Determinants Of Customers Loyalty Towards Retail Outlets

Abstract

India is recognized as the fifth largest retail market that provides about 8 % of total employment and contributes 7.4 % in national GDP. The enormous changes witnessed in the retailing scenario can primarily due to positive economic factors such as growing urbanization, changing demographic profiles, infrastructure, per capita income among individual and households, entry of foreign retailers and globalization leading to increased consumerism while usage of credit/debit cards, easy finance options such as e-wallets, e-tail etc emerging opportunities in this sector. Recently IBEF, 2016 report is predicted the Indian retail market will touch almost US$1 Trillion by 2020. However, yet the organized retail trade constitutes only about 8 % of the total retail market. Young generation consumers have been showing interest in shopping at organized retail outlets and giving top priority to quality and convenience, ready to pay a higher price in order to enjoy the benefits of home delivery, superior quality, premium design, accessible store location and good experience. The study analyzed the key determinants that affect the stores loyalty. The data were collected by using structured questionnaire from 191 respondents from Azamgarh city. The chronbach alpha, frequency analysis and standard deviation have been applied to check the reliability and analysis of data. The result indicated that there are six factors i.e. availability of product, product’s quality, location of outlet, convenient working hours, reasonable price and sales promotions of outlet which affects the customer loyalty towards organized retail store.