a study of the customer shopping behavior and effective factors

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ISSN: 2306-9007 Aghdaie & Khatami (2013) 1011 A Study of the Customer Shopping Behavior and Effective Factors on Building up Customer Loyalty SEYED FATHOLLAH AMIRI AGHDAIE Assistant Professor, Dep.of Management, University of Isfahan, Isfahan, Iran. Email: [email protected] Tel: 98- 311- 7935- 251 FARHAD KHATAMI Instructor, Dep.of management Payame Noor University Borojen, Iran Email: [email protected] Tel: +989132221374 Abstract This research studies the customer shopping behavior and specifically effective tactics in causing customer loyalty. It also examines the customer satisfaction which is one of the influential factors on the customer shopping behavior. The statistical population is the customers of one of the Refah chain store in January 2013 in Isfahan city. The questionnaire tool has been utilized for collecting data in this research. The hypotheses have been testified by means of SPSS software program. The final result proved that the customer satisfaction is mostly correlated with customer loyalty and the product technical quality. Its operational value is mostly correlated with customer satisfaction. All the hypotheses about the effect of independent variables on dependent ones have been verified. Key Words: Shopping Behavior, Customer Loyalty, Customer Satisfaction. Introduction In markets having growing competition, maintaining a strong bond with customers by virtue of building up loyalty in consumers seem to be a key factor in achieving the market share and creating a competitive privilege. Loyal customers are crucial for keeping the trade alive and well, mainly because attracting new customers is remarkably more costly than keeping the older ones (Deng et al., 2010). The marketing science makes every endeavor to affect the manner of consumer behavior. This will have some consequences for organizations, customers and the society. Making use of the consumer behavior knowledge aiming at the marketing strategy expansion is a sort of art (Samadi, et al., 2010). The shopping behavior is made up of all the psychological, social, physical behaviors of potential customers, in the same way that they would be aware of evaluating, buying and consuming and talk about the products and services with others (Patil, 2007). The customer with a real shopping intention sets out on buying a certain amount of products due to their payment capabilities. If the companies are able to understand the customer shopping behavior and personalize the recommendation system of their products by means of their own information, they can draw on several different types of business opportunities. I www.irmbrjournal.com December 2013 International Review of Management and Business Research Vol. 2 Issue.4 R M B R

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Page 1: A Study of the Customer Shopping Behavior and Effective Factors

ISSN: 2306-9007 Aghdaie & Khatami (2013)

1011

A Study of the Customer Shopping Behavior and Effective

Factors on Building up Customer Loyalty

SEYED FATHOLLAH AMIRI AGHDAIE

Assistant Professor, Dep.of Management, University of Isfahan, Isfahan, Iran.

Email: [email protected]

Tel: 98- 311- 7935- 251

FARHAD KHATAMI Instructor, Dep.of management Payame Noor University Borojen, Iran

Email: [email protected]

Tel: +989132221374

Abstract

This research studies the customer shopping behavior and specifically effective tactics in causing customer

loyalty. It also examines the customer satisfaction which is one of the influential factors on the customer

shopping behavior. The statistical population is the customers of one of the Refah chain store in January

2013 in Isfahan city. The questionnaire tool has been utilized for collecting data in this research. The

hypotheses have been testified by means of SPSS software program. The final result proved that the

customer satisfaction is mostly correlated with customer loyalty and the product technical quality. Its

operational value is mostly correlated with customer satisfaction. All the hypotheses about the effect of

independent variables on dependent ones have been verified.

Key Words: Shopping Behavior, Customer Loyalty, Customer Satisfaction.

Introduction

In markets having growing competition, maintaining a strong bond with customers by virtue of building up

loyalty in consumers seem to be a key factor in achieving the market share and creating a competitive

privilege. Loyal customers are crucial for keeping the trade alive and well, mainly because attracting new

customers is remarkably more costly than keeping the older ones (Deng et al., 2010). The marketing

science makes every endeavor to affect the manner of consumer behavior. This will have some

consequences for organizations, customers and the society. Making use of the consumer behavior

knowledge aiming at the marketing strategy expansion is a sort of art (Samadi, et al., 2010).

The shopping behavior is made up of all the psychological, social, physical behaviors of potential

customers, in the same way that they would be aware of evaluating, buying and consuming and talk about

the products and services with others (Patil, 2007).

