Date: June 12, 2002
Page 33
Three major factors drive loyalty…
•Ultimately we need to describe the overall system with equation with equations
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•      LOYALTY = ¦(x1, x2, …)
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•Want to be able to predict loyalty from the things that we do everyday
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Customer Loyalty
External Quality
Image
Price
This tends to dominate unless others are way out of whack.
Source:
Gustafsson and Johnson. “Bridging the Quality-Satisfaction Gap.” Quality Management Journal, 4, 3 (1997): 27.
I Quality drives Customer loyalty…
Specifications
Internal Quality
This must be linked.