Document Type

Research Paper

Abstract

The purpose of this research is to study the relationship between customer satisfaction and consumer loyalty and apply its relationship into all the market industries including products and services, particularly in financial institutions. Preliminary sample data (N=80) will be collected from faculties and students at Johnson and Wales University of all ethnicities, national and international students. The hypothesis of the study is developed as H1: There is a significant positive relationship between customer loyalty and customer satisfaction. A t-test for independent samples is used to address the hypothesis. The discussion of the study indicated that there is a significant positive relationship between customer loyalty and customer satisfaction, however, it is important to fully understand that the loyalty which is the main goal of each industry is very hard to achieve and is not very easy to be reached by industries due to the customer satisfaction which is very hard to reach by itself, and the service quality as well. There are many other variables that can affect the consumer loyalty such as the high level of competition among today’s companies and the fast track of technological advancement. These reasons indicate that companies should work hard because loyalty is a fleeting issue, today’s loyal customer would not be tomorrow’s loyal customer.

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Business Commons

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