The impact of customer complaints management on sales performance: A case study of supermarkets in Kaduna State
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Background of the Study
Customer complaints management is a critical component of customer service that directly impacts business performance, particularly in the retail sector. It refers to the process by which businesses address and resolve issues or grievances raised by customers (Davidow, 2023). Effective complaints management can enhance customer satisfaction, build loyalty, and improve the overall shopping experience, which, in turn, positively influences sales performance (Smith & Smith, 2024). On the other hand, poor complaints management can lead to customer dissatisfaction, negative reviews, and a decline in sales.
In Kaduna State, supermarkets are a vital part of the retail industry, catering to a growing urban population with diverse consumer needs (Akinyele & Dada, 2024). As supermarkets compete for market share, effective complaints management has become increasingly important in fostering customer loyalty and maintaining high levels of satisfaction. In recent years, the rise of social media and online review platforms has amplified the impact of customer complaints, as dissatisfied customers can quickly share their experiences with a wide audience (Ogunyemi, 2025). Therefore, the ability of supermarkets in Kaduna to manage and resolve complaints in a timely and satisfactory manner has become a key factor in their ability to sustain and grow sales.
This study aims to examine the impact of customer complaints management on sales performance in supermarkets in Kaduna State. It will focus on how supermarkets handle customer complaints, the strategies used to resolve issues, and the relationship between complaints resolution and customer loyalty and sales performance. By analyzing the effectiveness of complaints management processes, this research will provide valuable insights into improving customer service and enhancing business performance in the retail sector.
Statement of the Problem
Despite the well-established link between customer satisfaction and business performance, there is a limited understanding of the specific impact that customer complaints management has on sales performance, especially in the context of supermarkets in Kaduna State. Many supermarkets in the region face challenges in handling customer complaints efficiently due to inadequate training, poor communication, and lack of standardized procedures for complaint resolution. As a result, customers may become frustrated, leading to negative word-of-mouth and a decline in sales.
There is also a lack of empirical research in Kaduna State that connects effective complaints management with measurable sales performance outcomes. Without a clear understanding of how handling complaints affects consumer behavior and sales growth, supermarkets may struggle to develop effective customer service strategies that drive sales and foster long-term customer loyalty. This study will address this gap by exploring how customer complaints management influences sales performance in supermarkets.
Objectives of the Study
- To assess the relationship between customer complaints management and sales performance in supermarkets in Kaduna State.
- To evaluate the impact of effective complaints resolution on customer loyalty and repeat purchases in Kaduna State’s supermarkets.
- To identify the challenges faced by supermarkets in managing customer complaints and suggest strategies for improvement.
Research Questions
- How does customer complaints management impact sales performance in supermarkets in Kaduna State?
- What effect does the resolution of customer complaints have on customer loyalty and repeat purchases in Kaduna State supermarkets?
- What challenges do supermarkets in Kaduna State face in managing customer complaints, and how can they overcome these challenges?
Research Hypotheses
- H1: Effective customer complaints management has a positive impact on sales performance in supermarkets in Kaduna State.
- H2: The resolution of customer complaints leads to increased customer loyalty and repeat purchases in supermarkets in Kaduna State.
- H3: Supermarkets in Kaduna State face significant challenges in managing customer complaints, which affect their ability to improve sales performance.
Scope and Limitations of the Study
This study will focus on supermarkets in Kaduna State and will examine the customer complaints management processes, the resolution of complaints, and the effects on sales performance. Data will be collected from both customers and supermarket managers to assess the effectiveness of complaints handling. One limitation is that the study may not be able to account for all factors affecting sales performance, as external market conditions and internal operational factors may also play significant roles.
Definitions of Terms
- Customer Complaints Management: The process by which a business addresses and resolves customer complaints to improve customer satisfaction.
- Sales Performance: The ability of a business to generate revenue through the sale of goods or services.
- Customer Loyalty: The commitment of customers to continue purchasing from a particular business due to positive experiences and satisfaction.
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