An empirical investigation of retention management by white goods retailers

Abstract

India has a large retail industry which has shown remarkable growth in the recent past and is undergoing a radical change. This study focuses on customer retention strategies adopted by retailers in the white goods sector. It investigates various strategies, practices and techniques to ensure customer attraction, retention and loyalty. Retailers that have been surveyed for primary data collection are evenly distributed across Mumbai city and its suburbs and include all those housing all income-range options. The questionnaire was administered to a total of 82 retailers out of which usable responses were received from 61 retailers. A series of more open-ended conversations were also conducted. Effective practices followed by specific retailers of consumer durables have been highlighted. The study concludes that the popular white goods retailers in Mumbai are combining and using diverse approaches in retaining customers in the industry and that these strategies have been effective. Organisations today exist in a turbulent business environment. Satisfied customers are the company's relationship capital. Companies should follow a coordinated line of attack by a proper comprehension of the varied aspects of loyalty and frame their strategies accordingly.