Beyond loyalty: customer satisfaction, loyalty, and fortitude

Abstract

Purpose – This paper aims to discuss the first effort to examine the relationships between satisfaction, the four loyalty phases, fortitude, and a sense of virtual community. Design/methodology/approach – Oliver proposed an innovative framework to explain the relationships between satisfaction, loyalty, fortitude, and a sense of community. Findings – Analysis of questionnaire responses of 493 customers of banks and credit unions indicated that satisfaction, cognitive, affective, conative, and action loyalty are positively related to fortitude. Research limitations/implications – The Beyond Loyalty Model (BLM) does not address important strategic issues often associated with loyalty, such as firm profitability, complaint resolution, and firm profitability. Practical implications – This research is the first to find that customers of financial institutions acquire satisfaction and strong loyalty ties with their bank or credit union after dealing with their financial services provider for a relatively short period of time. Thus financial institutions should consistently seek relationship-building opportunities from the outset of their relationships with their customers. Originality/value – The resulting Beyond Loyalty Model (BLM) improves upon the American Bankers Association ' s ABA Financial Client Satisfaction Index, and is a means by which financial institutions can monitor and enhance the satisfaction, loyalty, and fortitude of the customers of financial institutions. Further, the increasing acceptance of virtual banking calls for additional study of this area.