Value of Customer Loyalty
Yang, 2004 mentioned that the customer loyalty can be generated through improving customer satisfaction and offering high product or service value. He further suggested that the firms may focus on five key dimensions to identify the customer loyalty by providing quality customer services, performing the service correctly by executing transactions accurately, providing an appropriate range and offering features to target customers and ease of use and security or privacy.
Previous studies
Service Quality in the banking sector: the impact of technology on service delivery (Joseph, McClure and Joseph, 1999).
The study examined the role that technology plays in Australian banking and its effect on the delivery of the perceived
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Further, the study focused to examine how attitudes influence impact on consumer behaviour in IT environment and finally to identify the beliefs, attitudes and intentions consumers have towards electronic banking. Results from the above objectives varied between users and non users, it was revealed that educated and wealthy customers uses more of the internet banking services while experience and attitudes towards using computers was found to be important factors affecting intention to engage in Internet …show more content…
Loyalty is regarded as a complex construction which comprises both attitudinal and behavioral components and the results of the study revealed that customers in Romania maintain relationships with banks due to the existence of both positive attitudes and motivations. It was also revealed that Customer switching behaviour is mainly caused by the high level of dissatisfaction towards the banks’ policy of price.
The Difference between Current study and Previous Studies
This study does not differ greatly from prior studies in the field of electronic banking services and customer loyalty; however it differs in certain aspects which will make it distinct such as;
• Most of the studies conducted in Australia, Malaysia, Jordan, Finland , Romania, Nigeria, Zimbabwean banks (both developed and developing countries), discussed benefits, risks and characteristics which customer derives from using electronic banking services. However, since adoption of electronic banking services in Malawi especially National Bank of Malawi little is known how customer perceives electronic banking services and its influences on customer loyalty. This study mainly focused on the determination of the effect of e- banking services from the customer’s point of view to appreciate the influence on their
Bank of America: Mobile Banking This essay is based on the case “Bank of America: Mobile Banking” which is dated on May 2012. We will first present benefits mobile banking provide to consumers and highlight reasons why many consumers haven’t adopted mobile banking yet. Furthermore, we will look into Bank of America motivation to offer mobile banking to its customers and review associated costs and risks of mobile banking implementation. Then understand what lessons can the bank learn from its online banking operations and analyze costs and benefits of having customers migrate to online banking.
Customer Value Proposition We are planning to offer products to the low tech and high tech segments. Team Digby, plans to have a lower price in the low tech segment than the high tech segment. To fulfill the needs of our high tech customers, we will offer higher premium products with a smaller size. To fulfill the needs of our low tech, we will offer reliable products at a lower price than our high tech products. To satisfy the needs of these segments we will ensure our products are highly accessible and well known with high awareness.
Partnerships will also make it easier to link Barclay’s customers across the world without creating a major presence in a geographical area. Though technology gives a firm a competitive advantage, it can also be a put-off to some clients. Barclays’ products in a way are sophisticated. To attract more customers, it should simplify its products to allow customers from all divide to enjoy them.
Value proposition Formal Definition: A value proposition (VP) is a statement that clearly identifies what benefits a customer will receive by purchasing a particular product or service from a particular vendor. Alternative Definitions: A value proposition is a promise of value to be delivered, communicated, and acknowledged. It is a belief from the customer about how value (benefit) will be delivered, experienced and acquired.
Brand loyalty is a focal point of interest for marketing researchers. From past research stated that loyal customers spend more than non-loyal customers in purchasing. Much of the research over the past three decades looks into consumer loyalty from two perspectives which are behavioral loyalty and attitudinal loyalty (Bandyopadhyay & Martell, 2007; Dick & Basu, 1994). Behavioral loyalty means the frequency of repeating the purchases. Which attitudinal loyalty refers to the psychological commitment that a consumer makes in the purchase, example like intentions to purchase and intentions to recommends.
