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Research Paper | Management | Ethiopia | Volume 7 Issue 9, September 2018

Factors Affecting Customer Loyalty: (Experience from Dashen Bank Adigrat area Branch)

Tsigab Aregawi ^[3]

Abstract: The primary objective of this research work is to exploring the practice of Dashen bank in measuring customer loyalty and identifying the factors that affect loyalty. Customer loyalty is determined by service quality, customer satisfaction, customer complain handling, and commitment. The growing charisma of relationship marketing efforts has led to augmented competition among service providers. To attain the enviable customer to the business, for this purpose Relationship marketing efforts would have to be placed into practice to determine whether customers are loyal to the particular bank or not. This research attempts to analyze the determinants of customer loyalty and their relationships with banking industry in the case of Dashen Bank at Adigrat area branch. In order to address the research objective, 5 point linket scale type questionnaire is designed and validated and distributed to sample 384 respondents' selected by using the Cavalho (1984) samples size determination sample and analyzed by using descriptive statistics like mean and std. deviations and SPSS software version 20 used to analyze the primary data gathered from the respondents. . Perceived service Quality, customer Satisfaction, customer and Complaint Handling were the factors that influence customer Loyalty of the bank customers. It is recommended that the give due attention for expectations management as the result indicated that customers are not delighted by the services offer.

Keywords: Customer Loyalty, Banking Sector, Relationship Marketing

Edition: Volume 7 Issue 9, September 2018,

Pages: 101 - 105

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