Customer Loyalty, A Reality Or An Allegory: Exposing Dick And Basu (1994) Loyalty Segmentation Model In Bindura Fast-Food Industry

Author(s):  
Faustino Kufakunesu ◽  
Tonderai Kapesa ◽  
Tapiwa Takundwa

The purpose of the study was to expose the reality about customer loyalty in developing countries using a case of Bindura fast-food industry. Customer loyalty is a very popular subject in the field of marketing. The majority of researches on customer loyalty were carried out in developed economies. To bridge the geographical gap, this study was conducted in a ‘third-world’ economy of Zimbabwe. Descriptive, correlational research designs were adopted backed by both quantitative and qualitative research paradigms. The research used primary data collected from 80 final consumers and 10employees selected through purposive sampling. The study indicated that, the majority of consumers in developing countries are not genuinely loyal to one supplier, but they continuously look for better alternatives basing on situational factors. It is therefore recommended that, new entrepreneurs must not hesitate to venture into new and existing industries assuming that customers belong to existing players. 

2019 ◽  
Vol 14 (3) ◽  
pp. 119
Author(s):  
Indryati Sunaryo

This study aims to measure and analyze the effect of several restaurant-related quality attributes toward customer loyalty with a mediating effect from customer satisfaction in the local fast-food industry in Indonesia. The nature of local fast-food industry is different compared to its global counterpart, so a new perspective has to be taken into account. Based on literature review of previous studies, the quality attributes that are selected for this study are food quality, service quality, environment, price, and location. Data in this study were collected from the responses of 461 participants and analyzed using Structural Equation Model (SEM). The SEM result shows that only price and location significantly affect customer loyalty through customer satisfaction. When customer satisfaction is removed and restaurant-related quality attributes is directly tested towards customer loyalty, only price and food quality significantly affect customer loyalty. Both with and without mediating effect from customer satisfaction, price keeps influencing customer loyalty. This result is against the majority of fast-food customer loyalty studies which usually emphasize on food or service quality as the main factor that influences customer loyalty and customer satisfaction.


2019 ◽  
Vol 11 (6) ◽  
pp. 1367-1387 ◽  
Author(s):  
Farzana Quoquab ◽  
Nur Zulaikha Mohamed Sadom ◽  
Jihad Mohammad

Purpose Although the importance of halal logo in determining purchase intention has been recognized in the marketing literature, there is a dearth of study that has examined the impact of halal logo toward customer loyalty. To fulfill this gap, this study aims to shed some light on the impact of halal logo toward achieving customer loyalty in the context of fast food industry in Malaysia. More specifically, the objectives of this study are: to examine the direct and indirect effect of halal logo on customer loyalty; to examine the effect of halal logo on trust and perceived reputation; to examine the effect of halal logo and perceived reputation on customer loyalty; and to examine the mediating effect of trust and perceived reputation in the relationship between halal logo and customer loyalty among the fast food industry consumers in Malaysia. Design/methodology/approach This study used stimulus-organism-response (S-O-R) theory as the theoretical basis. The data were collected via self-administered survey questionnaire consisting 117 Muslim fast food consumers. Partial least square (SmartPLS, version 3) was used to test the study hypotheses. Findings Results of this study revealed that halal logo, directly and indirectly affect customer loyalty. Moreover, perceived reputation and trust also found to be positively related to customer loyalty. Research limitations/implications The data were collected from Malaysian Muslim consumers. Future studies can consider non-Muslim consumers to compare the loyalty pattern among Muslim and non-Muslim consumers. Practical implications The findings from this study will benefit fast food industry marketers who are targeting Muslim consumer segment and also those marketers who are operating their franchise business in Muslim majority countries. The findings suggest that halal logo helps service providers to create positive perceived reputation and to build trust among consumers, which eventually lead customer loyalty. It is expected that the findings of this study will assist the halal fast food industry marketers to better strategize their marketing efforts in retaining the Muslim customer base. Originality/value Using S-O-R theory, this study examines halal logo as the key driver of customer loyalty, which is comparatively a new link. Moreover, this study examines the mediating effects of perceived reputation and trust in the relationship between halal logo and customer loyalty, which are not tested in previous literature in the field.


2021 ◽  
Vol 4 (2) ◽  
pp. 47-64
Author(s):  
Varsha Ganatra ◽  
A.A. Gde Satia Utama ◽  
Puran Puran ◽  
Rudresh Pandey ◽  
Liang Mei Qi ◽  
...  

