Investigation into Amazon's Customer Loyalty in UK

This dissertation aims to investigate the ways through which Amazon achieves customer loyalty in the UK market. It explores the concept of customer loyalty, the importance of customer loyalty for Amazon, the strategies used by Amazon to make regular customers loyal, and recommendations to improve customer loyalty towards Amazon in the UK.

An investigation into how Amazon
achieve customers loyalty in UK
Dissertation

Aims and Objectives To investigate ways through which Amazon achieve
customer’s loyalty in UK”.
 Aim:
 The main aim of the dissertation is to investigate ways
through which Amazon achieve customer’s loyalty in
UK.
 Objectives:
 On the basis of topic, several objectives have been
developed by researcher, which are described as below:
 To understand the concept of customer loyalty for
organizations
 To determine importance of customer loyalty for Amazon
in UK.
 To identify the strategies that are applied by Amazon to
make regular customers to loyal once.
 To recommend way to improve customer’s loyalty
towards Amazon in UK

Introduction
 What is it about
 Customer loyalty is a trust and believes of the
customer with any particular company's product and
services. If customer loyalty is being strong about the
organisation then company's profitability and market
share can automatically increase. In a simple word it
can be said that customer loyalty is a process under
which customer influence to purchase the same
product and services from the same organisation
again and again because of their satisfaction.

Conti...
 Customer loyalty can improve among the customer while particular company's
product and services provides effective satisfaction to customer and they are
effectively satisfied from the product prices, features, quality and characteristic.
Customer loyalty is the only phrase that is commonly used by corporations in
modern business today. It is one of the beneficial tool that helps in increasing profit
of entities and sustaining in the market for longer period. In order to improve the
customer loyalty, company needs to understand the buying behaviour of the
customer and their choice, perception, requirement about the product and services
etc.
 The following dissertation provides the depth knowledge and understanding about
how company can achieve customer loyalty and how company it able to improve
customer loyalty by deliver effective product and services. In this following
dissertation, Amazon company has chosen for investigation to how it can able to
improve customer loyalty. The following research study provides the understandings
about how company can create customer loyalty by use several ways.

Introduction to the company
In the present era, many companies forcing its
manager to improve the customer relationship so as
it can able to improve customer loyalty. With
assistance of higher customer loyalty, company can
able to gain its long term growth and stability in the
co competitive market. Customer loyalty is a kind of
competitive advantage by which firm can easily earn
effective profitability and market share in the
market.

Contin...
In the following dissertation, researcher has chosen Amazon for to
investigate the ways by which Amazon attain customer loyalty in the
UK market. Amazon is an American electronic commerce and cloud
computing corporation that was launched in the 5 July 1994.It is one
of the largest internet based retailer in the world by total sales and
revenue in the market. It is dealing with all kind of consumer products
like apparel, furniture, toys, food, jewellery, electronics, video games
etc. The major objective of this cited venture is to earn maximum
profitability and market share. For this objective, company required to
improve customer loyalty so that various ways to enhance customer
loyalty has been addressed in this dissertation.

Literature Review
Literature Review is a very important part in the dissertation which
is provided a depth knowledge and understanding about the
research topic. It can also say that, it is an in-depth evaluation of
the previously conducted research by the other researchers. This
is a summarised form of the research topic or area which allows
others to identify the motive behind research. In the following
dissertation, literature review can conducted in order to identify
the impact of customer loyalty in the Amazon.

Conti...
As per the view of Aaker, (2012) Customer loyalty is
one of the effective measure which assist to
company in increasing the profitability and brand
image in the market. In a simple word it can be said
that customer loyalty is a process under which
customer are influenced to purchase the same
product and services again and gain from the same
company. It is a kind of trust and interest of the
customer by which they attracted toward the same
organisation for purchasing its product and services.

