The successful companies are satisfying their customers
according to the perceived expectation they achieve their top position in the
markets. The satisfaction of consumers and their loyalty have a strong impact
on each other. It can be said that consumer loyalty and satisfaction’s
importance has been emphasized in this paper. The success of the business is
linked to the customer. This paper will propose the relationship among customer
satisfaction and customer loyalty along with the particular theories. This
paper also analyzes the several theories which are conducted for the
relationship among the loyalty and satisfaction of consumers. Additionally,
this study’s leading aim to identify important techniques that increase
consumer loyalty for Adidas. This study has also examined marketing strategies
for enhancing customer satisfaction.
Key Words: customer satisfaction, customer loyalty, Adidas,
Marketing strategies
Introduction of Customer satisfaction
and customer loyalty in Adidas
The success of the organization depends on the satisfaction
of the customers. At the start of the business, the customer comes before the
profit because if the customers will not come to your business, so the growth
of the business is also impossible. All of those companies are a success in satisfying
their customers according to the perceived expectation they achieve their top position
in the markets. In the current era, all of the business section is known that satisfaction
of the customers is a key component for the success of the business and the
market value also can expand by this. Generally, the customers are those people
who can enhance the profitability of the business by purchasing the services
and goods from the market to fulfilling their needs in effective manners.
Consumer loyalty and satisfaction’s significance has been
emphasized in this paper. The success of the business is linked to the
customer. The huge numbers of the customers are focused by the business for loyalty
and satisfaction. Consumer loyalty and satisfaction of the customers are
incorporated with the long term goals of the organization. This paper will propose
the relationship among loyalty and satisfaction of consumers along with the
particular theories. Furthermore, this study will be a focus on the factors
which are influences the level of customer satisfaction and loyalty (Armstrong, 2012).
This paper will examine the customer satisfaction of the various
organization. There are wide ranges of the companies which can be selected to
measuring the levels of the customer’s satisfaction in the organization and its
relationship with customer loyalty. But Adidas AG is selected in this paper for
measuring the loyalty of their customers as well as the level of customer
satisfaction. This paper also analyzes the several theories which are conducted
for the relationship between customer satisfaction and customer loyalty. This
study’s leading objective is to identify important techniques that raise
consumer loyalty for Adidas.
Presentation of Adidas of Customer
satisfaction and customer loyalty
Adidas AG is a well-known organization, and it is also known
as the multinational corporation. Headquarter of the Adidas AG is located in Herzogenaurach,
Germany. Adidas AG is one of the largest manufacturers of apparel in the Middle
East which is involved in designing and producing clothing, shoes, and accessories.
It has made it name in the fields of the sports, and it is one of the largest sportswear
manufacturers in Europe and in the world, it is known as the second largest
company after Nike. The founder of the Adidas
was Adolf Dassler, and Kaper Rostered is performing the duties of the Chief executive
officers at Adidas from 2016. Currently, the company is earning revenue of the21.22
billion EUR in 2017 (Adidas, 2019).
There are the various subsidiaries of the Adidas which are
named as; Five Ten Tower, Reebook, Ashworth, and Runtastitic. Adidas is a well-known
company which has its roots in Germany but its performing at a global level.
57000 people are working under the Adidas around the world, and theses employees
belong to 100 nations. The company is involved in producing the 900 million
sports per annum. Adidas is keeping the things fast, simpler and lean. The paper is a focus on measuring the
relationship between the consumer loyalty and satisfaction of consumers of the Adidas.
The relationship will be measured by applying the several theirs which are related
to this (Adidas, 2019).
Customer satisfaction and customer
loyalty in Adidas
In this paper, consumer loyalty and satisfaction along with
their relationship have been discussed for Adidas. The subject of Adidas is to use
developing the massive competition. In the current industry the image of the Brand
is going to become the view of cutting-edge for the perception of consumers which
is mostly associated with the services and products of the brand. Adidas cares
to make it sure for reflecting the satisfaction of the customers in the
industry of the Apparel.
Customer satisfaction of Customer
satisfaction and customer loyalty in Adidas
Customer satisfaction plays a significant role for the
formation of the strategy of the Adidas, and for the sustainable development of
the Adidas the customer’s satisfaction is commonly known as the critical
factors. The concept of pleasure can be exoplained by the Several studies. The
level of achievement can be assessed easily by the comparison of perception
which is associated with products and services which can used to optimize
customers’ expectations for specific services. There are several studies which
are conducted to measuring the bond between consumer satisfaction and loyalty. The
product image also effect positively on the customer satisfaction and the
customers dedication (Kandampully, 2000).
Consumer satisfaction is actually recognized as
an important element for optimizing consumer loyalty associated with the
caliber of services and products. The customer loyalty always required for the
services providers to run their organizations smoothly and properly. The levels
of the consumer satisfaction can encourage the person for the loyalty of the
brands. With the high chances for a business’s loyal consumers for any business
can be recognized by the more satisfied the customer. With the satisfaction of
consumers regarding products and services of the Adidas, they will always
prefer the same
products according to their needs. Consumer satisfaction actually becomes the
product’s lifetime.
