Factors impacting online customer loyalty

Blog on January 30th, 2010 View Comments

Developing online customer loyalty is much more difficult than customer loyalty in traditional stores.  The internet allows your customer base to be worldwide, but also puts you head to head with a larger number of competing businesses.  I’ve noticed there are many different approaches and theories as to why customers develop loyalty to particular online businesses.  Here is yet another one.  Its important to remember that these theories are not just simple observations, but are developed academic studies.  Here is the reference to the article I’m writing about today: Srinivasan et al. Customer loyalty in e-commerce: an exploration of its antecedents and consequences. Journal of Retailing (2002) vol. 78 (1) pp. 41-50. Studies have shown that without a base of loyal customers, any company will struggle financially. (more…)

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Excerpt from journal on web loyalty

Blog on January 28th, 2010 View Comments

Shipping facilityThis is an excerpt taken from a journal on web loyalty –  Otim and Grover. An empirical study on Web-based services and customer loyalty. European Journal of Information Systems (2006) vol. 15 (6) pp. 527.  The journal studied pre-purchase, purchase process, and post purchase factors which impacted customer loyalty.  In short, they found that pre-purchase factors, such has web design, had little impact on customer loyalty when compared to post purchase factors, such as delivery time.  Here are a few of their findings. (more…)

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It has to be earned...

Gaining the trust of online customers

Blog, Featured on January 27th, 2010 View Comments

Gaining the trust of online customersUsually, people would credit a great web design, nice photos, or other more obvious pieces of a website with generating customer trust.  While each of these factors may contribute to the generation of trust, they are probably not the most significant factors. Listed are some new insights I gained today regarding the gaining the trust of online customers. (more…)

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