Evaluating the role of consumer perceptions in direct selling business in new normal era

Abstract

In the era of the competitive business landscape, every company seeks to be the category-lead but it is not an easy-going task, especially in case of Direct selling business. To be the category lead, a company is required to differentiate its brand over competitors in terms of product value proposition, pricing, customer service, and other constructs that bind the customers who have been loyal to the brand for a long time. Understanding consumers’ buying behaviour is a vital task in this regard, failing which any organisation struggle to find their position in the competitive market. Customer satisfaction refers to a person’s general attitude toward a service provider or an emotional reaction to a discrepancy between the expected service and the service received to fulfil the desired goals or needs. The first intent of the present investigation is to identify the factors contributing to Customer Satisfaction. The second intent is to evaluate the relationship between Customer Satisfaction and Consumer-Organisation Relationship (COR). The study was carried out by considering the five factors viz. price stability, product quality, reliability, efficiency, and user-friendliness to explore their impact on customer satisfaction.  Further, CFA and SEM approaches were used to analyse the data.