Customer dependence and customer loyalty in traditional and modern format stores

Abstract

Purpose

The purpose of this paper is to examine the relationship between customer loyalty and customer dependence in the context of modern format and traditional format stores. In the process, the role of switching cost and trust in this relationship has been explored.

Design/methodology/approach

Building on the literature, the authors have postulated a conceptual model and formulated relevant hypotheses. Quantitative methodology is applied with previously established. The data were collected through convenient sampling. Methods like Factor analysis, cross-tab and regression analysis have been used.

Findings

The findings indicate a significant relationship between customer loyalty and customer dependence. Switching cost and trust have been found to have a moderating effect over the relationship in both modern and traditional environments.

Research limitations/implications

The limitation is the restriction to the Jammu context. The studies have brought about the difference in attitudinal and behavioural loyalty. Future research can be carried out on the role of dependence in explaining and strengthening this relationship.

Originality/value

The present study provides an insight into for the customer loyalty and customer dependence in the context of modern and traditional retail formats.

Citation

Mishra, H.G., Sinha, P.K. and Koul, S. (2017), "Customer dependence and customer loyalty in traditional and modern format stores", Journal of Indian Business Research, Vol. 9 No. 1, pp. 59-78. https://doi.org/10.1108/JIBR-12-2015-0126