Customers’ Loyalty and Sales Performance of Dangote Cement Product in Awka, Anambra State

https://doi.org/10.35912/amor.v3i2.1160
Published: Nov 11, 2022

Abstract:

Purpose: The broad objective of the study is to ascertain the relationship between customers’ loyalty and the sales performance of Dangote Cement products in Awka, Anambra State. The study specifically examined the relationship between emotional loyalty and consumer purchase intention; and, the relationship between behavioral loyalty and consumer purchase intention of Dangote cement.

Research methodology: The study adopts the survey research design. The final sample comprised one hundred and twenty-four (124) consumers of Dangote cement products in the Awka metropolis. The study relied on primary data; obtained from a structured questionnaire. The data were analyzed using descriptive statistics and the hypotheses were tested using the Pearson correlation coefficient.

Results: The results showed a positive significant relationship between emotional loyalty and consumer purchase intention; and, a positive significant relationship between behavioral loyalty and consumer purchase intention.

Limitations: The study focused on consumers of a single product, which limits the generalizability of the study findings to other different products.

Contribution: The study contributes to the management discipline by understanding how customer loyalty impacts the continued purchase of an organization’s product or service. More so, the appeal now of using emotional marketing tools seems to be gaining increased popularity. The study also buttresses the fact that the consumers may be viewed from both a relational and transactional perspective.

Keywords:
1. Emotional Loyalty
2. Behavioral Loyalty
3. Consumer Purchase Intention
4. Customer Loyalty
Authors:
1 . Chukwunonso Nosike
Nnamdi Azikiwe University Awka, Nigeria
2 . Chinedu Egbunike
Nnamdi Azikiwe University, Nigeria
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How to Cite
Nosike, C., & Egbunike, C. (2022). Customers’ Loyalty and Sales Performance of Dangote Cement Product in Awka, Anambra State. Annals of Management and Organization Research, 3(2), 115–128. https://doi.org/10.35912/amor.v3i2.1160
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Issue & Section
Vol. 3 No. 2 (2021): November
Articles
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This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

References

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    Amegayibor, G. K., & Korankye, C. O. (2021). Customer satisfaction and the influence of quality service aspects: A case study of a cooperative union in Cape Coast, Ghana's Central Region. Annals of Management and Organization Research, 2(4), 253-269.

    Amit, R., & Schoemaker, P. J. (1993). Strategic assets and organizational rent. Strategic management journal, 14(1), 33-46.

    Andreassen, T. W., & Lindestad, B. (1998). Customer loyalty and complex services: The impact of corporate image on quality, customer satisfaction and loyalty for customers with varying degrees of service expertise. International Journal of service Industry management, 9(1), 7-23.

    Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of management, 17(1), 99-120.

    Berhe, G. (2010). Assessment of Factors Affecting Sales Volume: With reference to Mesfin Industrial Engineering Plc. MBA Thesis, Mekele, Ethiopia.

    Bishnoi, S. K., & Singh, S. (2021). A study on consumer buying behaviour for fashion and luxury brands under emotional influence. Research Journal of Textile and Apparel.

    Bontis, N., Booker, L. D., & Serenko, A. (2007). The mediating effect of organizational reputation on customer loyalty and service recommendation in the banking industry. Management decision.

    Buciuniene, I., & Skudiene, V. (2009). Factors influencing salespeople motivation and relationship with the organization in b2b sector. Engineering Economics, 64(4).

    Cannon, J. P., & Perreault Jr, W. D. (1999). Buyer–seller relationships in business markets. Journal of marketing research, 36(4), 439-460.

    Chaudhuri, A., & Holbrook, M. B. (2001). The chain of effects from brand trust and brand affect to brand performance: the role of brand loyalty. Journal of marketing, 65(2), 81-93.

    Chen, M.-F., & Wang, L.-H. (2009). The moderating role of switching barriers on customer loyalty in the life insurance industry. The Service Industries Journal, 29(8), 1105-1123.

    Donassolo, P. H., & Matos, C. A. d. (2014). The predictors of sales performance: a study with wholesale sellers. Revista brasileira de gestão de negócios, 16, 448-465.

