Factors Influencing Customer Loyalty in Telecommunication Companies in Benin City

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ABSTRACT

This study was carried out with the aim to examine factors influencing customer loyalty in telecommunication companies in Benin City. The specific objective of the study is to determine the extent to which service quality, network coverage, tariff (price), customer care service, internet service of telecommunication companies boost customer loyalty. To achieve this objective, a total of three hundred and fifty (350) questionnaires were administered to the respondents, and three hundred and fifteen (315) of the questionnaires were properly filled and returned and were used for the analysis.

The data gathered from the administered questionnaires which were analyzed involves two methods, the use of simple percentages, tables and the Ordinary Least Square (OLS) were used. The hypotheses of this study were tested using Ordinary Least Square (OLS) regression technique.

The findings from analysis revealed among other things that there is a significant relationship between tariff (price) and internet service of telecommunication and customer loyalty. The findings also showed that there is no significant relationship between service quality, network coverage, customer care service of telecommunication and customer loyalty. In line with the findings, we recommend that the management of telecommunication companies needs to improve quality services so as to satisfy customer’s needs. The telecommunication companies needs to pay much attention on the customer complaints in order satisfy the customer’s expectation and delivering on its promises to the customers will bring high level of reliability..

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