ABSTRACT
This paper examined the impact of customer satisfaction on customer loyalty. The objectives were: to determine the relationship between customer satisfaction and customer loyalty and to examine the impact of customer satisfaction on customer loyalty.
Survey research design was adopted for this study. Primary and secondary sources of data were used. The primary data includes a structured questionnaire used to elicit information from the target respondents who were customers of a reputable bank in Ekiti State, while the secondary data encompass the use of related materials, journals and periodicals, Regression analysis was used to analyse the data.
The findings shows that there is a significant relationship between customer satisfaction and customer loyalty (r = .617**, N= 107, P < .01). The implication of this result is that a 1% shift in customer satisfaction will cause a 61.7% shift in customer loyalty. The findings also shows the R2 value of 0.631 which reveals that customer satisfaction independently accounts for 63.1% of the variation in customer loyalty. The f-statistics of 33.500 reveals that the model is statistically significant at 0.05 significant level.
It was concluded that a 1% shift in customer satisfaction will cause a 61.7% shift in customer loyalty. Also there is a significant relationship between customer satisfaction and customer loyalty. To this end, the study concluded that customer loyalty is a function of customer satisfaction.Keywords: Customers, relationship, customer satisfaction and customer loyalty.
TABLE OF CONTENTS
Title page Declaration page Certification Dedication Acknowledgement Abstract Table of Contents
CHAPTER ONE: INTRODUCTION
1.1Background to the Study1
1.2 Statement of The Problems 4
1.3Objective of The Study5
1.4 Research Questions 5
1.5 Research Hypothesis 5
CHAPTER TWO – LITERATURE REVIEW
2.0 Introduction6
2.1Customer Satisfaction6
2.2Customer Loyalty9
2.3Service Quality11
2.4Switching cost 14
2.5Trust14
2.6Commitment15
2.7The relationship among bank brand image, customer satisfaction and loyalty16
2.8Service Quality and Customer Satisfaction16
2.8.1Tangibles and Customer Satisfaction 17
2.8.2Reliability and Customer Satisfaction18
2.8.3Assurance and Customer Satisfaction 18
2.8.4Empathy and Customer Satisfaction19
2.9Service Quality and Customer Loyalty 20
2.9.1Tangibles and Customer Loyalty20
2.9.2Reliability and Customer Loyalty21
2.9.3Assurance and Customer Loyalty21
2.10Theoretical Framework22
2.10.1Underpinning Theory22
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Research Design 23
3.2Study Population/Sample23
3.3Sampling Method and Sample Size23
3.4Sources of Data23
3.5Data Collection Instrument24
3.6Methods of Data Analysis24
3.7Research Hypotheses24
CHAPTER FOUR: DATA ANALYSIS AND DISCUSSION OF RESULTS
4.1Presentation of Data 25
4.2Research Questions29
4.3Test of Hypotheses29
4.4Discussion of Findings32
CHAPTER FIVE: SUMMARY, CONCLUSION, RECOMMENDATIONS AND
5.1 Summary 34
5.2 Conclusion35
5.3 Recommendations35
References
Questionnaire