PAPERmaking! g FROM THE PUBLISHERS OF PAPER TECHNOLOGY Volume 1, Number 1, 2015
Research problem The following study relates to customer desertion & retention. The major problem is that, the customer’s switchover to other companies and brands due to some factors, this affects the organisation ’ s sales and profitability. So, an attempt has been made to deeply examine the problem, factors and causes of customer desertion. Objectives of the study 1. To analyse the customer desertion factors and causes. 2. To recommend benchmarks for retention measurement and monitoring. Scope of the study This study will be helpful to the business organisations to analyse the causes of desertion. It will be very helpful to the entrepreneurs, organisations and management students to know the hidden facts of customer retention strategies and desertion and also reveal why customers leave a particular organisation. Literature Review Jacqueline Urquizo has emphasised that monitoring only desertion and retention index is not enough to improve the retention rate; comprehensive monitoring of the causes (internal and external) that provoke desertion is needed in order to track an effective change. Retention depends on the creation of a solid market by helping the customer to grow. The success of the customers is the success of the organisation. Ahmed et al. [1] studied the best strategies for retaining the customer and the practices one should follow to keep customers active and attached with the organisation for the profitability. Bob Thompson CEO, Customer Think Corporation [2], examined the secrets of retaining a customer and increasing profits. He suggested some strategies to retain customers in this modern era of competition. Janelle [3] studied the direct effect of perceived value dimensions (monetary, convenience, social emotional, conditional and epistemic value) on attitudinal and behavioural component of loyalty: commitment and behavioural intentions to use location based mobile services. This study revealed that the behavioural intentions were most influenced by conditional value, the context in which the service is used, followed closely by commitment and to some extent monetary value. Churchill et al. [4] investigated the choice criteria for a mobile phone operator in the Malaysian mobile Telecom market by the customers. Structural equation models were applied to test the propositions by means of a survey of a random sample of 400 mobile telecom customers from major cities in Malaysia. It was found that the price and service (quality hypothesis) are more important than the brand image hypothesis. Network quality is one of the important factors of overall service quality. Churchill et al. [5] explored the strategies that have been employed by the cell phone companies in South Africa in order to retain subscribers. This study evaluated the retention strategies that have been adopted by the cellular industry, where players are battling to retain customers or recruit new ones. The evaluation is based on the perceptions of the customers of the five cell phone network providers that operate in South Africa.
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Article 5 – Marketing (customers)
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