Barotac Viejo National High School

Senior High School Department

Barotac Viejo, Iloilo, Philippines

Customer Satisfaction and Retention Strategies in the Retail Industry

A Concept Paper

Presented to

Mr. Royce Christian D. Balbanida

Faculty of Senior High School Department

Barotac Viejo National High School

Barotac Viejo, Iloilo

In partial fulfillment of the requirements

for English for

Academic and Professional Purposes

Baldago, Gleen Lester G.

Janducayan, Shaun Reed P.
Balderas, Joena Mae G.
Ballaret, April Joy A.
De La Peña, Novie Grace L.
Sanchez, Novie Felice C.
Terado, Irish Jane L.

November 2024
Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

Background of the Study

Daily buying and selling is inevitable. In essence, retail means selling commodities

and services for individual usage purposes directly to end users. Connecting manufacturers

and wholesalers with end users. All kinds of goods and services are included in retail, such as

clothing, electronic equipment, food, and other accessories. It is a vital link, and without it,

goods can hardly move from their producers’ hands into households (Martin,2023).

With regard to both the consumer behavior and the overall competition structure, the

retail industry is constantly changing. Each industry has its peculiarities, retail is no

exception. The customer loyalty levels are decreasing, therefore, the retail management at

large has to decide which effective measures to take, in order to simultaneously gain new

customers and retain the existing ones. At present, the average buyer is educated,

experienced, and keenly self-aware of his/her importance, as well as of the entire purchasing

process. Consequently, it is essential to obtain access and keep the buyer satisfied. The

changes required, with regard to the management of retail chains, should thus cover all the

stages of the process, ranging from the procurement to sales (Plazibat & Dadic 2017) A

lot of business have a problem in maintaining the customer satisfaction and retention strategy

because there are some factors affecting the customer satisfaction and retention such as poor

communication, inadequate product/services quality, unresponsive customer service and lack

of personalization, By addressing this gap, the study can contribute valuable insights into

best practice and helping retail businesses better understand and research some effective

strategies to enhance customer satisfaction and retention in the retail industry.

Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

In a business you should know how to satisfy your customers and to have loyal

customers .So this study aims to explore effective strategies for improving customer

satisfaction through quality service. One of the impotants of retention strategies is customer

satisfaction, which can be influenced by service and product quality and customer

service.Measuring and understanding customer satisfaction is vital for improving retention

strategies.

Priliminary literature review

Customer Satisfaction and Retention Strategies in the retail industry are an essential

study for every business. Understanding how to cultivate loyal customers is crucial for

success in today ‘s competitive market. Customer satisfaction and Retention strategies is vital

for modern day business for two main reasons. First, customers are scarce resource it is far

easier to obtain from an old customers than from a new one. Second, customer retention and

satisfaction has a positive effect on the profitability revenues of the company (Rosenberg &

Czepiel 2017.)

Base on the Wheel of Retailing Theory, that proposed by McNair in 1958, suggests

that retailers enter the market and progress through a cycle of strategies. Initially, retailers

use low-cost strategies to acquire customers, moving into the entry phase. They then move

into the trading up phase, where they invest in improving profits and expanding their

services. In the vulnerability phase, they face high overhead cost and need to renew strategies

to retain customers. They return to the entry phase, often through increased discounting and

cost reduction. This theory explains retailing trends in various countries, but its focus on
Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

costs and inability to explain the presence of profitable premium market specialist firms are

weaknesses.

A.The Impact of Customer Complaints on Customer Satisfaction in the Retail Industry

The articles explores consumer complaints are a crucial signal from dissatisfied

customers seeking a chance to stay with a company. The self-influence effect of

complaints( Yan et al.,2021) suggests that if a customer satisfaction expectation is not met, it

indicates a malfunction and a problem. If a company fails to handle complaints properly,

further negative customer responses can cause significant damage to the business. Therefore,

understanding the causes, objects, and mechanisms of consumer complaints can help service

platforms and merchants better understand the needs and desires of consumers. A customer-

focused company will have loyal and satisfied customers who will reward the company with

their purchases and recommend it to others. However, consumer complaints can have

negative consequences, including customer departure, negative word-of-mouth, damage to a

company's reputation, and public crises.

This chapter presents literature and studies relevant to the present study. It was

divided into three parts: (1) customer satisfaction , (2) Retention strategies, (3) Retail

industry. Part One, Customer satisfaction , describes how customers satisfy the product. Part

Two, Retention Strategies, describes the different strategies. Part Three, Retail Industry,

describes the businesses involved selling goods Costumer satisfaction Repurchase intention

of e-commerce customers in Indonesia: An overview of the effect of e-service quality, e-

Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

word of mouth, customer trust, and customer satisfaction mediation )The rapid development

of e-commerce in Indonesia makes the competition in this business increasingly fierce.

Enhancing customer loyalty through quality of service: Effective strategies to improve

customer satisfaction, experience, relationship, and engagement Enhancing customer loyalty

is crucial for business success, and it can be influenced by various factors such as customer

satisfaction, quality of service, customer experience, and customer relationship management.

service.

Measuring and understanding customer satisfaction is vital for improving customer

loyalty. (According to Geteloma, et al 2024) Enhanced data argumentation for predicting

consumer churn rate with monetization and retention strategies: a pilot study Customer

retention and monetization have since been the pillar of many successful firms and

businesses as keeping an old customer is far more economical than gaining a new one–

which, in turn, reduce customer churn rate.

