Using at least 250 words respond to the below post. Your replies must do the following:
a. Answer the question posed by the classmate.
b. Respond to the practical example in the classmate’s post with a practical example that
differs from the one in the classmate’s post.
c. Reference at least 2 scholarly sources in addition to the course textbook.
Note about Responses: Seek to understand your classmates’ posts (including the marketing
management theory, the facts presented in their posts, their points of view, and their real-world
examples). Aim to communicate your own understanding of relevant facts, your values, and your
perspective of the topic.
The topic that I have chosen to cover is customer loyalty. Customer loyalty, as explained by Marshall and Johnston (2019), can cause retained attention by a consumer to an organization as well as reduce customers switching to another product or organization (Marshall & Johnston, 2019). Customer loyalty plays a major role in constant sale of a product within an organization and keeps customers coming back for the newest upgrade and latest products. Customer service, advertising, price, and convenience are all factors in establishing and protecting customer loyalty within an organization. Marshall and Johnston (2019) describe that customer loyalty is made up from the value that a customer receives from an organization. When a customer tends to feel more valued, you tend to find a higher level of customer loyalty as long as that company does not hold a monopoly within the market (Marshall & Johnston, 2019).
Customer loyalty is a well-recognized concept that many organizations try to establish and maintain. Apple is one of the organizations that comes to mind when you think of customer loyalty. As more and more Apple products are released, many people are eager and willing to stay with the organization and obtain the latest model. Because Apple creates products that can work in tandem with each other, this enhances the customer loyalty and prompts customers to look at purchasing more Apple products for higher levels of convenience. Technical support and customer service can also be a reason to stay with an organization. “According to a recent report of a market research group it was found that 60% of apple owners expressed their desire to buy another apple product because of their wonderful positive experience with Apple’s in store technical support” (Aggarwal & Arora, 2013). The inconvenience of customers switching to a new type of phone such as an android can also be a barrier which keeps user with Apple rather than having to learn and adapt to the differences of using an android or another smartphone.
Over the years as Apple has expanded its business to more than just selling iPhones, they have been able to keep their customer loyalty by making each new gadget compatible with the other. Apple has made the process of connecting different gadgets such as Air Pods, Mac, Apple Watch, and Air tag to all work in tandem together making it harder to customers to switch from Apple if a customer owns at least one of these items. The more items a customer owns through Apple, the tougher it is to move away from the organization as they do a great job of making each gadget work efficiently with the other.
Question for Classmates
My questions that I would like to ask are; when you think of customer loyalty, what is the first brand or organization that comes to mind and are there any brands that you tend to find yourself loyal to. If so, what are the main reasons that you find yourself loyal to these brands or organizations. For me, I tend to be loyal to Amazon. With the two-day delivery and competitive prices, I find that many things I buy are through Amazon and I have become a loyal customer to their organization. Any issues that I have had with Amazon normally is handled seamlessly and quickly. Reichheld (2000) explains how Amazon how become a successful online retailer by stating:
The most successful online retailers quickly realized that their business was not just about providing another way to place orders. It was about expanding the inter-relationship between their company and their customers’ lives and finding ways to turn their website into a habit. Both Amazon and AOL have nurtured loyalty in their customer bases through continuous innovation in service offerings.
Because of the customer service, pricing, and delivery, I do find that I look for extra Amazon products that I can use around my home that work together and make using each product even easier making me a loyal customer to Amazon.
Aggarwal, V. K., & Arora, S. (2013). Global brands’ impact of relationship marketing on customer loyalty: An analytical study. Global Journal of Management and Business Studies, 3(8), 843-848.
Marshall, G. W., & Johnston, M. W. (2019). Marketing management (3rd ed.). McGraw-Hill Education.
Reichheld, F. F., Markey Jr, R. G., & Hopton, C. (2000). E-customer loyalty-applying the traditional rules of business for online success. European Business Journal, 12(4), 173.