The customer with a real shopping intention sets out on buying a certain amount of products due to their

payment capabilities. If the companies are able to understand the customer shopping behavior and

personalize the recommendation system of their products by means of their own information, they can draw

on several different types of business opportunities.

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Recommending products in order to attract customers and obviating their needs in highly competitive

environments is important (Bae & Kim, 2010). As markets become more and more competitive, many

companies realize the importance of keeping their customers. And some of them embark on miscellaneous

activities aiming at enhancing the customer loyalty. In fact, the benefits of customer loyalty are widely

recognized in trading (Mcmullan and Gilmore, 2008). Consumers are not necessarily looking for buying

commodities. They would like to solve their problems and obviate their needs. One of the major concerns

of any store in using marketing tactics for increasing the sale and having contact with the customer is the

effect of these tactics on customers (Samadi, et al., 2010).

The customer loyalty plans do not necessarily focus on trying to raise their sales revenue. They are used in

keeping the customers, which lead to better monetary results (Gable et al., 2008). The importance and

benefits of attracting and keeping the loyal customers comes from a common consent that customer loyalty

brings profitability. In this sense in order to understand the concept of loyalty completely, we need to build

up loyalty in the customer as a long-term investment which leads to an emphasis on a need for management

of keeping the bond between the customers and providers (Rauyruen & Miller). While some organizations

are satisfied by focusing on easy access to customer satisfaction, obtaining and keeping the customer

loyalty is considered to be the ultimate goal of many contemporary service providers. Loyal customers buy

more, are eager to buy more, are easily accessible and act as enthusiastic fans for our companies (Harris &

Goode, 2004).

Due to the significance of the issue, there have been some researches carried out in relation to shopping

behavior especially loyalty. The study done by Taylor et al., to say one of them, in which the role of the

brand value and trust in brand is emphasized in industrial customer loyalty. It is also concluded that these

two have a determining role in customer loyalty. Moreover, Löfgren et al. have examined the satisfaction

and evaluation ways while shopping and behavior while using their products. They concluded that there is

a remarkable distinction between the effect of customer satisfaction on their loyalty while shopping and by

the time they are using the products. Deng et al. in their studies on determining factors in satisfaction and

loyalty came to this conclusion that trust, operational value and emotional value lead to building up

satisfaction. Trust and costs of change and satisfaction increase the customer loyalty. Of domestic

researchers, Seyyed Javadin et al. in their studies of the customer understanding of sport services industry

came to this conclusion that the quality of sport complexes’ services affects the customer satisfaction and

loyalty. Ranjbarian and Barari have scrutinized the effect of the fundamentals of link-based marketing on

customer loyalty, the significance of these variables from the customers’ perspective and the bank’s success

in creating each of these variables.

Due to the significance of customer shopping behavior and the necessity of building up loyalty in

customers, this article will go ahead with studying the customer shopping behavior and specifically

scrutinizing how to build up loyalty in customers which is one of the influential factors in customer

shopping behavior. For this purpose, we will go on to explain the conceptual and theoretical framework and

discuss the previous researches. Then data collection methodology, data analysis and the conclusion will be

gone through.

Theoretical Framework

Shopping Behavior

The consumer’s shopping behavior consists of various psychological and social processes which exist

before and after the consuming and shopping activities. There lies an important decision process beyond

each shopping which must be examined. The phases that a customer goes through in order to decide what

sort of products and services they should buy is called shopping decision process. Customers, who have

more communicative commitment to their link, are more likely to conduct a shopping (Samadi et al., 2010).

Consumers are less likely to confront the competitors’ prices, in case of more and more regular incentive

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sale. Thus the consumer will be naturally less sensitive to that. Since in most markets, especially in retail

markets, an increase in distinction loyalty does not occur without an increase in shopping loyalty, we

merely concentrate on shopping loyalty (Meyer-Waarden, 2008). The shopping process starts when the

customer finds out a problem or a need. This need may be arisen by internal or external stimuli. Marketers

must identify conditions which cause a particular need. By collecting information from a number of

consumers, marketers can identify the most common stimuli which generate interest in a product category.

Then they can expand the marketing strategies which grow interest in consumers. So the consumer tries to

collect information about products/services. By virtue of collecting information, the consumer learns about

all brands and theirs qualities (Patil, 2007). Most individuals have a reference group by which their

behavior is impressed. Lumb, Hayer and McDaniel stated that reference groups have three effects:

Information effect, identification effect and normative effect. Information effect means that the individual

uses the opinions and comments of the group members as a reference for receiving information. The

normative effect refers back to the group achievements and experiences and sense of belonging to the

group. Identification effect happens when the values and norms of the group internalize for the individual

(Babaie and Ahadi, 2011). Information may be gathered from magazines, catalogues, retailers, friends,

family members, colleagues, advertisements, chamber of commerce, telephone directory, fair trading etc.

