Actors that determine customer loyalty to cloth retailing stores in Nairobi, Kenya.
Mutuku, Alice N
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Recent years have shown a growing interest in customer loyalty. The changes facing firms in business environment in terms of globalization, competition, liberalization, saturation of markets and development of information technology have enhanced customer awareness and created a situation where long-term success is no longer achieved through optimized product price quality. The objective of this study was to identify the factors that influence customer loyalty in cloth retailing stores in Nairobi, Kenya. The study was modelled on a descriptive design. Primary data was collected using a semi-structured questionnaire. The questionnaires were personally administered by the researcher to the customers shopping at the major shopping malls in Nairobi and the Central Business District cloth retailing stores. The questionnaire was divided into two parts. Part A contained questions on demographic information of the respondents. Part B contained questions on factors determining customer loyalty at the cloth stores in Nairobi, Kenya. From the study findings it is quite evident that the factors that determine the respondents’ choice of the cloth retailing stores are: location, trustworthiness, perceived quality, supplier brand, customer satisfaction, perceived price fairness and product mix. It was concluded that customers in Nairobi cloth retailing stores give high rating to flexible products and innovativeness (at 89%),wide range of product at (85%), products that meet customer needs at (59%), and cheap and affordable products at (15%). Finally high quality state of art technology oriented products is at (78%). Results on the extent to which respondents agree the following statements are important were as follows: quality of service offered to ensure customers loyalty is 100%, level of merchandised quality in the stores is high at 62.6%, suppliers brand that influences customersloyalty is at 100%, liking of store or outlet brand of products is agreeable at 54%, product mix that influences customers loyalty has a great extent at 88%. It was recommended that cloth retailing stores should strive to put more emphasis on factors that rank high in terms of determining the customers’ choice of the stores. Putting a lot of emphasis on the above mentioned factors would automatically translate to allocating more funds to the factors in question.