- Title
- Loyalty programmes for low cost retailers
- Creator
- Nkomo, Clement
- Subject
- Customer loyalty programs -- South Africa
- Subject
- Customer clubs -- South Africa Retail trade -- South Africa Chain stores -- South Africa
- Date Issued
- 2019
- Date
- 2019
- Type
- Thesis
- Type
- Masters
- Type
- MBA
- Identifier
- http://hdl.handle.net/10948/42869
- Identifier
- vital:36701
- Description
- Loyalty programmes have become a popular marketing tool in the market place that is highly competitive and where differentiation is difficult. Although they are not new they continue to grow in popularity in South Africa. While there has been significant research on loyalty programmes in the last two decades little has been done on low cost retailers. An in depth literature review was conducted which examined the mediating Influence of socio-demographic characteristics, purchase behaviour, trust, communication personalisation, flexibility, rewards and method of participation in relation to loyalty programmes. The study further explored the attitudinal and behavioural factors as determinants of perceptions of loyalty programmes and membership. Behavioural loyalty explained customers’ actions, which included repeat purchases, their proneness to be attracted by competitors as well as their willingness to engage in word of mouth. Attitudinal loyalty, which relates to emotional engagement by customers, was explored. The study design was based on a quantitative approach. The methodology involved a self-administered questionnaire adapted from previous studies. Data were collected from 265 respondents at three different Ackermans stores and analysed through various descriptive and inferential statistical tests. The proposed model to measure loyalty programmes was constructed. The model related the independent variables to the dependant variables through the use of the additional factors (A) Attitude and (B) Behaviour, to highlight the influence the independent variables may have on the functionality, uptake and overall success of Loyalty Programmes. The findings indicated that the Attitudinal and Behavioural factors are strong determinants of loyal programmes and membership. The findings indicate that participating in the loyalty programme has a positive but minor overall influence on customer behaviour. Factors such purchase behaviour, trust, communication, personalisation, flexibility, rewards and method of participation were highlighted as key determinants of the loyalty programmes in this study. Loyalty programmes increase the spending and frequency of low and moderate buyers, this affirms that low cost retailers like Ackermans should launch and benefit from a loyalty programme. To be sustainable loyalty programmes must reinforce the attitudinal loyalty (attachment) of customers in addition to behavioural loyalty. The results from this study add to the body of research in the field, yielding both significant theoretical and practical contributions to the field of loyalty programmes, relationship quality and loyalty research, particularly in the low cost retailing. Limitations and future research are discussed.
- Format
- xiii, 141 leaves
- Format
- Publisher
- Nelson Mandela University
- Publisher
- Faculty of Business and Economic Sciences
- Language
- English
- Rights
- Nelson Mandela University
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| Thumbnail | File | Description | Size | Format | |||
|---|---|---|---|---|---|---|---|
| View Details Download | SOURCE1 | CLEMENT NKOMO.pdf | 3 MB | Adobe Acrobat PDF | View Details Download |