Marketers must realize the information resources and relative degree of their importance for consumers.

There is no process which can be used by all consumers in all shopping conditions. The consuming

processes include some of the basic concepts. The consumer tries to obviate his needs and looks for

particular profits by product. The marketer should know the criterion which the consumer uses in shopping

decision. The consumer finds out a solution among shopping options that may be either a decision to buy or

not. The marketer should try to use any means to affect the shopping behavior up to this point. After buying

the product, the marketer is not finished though. By the time a product is being bought, the shopping

satisfaction, what is have done after shopping, the usage and consuming after shopping should also be

examined. Theoretically, loyalty plans can have the effects of distinction loyalty and shopping loyalty on

shopping behavior. Distinction loyalty reduces the degree of sensitivity of customers to competitive offers

or prices and therefore causes the customers to pay higher prices for the commodities they buy or buy them

in a larger amount or choose products with a better quality or more expensive trademarks and a rewards

program which would be achieved quickly alongside with excellent services and rewards, helps the

consumers to disregard the prices (Meyer-Waarden, 2008). Because of the necessity of examining the

importance of receiving information about shopping behavior, we will go on to discuss the loyalty and

satisfaction in shopping behavior concepts.

Customer Loyalty

Marketing in its course of evolution is in a phase that marketers are not pondering about finding new

customers. Today, the purpose of marketing is the demand management by means of bringing up and

leading the customer to the maturity in the loyalty to organizations. These days customer satisfaction is not

sufficient anymore and companies should not feel happy about the satisfaction of their customers. They

should make sure that their happy customers are also loyal (Haji Karimi, 2008). The customer loyalty can

be defined as the customer’s commitment to conduct business with a particular organization, repeatedly

buying commodities and services and recommending those services and products to friends and colleagues

(Turner and Wilson, 2006). Two major approaches to the concept of customer loyalty are behavioral

approach and attitudinal approach. Base on behavioral approach, customer loyalty is defined as a behavior.

Operational indices of this approach are: shopping share, continuity of shopping and cases of that ilk.

Customer loyalty is defined as an attitude in attitudinal approach. Based on this attitude, explaining the real

behavior of the customer is not enough solely. Rather analyzing and providing a plausible explanation of

this concept needs to consider the structure of attitudes/the consumer’s performance (Arabi and

Varzeshkar, 2003). Hence, the concept of behavioral approach is measured and defined mainly by

repeating shopping behavior. From cognitive approach perspective, it is obtained by concentrating on

dimensions of attitudinal loyalty and from combinatorial approach which shows that the attitudinal priority

and repeating shopping behavior as two essential conditions for the loyalty concept (Toufaily et al., 2012).

In fact, loyalty points to the fact that to what extent customers feel committed to suppliers and are not

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actively looking for alternative suppliers (Flint et al., 2011). Frequent customers are more than just an

economic resource. They can be used as information channels that inadvertently make contact with friends,

relatives, colleagues and other potential consumers and therefore they are able to support the business. One

of the substantial theories of loyalty marketing is that an increase in customer loyalty even to a small

degree can have a remarkable increase in profitability of the business (Yoo and Bai, 2012). As an effective

state, loyalty proved to be a firmly psychological reaction to an experience of a product or a service. The

behavioral aspect of it simply indicates the impression of the state which sometimes would be equal to

keeping the customers. In other words, loyalty means an intentional behavior which might happen or not

(eshghi et al., 2007). Generally speaking, loyalty marketing has been emerged to the extent of its

importance and being ideal of customer loyalty and has been recognized as an important source and the

mostly competitive privilege for companies by affecting the performance. The increase in customer loyalty

will decrease the expenses of customer attraction and will improve the efficiency which eventually directs

the business toward more profitability (Yoo and Bay, 2012). Customer loyalty is a key element for the

long-term durability of the brand and helps the companies to confront lots of problems in case of extremely

competitive markets being unreliable (Mohammad Amin et al., 2012). Customers may demonstrate their

loyalty to each of these ways. They may choose to stay with a single supplier, whether this continuity can

be named a relationship or not. Or they may increase either the number of shopping or the frequency of

shopping or both. They may also become a fan of the organization and play a significant role in other’s

decisions (Rowley, 2005). The major principle of this concept is that loyalty is created one by one

following the four-step process: identification, motivation, effort, action. This happens in spite of the effect

of situational factors and marketing operations (Tofaily et al., 2012). The previous studies have pointed to

the relationship between brand trust and customer loyalty. It is shown in some of them that brand trust

develops relationship with brand performance by means of brand loyalty ( Reuren and Miller, 2007).

