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Antecedents of customer loyalty at Kong Fui supermarket on Aruba by Bsc. Rignald J. F. Martis A thesis submitted in partial fulfillment of the requirements for the degree of Master in Business Administration University of Groningen 2006 Approved by ________________________________________________________ Chairperson of Supervisory Committee Mrs. Dr. J.A. Voerman and _______________________________________________________ Assistant Supervisor Ms. Drs. S.T. M. Kremer Program Authorized to
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   Antecedents of customer loyalty at Kong Fui supermarket on Aruba by Bsc. Rignald J. F. Martis  A thesis submitted in partialfulfillment of the requirements forthe degree of  Master in BusinessAdministration University of Groningen2006  Approved by ________________________________________________________ Chairperson of Supervisory CommitteeMrs. Dr. J.A. Voermanand _______________________________________________________  Assistant SupervisorMs. Drs. S.T. M. KremerProgram Authorizedto Offer Degree______________________________________________________ Date _______________________________________________________________   UNIVERSITY OF GRONINGEN(RIJKSUNIVERSITEIT GRONINGEN)  ABSTRACT  Antecedents of customer loyalty at Kong Fui supermarket on Aruba by Bsc. Rignald J. F. Martis Chairperson of the Supervisory Committee:Mrs. Dr. J.A. VoermanMarketing Department A thesis presented on the antecedents of customer loyalty at Kong FuiSupermarket on Aruba, D.C. In grocery retailing, consumers have a great variety of supermarkets topatronize. This brings forth an important issue as to what can be done bysupermarket managements to let their customers feel at home so they can comeback. In this regard, customer satisfaction, acculturation preference, shoppercharacteristics, shopping motivations, customer characteristics and loyaltyprogram adoption have been assessed as the predictors of loyal behavior and –attitude of customers. Furthermore, the effects of idiosyncrasy, privacyconcerns, customer characteristics, loyalty program design and – enjoyment onloyalty program adoption have been studied.The potential effects were assessed through techniques to measure both linear –and non-linear dependencies. Finally, the results provide mixed support for theimpact of the studied antecedents on both customer loyalty and loyalty programadoption respectively. Keywords:  Customer loyalty; Customer satisfaction; Loyalty program   Antecedents of customer loyalty at Kong Fui supermarket on Aruba iMaster in Business AdministrationMarketing ManagementUniversity of Groningeni TABLE OF CONTENTS NumberPageTable of Contents____________________________________________iList of figures_______________________________________________iiiAcknowledgments___________________________________________ivSummary___________________________________________________vChapter 1Introduction__________________________________- 1 - 1.1 Background of the study___________________________________- 1 -1.2 Kong Fui Supermarket & Wholesale________________________- 4 -1.3 Problem statement and research questions__________________- 6 -1.4 Methodology and limitations_______________________________- 7 -1.5 Report structure__________________________________________- 7 - Chapter 2 Literature review_____________________________- 8 - 2.1 State of the art of customer loyalty__________________________- 8 -2.2 Factors affecting loyalty__________________________________- 10 -2.3 Antecedents and moderating factors of customer loyalty for foodretailers____________________________________________________- 13 -2.4 Factors affecting loyalty program adoption_________________- 17 -2.4 Antecedents and moderating factors of loyalty program adoption forfood retailers_______________________________________________- 19 -2.5 Conceptual model________________________________________- 22 - Chapter 3:Research methodology________________________- 24 - 3.1 Introduction_____________________________________________- 24 - 3.1.1 Operationalization of model   ___________________________________- 24 - 3.1.2 Questionnaire   _______________________________________________- 28 - 3.2 Sample and data collection________________________________- 28 -3.3 Analytical method_______________________________________- 29 -   Antecedents of customer loyalty at Kong Fui supermarket on Aruba iiMaster in Business AdministrationMarketing ManagementUniversity of Groningenii Chapter 4: Research results___________________________- 38 - 4.1 Representativity of sample________________________________- 38 -4.2 General findings_________________________________________- 39 - 4.2.1 Basic descriptive statistics for customer loyalty predictors   _______- 39 - 4.2.2 Basic descriptive statistics of loyalty program adoption predictors  - 53 - 4.2.3 Reduction of multi-item measures   _____________________________- 54 - 4.3 Non-linear influence of antecedents________________________- 57 - 4.3.1 Influence of the binary customer characteristics   ________________- 57 - 4.3.2 Influence of non-customer characteristics   ______________________- 59 - 4.3.3 Influence of the customer characteristics with manifold categories  - 60 - 4.4 Linear influence of the antecedents of both layers___________- 65 - 4.4.1 Influence on word-of-mouth  ___________________________________- 65 - 4.4.2 Influence on attitudinal loyalty   ________________________________- 66 - 4.4.3 Influence on repeat purchases   _________________________________- 67 - 4.4.4 Influence on loyalty program adoption   _________________________- 68 - 4.5 Further analysis of the influences_________________________- 70 - Chapter 5:Conclusions and implications__________________- 74 - 5.1 Conclusions and discussion_______________________________- 74 -5.2 Implications and evaluation_______________________________- 76 - 5.2.1 Implications for further research and evaluation   ________________- 76 - 5.2.2 Managerial implications   ______________________________________- 79 - Bibliography_________________________________________________i
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