RELATIONSHIP MARKETING AND CUSTOMER LOYALTY: EVIDENCE FROM NIGERIAN TELECOMMUNICATION INDUSTRY

Abstract

The most challenging and difficult tasks facing any business is acquiring new and retaining
existing customers. A number of studies have been conducted on the factors affecting customer
loyalty though with little agreement among the studies. Therefore, this study examines the effect
of relationship marketing on customer loyalty using the case of Nigerian telecommunication
industry. The population of the study is an infinite population with a sample size of 520. Copies
of the questionnaire were distributed using simple random sampling techniques and were
analyzed using regression analysis. A total of 473 copies of questionnaire were analyzed and the
outcome of the regression analyses showed that customer trust and satisfaction had a positive
and significant impact on customer loyalty. Evidence from the findings also showed that
customer commitment and switching cost had a positive but statistically insignificant impact on
customer loyalty. the study, therefore, recommended that telecommunication service providers
should strive to improve service quality, perceived value and trust level in their efforts to attain a
higher level of customer loyalty. If this is done, it will help them to gain more customer
commitment which could result to increase in customer loyalty to the service operators.
Furthermore, service providers should focus on how to provide satisfaction to customers; if
achieved, it will cause customer trust in their product, then in a long-term, it will create
customer loyalty.