What Determines E-Loyalty? An Analysis of Factors Affecting On-Line Customer Retention

Abstract

The objective of this research was to identify, assess and rank the determinants of e-Loyalty for the benefit of online stores so that they may have a better understanding as to what factors customers consider most important when deciding whether or not to remain loyal to the online store. 13 determinants of Customer Loyalty were identified from examining previous literature in e-commerce and related fields. 137 respondents were surveyed, by means of an online web-based questionnaire, to examine their opinions on these factors and how they rate their importance in comparison with other factors. This research has shown that the most important factors that are involved in a customer's decision to remain loyal to an online store are Security and Privacy, Convenience, Web Usability, Perceived Value, Fulfillment and Trust. It was also found that some factors such as price greatly override others as well as the fact that a customer's loyalty is dependent upon the competitive nature of the industry and the nature of the goods in question.