Customer Loyalty

Abstract

This research was carried out for our business research method course concerning the determining factors impacting the customer loyalty: an empirical study on the fast food restaurants of Karachi, Pakistan. The purpose of this project is to know the customer loyalty of the fast food restaurants in Karachi, to find out the different choices of people favorite restaurants, to find out how loyalty is important to these restaurants and to know how much trustworthiness and perceived value is necessary for these restaurants. The theoretical framework included four key factors of customer loyalty which could affect these factors such as value, resistance to change, affect and trust. For research methodology, we had collected primary data

In 2009, global fast food had reached a market value of $201.1 billion, with growth rate of 3.1%, the volume reached 208.1 billion of transactions, counted as 3.9% growth rate (Datamonitor, 2010), and considering as an important industry because of its trend (Van Zyl et al., 2010). There are few reasons for change of eating habits of Pakistan inhabitants. This is because of globalization, economic movement, income growth, busy lifestyles and gas shortages etc. individuals have been lead towards fast food utilization in Pakistan [1]. There is a most smoking trend of fast food on the grounds that Pakistani youth are more likely to eat fast food that any other meal. At the point when customer satisfaction are being met then they are fulfilled and then go for re-buy from same brand. Brand loyalty plays a fundamental part keeping in mind to understand the customer purchase behavior. Exceptional rivalry found in the fast food industry, the way to competitive advantage lies into keep the customer satisfied in light of the fact that satisfied customer make consistent buy of the same brand over the time, even when choices are accessible or it is assumed to be a significant determinant of repeat sales, positive word-of-mouth, and

On the other hand, the familiarity, satisfaction, elasticity level, and convenience of consumption also considerably affect the loyalty of customers. Satisfaction plays a vital role in the loyalty of customers because dissatisfied customers rapidly switch from the dissatisfactory brand to a brand with perceived better outcomes. The satisfaction level essentially determines the level of customer loyalty because low customer satisfaction levels will lead to low customer loyalty levels. This implies that satisfaction is not only important but a necessity for customers to remain loyal to specific brands (Haghighi, Dorosti, Rahnama, & Hoseinpour, 2012). The satisfaction can emerge from a variety of factors including the better outcome of consumption as compared to the perceived value or outcome of the brand. The quality and price of the brand as compared to competing brands also affects the satisfaction levels but brand positioning, identity, image, and recognition can considerably alleviate the influences of quality and