    Ehrenberg, A., & Loyalty, S. J. B. (1999). Elgar companion to consumer research and economic psychology/Ed. by PE Earl, S. Kemp. UK: Cheltenham: Edward Elgar pub.

    Eid, M. B. A. H. (2021). Customer lifetime value: investigating the factors affecting attitudinal and behavioural brand loyalty. The TQM Journal.

    Encyclopedia, I. (2016). Behavioural Loyalty. Retrieved from https://www.ipsos.com/en/ipsos-encyclopedia-behavioural-loyalty

    Ezejelue, A., Ogwo, E., & Nkamnebe, A. (2008). Basic principles in managing research projects. Afritower Limited Aba-Nigeria.

    Fan, Y., Kou, J., & Liu, J. (2020). Research on the Influencing Factors of Customer Loyalty in Offline Supermarket under New Retail Model. Paper presented at the Proceedings of the 2020 4th International Conference on Management Engineering, Software Engineering and Service Sciences.

    Gogoi, B. (2013). Study of antecedents of purchase intention and its effect on brand loyalty of private label brand of apparel. International Journal of Sales & Marketing, 3(2), 73-86.

    Gremler, D. D., & Brown, S. W. (1999). The loyalty ripple effect: appreciating the full value of customers. International Journal of service Industry management.

    Griffin, J. (2002). Customer loyalty: How to earn it, how to keep it: John Wiley & Sons.

    Ibok, I. N., & John, A. S. (2013). Investigating customer satisfaction driven values in the retail banking industry. International Journal of Finance and Accounting, 2(5), 292-296.

    Khadka, K., & Maharjan, S. (2017). Customer satisfaction and customer loyalty: Case trivsel städtjänster (trivsel siivouspalvelut).

    Kimura, M. (2021). Customer segment transition through the customer loyalty program. Asia Pacific journal of marketing and logistics.

    Kleinig, J. (2022). Loyalty E. N. Zalta (Ed.) Retrieved from https://plato.stanford.edu/archives/sum2022/entries/loyalty/

    Kumari, N., & Patyal, S. (2017). Customer to consumer: attitudinal and behavioural loyalty. International Journal of Management Studies, 4(1), 115-121.

    Magatef, S. G., & Tomalieh, E. F. (2015). The impact of customer loyalty programs on customer retention. International Journal of Business and Social Science, 6(8), 78-93.

    Mappadang, A., Wijaya, A. M., & Mappadang, L. J. (2021). Financial performance, company size on the timeliness of financial reporting. Annals of Management and Organization Research, 2(4), 225-235.

    Mbango, P., & Phiri, M. (2015). Customer satisfaction as a mediator between causes (trust and communication) and the outcome (customer loyalty) in business-to-business relationship marketing in the South African cement manufacturing industry. Journal of Governance and Regulation/Volume, 4(3).

    Mirabi, V., Akbariyeh, H., & Tahmasebifard, H. (2015). A study of factors affecting on customers purchase intention. Journal of Multidisciplinary Engineering Science and Technology (JMEST), 2(1).

    Mitiku, M. A., & Nega, F. E. (2021). Upshot of supply chain assimilation and competitive advantage on organizational performance in Ethiopia, Hawassa Industrial Park. Annals of Management and Organization Research, 2(4), 237-252.

    Mohajan, H. (2017). Two criteria for good measurements in research: Validity and reliability. Annals of Spiru Haret University Economics Series(4).

    Ndubisi, E. C., & Nwankwo, C. A. (2019). Customer satisfaction and organizational performance of the Nigerian banking sub-sector. International Journal of Business and Management Invention, 8(3), 79-87.

    Newman, J. W., & Werbel, R. A. (1973). Multivariate analysis of brand loyalty for major household appliances. Journal of marketing research, 10(4), 404-409.

    Obasan, K. A., Ariyo, O. O., & Hassan, B. A. (2015). Brand loyalty and organisational profitability. Fountain Journal of Management and Social Sciences, 4(1), 60-73.

    Oliver Richard, L. (1997). Satisfaction: A behavioral perspective on the consumer. New York ? NY: Irwin-McGraw-Hill.

