Business, Management and Accounting
8 years ago

Customer Satisfaction Key to Long-Term Relationships with Service Providers

Marketing Science
A Dynamic Model of the Duration of the Customer's Relationship with a Continuous Service Provider: The Role of Satisfaction
Ruth N. Bolton

Paper Summary

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Service organizations want to keep customers for a long time. A study looked at how customer satisfaction affects how long people stay with a service provider. They found that happy customers stay longer. The longer someone has been with a company, the more important past satisfaction is. Bad experiences can make people leave quickly. To keep customers longer, companies should focus on making sure new customers are happy from the start.