Customer satisfaction analysis model; Source: https://core.ac.uk/download/pdf/161421179.pdf
Customer’s loyalty and Customer
satisfaction in Adidas
Markets of the Middle East there are the various brands in a
market. For the customer loyalty to maintain the level for server companies,
that is challenging as well as difficult due the customer, which creates the
tendency for the commitment of the companies after the feeling of the services
that, are very satisfaction of a company (Kamalakumati
Karunanithy, 2013).
The results of all these, for the company procedures to develop the method of
the sustainable market. The biggest key for the improving of the customer
satisfaction to leads the customer loyalty. The loyalty of the customers
is reduced, is a customer is not switched on the other brands (N. Torres,
2013)
Distinctive theories of customer
satisfaction
There are various factors which can be the cause of influencing
customer satisfaction and loyalty. In the world of the business, most of the
firms are now adopting the market-oriented strategy, and it has several
extensive literature reviews and conferences which are devoted to developing and
motoring the customer satisfaction (Osborne, 2013). The satisfaction
levels of the customers can also enhance the loyalty of the customers of the Adidas.
This is leading towards the five distinctive theories of customer satisfaction
in marketing. All of these theories are developed by considering the based to cognitive
approach; few of these are considered as the importance of the less benchmark (Carl McDaniel, 2016). The five
distinctive theories of customer satisfaction are stated as;
Equity theory
Comparative level Theory
Norms as a benchmark standard
The paradigm of disconfirmation expectations
Perceptual disparity value’s theory
The satisfaction levels of the customers of the Adidas can
be measured with the strong support of the expectancy disconfirmation theory
because it is considered as the most adopted model by the manufacturing firms. According to this theory for meeting the
satisfaction level of the customer the management of the Adidas will evaluate
their product expectancy level of their customer to accommodating them (Shankar, 2003). By implementing this
theory, Adidas can measure Perceived Performance, Expectation, Satisfaction, and
Disconfirmation. Because the anticipated behaviors of the customers can be
reflected by the expectations and if the customers of the Adidas will achieve
their expectation level than their satisfaction level will also enhance. The judgment
of the disconfirmation formed certainly affect satisfaction, either positively
or negatively.
Factors influencing customer
satisfaction and loyalty
The factors wghich can influences the loyalty and
satisfaction of the customers these can be discussed under the five theories of
marketing. The quality product of Adidas is related with
Consumer loyalty or satisfaction for Adidas
The corporate image of Adidas is completely associated with
the consumer loyalty or satisfaction of Adidas
The satisfaction of consumers is concerned entirely with the
loyalty of consumers of Adidas.
It is specified by the outcomes that the quality of products
of Adidas can be sent or conveyed around the consumer loyalty or satisfaction
of Adidas. In addition, the company’s corporate image contributes to the
consumer loyalty or satisfaction of Adidas. In the modern time, the sustainable
development, environmental issues, business ethics, and social responsibility
have produced important concerns which are quite important for the company. Furthermore,
the social responsibility that is corporate is another big element is
influencing the consumer satisfaction of Adidas (Kandampully, 2000).
The relation between customer
satisfaction and loyalty
The study, objectives is to examine the arbitrating of
consumer satisfaction effects in connection among brand loyalty for the Adidas for
the consumer-based brand equity (Lee, 2008). There is a strong
relationship between the customer satisfaction and customer loyalty, and if the
management of the Adidas wants to enhance the customer loyalty, they must enhance
the satisfaction of the customer by making the quality of their product best. Adidas
also can enhance the satisfaction levels of their customer by applying proper
and good marketing strategies.
Loyalty and customer satisfaction is considered as one of
the top priority of the success of the Adidas, and this also can enhance the
profitability of the Adidas. Satisfaction can lead to the loyalty of the
customer step by step rather than automatically. The customer goes from
different phases; these are described in the steps of satisfaction and customer
loyalty. These different phases are dissolution, commitment, awareness
expansion, and exploration. A byproduct of customer satisfaction is required to
considering the customer loyalty. The satisfaction of the customers of the
Adidas leads toward customer loyalty (Deng, 2010).
The loyalty of the customer will be increased significantly
if the level of the satisfaction of the Adidas will be increased. By declining
the levels of the customer satisfaction of the Adidas the loyalty of the
customer will also declare. It means there is a direct relationship among customer
satisfaction and customer loyalty. Furthermore, highly satisfied customers are
tending to be more loyal than customers who are simply satisfied. It can be
said generally that there is a positive significant relationship between customer
satisfaction and customer loyalty and customer loyalty is the best factor in
enhancing the profitability of the Adidas (Shankar, 2003).
The relationship between Customer Satisfaction and Loyalty
Marketing strategies of the Adidas
Firm’s strategies are all about retaining most consumers and
develop a strong marketing relations with consumers. The management of the Adidas
can enhance the loyalty of the customer of the Adidas by developing the
marketing plan and the several marketing strategies (Adidas, 2018).
