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Abstract
Purpose - This paper seeks to explore the complex inter-relationships between the attitudinal and behavioural dimensions of customer loyalty development, by examining the dynamic processes by which customer loyalty is initiated and sustained using a mixed methods approach. In doing so, the paper highlights the absence of valid and reliable measures of customer loyalty development and discusses the use of the multi-phase model of customer loyalty development.
Design/methodology/approach - This model is the basis for the construction of a multi-item scale to measure customer loyalty development. A mixed methods design is specified and stages in the construction of the scale are discussed including measures of validity and reliability.
Findings - The findings of the research demonstrate the validity and reliability of the loyalty scale and highlight the sustaining and mediating effects associated with different levels of loyalty development.
Research limitations/implications - The study is set within the passenger ferry sector. Future research will seek to make empirical generalisations in relation to the application of the loyalty scale.
Practical implications - The main implications of this research are to emphasise the importance of sustaining and developing customer loyalty based on a differentiated approach to rewarding customers who have different levels of loyalty development. The findings highlighted the need to acknowledge the importance of reciprocity in terms of which aspects of service customers value within different levels of loyalty.
Originality/value - The main contributions of this paper are the presentation of the loyalty scale and the confirmation of the plateau of customer loyalty development.
Keywords Customer loyalty, Customer service management, Consumer behaviour, Behaviourally-anchored rating scales
Paper type Research paper
Introduction
The development of customer loyalty has become an important focus for marketing strategy in recent years due to the benefits associated with retaining existing customers (Gwinner et al, 1998; Hagen-Danbury and Matthews, 2001). Despite this, the concept of customer loyalty remains relatively unexplored (Hart et al., 1999). Whilst numerous studies have distinguished between the attitudinal and behavioural dimensions of loyalty (e.g. Jacoby and Kyner, 1973; Dick and Basu, 1994; Knox and Walker, 2001), these have not adequately explored the complex inter-relationships between the two dimensions, and the dynamic processes by which loyalty is initiated and sustained. Finding an accurate measure of customer loyalty is extremely...