    Oliver, R. L. (1999). Whence consumer loyalty? Journal of marketing, 63(4_suppl1), 33-44.

    Pandit, A., & Vilches-Montero, S. (2016). Are reward cards just a business deal? The role of calculative versus emotional card commitment in driving store loyalty. Journal of Retailing and Consumer Services, 31, 355-360.

    Rahman, M. K., Haque, A., & Jalil, M. A. (2014). Factors affecting customer loyalty through satisfaction towards retail marketing strategy: an exploratory investigation on Malaysian hypermarkets. Australian Journal of Basic and Applied Sciences, 8(7), 304-322.

    Ranabhat, D. (2018). CUSTOMER LOYALTY IN BUSINESS: views of students of Centria University of Applied Sciences.

    Sahaf, M. A. (2019). Strategic marketing: Making decisions for strategic advantage: PHI Learning Pvt. Ltd.

    Samsonowa, T. (2011). Industrial research performance management: Key performance indicators in the ICT industry: Springer Science & Business Media.

    Shah, S. S. H., Aziz, J., Jaffari, A. R., Waris, S., Ejaz, W., Fatima, M., & Sherazi, S. K. (2012). The impact of brands on consumer purchase intentions. Asian Journal of Business Management, 4(2), 105-110.

    Solomon, E. A., Stanley, O. A., & Ufuoma, A. O. (2017). Assessing the Effect of Direct Selling Strategies on Customer Loyalty in the Nigerian Commercial Banks. Social Science Learning Education Journal, 2(03).

    Soltanmoradi, A. T., Poor, T. H., & Nazari, M. (2013). Influence of customer satisfaction and customer loyalty on firm performance in Iran. Journal of Basic and Applied Scientific Research, 3(2), 1234-1239.

    Stainer, L. (2006). Performance management and corporate social responsibility: The strategic connection. Strategic Change, 15(5), 253-264.

    Tanford, S., & Baloglu, S. (2013). Applying the loyalty matrix to evaluate casino loyalty programs. Cornell Hospitality Quarterly, 54(4), 333-346.

    ThisDay. (2019). Dangote Cement’s 12% Revenue Growth Lifts GDP. Retrieved from https://www.thisdaylive.com/index.php/2019/03/10/dangote-cements-12-revenue-growth-lifts-gdp/

    Verbeke, W., Dietz, B., & Verwaal, E. (2011). Drivers of sales performance: a contemporary meta-analysis. Have salespeople become knowledge brokers? Journal of the Academy of Marketing Science, 39(3), 407-428.

    Wekeza, S. V., & Sibanda, M. (2019). Factors influencing consumer purchase intentions of organically grown products in Shelly Centre, Port Shepstone, South Africa. International journal of environmental research and public health, 16(6), 956.

    Yoo, M., & Bai, B. (2013). Customer loyalty marketing research: A comparative approach between hospitality and business journals. International Journal of hospitality management, 33, 166-177.

