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Why Loyalty Matters in Retailing

  • Timothy L. Keiningham
  • Lerzan Aksoy
  • Luke Williams
  • Alexander Buoye
Chapter

Abstract

Retailers have long known that their long-term success depends upon customer loyalty. In fact, legendary retailers were the first businesses to champion customer satisfaction as a source of competitive differentiation. In 1875, Montgomery Ward differentiated his mail order catalog by promising “satisfaction guaranteed or your money back.” By the early 1900s, Chicago’s Marshall Field’s department store and London’s Selfridges department store were championing “the customer is always right” (although it is not clear whether Mr. Field or Mr. Selfridge was first to coin the phrase). Today, these catchphrases and the ideals that they convey are ubiquitous throughout the business world (although some might question the degree to which most businesses actually adhere to these principles).

Keywords

Financial Performance Customer Satisfaction Customer Loyalty Loyalty Strategy Customer Experience 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

References

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Copyright information

© Springer Science+Business Media, LLC 2012

Authors and Affiliations

  • Timothy L. Keiningham
    • 1
  • Lerzan Aksoy
    • 2
  • Luke Williams
    • 1
  • Alexander Buoye
    • 1
  1. 1.IPSOS Loyalty, Morris Corporate Center 2ParsippanyUSA
  2. 2.Schools of BusinessFordham UniversityNew YorkUSA

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