Impact of Customer Retention Strategies on the Corporate Performance of Supermarkets in Nigeria
Keywords:
Customer, Switch barrier, Loyalty Reward, Corporate, PerformanceAbstract
The study investigated how switching barriers and loyalty rewards affected corporate performance in the Nigerian supermarket sector. The rising competition in retail demanded knowledge about how these strategies affected customer loyalty levels together with business success to ensure sustainable business expansion. A quantitative design structure guided the data collection process by distributing structured questionnaires to 543 customers of supermarkets in Osogbo, Ilesa, and Ile-Ife. The study evaluated 543 respondents based on Cochran’s calculation method. SPSS was used to conduct analysis on switching barriers and loyalty rewards and their impacts on corporate performance by utilizing multiple regression analysis. Corporate performance received major influence from switching barriers since the barriers explained 67.4% of corporate performance variations (R² = 0.674, p < 0.05). The result showed that loyalty reward programs produced substantial positive results which explained 53.2% of corporate performance differences (R² = 0.532, p < 0.05). The findings established that customer retention measures function as vital elements which boost business outcomes together with market competitiveness within the Nigerian supermarket industry. The competitive position of supermarkets could have been enhanced through better installation of barriers against customer switching by providing special services and benefits which build customer loyalty. Improved customer retention programs should have included personalized rewards bonuses and customized customer engagement practices because these elements boost ongoing customer visits while boosting sustainable business results
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