Previous studies have focused on the use of single heuristics as well as provisioned no

retention strategy. To curb this, our study posits the use of the recen-cy-frequency-

monetization framework as strategy for customer retention and monetization impacts. With

dataset retrieved from Kaggle, and partitioned into train and test dataset/folds to ease model

construction and training.

Employee turnover: Causes, importance and retention strategies

Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

This research aims to understand the causes of employee turnover and retention strategies in

an organization. Key research findings indicate that employees have several reasons to leave

their workplaces, such as job stress, job satisfaction, job security, work environment,

motivation, wages, and rewards. Furthermore, employee turnover has a huge impact on an

organization due to the costs associated with employee turnover and can negatively impact

the productivity, sustainability, competitiveness, and profitability of an organization.

However, the organization must understand the needs of its employees, which will help

organizations, adopt certain strategies to improve employee performance and reduce

turnover. Thus, implementing strategies will increase job satisfaction, motivation and the

productivity of individuals and organizations, which can reduce employment problems,

absenteeism, and employee turnover (Samikon,2021) Retail industry Toward a new business

model of retail industry: The role of brand experience and brand authenticity (According to

Park ang Hong, 2023) While the customer-to-manufacturer (C2M) business model has

received increasing attention as a new business model for e-commerce and retail industry,

little is still known about it and the effect of its approach. The outcomes reveal that the

Sensory, affective, and intellectual aspects of brand experience positively influence brand

authenticity. Brand authenticity has a positive effect on behavioral intention, such as reuse

intention and word-of-mouth. Additionally, this research finds that social presence moderates

the association between the sensory aspect of brand experience. Thus, this study can suggest

a C2M business model as a means of sustainable operation of the retail industry to both

researchers and practitioners in relation to the retail industry.

Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

Impact of process visibility and work stress to improve service quality: Empirical evidence

from dubai retail industryimpact of process visibility and work stress (According to Victoria,

2022) Service quality improvement is the biggest challenge faced by many organizations in

the era of competition. Due to the advancement and customers’ knowledge about product and

services organizations are facing many challenges to satisfy them. In this research study we

have discussed how service quality effected by process visibility and work stress. Qualitative

study was conducted and over the phone interview approached helped us in collecting

primary data. The results show that retail industry has become very modernized due to best

utilization of technology and easy to access customers, but this brought challenges also.

Statement of the problem

Some Businesses having conflict in customer satisfaction and retention strategies in the

retail industry.This study aim’s to investigate the impact of customer satisfaction and

retention strategies in the retail industry and also to explore strategies that enhance customer

satisfaction and also to known how customer will be satisfied in the products or services.

Particularly,the study seeks to answer the following objectives:

1. Identifying the factors that affect the customer satisfaction in retail industry.

2. Analyze Effective retention strategies in the retail industry.

3. Enhance Customer Satisfaction

Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

This study seeks to answer the following questions:

1.What are the Retention Strategies in the Retail industry?

2.What are the relationship of Costumer Satisfaction and Retention strategies?

3.What are the factors influencing customer satisfaction and retention ?

Abridge Methodology

The research title "Customer Satisfaction and Retention Strategies in the Retail Industry"

suggests a study that aims to understand and analyze the factors influencing customer

satisfaction and the strategies employed by retailers to retain their customers. To effectively

address this research question, a mixed-methods research design would be most appropriate.

We are going to use the interview method to gather a range of perspectives and facilitate

discussions among customers about their experiences with retail brands. These discussions

can reveal valuable insights into customer needs, expectations, and potential areas for

improvement.

Timeline
Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

Research Section Date Duration

1.Title Nov.11 1 day

2.Background of the Study Nov.12,13,14 3 days

3.Preliminary literature Nov.15,16,17 3 days

Review

4.Statement of the problem Nov.18 1 day

5.Methodology Nov.18 1 day

References:

Martin,N(2023)An Overview Of Retail Industry

Plazibat, I., & Dadic, M. (2017). Contemporary issues in the retail industry.CEEOL -

Article Detail

Rosenberg, J.L.& Czepiel, A.J. 2017. Journal of Consumer Marketing: A marketing approach

customer retention. United Kingdom: MCB UP Limited. Retrived

from:https://www.pourashraf.ir/wp-content/uploads/2024/06/1.pdf

Brown S. 1988 “The wheel of the wheel of retailing” International Journal of Retailing, 3(1)

16-37.
Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines

Durandis, R. (2024). The Impact of Customer Complaints on Customer Satisfaction in the

Retail Industry: A Qualitative Study (Doctoral dissertation, National

University).https:4168200cf3896b138b0eb7938f9a2641/1?pq-

origsite=gscholar&cbl=18750&diss=y

Khadka, K., & Maharjan, S. (2017). Customer satisfaction and customer loyalty. Centria

University of Applied Sciences Pietarsaari, 1(10), 58-64.

A STUDY ON CUSTOMER RETENTION IN RETAIL SECTOR AT MAHARATHI

SHOPPING CENTRE, THURAIYUR MUNICIPALITY T.M.Senthamil Selvan1 ,
Dr.T.Mukilan2 1 Assistant Professor, Department of Commerce, 2 Assistant Professor &
Head, Department of Social Work, 2 https://orcid.org/0000-0001-7082-6877 | Imayam Arts
and Science College, Thuraiyur, Trichy, Tamilnadu, India.

Gonzalez, M., & Rabbi, F. (2023) Evaluating the Impact of Big Data Analytics
on Personalized E-commerce Shopping Experiences and Customer
Retention Strategies

https://www.google.com/url?sa=i&url
Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines
Barotac Viejo National High School
Senior High School Department
Barotac Viejo, Iloilo, Philippines