Products and services of Business
The products and services which are offering by the Adidas are
the apparels which include dresses, foot wears, and sports dressing. It also
includes various dresses according to the seasonal effects. The company has a
huge range of dresses. These are those products which every customer required
to fulfilling their basics needs. Their wide ranges of the products consist of
the Apparels. The products of the Adidas are commonly known as the brand name
of the Adidas and Reebok. It means that the company has huge potential to
generate a huge amount of sales. In the future, the company can add further
products so that it can meet the demand efficiently.
The products and services analysis of the Adidas is considered
as the best because it is involved in providing the friendly and warm services
which are expected for the lifestyles of the families, The informal and
comfortable environment is created in the Adidas, and the staff of the
restaurant is providing superb services for accommodating their customers.
These all good services can enhance the satisfaction level
of their valued customers. Their products and services can be analyzed by
taking the feedback from their customers as well as this feedback will use to
measuring the satisfaction level of their customers. The inventories are the
mange by the company cares for the products of the apparels. This inventory is
necessary for reducing the loss of spoilage of the products.
Target Customers
The main target customers of the business are the youngsters
of the nations who believe in wearing quality products. The Asian society or people who are lived in
the United States are also considered as the target audiences of the Adidas.
Because in the United States of America there is the huge amount of Asian
community which means that the company can generate the huge amount of sales by
focusing on the Asian community as we4ll as by considering them as their target
customers.
The other people who live in the Middle East can also buy
products from the company, and they enjoyed the quality products of the Adidas.
The Company will target the working class who have a tough schedule and does
not have time to buy the apparels from the supermarket, and they can fulfill them.
The Strategy of the home delivery of the Adidas is enough to targeting the
disabled and senior citizen as well which cannot buy the cloths physically from
stores and shopping mall. Their customers are satisfied with their product
quality.
4 Ps of marketing
of Customer satisfaction and customer loyalty in Adidas
Products
The product of the Adidas is according
to the needs and preferences of the customers. Adidas is commonly producing
Shoes, Kid's Apparel, Clothing, Men's Apparel, Accessories, and Women’s
Apparel. The product of the company is the Apparels and the products which are
required by every individual on the almost daily basis. The product of the
business has huge sales potential due to its nature. The apparels which are
offering by the Adidas are categorized as; originals, sports performance,
technologies, sizing, international shoe size chart, international clothing
size chart, women, man and pantsuit (Adidas, 2019).
Price
The price of the Adidas will be kept competitive so that
customers can be attracted. The price of the foods especially the apparels of
the Athletes will be a bit lesser than the stores so that they can be attracted
toward the online business. The customers of the business will also be given a
discount on different occasions and events.
Place
The Adidas is already located in the prominent locations of
the entire world, but it is also located at the prominent location of the
Middle East. The stores will be located in such areas where a huge amount of
Asian people resides. The location of the stores plays an important role in the
profitability of the business. Therefore the business stores must in such
locations where many customers can easily reach them. The customers do not have
to worry about Athol house of pizza food stores because they will be situated
in different locations hence will provide convenience to a lot of customers.
Promotion
The customers will be given special discounts and
promotional offers so that they can be attracted to the products. The discount
deals will be given on a weekly basis and promotions will be done for special
events or occasions. The Adidas send promotional emails to the customers along
with discount vouchers so that they can be attracted toward the products. The Adidas
will remain highly active on social media where it will not only perform the
advertisement of its website. Along with
that, the business will perform an attractive advertisement as well in which
customers will be informed regarding the clothing of the business.
Marketing & promotional strategies
Email marketing strategies
The Adidas will send promotional emails to the customers
along with discount vouchers so that they can be attracted toward the products.
The company will also consider the ethical aspects as well when sending the
emails to the customers
Social media marketing strategies
The Adidas will remain highly active on the social media
where it will not only perform the advertisement of its website but also take
feedbacks from different customers regarding the services and quality of the Products.
Through feedback, the business can improve itself and can meet the requirements
of the customers more efficiently.
Linking
strategies
The Adidas will develop various linking strategies so that
it can perform the business professionally. Customer satisfaction will be given
utmost priority, and it will be considered in the adoption of strategies.
Paid advertising
The Adidas will give advertisement in the newspaper, on
another website, and on billboards. For this, the company will pay a
significant amount.
Traditional marketing strategies like TV etc.
and other
The Adidas will definitely give advertisement on the
television because it is a huge source to attract the customers. The
advertisement will be given in the magazines and radio as well so that people
will know about the business and what food it is offering to the customers.
Competition Analysis of
Customer satisfaction and customer loyalty in Adidas
The competition is quite high because many companies are
providing the same services and working in the business of the clothing
industry. Adidas have huge competition with their competitors. The most
important companies are included as Nike, and it is involved in the business of
the apparels particular who are involved in providing the Athletes kit. The Adidas
group is always struggling to achieve the target sales for making their
customer satisfied for enhancing the profitability of the Adidas. By
implementing the marketing strategies ineffective, the Adidas can generate more
profit, but their outlet in the Middle East region are earning handsome amount.
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