scholarly journals Customer Co-creation: An Insight on its Influence on Customer Loyalty in the Cosmetic Industry

2021 ◽  
Vol 13 (2) ◽  
pp. 480-487
Author(s):  
Rethy B. Menon ◽  
K.S. Hamsavardhini

This article deals with the impact on customer loyalty through the implementation of customer co-creation campaigns in the beauty industry, also referred to as the cosmetic industry; while additionally featuring central points that add to the ability and willingness of a customer to partake in these co-creation campaigns. Co-creation refers to the practice deviced by organizations to team up with their stakeholders during the planning, advancing, and implementing stages of their products and services. “It replaces the hierarchical approach to management and the linear approach to innovation, affording all stakeholders the possibility to influence and bring forth meaningful and relevant solutions in a collaborative environment” (Kirah, A 2009). An exploratory survey was conducted to collect data from 229 respondents, through questionnaires. All the respondents were users of cosmetic products, irrespective of gender; living in the cities of Bangalore and Mysore. Mean, Standard Deviation, Correlation and Factor Analysis were used to analyse the acquired data, and study the outcomes. The findings of the study suggest that the customer co-creation campaigns have a favorable impact on customer loyalty, ultimately resulting in higher customer retention rates. The study also confirms various factors contributing to a customer’s participation in the co-creation campaign.

Author(s):  
Alvin Y.C. Yeo ◽  
Michael K.M. Chiam

Increasingly, businesses are beginning to understand the profit potential of loyal customers (Oliver, 1999). Marketers endowed with such consumers can expect repeat patronage to remain high until competitors can find a way to: (1) close the gap in attitude among brands, (2) increase the differentiation of their own brand, or (3) encourage spurious loyalty from consumers (Dick & Basu, 1994). Loyalty leads to higher retention. According to one study, a 5% increase in customer retention rates increases profits by 25% to 95% (Reicheld & Schefter, 2000). It is thus heartening to note that “one of the most exciting and successful uses of [the Internet] … may be the Internet’s role in building customer loyalty and maximizing sales to your existing customers” (Griffin, 1996, p. 50). Given its relative importance in cyberspace, it is surprising that relatively little has been done in conceptualizing and validating e-loyalty models (Luarn & Lin, 2003). Parasuraman and Grewal (2000) argue for more research pertaining to the influence of technology on customer responses, such as perceived value and customer loyalty. Besides customer trust, our study also incorporates two constructs—corporate image and perceived value—that have been poorly explored in online environments despite their recognized importance in off-line contexts. Consequently, a primary objective of this article is to discuss the impact of three constructs (i.e., customer trust, corporate image, and perceived value) on e-loyalty in a business-to-consumer (B2C) e-commerce context. In doing so, our model is expected to offer useful suggestions on how to manage customer trust, corporate image, and perceived value as online loyalty management tools. This article is generally divided into three sections. The first section will discuss the constructs of interest and clarify what they mean. In the second section, we will propose hypotheses explaining these relationships. And in the final section, we introduce actionable strategies for online loyalty management based on the proposed framework.


2021 ◽  
Vol 2 (1) ◽  
pp. 20-34
Author(s):  
Zawar Khan

Retail markets have been one of the most rapid-growing markets in the world for the last decade; to stay competitive, retailers use effective sales promotions tools and that become a vital technique for marketers to stimulate consumer buying behavior towards purchasing any product. This study aims to determine the impact of the most used tools of sales promotion in the retail sector such as coupons, sample, price discount and buy one get one free on consumer buying behavior from two aspects: brand switching and customer loyalty. This study based on a literature review, conceptual framework and hypothesis which open the door for future researchers to expand more in this field.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Dwi Suhartanto ◽  
David Dean ◽  
Ira Siti Sarah ◽  
Raditha Hapsari ◽  
Fatya Alty Amalia ◽  
...  

Purpose This paper aims to assess customer loyalty towards halal cosmetics using three integrated loyalty routes of product quality, emotional attachment and religious determinants. Design/methodology/approach The data for this study were gathered from 457 s cosmetics customers. Variance-based structural equation modelling was applied to assess the association between product quality, emotional attachment, religiosity, customer satisfaction and customer loyalty. Findings This study reveals that for halal cosmetics, customer loyalty is driven more by emotional attachment and product quality than by religiosity. Further, the religiosity does not moderate the relationship between customer satisfaction and customer loyalty. Finally, this study reveals that the impact of emotional attachment and product quality on customer loyalty is partly through strengthening customer satisfaction. Practical implications This study provides an opportunity for halal cosmetics managers to increase customer loyalty through the development of emotional attachment and product quality. To develop customer loyalty towards their halal cosmetic products, this study suggests that halal cosmetics managers should offer high-quality products and continuously innovate their cosmetic products. Originality/value This is an early empirical study attempting to examine the link between religiosity and customer loyalty in halal cosmetic products.


