IMPACT OF CUSTOMER-SALESMAN RELATIONSHIP ON CUSTOMER LOYALTY: WITH SPECIAL REFERENCE TO NUWARA ELIYA DISTRICT, SRI LANKA

Abstract

This research aimed to examine the impact of perceived factors of the customer–salesman relationship on customer loyalty. This study attempted to contribute to the knowledge of how Fast-Moving Consumer Goods (FMCG) companies in Sri Lanka can retain their customers by making them loyal through customer-salesman relationships. This paper examined the relationships between a salesperson’s ethical sales behaviour, customer perceived confidence benefits, consumer satisfaction, consumer trust and customer commitment thereby considering to which party the customer is loyal. The sample size selected for research constitutes 384 customers as a representative sample under random sampling, and these respondents belong to the Nuwara Eliya district. Multiple regression and correlation coefficient was used to examine the hypothesized relationship. According to that, ethical sales behaviour and trust posited a negative and significant impact on customer loyalty and satisfaction, confidence benefits and commitment posited a positive and significant impact on customer loyalty. The finding indicated that the salesperson plays a key role in retaining customer loyalty to the firm. Therefore, FMCG companies in Sri Lanka should pay more attention to customer-salesman relationships and should encourage their salespersons for that.