Hypothesis 1: Brand trust has an impact on customer loyalty.

In some studies the brand value has been noticed as one of the brand indices which cause more loyalty. As

a matter of fact, Brand can be both an aspect of the brand value and the outcome of it (Taylor et al., 2004).

Hypothesis 2: Brand value has an impact on customer loyalty.

Speaking of loyalty, customer satisfaction has generally been the universal basis of the prediction of the

consumer behavior for decades. The emerging researches in marketing relationships area clearly show that

customer satisfaction is an important variable for explaining or keeping loyalty (Löfgren et al., 2008).

Hypothesis 3: Customer satisfaction has an impact on customer loyalty

Customer Satisfaction

Satisfaction like its closely related concepts such as quality, loyalty and attitude is an exclusive concept. It

is hypothesized in literature that satisfaction has a direct impact on customer loyalty/further shopping

behavior (Taylor et al., 2004). The consumer satisfaction is essential for a long-run business success and is

one of the marketing issues about which lots of researches have been carried out. Because consumer

satisfaction has been considered as an essential and determining factor in the long-run business success, its

impact on consumers’ evaluation such as behavioral and attitudinal loyalty has been studied in lots of

researches about consumer satisfaction. It is widely accepted that satisfied consumers are less sensitive to

the prices, are less affected by competitors’ actions and will longer remain loyal to the company comparing

with unsatisfied customers (Nam et al., 2011). Recently, companies have had too much concentration on

customer loyalty and keeping them. According to many researchers, one of the important factors in making

the customers loyal is their satisfaction. To the extent that many people equalize satisfaction with loyalty.

Customer satisfaction is a customer feeling or attitude toward a product or service after using them.

Customer satisfaction is the main result of a marketer activity which act as a channel between different

phases of the consumer’s shopping behavior. There are numerous definitions of customer satisfaction.

Schneider defines customer satisfaction as the outcome of psychological analogy processes between

product’s reality or service or expectances, demands, goals and social norms in relation to the product.

Repp regarding the above definition, defines customer satisfaction as a personal attitude which arises from

the company among the real and expected productivity (Hejazi and Safari, 2007). Experts believe that

customer loyalty bears an irregular and indefinite relationship to customer satisfaction. Although most loyal

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customers are satisfied customers but satisfaction does not always lead to loyalty (Oliver, 1999). Reichheld

states that companies’ too much attention to customer satisfaction causes to ignore their loyalty. And it is

also stated that customer satisfaction does not necessarily turn into their loyalty (Reichheld, 1996). The

satisfaction, loyalty and customer keeping concepts may refer to a type of behavior. However, it is

important to distinguish them conceptually. Satisfaction refers back to the customers’ general evaluation of

their shopping and consuming experience. Hence, evaluation of product experience or service appears in

the course of time (Eshghi et al., 2007). The studies carried out on satisfaction and loyalty fall into three

categories. The first category is extracted from service management literature and studies on relationships

between satisfaction and loyalty is on the whole and company’s level. According to their studies

satisfaction is prior to loyalty which affects the company’s profitability. The second category focuses on

personal level and studies keeping customer based on the customer’s further shopping intention. These

factors contain a major defect because of the difference between the individual’s intention and his behavior.

The second category claims that loyalty is overshadowed by satisfaction, even if they do not bear a logical

relationship. The third category which are few in number have focused on the relationship between

satisfaction and loyalty on a personal level based on real shopping data. Their findings suggest a weak or

unimportant relationship between satisfaction and frequent shopping behavior (loyalty) (Bodet, 2008). One

of the factors which is considered an effective factor in building up satisfaction in customers is the

product’s monetary value. This factor means how much it is satisfactory regarding the cost of product.

Economic considerations are considered as important aspect of product usage.

Hypothesis 4: Monetary value of the product has an impact on customer satisfaction.

Operational value of the product is another factor which has been cared about in customer satisfaction.

