Customer Loyalty in the Retail Industry in Yangon, Myanmar
DOI:
https://doi.org/10.14456/shserj.2023.23Keywords:
Product Quality, Service Quality, Customer Satisfaction, Trust , LoyaltyAbstract
Purpose: The purpose of this research is to investigate the factors impacting customer loyalty in the retail industry in Yangon, Myanmar. The study identified the relationship among product innovation, service quality, product quality, customer satisfaction, trust, communication, and customer loyalty. Research design, data, and methodology: A total of 491 respondents were used to collect the data via online and offline questionnaire. The sampling procedure involves judgmental, convenience and snowball sampling. Confirmatory Factor Analysis (CFA) was used to test factor loading, composite reliability, average variance extracted, Cronbach’s alpha, validities and goodness of fit. Additionally, the hypothesis testing results were produced by Structural Equation Modeling (SEM). Results: The result shows that service quality and product quality have a significant relationship on satisfaction. Furthermore, the relationship among satisfaction, trust and loyalty are significantly supported. For second order, there are causal relationship among semi/uncontrolled communication and its elements which are word-of-mouth, public relations, media relations, and social media marketing. Nevertheless, product innovation has no significant impact on satisfaction. Conclusion: Products itself and semi-uncontrolled communication are vital points to get customer loyalty in the long run through satisfaction and trust. Thus, organizations and marketers need to focus on a competitive edge to gain sustainability in customer loyalty.
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