An appraisal of customer satisfaction as a determinant of sales performance: A case study of supermarkets in Benue State
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Background of the study
Customer satisfaction is one of the most critical factors influencing the performance of retail businesses, particularly supermarkets, as it directly correlates with customer loyalty, repeat purchases, and overall sales (Ibrahim & Musa, 2024). In the competitive retail environment of Benue State, supermarkets rely on customer satisfaction to differentiate themselves from competitors, improve their service offerings, and ensure sustained growth. High levels of customer satisfaction often translate into increased consumer trust, positive word-of-mouth, and higher sales volume (Adedayo & Tijani, 2023).
However, achieving and maintaining high customer satisfaction requires more than just offering quality products. It also involves providing excellent customer service, addressing complaints effectively, maintaining a pleasant shopping environment, and ensuring fast and efficient checkout processes. This study will evaluate the relationship between customer satisfaction and sales performance in Benue State’s supermarkets, shedding light on how improving customer satisfaction can directly influence sales growth.
Statement of the problem
While customer satisfaction is recognized as a key driver of retail success, many supermarkets in Benue State still struggle with meeting customer expectations consistently. Supermarkets often fail to fully understand how customer satisfaction impacts their sales performance, leading to missed opportunities for growth. The problem lies in identifying the factors that contribute to customer satisfaction and the extent to which these factors influence sales outcomes. This study aims to explore the link between customer satisfaction and supermarket sales performance in Benue State, focusing on the role that customer satisfaction plays in driving revenue.
Objectives of the study
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To assess the relationship between customer satisfaction and sales performance in supermarkets in Benue State.
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To identify the factors that influence customer satisfaction in Benue State’s supermarkets.
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To examine the impact of customer satisfaction on customer loyalty and repeat purchases in supermarkets in Benue State.
Research questions
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How does customer satisfaction affect sales performance in supermarkets in Benue State?
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What are the key factors that influence customer satisfaction in Benue State’s supermarkets?
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How does customer satisfaction influence customer loyalty and repeat purchases in supermarkets in Benue State?
Research hypotheses
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There is a significant relationship between customer satisfaction and sales performance in supermarkets in Benue State.
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Key factors such as product quality, customer service, and store ambiance significantly influence customer satisfaction in supermarkets in Benue State.
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Customer satisfaction positively influences customer loyalty and repeat purchases in supermarkets in Benue State.
Scope and limitations of the study
This study will focus on supermarkets in Benue State and examine how customer satisfaction impacts their sales performance. The limitations include potential biases in customer self-reports of satisfaction and the difficulty of isolating customer satisfaction from other factors influencing sales performance.
Definitions of terms
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Customer Satisfaction: A measure of how well a retail business meets or exceeds customer expectations, influencing customer loyalty and behavior.
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Sales Performance: The ability of a retail business to generate revenue through the sale of goods and services, often influenced by factors like customer satisfaction and market conditions.
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Customer Loyalty: The likelihood of customers returning to a business for repeat purchases based on satisfaction, trust, and positive experiences.
