Do Customer Loyalty Programs Enhance Customers Buying Behaviour in Supermarkets in Kenya?
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Date
2022
Authors
Lawrence, Lucy Ongaya
Muathe, Stephen M.
Journal Title
Journal ISSN
Volume Title
Publisher
IJRBS
Abstract
This study aims to examine the effect of customer loyalty programs on customer buying behavior in
supermarkets in Nairobi City County, Kenya. Specifically, the study sought to establish the effect of
reward programs, point accumulation programs, and reward frequency programs on customer buying
behavior. A descriptive research design was employed, and questionnaires and interview guides were
used to collect data. A sample of 384 respondents was selected from a target population of 985,016
using the non-probabilistic purposive sampling method. Findings indicate that consumers’ level of
preference for the particular supermarket loyalty programs was high in specific supermarkets. It was
also found that points’ redemption rates differed among the supermarkets. The majority of the
supermarkets allowed customers to redeem their points at any time and customers preferred benefits
connected to frequent visits and fast points reimbursement based on the reward method used. The study
concluded that point cumulative program and reward method program positively and significantly
affects consumer buying behavior but reward frequency negatively and significantly affected customer
buying behavior. The study recommended that the point accumulation program should be made easier
for customers by the marketing departments in the supermarkets.
Description
Article
Keywords
Customer Loyalty programs, Supermarkets, point accumulation reward frequency
Citation
Lawrence, L. O., & Muathe, S. M. (2022). Do customer loyalty programs enhance customers buying behaviour in supermarkets in Kenya?. International Journal of Research in Business and Social Science (2147- 4478), 11(3), 01–15. https://doi.org/10.20525/ijrbs.v11i3.1678