CHAPTER 2 LITERATURE REVIEW 2.0 INTRODUCTION Within the internet banking services, researcher have indicated various determinants or drivers that had a positive effect on factor influences the acceptance the decision. Three widely used models or theories are reviewed and discussed in relation to internet banking services. These are theory of Theory Of Reasoned Action (TRA), Theory Of Planned Behavior (TPB) and Technology Acceptance Model (TAM). In the chapter, these theories are reviewed from prior studies and an attempt is made to identify the most suitable framework for this research.
It is noticed that there are few theories that give integral bits of knowledge illuminate the comprehension of the relationship between family responsive arrangements and employee loyalty. Moreover, there are few theories that cope with the matter of employee loyalty social exchange theory, role theory, and social justice theory. 2.4.1 Social Exchange Theory As indicated by social exchange theory of the employment relationship, representatives look for an equalisation in their exchange associations with associations by having attitudes and practices similar with the level of official’s responsibility to them. Moreover, at the point when business demonstrations in a way that is advantageous to workers, and when those activities go past the
In recent years, there is an alarming concern on certain actions and behaviours of supervisor, causing quite a distress to employees. The resultant effect is low morale, disturbed attitude among the employees which eventually leads to higher turnover, declining level of loyalty, faith and dedication among the employees. This will further significantly affect the organizations success and growth. Therefore, the need to consider the impact of supervisor support on employee loyalty. The purpose of this research study was to assess the impact of supervisor support on employee loyalty among the information technology professionals in India.
The four building blocks of competitive advantage can be used to help a company become more profitable and stay ahead of their competition. The four factors are superior efficiency, quality, innovation, customer responsiveness. All four building blocks are important to any company. However, I believe that customer responsiveness is the most important because having loyal and happy customers can make or break any company. The four building blocks can help companies grow and become the leader in their industry over their rivals.
The navigability of the website is a very important part of Internet Banking because it can become one of the biggest competitive advantages of a financial entity (Ortega, Martínez, & Hoyos, 2007). Internet Banking is a process of innovation whereby customers handle their own banking transactions without visiting bank tellers (Qureshi, Zafar, & Khan, 2008). Recent evidence suggests that an Internet-based consumer banking strategy may be effective, with reports of more profitable, loyal and
Customer loyalty is one of the most important and critical factors for a company's success. Customer loyalty happens when customers have a great experience, and it leads to many benefits: loyal customers return for future business, refer friends and family to a business, and spread positive comments about a company through word-of-mouth advertising. With social media and the ease of rating companies. There are several factors that can influence customer loyalty. First the place and product, which means how easy is it for customer to access the place, Second is promotion There are many ways to promote the business, from pricing specials to free gift with purchase.
According to the model, when a user is introduced to a new technology, his or her overall attitude towards using the said technology is a major determinant as to whether or not the user will actually
Find out the level of e-commerce adoption in the Mauritian retail Industry. II. Analyse and identify the different factors which affect or contribute to the level of adoption of e-commerce (EC) in Mauritius. III. Look for a pattern in factors which influence people's perception and attitudes towards using online shopping.
The customer would adopt internet banking technology only when he possess positive expectations and trust regarding the technology[28]. Sohail and Shanmugam (2003) in their research considered trust as an influential variable on adoption of online banking.[29]. Nor et al (2007) empirically proved the influence of trust together with some of the attributes of IDT on Internet banking acceptance.[30] Therefore, the following hypothesis is
In a study done by Ernst & Young (EY), they created the EY FinTech Adoption Index. This Index aimed to develop a look at the FinTech user base by capturing the level of FinTech adoption among digitally active consumers. The Index gathered information from digitally active consumers through the use of survey and looked at various markets such as in Australia, Canada, Hong Kong, Singapore, the U.K. and U.S. In those six markets, there was a weighted average of 15.5% of digitally active consumers are FinTech users. These FinTech users are consumers who have used at least two FinTech products.