Impact of Core Offering on Customer Loyalty: An Exploratory Study

RESEARCH PROJECT

TABLE OF CONTENTS
RESEARCH PROJECT...................................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Formulate and record possible research project outline specifications............................1
Research topic...............................................................................................................1
1.2 Identify the factors that contribute to the process of research project selection..............2
1.3 Undertake a critical review of key references..................................................................2
Customer loyalty...........................................................................................................2
1.4 Produce a research project specification...........................................................................4
TASK 2............................................................................................................................................6
2.1 Match resources efficiently to the research question or hypothesis.................................6
2.2 Undertake the proposed research investigation in accordance with the agreed specification
and procedures........................................................................................................................7
2.3 Record and collate relevant data where appropriate.........................................................7
TASK 3............................................................................................................................................8
3.1 Use appropriate research evaluation techniques...............................................................8
Different research methods which have been used.......................................................8
3.2 Interpret and analyze the results in terms of the original research specification..............9
3.3 Make recommendations and justify areas for further consideration..............................12
TASK 4..........................................................................................................................................13
4.1 use an agreed format and appropriate media to present the outcomes of the research to an
audience................................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Consumers are considered as a most important part of any organization. It is quite
essential for companies to motivate their workers in order to perform well. This is the best way
through which they can provide high quality services to all their customers. Within the area of
online retailing there are several factors which affect the buying decisions of customers such as
visibility of website, price, quality of services, delivery etc (Torres and Kline, 2013). These are
some of the most common ways which highly affects the loyalty of customers. Before several
decades a retail store is the only shop from where consumers buy several products on daily basis.
This is not the case anymore. Nowadays, people are highly attracted towards the online shopping
as they can buy everything from here on a short time period. With having several positive factors
there are some negative factors which highly affect the decisions of customers (Christodoulides
and de, Chernatony, 2010). Each and every online retailer tries to attract customers by satisfying
their needs and making the right product available for its customers. It also helps in making right
product choice for their customers and motivating them to go through the making of appropriate
purchase decision.
The present research is based on the case study of Ocado Company which is British
online supermarkets and has been voted as best online supermarkets of UK. The main aim of
this study is to evaluate all those factors which affect the consumer loyalty within the online
retailing segment which affects the customer loyalty. According to Heinonen (2010) being a
loyal customer, consumer always expect quality services from company. Due to this factor,
company should take several steps by which all their workers feels motivated and give advanced
services to their customers.
TASK 1
1.1 Formulate and record possible research project outline specifications
Research topic
To identify the factors that affects the customer loyalty in online retailing in the UK: Case study
of Ocado
Research objectives
 To identify the importance of consumer loyalty within the online retailing segment
Ocado.
 To evaluate the current trends prevailing in online retailing segment
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 To analyse different factor that affects the consumer loyalty in Ocado
 To provide different recommendations in order to maintain consumer loyalty within the
Ocado online retailing company.
Research Questions
 What are the factors which affects the loyalty of customer within the online retailing
segment?
1.2 Identify the factors that contribute to the process of research project selection
 To increase subject knowledge in the area of consumer loyalty
 Personal interest in the topic.
 Lack of researcher studies on consumer loyalty in Ocado
1.3 Undertake a critical review of key references
This is the most important sections of any research under which researcher can fill all the
prevailing gaps of existing literatures. Further, this section gives appropriate information about
the consumer loyalty as well as factors which affects them.
Customer loyalty
It is considered as a most important concern in which companies need to maintain their
service quality in order to maintain consumer loyalty. According to (Dick and Basu, 2004)
customer loyalty is both attitudinal as well as behavioural tendency through which they can
favour only one brand over all others. It is highly linked with the satisfaction with product as
well as convenience, performance and familiarity and comfort. Loyalty is the only factor which
encourages customers to shop more consistently and also feel positive about shopping
experience. In this competitive environment it is becoming quite difficult for companies to
develop several strategies through which they can attract more number of people. Hsin Chang
and Wang (2011) stated that it is the result of consistently positive emotional experience as well
as perceived value of an experience which includes the products and services. Liu, Guo and Lee
(2011) in his article defines that retaining customer is quite difficult than acquiring new one.
There is a consumer experience management which is the most cost effective way to drive
customer satisfaction and customer retention. With the help of this company can gain higher
competitive advantage as well as loyalty (Qureshi and et.al, 2009).