Customers' willingness to share personal information with firms and its relationship with customer loyalty

Information on customers plays an important role in customer relationship management. With customer data companies can identify customers, understand their needs and hence, personalize products and services. New technological advancements have enabled companies to collect data more efficiently an...

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Main Author: Lindell, Sanni
Other Authors: Kauppakorkeakoulu, School of Business and Economics, Taloustieteet, Business and Economics, University of Jyväskylä, Jyväskylän yliopisto
Format: Master's thesis
Language:eng
Published: 2015
Subjects:
Online Access: https://jyx.jyu.fi/handle/123456789/45571
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author Lindell, Sanni
author2 Kauppakorkeakoulu School of Business and Economics Taloustieteet Business and Economics University of Jyväskylä Jyväskylän yliopisto
author_facet Lindell, Sanni Kauppakorkeakoulu School of Business and Economics Taloustieteet Business and Economics University of Jyväskylä Jyväskylän yliopisto Lindell, Sanni Kauppakorkeakoulu School of Business and Economics Taloustieteet Business and Economics University of Jyväskylä Jyväskylän yliopisto
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description Information on customers plays an important role in customer relationship management. With customer data companies can identify customers, understand their needs and hence, personalize products and services. New technological advancements have enabled companies to collect data more efficiently and have therefore resulted in broader use of information. However, customers must be willing to provide information needed in CRM. If trust has been built, they might provide information and engage in mutual relationship. Even though customer’s willingness to provide information is an important issue for companies, little research has been devoted to this phenomenon. The objective of this research is to gain more insight of customer’s willingness to share information by inspecting how the willingness affects the commonly used loyalty metrics (share of wallet, recommend intention, repurchase intention) as well as customer’s RFM value (recency, frequency and monetary value of purchases). This study was conducted in cooperation with Osuuskauppa PeeÄssä and Kuopio’s Prisma grocery store. A quantitative research method was used by conducting the electronic survey in Kuopio’s Prisma’s Facebook –page as well as Osuuskauppa PeeÄssä’s webpage. The data of 429 responses was analyzed by using SPSS statistics and PLS 3.0 software. The results of this study indicate that customer’s willingness to provide information has a significant and positive effect on commonly used loyalty metrics; customer’s repurchase intention, recommend intention and share of wallet. In addition SOW positively affects customer’s repurchase and recommend intention and customer’s RFM value. Also recommend intention has a positive effect on customer’s RFM value. Finally, customer’s willingness to share information positively affects RFM value indirectly via above mentioned loyalty metrics. The findings suggest that marketers should increase customer’s willingness to share information as it, in fact, positively affects the level of customer’s loyalty and value. Information should be used in a more customer centric way where additional value is created to the customer.
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With customer data companies can identify customers, understand their\r\nneeds and hence, personalize products and services. New technological advancements\r\nhave enabled companies to collect data more efficiently and have therefore resulted in\r\nbroader use of information. However, customers must be willing to provide information\r\nneeded in CRM. If trust has been built, they might provide information and engage in\r\nmutual relationship. Even though customer\u2019s willingness to provide information is an\r\nimportant issue for companies, little research has been devoted to this phenomenon.\r\nThe objective of this research is to gain more insight of customer\u2019s willingness to\r\nshare information by inspecting how the willingness affects the commonly used loyalty\r\nmetrics (share of wallet, recommend intention, repurchase intention) as well as\r\ncustomer\u2019s RFM value (recency, frequency and monetary value of purchases). This\r\nstudy was conducted in cooperation with Osuuskauppa Pee\u00c4ss\u00e4 and Kuopio\u2019s Prisma\r\ngrocery store. A quantitative research method was used by conducting the electronic\r\nsurvey in Kuopio\u2019s Prisma\u2019s Facebook \u2013page as well as Osuuskauppa Pee\u00c4ss\u00e4\u2019s\r\nwebpage. The data of 429 responses was analyzed by using SPSS statistics and PLS 3.0\r\nsoftware.\r\nThe results of this study indicate that customer\u2019s willingness to provide\r\ninformation has a significant and positive effect on commonly used loyalty metrics;\r\ncustomer\u2019s repurchase intention, recommend intention and share of wallet. In addition\r\nSOW positively affects customer\u2019s repurchase and recommend intention and customer\u2019s\r\nRFM value. Also recommend intention has a positive effect on customer\u2019s RFM value.\r\nFinally, customer\u2019s willingness to share information positively affects RFM value\r\nindirectly via above mentioned loyalty metrics. 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spellingShingle Lindell, Sanni Customers' willingness to share personal information with firms and its relationship with customer loyalty Markkinointi Marketing 20423 asiakkaat asiakkuudenhallinta asiakastiedot
title Customers' willingness to share personal information with firms and its relationship with customer loyalty
title_full Customers' willingness to share personal information with firms and its relationship with customer loyalty
title_fullStr Customers' willingness to share personal information with firms and its relationship with customer loyalty Customers' willingness to share personal information with firms and its relationship with customer loyalty
title_full_unstemmed Customers' willingness to share personal information with firms and its relationship with customer loyalty Customers' willingness to share personal information with firms and its relationship with customer loyalty
title_short Customers' willingness to share personal information with firms and its relationship with customer loyalty
title_sort customers willingness to share personal information with firms and its relationship with customer loyalty
title_txtP Customers' willingness to share personal information with firms and its relationship with customer loyalty
topic Markkinointi Marketing 20423 asiakkaat asiakkuudenhallinta asiakastiedot
topic_facet 20423 Marketing Markkinointi asiakastiedot asiakkaat asiakkuudenhallinta
url https://jyx.jyu.fi/handle/123456789/45571 http://www.urn.fi/URN:NBN:fi:jyu-201503301520
work_keys_str_mv AT lindellsanni customerswillingnesstosharepersonalinformationwithfirmsanditsrelationshipwithcustom