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1 – 3 of 3Bernd Stauss, Klaus Chojnacki, Alexander Decker and Frank Hoffmann
Customer clubs belong to the most important and particularly cost‐intensive elements of customer retention systems. By offering specific advantages to club members, they are…
Abstract
Customer clubs belong to the most important and particularly cost‐intensive elements of customer retention systems. By offering specific advantages to club members, they are supposed to increase customer satisfaction and loyalty. However, up to now there is no certainty with respect to the existence and degree of the expected loyalty effects. Thus, there still is also no sufficient foundation for an estimation whether investments in customer clubs can be justified in comparison to several alternatives of gaining new customers or customer retention. To fill this gap in information, this paper focuses on the question of which kind of retention effects of customer clubs might exist and whether there is a scientific evidence of these effects. In the first step, a theoretical model and propositions of different retention effects of customer clubs are developed. Afterwards the results of an empirical study among members of the Volkswagen Customer Club, Germany’s largest automotive customer club are presented. They indicate that customer club satisfaction has a remarkable impact on the customer’s relationship satisfaction and customer retention. Consequently it can be concluded that a customer club certainly is an important issue of retention management.
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Jamid Ul Islam, Shadma Shahid, Aaleya Rasool, Zillur Rahman, Imran Khan and Raouf Ahmad Rather
This paper aims to investigate how banking websites can activate customer engagement (CE) to consequently enhance customer trust and retention.
Abstract
Purpose
This paper aims to investigate how banking websites can activate customer engagement (CE) to consequently enhance customer trust and retention.
Design/methodology/approach
Using an online survey, data were collected from 598 customers of various (public and private) banks in India. Structural equation modeling was used to analyze the data.
Findings
Results reveal that the key website attributes viz. website interactivity, website aesthetics, customization, ease of use and telepresence positively affect CE. The results also delineate positive associations between CE, customer trust and customer retention.
Research limitations/implications
This paper unravels that by strategically focusing on the relational dynamics of CE, banks can build trust and retain their most valuable stakeholders – the customers, thereby addressing the crucial strategic concerns of banking firms.
Originality/value
This research is the first to explore the effects of key website attributes on CE in the banking context. The undertaking of this study in an emerging economy adds further insight into CE literature by generalizing the applicability of CE studies across geographic contexts.
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