trust, Service quality

Suggested Citation: Suggested Citation

Sharma, A and Gupta, J and Gera, L and Sati, M and Sharma, S, Relationship Between Customer Satisfaction and Loyalty (December 25, 2020). Sharma, A., Gupta, J., Gera, L., Sati, M., & Sharma, S. (2020) Relationship between Customer Satisfaction and Loyalty. Social Science Research Network., Available at SSRN: https://ssrn.com/abstract=3913161 or http://dx.doi.org/10.2139/ssrn.3913161

A Sharma (Contact Author)

Delhi School of Business

VIPS - Technical Campus
AU Block, Outer Ring Road
Delhi, 110034
India