Operational value is related to the stage of product usage and refers to the technical and practical benefits

which consumers achieve while using the product (Deng et al., 2010).

Hypothesis 5: Operational value of the product has an impact on customer satisfaction.

A product can be divided into three parts: technical part, ergonomic part and communicative part.

Technical quality shows the beliefs about technical performance, construction and production. Quality in

ergonomic part consists of anything in relation to correspondence with physics and behavior of the human

while using the product. The product’s capability to make contact with individuals, namely message

transmission and product correspondence with humanitarian understanding is categorized as a

communicative quality. The customer satisfaction is a function of these three operational beliefs (Lofgern,

2008). Based on previous theories and researches in this regard, the hypotheses of this research are defined

as follows:

Hypothesis 6: Technical quality of the product has an impact on customer satisfaction.

Hypothesis 7: Ergonomic quality of the product has an impact on customer satisfaction.

Hypothesis 8: Communicative quality of the product has an impact on customer satisfaction.

Conceptual Model of the Research

Figure.1 shows the relationship between the mentioned factors in theoretical fundamentals and formed

hypotheses. Measuring the relationship between monetary value, operational value, technical quality and

ergonomic quality and customer satisfaction and on the hand the relationship between brand trust, customer

satisfaction and brand value and customer loyalty has the form of research conceptual model.

Figure 1.

The Research Conceptual Model

Customer

loyalty

Brand trust

Brand value

Customer

satisfaction

Operational value

Technical quality

Ergonomic quality

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Research Methodology

Data Collection Tool

The present research is a practical study in terms of its purpose and descriptive in terms of the manner of

data gathering. In this study in order to collect the required information in the theoretical framework, the

library method especially the articles of domestic and foreign journals has been utilized. In this research,

the questionnaire tool has been used in order to gather data for examining the hypotheses of the research.

There were a total of 30 questions which a part of it was related to demographic information containing 3

questions and the other part evaluates the dependent and independent variables of the research. The

measuring scale of this questionnaire in second part was a five-choice Likert spectrum on which the

respondents expressed their opinions from totally agrees to totally disagree. Regarding the goal of the

research which is the study of shopping behavior and customer loyalty and since the customers under study

were food customers, the statistical population is the customers of one of the Refah chain store in January

2013 in Isfahan city. The sampling method used for choosing the respondents was the accessible sampling.

The gathered data were analyzed by means of SPSS software program using Pearson and Regression test.

Validity and Reliability of the Questionnaire

Since the questionnaire was researcher-made, the reliability was obtained from Cronbach's alpha 0.838

from the total collected data out of 80 questionnaires which was more than the necessary minimum (0.7)

and is verified. The validity of the questionnaire was examined by experts and was verified unanimously.

Findings

Out of the total questionnaires distributed, there were 80 analyzable questionnaires. In this section we work

on descriptive statistics of sample data to examine the properties of the society.

Table 1- Descriptive Statistics of Demographic Data

Education High school

degree

Associate’s

degree

Bachelor’s degree Master’s degree

and above

Number 43 5 25 7

Ratio 97;9. 5:69. 7269. 5<;9.

Age Less than 20 20-25 25-30 30-35

Number 5 32 23 12

Ratio 5:69. 8. 6<;9. 29.

Then by using Pearson Correlation Coefficient test and SPSS software program the correlation between

dependent and independent variables has been examined. Error level was 0.05 and Confidence percent was

0.95. The following is the summary of the results and coefficients and the results have been explained in

detail afterwards.

The below table shows the correlation coefficient results. Hypotheses 1-3 evaluate loyalty with three

factors. Among the customer satisfaction, brand trust and brand value factors the highest degree of

correlation coefficient goes up to customer satisfaction. The results reveal that there is a significant

relationship between customer satisfaction and customer loyalty. As a result it can be noted that in

statistical population a change in customer satisfaction has an impact on the degree of customer loyalty. So

brand value and brand trust have a positive relationship with customer loyalty considering the result of

correlation test.

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Table 2- Correlation Test Results

The hypothesis under study Coefficient sig Correlation

Result

Hypothesis 1 Brand trust has an impact on customer

loyalty.

95;. 552. Verified

Hypothesis 2 Brand value has an impact on customer

loyalty.

7;5. 529. Verified

Hypothesis 3 Customer satisfaction has an impact on

customer loyalty.

