Does customer satisfaction affect customer loyalty anyway? A case study in retail distribution

The idea of this paper is that the Overall Satisfaction of the supermarket customers depends on three main factors: (i) quality of goods; (ii) the prices level; (iii) convenience & pleasantness. Moreover, the three factors and the overall satisfaction are assumed to affect the customer loyalty. All these constructs are latent variables indirectly measured by manifest variables (structural equation models). A case study from Turkey is illustrated. Some interesting findings has emerged: (i) the customer loyalty degree depends on the perceived quality of the goods, but not on the overall satisfaction degree; (ii) the prices level affect the customer satisfaction but not the customer loyalty. These findings are consistent with the profiles of the customers and the supermarket as well.