2018 ◽  
Vol 7 (2) ◽  
pp. 62-66
Author(s):  
Anita Tolnay ◽  
András Koris ◽  
Robert Magda

Abstract The main objective of the current study is to highlight sustainable development from the perspective of the cosmetics industry producing ‘eco-friendly’ products. In the last decades an enhancing interest is being experienced towards sustainable development among cosmetics manufacturing companies, scientific research and development (R & D) laboratories as well as green consumers in the need for natural products safer for health and less toxic for the environment. Several international studies show that cosmetic products formulated with natural ingredients developed by cosmetic industry has a higher annual market growth than for synthetic products. R & D puts special focus on new innovative technologies in green cosmetic products to meet the frequently updated requirements of regulations in compliance with the current legislation. Scientific laboratory market has an increasing importance to evaluate natural and organic raw materials. In this work the authors attempt to focus on the growing importance of research activities to sustainable cosmetics production in life cycle assessment methodology. Naturally, the conceptual scope and extent of this study do not permit all the possible issues to be examined from every aspects due to lack of data, thus it will be endeavored to point out merely the most relevant considerations in the field of cosmetic industry.


2018 ◽  
Vol 4 (4) ◽  
pp. 19-24
Author(s):  
Anam Bhatti ◽  
Sumbal Arif ◽  
Marium Marium ◽  
Sohail Younas

CSR has become one of the imperative implements in satisfying customers. The impartial of this research is to calculate CSR, relationship marketing, and customer satisfaction. There is no more study accompanied in Pakistan to quantify the effect of CSR and relationship marketing on the relationship maintainer and customer loyalty. To find out deductive approach and survey method is used as research approach and research strategy respectively. This research design is descriptive and quantitative study. For data, collection questionnaire method with semantic differential scale and seven point scales are adopted. Data has been collected by adopting the non-probability convenience technique as sampling technique and the sample size is 400. For factor confirmatory factor analysis, structure equation modeling and medication analysis, regression analysis Amos software were used. Strong empirical evidence supports that the customer’s perception of CSR performance is highly influenced by the values


2020 ◽  
Author(s):  
Sajjad Ahmad Afridi ◽  
Asad Shahjehan ◽  
Maqsood Haider ◽  
Dr Uzma Munawar

This study examined the impact of employee empathy on customers’ advocacy directly and indirectly through customers’ loyalty. Moreover, the interacting effect of customers’ trust was verified between the association of customers’ loyalty and advocacy. The attributes of the proposed model were examined in the context of first line employee and patients’ interactions. A total of 220 responses were collected for analysis from the private hospitals of Peshawar. The model fitness was confirmed through confirmatory factor analysis and hypotheses were examined. Findings confirmed the positive and significant impact of employee empathy on customers’ advocacy. Further, the mediating effect was examined and found that loyalty partially mediates employee empathy and customers’ advocacy. Additionally, trust was found a significant moderator between the association of customer loyalty and advocacy. Furthermore, findings revealed that trust based loyalty significantly and positively mediates employee empathy and customers’ advocacy. Findings of the present study provide understanding for the service sector, particularly in healthcare, to enhance customers’ loyalty, advocacy, and trust through service employee’s empathic aptitude. Keywords: Employee empathy, Service Eco-system, Customers’ Loyalty, Customers’ Advocacy, Trust-Based Loyalty, Healthcare, S-D Logic


2017 ◽  
pp. 9
Author(s):  
محمد سليم الشورة ◽  
عماد علي سلامة الكساسبه ◽  
رولا عبدالقادر رباعي

2015 ◽  
Vol 4 (1and2) ◽  
Author(s):  
Sanjit Singh H.

This research explores the impact of service satisfaction, relational satisfaction, price satisfaction, and commitment on customer loyalty in logistics outsourcing relationships in Indian scenario. 254 users of logistics services from India were selected for investigating the potential linkages among the aforementioned satisfaction aspects and loyalty. Structural equation modeling (SEM) was employed to test the reliability and validity of the measurement and structural model developed to study the relationship among the linkages. Findings from the study supports that logistics service satisfaction, price satisfaction, relational satisfaction and commitment do influence loyalty positively. The analysis suggests that service satisfaction is the most important antecedent having primary influence in the formation of customer loyalty. Service satisfaction also has secondary influence on loyalty by acting as a strong driver in both relational satisfaction and commitment aspects of the service dimensions. Price satisfaction though positively been driven by service satisfaction, was found to have less significant effect as a predictor of loyalty in this context. The present study suggests that relational satisfaction is the second major predictor of loyalty which also drives commitment. This research is not an end-point but an attempt to establish the linkages and the effect among the antecedents driving the building and retention of good buyer-seller relationship in logistics outsourcing.


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