Customer Satifaction and Customer Loyalty

As the world economy expands, customers have more choices for where they get
their products and services. Satisfying customers is no longer enough. Even satisfies
customers have many options that can easily attract them away from their current
supplier. Retaining customers requires building loyalty, which not only includes
customer satisfaction, but also and emotional response that keeps customers coming back
for more, which is customer loyalty. This paper will discuss what customer satisfaction
and loyalty is, their differences, and how to create customer loyalty.
The first thing to look at is the distinction between satisfied customers and loyal
customers. “When customers were asked in a survey about their previous supplier, 60 to
70 percent of them responded that they were “satisfied” or “very satisfied,” yet they still
switched suppliers”(Lenz, 2000, p.1). Most businesses think their customers are satisfied,
and they very well maybe. Unfortunately, cust...