IMPACT OF CUSTOMER SATISFACTION ON CUSTOMER LOYALTY WITH MEDIATING ROLE OF TRUST IN BRANDS

Abstract

Purpose of the study: The current study aims to understand the need for developing customer loyalty with the influence of Satisfaction and trust in private label brands.
 Methodology: Descriptive research design was used to evaluate the developed model and test the importance of Satisfaction and trust in developing customer loyalty. The influence of trust between Satisfaction and customer loyalty was tested using the Baron Method of mediation and validated using the Sobel test for mediation. The research included 92 respondents from Peshawar city using the snowball sampling method. The study used simple linear regression analysis to find the influence of variables on each other.
 Main Findings: The results found that Satisfaction positively and significantly influences customer loyalty. In addition, the outcomes indicated that trust partially mediates the association between Satisfaction and trust.
 Applications of the study: The managers/retailers can work on developing trust among the customers for their private label brands. The strategies can be created for the same by incorporating the output of Satisfaction to gain customers' loyalty. Trust can be an added advantage for any business, and Satisfaction is reddened to the customers through products and services.
 Novelty/Originality of the study: This is the first study that has measured customer satisfaction and customer loyalty with the mediating role of trust with such rich variables in a developing economy like Pakistan.