How to Sustain Customer Loyalty towards Brands Essay
According to Kumar and Shah (2004) the brand loyalty is one of the most widely studied marketing concepts by the researchers and it is also the most implemented marketing initiative by practitioners. The two authors relied upon the past studies to review important findings related to customer behavior and attitude in the context of customer loyalty and drew their conclusion on their …show more content…
The purchase loyalty and attitudinal loyalty is determined by the level of brand trust and brand potential to emotionally connect with the customers (Chaudhuri and Holbrook, 2001). The purchase loyalty of a brand results in a greater market share, and attitudinal loyalty helps in charging higher prices than the competitors since the brand loyal customers are price insensitive. The authors’ amply dissected two aspects of the brand loyalty i.e. purchase loyalty and attitudinal loyalty to come to this conclusion.
The companies lose some of their customers to their competitors because of various reasons, one being that they fail to make their customers loyal to their product or service. The companies are identifying this pattern and recognizing its severe impact on the businesses. The competitiveness and profitability of the organizations are compromised because of switching and disloyal customers. The companies need to realize and move away from the market share strategy to a more long term and a sustainable business approach of building customer loyalty (Griffin, 2001).
It is regarded as a principal in marketing that it is far cheaper to retain a customer than