  1. Al Jamil, M. A. (2021). Antecedents for Creating Loyal Relationship with Retailers: A Study on the Pharmaceutical Industry of Bangladesh. Annals of Management and Organization Research, 3(1), 21-33.
  2. Amegayibor, G. K., & Korankye, C. O. (2021). Customer satisfaction and the influence of quality service aspects: A case study of a cooperative union in Cape Coast, Ghana's Central Region. Annals of Management and Organization Research, 2(4), 253-269.
  3. Amit, R., & Schoemaker, P. J. (1993). Strategic assets and organizational rent. Strategic management journal, 14(1), 33-46.
  4. Andreassen, T. W., & Lindestad, B. (1998). Customer loyalty and complex services: The impact of corporate image on quality, customer satisfaction and loyalty for customers with varying degrees of service expertise. International Journal of service Industry management, 9(1), 7-23.
  5. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of management, 17(1), 99-120.
  6. Berhe, G. (2010). Assessment of Factors Affecting Sales Volume: With reference to Mesfin Industrial Engineering Plc. MBA Thesis, Mekele, Ethiopia.
  7. Bishnoi, S. K., & Singh, S. (2021). A study on consumer buying behaviour for fashion and luxury brands under emotional influence. Research Journal of Textile and Apparel.
  8. Bontis, N., Booker, L. D., & Serenko, A. (2007). The mediating effect of organizational reputation on customer loyalty and service recommendation in the banking industry. Management decision.
  9. Buciuniene, I., & Skudiene, V. (2009). Factors influencing salespeople motivation and relationship with the organization in b2b sector. Engineering Economics, 64(4).
  10. Cannon, J. P., & Perreault Jr, W. D. (1999). Buyer–seller relationships in business markets. Journal of marketing research, 36(4), 439-460.
  11. Chaudhuri, A., & Holbrook, M. B. (2001). The chain of effects from brand trust and brand affect to brand performance: the role of brand loyalty. Journal of marketing, 65(2), 81-93.
  12. Chen, M.-F., & Wang, L.-H. (2009). The moderating role of switching barriers on customer loyalty in the life insurance industry. The Service Industries Journal, 29(8), 1105-1123.
  13. Donassolo, P. H., & Matos, C. A. d. (2014). The predictors of sales performance: a study with wholesale sellers. Revista brasileira de gestão de negócios, 16, 448-465.
  14. Ehrenberg, A., & Loyalty, S. J. B. (1999). Elgar companion to consumer research and economic psychology/Ed. by PE Earl, S. Kemp. UK: Cheltenham: Edward Elgar pub.
  15. Eid, M. B. A. H. (2021). Customer lifetime value: investigating the factors affecting attitudinal and behavioural brand loyalty. The TQM Journal.
  16. Encyclopedia, I. (2016). Behavioural Loyalty. Retrieved from https://www.ipsos.com/en/ipsos-encyclopedia-behavioural-loyalty
  17. Ezejelue, A., Ogwo, E., & Nkamnebe, A. (2008). Basic principles in managing research projects. Afritower Limited Aba-Nigeria.
  18. Fan, Y., Kou, J., & Liu, J. (2020). Research on the Influencing Factors of Customer Loyalty in Offline Supermarket under New Retail Model. Paper presented at the Proceedings of the 2020 4th International Conference on Management Engineering, Software Engineering and Service Sciences.
  19. Gogoi, B. (2013). Study of antecedents of purchase intention and its effect on brand loyalty of private label brand of apparel. International Journal of Sales & Marketing, 3(2), 73-86.
  20. Gremler, D. D., & Brown, S. W. (1999). The loyalty ripple effect: appreciating the full value of customers. International Journal of service Industry management.
  21. Griffin, J. (2002). Customer loyalty: How to earn it, how to keep it: John Wiley & Sons.
  22. Ibok, I. N., & John, A. S. (2013). Investigating customer satisfaction driven values in the retail banking industry. International Journal of Finance and Accounting, 2(5), 292-296.
  23. Khadka, K., & Maharjan, S. (2017). Customer satisfaction and customer loyalty: Case trivsel städtjänster (trivsel siivouspalvelut).
  24. Kimura, M. (2021). Customer segment transition through the customer loyalty program. Asia Pacific journal of marketing and logistics.
  25. Kleinig, J. (2022). Loyalty E. N. Zalta (Ed.) Retrieved from https://plato.stanford.edu/archives/sum2022/entries/loyalty/
  26. Kumari, N., & Patyal, S. (2017). Customer to consumer: attitudinal and behavioural loyalty. International Journal of Management Studies, 4(1), 115-121.
  27. Magatef, S. G., & Tomalieh, E. F. (2015). The impact of customer loyalty programs on customer retention. International Journal of Business and Social Science, 6(8), 78-93.