The purpose of this study is to examine Subway marketing 4P strategy as the competition in the fast-food industry is extremely high. Subway is needed to keep on striving for better performances to build existing customer loyalty while attracting new customers. Therefore, we examine Subway marketing 4P (product, price, promotion, and place) to ensure that Subway can obtain a competitive advantage in the marketplace. The study used primary and secondary data methods to collect respondents’ perceptions of Subway performances. The findings indicated that marketing 4P strategies are the important prediction of the success of the company.


2019 ◽  
Vol 23 (2) ◽  
pp. 227-248 ◽  
Author(s):  
Sharizal Hashim ◽  
Sheraz Kasana

PurposeThe purpose of this paper is to explore the concept of brand hate in detail which is the extreme negative emotion toward brands, by giving a comprehensive explanation concerning how brand hate evolves in consumers. More specifically, antecedents of brand hate are empirically assessed in this study.Design/methodology/approachThis study used primary data from 250 fast food brand consumers in Pakistan. Multiple regression analysis in SPSS was used to test the hypotheses related to the antecedents of brand hate.FindingsResults indicate that brand hate is instigated by five antecedents, which are negative past experience, symbolic incongruity, poor relationship quality, ideological incompatibility and rumor, with rumor being the biggest instigator.Originality/valueAntecedents of brand hate are assessed theoretically and empirically in this study which helps in understanding the true form of brand hate. More specifically, poor relationship quality and rumor are presented as the antecedents of brand hate according to the recommendations of the theory of hate.


2021 ◽  
Vol 4 (2) ◽  
pp. 44-57
Author(s):  
Daisy Mui Hung Kee ◽  
Nurul Farhana binti Mohd Nazri ◽  
Nurrida binti Misbah ◽  
Nurul Asyiqin binti Nazril ◽  
Nur Hasmizah binti Musa ◽  
...  

Many businesses worldwide are badly affected due to the COVID-19 outbreak. As the Covid-19 pandemic spreads around the world, business person should create new business methods during this socio-economic, cultural, and health crisis. How to address the future is another critical question for businesses. Although the pandemic has affected businesses in different profound ways due to the various social, cultural, economic, and environmental factors, experience sharing and learning from successful businesses can help policymakers and business leaders to come up with innovative and effective strategies to minimize the adverse impact of the pandemic on the business operation. The study aims to determine how Covid-19 affected the fast food industry in Malaysia. Due to the Movement Control Order (MCO), all Malaysians are required to stay at home. The data of this study was collected through primary data and secondary data. The surveys using online Google form was conducted as primary data to gain more information regarding the topic. There are as many as 100 customers were surveyed. The results showed the fast food industry sustained operations and they adopted digitalization technologies. Digital technologies have influenced fast food restaurant strategies during the global pandemic, while technology may enable digital transformation, fast food restaurants are rapid to match the changes. Digitization opens new possibilities for fast food restaurants to sustain their business. With digital infrastructures in place like mobile devices, Wi-Fi networks, and online payment systems, it brings convenience to both business and customers. Deepening digitization has helped fast food restaurants to become more customer centric.


2020 ◽  
Vol 10 (1) ◽  
pp. 305
Author(s):  
Arslan Shoaib Naru ◽  
Anam Rehman

The fast-food industry is one of the booming industries in Pakistan with rapidly developing human resources. However, quick growth has become impeded by numerous human resource management challenges. The purpose of this study is to investigate factors/variables that cause stress among employees in the workplace which consequently affect their performance. Pakistan’s fast-food sector has been taken into account and a comprehensive study has been carried out to find out which variables result in employee stress and affect their overall job performance. Primary data was collected through three hundred and fifty questionnaires disseminated throughout various areas of Lahore, Karachi and Islamabad including Emporium Mall, Packages Mall and Dolmen Mall, Lucky One Mall, Centaurus, and key areas popular for fast-food in those cities. Several statistical tools including; Reliability and Validity Analysis, Factor Analysis, Regression analysis, KMO, Cronbach Alpha and the Bartlett Test, are used for data analysis on SPSS and Smart PLS. Results of the analysis show that Work Overload, Job Insecurity (independent variable) and Employee Stress (mediating variable) have a significant impact on Employee Performance (dependent variable). The relationship of Job Security and Work Overload with Employee Stress is positive. Similarly, the relationship between Employee Stress and Employee Performance is also positive and significant. The study described in this paper thoroughly focuses on all the major causes of employee’s stress and its impact on employee performance, it also suggests how Fast-food sector of Pakistan should consider these factors in order to address these issues and provide favorable workplace environment.


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