AN APPLIED STUDY ON THE CUSTOMER RETENTION DYNAMICS OF ORGANIZED READY-TO-WEAR TEXTILES RETAILERS IN REAL AND VIRTUAL MARKETS IN TURKEY

Abstract

Purpose - This descriptive field study aims to reveal customer retention strategy formulation insights among top level marketing professionals of the organized ready-to-wear textiles retailers, who are members of United Brands Association (BMD) both active in off-line and online channels, in the Turkish market.  Methodology - Regarding the literature review conducted a research model with seven variables was proposed, and depending on the proposed research model, six hypotheses were formulated. The research is conducted by a questionnaire which has been applied on-line, by e-mail, post; which is designed specifically to test the proposed relationships, namely the hypotheses constructed. Factor analysis has been conducted to reveal the dimensionality of the variables in the research model. In this regard, principle component analysis using Varimax rotation was performed and the reliabilities of the scales have been assessed by alpha coefficient. Depending on the results of the factor analysis, correlation and regression analyses have been used to test the hypotheses of the study. Findings - Results indicate that perceived product quality, service support and complaint handling, customer experience and suggestions provided and perceived price fairness have significant and positive effects on customer satisfaction. Furthermore, customer satisfaction, trust towards service provided, trust towards company and brand, corporate reputation and corporate social responsibility have significant and positive effects on customer retention.  Conclusion - The outcomes and findings of the study were found to support the objectives of the study and the results of the statistical analysis were found to accept hypotheses of the study. Perceived product quality, perceived service quality, perceived price fairness, trust and corporate image are some vital challenges for customer retention.