  28. Mappadang, A., Wijaya, A. M., & Mappadang, L. J. (2021). Financial performance, company size on the timeliness of financial reporting. Annals of Management and Organization Research, 2(4), 225-235.
  29. Mbango, P., & Phiri, M. (2015). Customer satisfaction as a mediator between causes (trust and communication) and the outcome (customer loyalty) in business-to-business relationship marketing in the South African cement manufacturing industry. Journal of Governance and Regulation/Volume, 4(3).
  30. Mirabi, V., Akbariyeh, H., & Tahmasebifard, H. (2015). A study of factors affecting on customers purchase intention. Journal of Multidisciplinary Engineering Science and Technology (JMEST), 2(1).
  31. Mitiku, M. A., & Nega, F. E. (2021). Upshot of supply chain assimilation and competitive advantage on organizational performance in Ethiopia, Hawassa Industrial Park. Annals of Management and Organization Research, 2(4), 237-252.
  32. Mohajan, H. (2017). Two criteria for good measurements in research: Validity and reliability. Annals of Spiru Haret University Economics Series(4).
  33. Ndubisi, E. C., & Nwankwo, C. A. (2019). Customer satisfaction and organizational performance of the Nigerian banking sub-sector. International Journal of Business and Management Invention, 8(3), 79-87.
  34. Newman, J. W., & Werbel, R. A. (1973). Multivariate analysis of brand loyalty for major household appliances. Journal of marketing research, 10(4), 404-409.
  35. Obasan, K. A., Ariyo, O. O., & Hassan, B. A. (2015). Brand loyalty and organisational profitability. Fountain Journal of Management and Social Sciences, 4(1), 60-73.
  36. Oliver Richard, L. (1997). Satisfaction: A behavioral perspective on the consumer. New York ? NY: Irwin-McGraw-Hill.
  37. Oliver, R. L. (1999). Whence consumer loyalty? Journal of marketing, 63(4_suppl1), 33-44.
  38. Pandit, A., & Vilches-Montero, S. (2016). Are reward cards just a business deal? The role of calculative versus emotional card commitment in driving store loyalty. Journal of Retailing and Consumer Services, 31, 355-360.
  39. Rahman, M. K., Haque, A., & Jalil, M. A. (2014). Factors affecting customer loyalty through satisfaction towards retail marketing strategy: an exploratory investigation on Malaysian hypermarkets. Australian Journal of Basic and Applied Sciences, 8(7), 304-322.
  40. Ranabhat, D. (2018). CUSTOMER LOYALTY IN BUSINESS: views of students of Centria University of Applied Sciences.
  41. Sahaf, M. A. (2019). Strategic marketing: Making decisions for strategic advantage: PHI Learning Pvt. Ltd.
  42. Samsonowa, T. (2011). Industrial research performance management: Key performance indicators in the ICT industry: Springer Science & Business Media.
  43. Shah, S. S. H., Aziz, J., Jaffari, A. R., Waris, S., Ejaz, W., Fatima, M., & Sherazi, S. K. (2012). The impact of brands on consumer purchase intentions. Asian Journal of Business Management, 4(2), 105-110.
  44. Solomon, E. A., Stanley, O. A., & Ufuoma, A. O. (2017). Assessing the Effect of Direct Selling Strategies on Customer Loyalty in the Nigerian Commercial Banks. Social Science Learning Education Journal, 2(03).
  45. Soltanmoradi, A. T., Poor, T. H., & Nazari, M. (2013). Influence of customer satisfaction and customer loyalty on firm performance in Iran. Journal of Basic and Applied Scientific Research, 3(2), 1234-1239.
  46. Stainer, L. (2006). Performance management and corporate social responsibility: The strategic connection. Strategic Change, 15(5), 253-264.
  47. Tanford, S., & Baloglu, S. (2013). Applying the loyalty matrix to evaluate casino loyalty programs. Cornell Hospitality Quarterly, 54(4), 333-346.
  48. ThisDay. (2019). Dangote Cement’s 12% Revenue Growth Lifts GDP. Retrieved from https://www.thisdaylive.com/index.php/2019/03/10/dangote-cements-12-revenue-growth-lifts-gdp/
  49. Verbeke, W., Dietz, B., & Verwaal, E. (2011). Drivers of sales performance: a contemporary meta-analysis. Have salespeople become knowledge brokers? Journal of the Academy of Marketing Science, 39(3), 407-428.
  50. Wekeza, S. V., & Sibanda, M. (2019). Factors influencing consumer purchase intentions of organically grown products in Shelly Centre, Port Shepstone, South Africa. International journal of environmental research and public health, 16(6), 956.
  51. Yoo, M., & Bai, B. (2013). Customer loyalty marketing research: A comparative approach between hospitality and business journals. International Journal of hospitality management, 33, 166-177.