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Customer satisfaction and loyalty in supply chain: the role of communication

Author

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  • Ellinger, Alexander E.
  • Daugherty, Patricia J.
  • Plair, Quentin J.

Abstract

Communication between buyers and sellers is central to the supply chain philosophy. Further, the trend toward more detailed customer demands has made it even more important for firms to solicit input and feedback from their customers in order to better tailor their offerings to customer needs. Previous research suggests a strong linkage between customer satisfaction and customer loyalty. Highly satisfied customers are more loyal than less satisfied customers. Thus, it was hypothesized that firms proactively seeking information from customers should realize a "pay off" in terms of more satisfied and, subsequently, more loyal customers. A survey of buyers in the personal products industry was used to examine three methods of listening to customers. Frequency of vendor meetings with customers, formalized contact through the solicitation of feedback and/or conducting surveys, and personal visits by senior vendor managers were found to be related to customer satisfaction as well as customer loyalty.

Suggested Citation

  • Ellinger, Alexander E. & Daugherty, Patricia J. & Plair, Quentin J., 1999. "Customer satisfaction and loyalty in supply chain: the role of communication," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 35(2), pages 121-134, June.
    • Handle: RePEc:eee:transe:v:35:y:1999:i:2:p:121-134
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    Citations

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    Cited by:

    1. Piening, J. & Ehrmann, T. & Meiseberg, B., 2013. "Competing risks for train tickets – An empirical investigation of customer behavior and performance in the railway industry," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 51(C), pages 1-16.
    2. Yuan-shuh Lii, 2009. "A model of customer e-loyalty in the online banking," Economics Bulletin, AccessEcon, vol. 29(2), pages 891-902.
    3. Chao, Ching-Cheng & Chen, Hsi-Tien & Yeh, Tai-Lin, 2015. "A comprehensive relationship marketing model between airlines and travel agencies: The case of Taiwan," Journal of Air Transport Management, Elsevier, vol. 47(C), pages 20-31.
    4. Angela Eliza Micu & Olfa Bouzaabia & Rym Bouzaabia & Adrian Micu & Alexandru Capatina, 2019. "Online customer experience in e-retailing: implications for web entrepreneurship," International Entrepreneurship and Management Journal, Springer, vol. 15(2), pages 651-675, June.
    5. Storer, Christine, 2006. "Information communication tools used to Coordinate food chains," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 14.
    6. Vlachos, Ilias & Lin, Zhibin, 2014. "Drivers of airline loyalty: Evidence from the business travelers in China," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 71(C), pages 1-17.
    7. Can Saglam, Yesim & Yildiz Çankaya, Sibel & Golgeci, Ismail & Sezen, Bulent & Zaim, Selim, 2022. "The role of communication quality, relational commitment, and reciprocity in building supply chain resilience: A social exchange theory perspective," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 167(C).
    8. Abbas Al-Refaie & Murad Al-Tarawneh & Nour Bata, 2018. "Study Of Customer Churn In The Telecom Industry Using Structural Equation Modelling," Economy & Business Journal, International Scientific Publications, Bulgaria, vol. 12(1), pages 393-411.
    9. Huang, Qiuping & Zhao, Xiande & Yeung, KwanHo & Ma, Lijun & Yeung, Jeff Hoi-yan, 2021. "Effects of information-processing mechanisms on Internet-based purchase order financing," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 146(C).
    10. Yeong Gug Kim & Gang Li, 2009. "Customer Satisfaction with and Loyalty towards Online Travel Products: A Transaction Cost Economics Perspective," Tourism Economics, , vol. 15(4), pages 825-846, December.

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