FACTORS AFFECTING CUSTOMER LOYALTY IN THE BUSINESS MARKET - AN EMPIRICAL STUDY IN THE REPUBLIC OF SERBIA

Abstract

In modern business conditions characterized by the requirements for achieving superior profit margins, customer satisfaction and loyalty have become the basic company business priorities. The ability of the company to achieve a high level of customer loyalty, in conditions of intense competition is determined by delivery of superior quality service, but also by creating a positive overall customer experience with the company. Such a situation implies the relationship development based on the trust and commitment of the buyer to the supplier. The aim of the author is to investigate the impact of satisfaction, trust, buyer loyalty and perceived quality of services on the level of achieved loyalty. Empirical research was carried out on a sample of small and medium-sized enterprises in order to identify loyal and disloyal customers. Statistical analysis is based on the application of multivariate techniques that enabled simultaneous analysis of the mutual relationship between the identified four independent variables on the dependent variable, i.e. on degree of buyer loyalty.