;5;. 555. Verified

Hypothesis 4 Monetary value of the product has an impact

on customer satisfaction.

869. 558. Verified

Hypothesis 5 Operational value of the product has an

impact on customer satisfaction. 9;:. 555. Verified

Hypothesis 6 Technical quality of the product has an

impact on customer satisfaction.

:;:. 555. Verified

Hypothesis 7 Ergonomic quality of the product has an

impact on customer satisfaction.

799. 565. Verified

Hypothesis 8 Communicative quality of the product has an

impact on customer satisfaction.

766. 579. Verified

Hypotheses 4-8 examine the relationship between customer satisfaction with the factors: technical quality

of the product, ergonomic quality of the product, communicative quality of the product, operational value

of the product and monetary value.

The results show that customer satisfaction has a significant and positive relationship with the mentioned

factors. It also indicates that increasing each of them will cause an increase in customer satisfaction. Also

the technical quality of the product and the operational value of the product have the most correlation

degree with customer satisfaction. We will continue to test and examine the hypothesis of the effect of

independent variables on dependent ones.

Hypothesis 1 on inspection: Brand trust has an impact on customer loyalty.

H0: Brand trust does not affect customer loyalty.

H₁: Brand trust affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 14.168 and the significance

level is 0.001. The significance level of independent variable is 0.001 and t statistic is 3.764. So we can

approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that brand trust has an impact on

customer loyalty

ANOVAb

Model Sum of Squares Df Mean Square F Sig.

1 Regression 5.421 1 5.421 14.168 .001a

Residual 15.687 79 .383

Total 21.107 80

a. Predictors: (Constant), Trust

b. Dependent Variable: Customer Loyalty

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Coefficients

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) 1.513 .675 2.243 .030

Trust .629 .167 .507 3.764 .001

a. Dependent Variable: Customer Loyalty

Hypothesis 2 on inspection: Brand value has an impact on customer loyalty.

H0: Brand value does not affect customer loyalty.

H₁: Brand value affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 14.168 and the significance

level is 0.001. The significance level of independent variable is 0.001 and t statistic is 3.764 and Beta is

0.37. So we can approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that brand value

has an impact on customer loyalty.

ANOVAb

Model Sum of Squares Df Mean Square F Sig.

1 Regression 2.887 1 2.887 6.496 .015a

Residual 18.220 79 .444

Total 21.107 80

a. Predictors: (Constant), Brand Equity

b. Dependent Variable: Customer Loyalty

Coefficientsa

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) .882 1.238 .712 .480

Brand Equity .771 .303 .370 2.549 .015

a. Dependent Variable: Customer Loyalty

Hypothesis 3 on inspection: Customer satisfaction has an impact on customer loyalty.

H0: Customer satisfaction does not affect customer loyalty.

H₁: Customer satisfaction affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 41.088 and the significance

level is 0.000. The significance level of independent variable is 0.000 and t statistic is 6.410 and Beta is

0.707. So we can approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that customer

satisfaction has an impact on customer loyalty.

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ANOVAb

Model Sum of Squares Df Mean Square F Sig.

1 Regression 10.565 1 10.565 41.088 .000a

Residual 10.542 79 .257

Total 21.107 80

a. Predictors: (Constant), Customer Satisfaction

b. Dependent Variable: Customer Loyalty

Coefficientsa

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) .557 .547 1.018 .315

Customer Satisfaction .843 .132 .707 6.410 .000

a. Dependent Variable: Customer Loyalty

Hypothesis 4 on inspection: Monetary value has an impact on customer loyalty.

H0: Monetary value does not affect customer loyalty.

H₁: Monetary value affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 41.061 and the significance

level is 0.004. The significance level of independent variable is 0.004 and t statistic is 3.010 and Beta is

0.425. So we can approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that monetary

value has an impact on customer satisfaction.

ANOVAb

Model Sum of Squares df Mean Square F Sig.

1 Regression 2.690 1 2.690 9.061 .004a

Residual 12.173 79 .297

Total 14.863 80

a. Predictors: (Constant), Monetary Value

b. Dependent Variable: Customer Satisfaction

Coefficientsa

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) 2.819 .439 6.425 .000

Monetary Value .360 .120 .425 3.010 .004

a. Dependent Variable: Customer Satisfaction

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Hypothesis 5 on inspection: operational value has an impact on customer loyalty.

H0: Operational value does not affect customer loyalty.

