An Evaluation of the Effectiveness of Supermarket Loyalty Schemes Contributing to Brand Loyalty in Bognor Regis: A Study of Sainsbury's Nectar Card

Student, A. (2015) An Evaluation of the Effectiveness of Supermarket Loyalty Schemes Contributing to Brand Loyalty in Bognor Regis: A Study of Sainsbury's Nectar Card. Undergraduate thesis, University of Chichester.

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Abstract

In recent months the supermarket industry has become hyper-competitive resulting in
supermarket price wars. The intensity within the supermarket industry has created a change
in consumer behaviour having results on market share. During this time, consumer loyalty to
supermarkets has declined and consumers are likely to shop around to find the best deals
and save money.
This increasing level of competition has led to an emphasis on price, location and quality
factors to influence consumer decisions to shop at one supermarket. One factor that is
considered to retain consumers is the use of loyalty programs/schemes. Whilst there has
been extensive research in to the concept of consumer loyalty, no research has been
conducted into the effectiveness of loyalty programs at maintaining consumer loyalty.
Therefore as a result of this, the rationale for this research was to examine the use of loyalty
programs as a method of retaining consumer loyalty, to identify factors that influence
consumer loyalty to supermarkets, whilst also identifying factors that influence consumers
to shop at Sainsbury’s Bognor Regis. To achieve this, a combination of questionnaires and
focus groups were carried out to establish these objectives. A total of 85 participants
responded to the question whilst a further 17 participants took part in the focus group to
establish the needs and behaviours of consumers in order to construct a more effective
loyalty scheme and retain loyal consumers.
The research explored the level of loyalty consumers had to supermarkets in Bognor Regis,
whilst also identifying the factors that influenced consumers to shop at supermarkets. In
addition to this the research offers recommendations to the supermarket industry to help
discover new and effective ways to retain consumer loyalty to supermarkets.

Item Type: Thesis (Undergraduate)
Uncontrolled Keywords: Marketing
Subjects: H Social Sciences > HF Commerce
H Social Sciences > HG Finance
Divisions: Departments > Business School
Undergraduate Dissertations
Depositing User: Steve Bowman
Date Deposited: 29 Jul 2015 11:07
Last Modified: 13 Aug 2015 13:23
URI: http://eprints.chi.ac.uk/id/eprint/1473

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