Influential factors of customer E-loyalty in Iranian E-stores

University essay from Luleå/Business Administration and Social Sciences

Abstract: The rapid development of technology and internet has diverted company
direction to retain customer e-loyalty. Customer loyalty is becoming an area
of great interest for companies and customer loyalty has a direct impact on
the revenue and profitability of a company. With regard to customer
loyalty’s importance, we investigate three main research problems that are
the most important barriers for e-businesses to survival, which are
customer too much switching, switching cost, and competition. To overcome
this barriers: companies had to invest on building loyal customer in long-
time relationship.
Also, in this research, the influential factors of customer e-loyalty were
investigated, which are e-satisfaction, e-trust, and e-quality.
In this research, e-loyalty and e-satisfaction models are elaborated, then,
with regard to limitations, the conceptual e-loyalty model are assumed that
investigate the relationship between the e-satisfaction, e-trust, and
e-quality as basic constructs of model as well as the relationship between
each constructs and e-loyalty.
In this study, quantitative research is best to this thesis because of
linear structure between e-loyalty and its constructs. In addition,
research purpose and research questions indicate that this thesis is
primarily exploratory then descriptive. Since the aim of this research is
to investigate the relationship of variables and to test some predefined
hypothesizes among a number of e-stores, survey is selected as research
strategy.
The aim of this research is to identify influential factors of customer
e-loyalty in Iranian e-stores which are focus on selling Book and CDs. Thus,
the sample of this survey consists of online buyers who have deals with
three e-stores. The names of e-stores were considered anonymous due to
owner's request since they feel free to give us customer's information.
Moreover, the size of the population under this study is the sample size
that has been determined 280 under formula: still, 352 questionnaires were
gathered out which 322 were eventually accepted.
The result of this research shows that delivery time, distribution system,
specific invoice as well as convenience and flexibility of online shopping
is very underlying factor of e-satisfaction from customer point of view.
In addition, giving Personal Data, Reliable information, Credit card
information, and having Physical location have a very influential effect on
E-trust from customer point of view. Also, e-stores brand name as well as
previous user’s recommendations is the most underling factors which bring
about good word of mouth and finally lead to trust in online shopping.
Moreover, Experience of members in communities and chartrooms leads to
developing E-trust among members.
Besides, need fulfillment, advertisement / promotions, and customized
attention are the influential factors of E-quality from customer
perspective.
Also, sending reminder, relevant information, and share of business with
customer are the most underlying factors which affect cultivation and
increase customer attention in online shopping and consequently increase
e-quality. Moreover, one-stop shop and carry a wide selection of products
are the most prominent issues which lead to e-quality.
In conclusion, all factors which increase E-satisfaction and E-quality lead
to e-loyalty so E-satisfaction as well as E-quality considered as two
influential factors of customer E-loyalty. Also, since significant
relationship between E-trust with E-loyalty and E-satisfaction rejected, we
can say that preparing e-trust solely has no effect on E-loyalty and
E-satisfaction. In other words, trust is sufficient condition for any
e-business for transactions with customer which is not lead to e-loyalty,
exclusively. Beside, since there is significant and positive relationship
between E-trust and E-quality, and because E-quality has direct effect on
E-satisfaction and E-loyalty, we can conclude that E-trust in companion with
E-quality will lead to E-satisfaction and E-loyalty.

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