The study of service convenience influence on customer satisfaction & customer loyalty towards convenience store chains - The case of Circle K
Abstract
The development of technology and the improvement in life conditions of people have brought in shifts in the habit of purchasing over the time, including shopping for convenience goods with a variety of convenience store chains opened in urban areas. The purpose of this thesis is to study how Service Convenience factors (Decision Convenience, Access Convenience, Transaction Convenience, Benefit Convenience, Post-Benefit Convenience) affecting Customer Satisfaction and Customer Loyalty at Circle K convenience store chain in Ho Chi Minh City, Vietnam.
The research employs a quantitative approach, with the analysis of the sample size of 379 visitors to Circle K store in Ho Chi Minh City. Several statistical techniques are applied for the data analysis such as Descriptive Statistics, Reliability Test, Exploratory Factor Analysis (EFA), Confirmatory Factor Analysis (CFA), Structural Equation Modeling (SEM) and Bootstrap Test. In addition, the study also shows the influence of demographic factors such as gender, age and income on the satisfaction and loyalty of Circle K customers.
The research found out that Customer Satisfaction creates the largest impact on Customer Loyalty. Besides, while Decision Convenience have no effects on both dependent variables, Post-Benefit Convenience and Access Convenience gain a considerable impact on Customer Satisfaction and Customer Loyalty. Based on the results obtained, the study offers some implications for Circle K store to make some adaptations for improvements.
Keyword: Convenience Store, Service Convenience, Decision Convenience, Access Convenience, Transaction Convenience, Benefit Convenience, Post-Benefit Convenience, Customer Satisfaction, Customer Loyalty