The relationship between customer satisfaction and loyalty of direct selling industry-with demographic characteristics,perceived value and user types as moderator variables

Authors: Jau-Shyong Wang; Robert Der-Fa Chen;

Journal: Chia Da Management Review. Dec. 2005, 25(2): 57-87.

Keywords: Customer Satisfaction; Customer Loyalty; Perceived Value; Direct Selling

Abstract:
Direct Selling (DS) is the sale of a consumer product or service, person-to-person. It is critical for the DS industry to obtain customer satisfaction and to retain customer loyalty. Thus, it is very important for the DS industry to find out the need of customer, to provide complete personalized service and to develop the potential market. This study used the statistical methods of Factor Analysis, Pearson Correlation Analysis and Two-Way ANOVA Analysis to probe the relationship between customer satisfaction and loyalty by introducing user types, demographic characteristics and perceived value as the moderator variables to clarify their relationship. The result indicates that customer satisfaction is significantly and positively associated with customer loyalty. The user types, demographic characteristics and perceived value variables affect the relationship between customer satisfaction and customer loyalty.