The dynamic linkage between customer satisfaction, retention and profitability : the nuclei drivers of success

Abstract

“Customer Satisfaction” has many dimensions. The purpose of this research is to explore these dimensions briefly (using the Service Value Chain concept) and to determine the fundamental drivers of success in customer satisfaction from the perspective of a service organisation. Employees proved to be the pivotal element influencing the outcome of customer satisfaction, as they influence organisational behaviour, customer experience and business profitability. The outcome of the research also promotes the idea that organisations need to become customer - orientated, which requires organisational cultures to change. “Nuclei Drivers of Success in Customer Satisfaction” 3 Two noteworthy results were obtained from this research, which is viewed by the author as a significant contribution to the Service Value Chain. The two specific findings are the empirical evidence in the results of the relationship between Staff Defection and Customer Satisfaction and the relationship between Customer Satisfaction and Organisation Profitability.