Trust the Shield: Unveiling the Warranty's Power in Building Customer Loyalty through Complaint Resolution
DOI:
https://doi.org/10.47067/reads.v9i2.487Keywords:
Customer Loyalty, Warranty, Complaint Resolution, Customer Trust, SEMAbstract
The Customer loyalty goes beyond mere satisfaction; it embodies a profound commitment to a product's success, rooted in the unwavering belief that opting for a warranty-backed offering is the ultimate choice. This study delves into the intricate dynamics of customer loyalty among battery manufacturers, scrutinizing the impact of product warranty and complaint resolution while considering the mediating role of trust and the moderating influence of brand image. To shed light on this subject, we harnessed data from a robust sample of 410 customers who purchased batteries from outlets in Southern Punjab, Pakistan. Our data collection was accomplished through meticulously crafted questionnaires, employing adopted scales to ensure comprehensive coverage. Statistical Package for the Social Sciences (SPSS) version 20 and Analysis of Moment Structures (AMOS) software version 20 were our analytical allies, enabling rigorous testing of our research model. Exploratory factor analysis and confirmatory factor analysis contributed statistical evidence to support our hypotheses. Results unveiled the pivotal roles of product warranty and complaint resolution in predicting customer loyalty, with trust acting as a crucial mediator and brand image as a potential moderator. The positive and significant relationship between product warranty, complaint resolution, and customer loyalty echoes the power of these factors in nurturing lasting customer devotion. Interestingly, the direct influence of brand image on customer loyalty also proved significant, albeit with an unexpected twist. While the overall impact remains positive, the indirect effect appears to wield a counterintuitive negative influence. As our findings come to light, management executives stand to gain invaluable insights into fine-tuning their policies, ensuring a customer-centric approach that fosters unwavering loyalty. Armed with this knowledge, businesses can redesign their management strategies to cultivate deeper connections with their clientele.
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