H₁: Operational value affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 20.316 and the significance

level is 0.000. The significance level of independent variable is 0.000 and t statistic is 4.507 and Beta is

0.576. So we can approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that operational

value has an impact on customer satisfaction.

Coefficients

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) 1.659 .550 3.016 .004

Functional Value .598 .133 .576 4.507 .000

a. Dependent Variable: Customer Satisfaction

ANOVAb

Model Sum of Squares Df Mean Square F Sig.

1 Regression 4.925 1 4.925 20.316 .000a

Residual 9.938 79 .242

Total 14.863 80

a. Predictors: (Constant), Functional Value

b. Dependent Variable: Customer Satisfaction

Hypothesis 6 on inspection: The technical quality of the product has an impact on customer loyalty.

H0: The technical quality of the product does not affect customer loyalty.

H₁: The technical quality of the product affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 34.461 and the significance

level is 0.000. The significance level of independent variable is 0.000 and t statistic is 5.870 and Beta is

0.676. So we can approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that the

technical quality of the product has an impact on customer satisfaction.

ANOVAb

Model Sum of Squares Df Mean Square F Sig.

1 Regression 6.788 1 6.788 34.461 .000a

Residual 8.075 79 .197

Total 14.863 80

a. Predictors: (Constant), Technical Quality

b. Dependent Variable: Customer Satisfaction

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Coeffcients

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) 1.363 .474 2.877 .006

Technical Quality .681 .116 .676 5.870 .000

a. Dependent Variable: Customer Satisfaction

Hypothesis 7 on inspection: The ergonomic quality of the product has an impact on customer loyalty.

H0: The ergonomic quality of the product does not affect customer loyalty.

H₁: The ergonomic quality of the product affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 5.903 and the significance

level is 0.020.

The significance level of independent variable is 0.020 and t statistic is 2.430 and Beta is 0.355. So we can

approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that the ergonomic quality of the

product has an impact on customer satisfaction.

ANOVAb

Model Sum of Squares df Mean Square F Sig.

1 Regression 1.871 1 1.871 5.903 .020a

Residual 12.992 79 .317

Total 14.863 80

a. Predictors: (Constant), Ergonomic Quality

b. Dependent Variable: Customer Satisfaction

Coefficientsa

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) 2.569 .643 3.996 .000

Ergonomic Quality .356 .146 .355 2.430 .020

a. Dependent Variable: Customer Satisfaction

Hypothesis 8 on inspection: The communicative quality of the product has an impact on customer loyalty.

H0: The communicative quality of the product does not affect customer loyalty.

H₁: The communicative quality of the product affects customer loyalty.

Considering the following statistical tables, the F from the ANOVA table is 4.736 and the significance

level is 0.035. The significance level of independent variable is 0.035 and t statistic is 2.176 and Beta is

0.322. So we can approve the Hypothesis H₁ in 0.05 error level. Eventually it can be stated that the

communicative quality of the product has an impact on customer satisfaction.

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ANOVAb

Model

Sum of

Squares df Mean Square F Sig.

1 Regression 1.539 1 1.539 4.736 .035a

Residual 13.324 79 .325

Total 14.863 80

a. Predictors: (Constant), Cummunicative Quality

b. Dependent Variable: Customer Satisfaction

Coefficientsa

Model

Unstandardized Coefficients

Standardized

Coefficients

t Sig. B Std. Error Beta

1 (Constant) 2.687 .662 4.056 .000

Communicative

Quality

.340 .156 .322 2.176 .035

a. Dependent Variable: Customer Satisfaction

Conclusions and Recommendations.

The main goal of this research is to investigate the customer buying behavior and effective strategy that

can increase the customer loyalty, in order to research to these goals the researchers have done the research

in a form with eight hypothesis, first of all we tested the effects of brand trust, brand value and customer

satisfaction on customer loyalty, the result shows that all of those factors have Significant correlation with

loyalty which this result confirms the finding of Taylor and colleagues which was a both the effect of trust

and brand value. In this research some hypothesis also were about the elements that can influence on

customer satisfaction, analysis results of those hypothesis show Technical quality of the product is the most

important factor in creating customer satisfaction and than is Functional value and price of product.

Therefore in accordance with analysis that was conducted we recommend all of the producer and the

people who are working in the market should pay more attention on above mention factors, In order to

influence positively on customer buying behavior and in particular to increase their satisfaction and

ultimately, to develop and maintain their loyalty.

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