Research Methodology
Research methodology is one of the important chapter in the research study by which
investigator can obtain an appropriate solution. Researcher will take support of
several tools and techniques that can help in drawing a valid conclusion. Research
design, philosophy, sampling, data analyses, ethical consideration, research limitation
will be described in this chapter. This is very important part of the dissertation by
which scholar can easily identify the best solution of research problem by various
methods of research. With help of research methodology, scholar can easily analyse
and evaluate the solution for the Amazon and assist it in improving customer loyalty.
These methods of research are as follows-
 Research Philosophy
 Research Design-
 Research approach
 Research Techniques
 Data collection-
 Sampling-

Data Analysis and Findings
It is one of the important part of dissertation that
supports in analyzing the information in effective
manner so that best results can be gained. There are
two types of technique of data analyses, in the
present study researcher will take support of
qualitative techniques and with the help of thematic
analyses overall information will be analyzed.
Sample size will be 20 managers of Amazon.

Theme 1: Customers are satisfied with the services of Amazon.
10
6
3
1
Strongly agree
Agree
Disagree
Strongly disagree

Theme 2: loyalty of customer’s impact on business performance of
organization
yes
No
0 2 4 6 8 10 12
11
9
Column G

Theme 3: Consumer loyalty is important for Amazon
For profit maximization
To long term sustainability
Enhance brand name
gain competitive advantage
0
1
2
3
4
5
6
7
7
6
5
2 Column E

Theme 4: Prime Loyalty program of Amazon
CRM CSR Loyalty / Rewards programs
0
1
2
3
4
5
6
7
8
9
7
5
8
Column F

Theme 5: Reasons of people to shop from Amazon.com
0
2
4
6
4
3
5
2
5
1
Column G

Theme 6: Consumers are worried in online shopping.
7
6
5
2
Online payment safety
Quality of products and
services
Integrity of websites
Others

Theme 7: Shortcoming does Amazon have
currently
Less safety of payment
Bad services
high prices
bad credit of the website
Other
0 1 2 3 4 5 6 7
5
6
4
3
2
Column F

Theme 8: level of satisfaction of consumers on Amazon
5
4
6
4
1
Very satisfied
Satisfied
So So
No too satisfied
Very dissatisfied

Theme 9: Distribution of products is faster as compare to other shopping websites
Extremely agree
Agree
Disagree
Completely disagree
0 1 2 3 4 5 6 7
Column F

Theme 10: Amazon has to work upon improving its customer services
8
7
3
2
Extremely agree
Agree
Disagree
completely disagree

Conclusion
From the above discussion it can be concluded that Amazon is the biggest e-
commerce firm that is working tremendous in the industry. Technologies have been
increased to great extent and in the modern busy life schedule people do not get
proper time to go for shopping from retail stores. Thus, they prefer to buy online
because they think that it is the easiest way that can fulfill their needs and demands.
But in the online shopping users find difficulty because of data hacking. They think
that this medium is not secure. Amazon is working well and fulfilling the needs of
consumers in order to make them loyal towards the brand. It is organizing loyalty
programs so that people can be positive towards the brand and like the company to
great extent. By this way cited firm is attracting more clients towards the brand and
increasing their level of satisfactionApart from this, consumers like to shop from
Amazon because it offers them quality products at lower rates. People have to pay
low amount as compare to other physical outlets on Amazon.com. That is why they
continuously buy the products from the website. In addition, cited firm is using the
CSR and CRM activities so that maximum people get aware with the brand and its
services and they get associated with it. Amazon main motive is to make people loyal
towards the brand so that it can create positive image in front of users. For that cited
firm is concentrating on their needs and preferences and providing them products as
per their requirement. .

Recommendation
From the discussion it can be suggested Amazon should work upon its payment
system. Company should adopt advanced technologies so that it can keep secure
the personal information of the customers. Now a day’s cybercrime is increasing
rapidly that is demotivating the person and they change their mind that not to
shop from online platform. So Amazon should provide safer environment to
clients so that they shop from this website without any fear. By this way cited
firm will be able to make people loyal towards the brand.
Amazon is facing the issue of bad services, sometimes people get damage goods
and when they try to coordinate with the entity then its customer care does not
work properly and do not resolve their issues immediately. That creates trouble
for the customers and they be negative towards the entity. So it is very important
for the organization to work upon improving its customer care department so
that people can communicate well with the firm and can get immediate solution
of their problems. That is the great way that can help in making people loyal
towards the brand.

References
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