How to improve the customer loyalty in the cosmetics industry

Abstract

In recent years, the market of the cosmetics industry is growing in the world. The cosmetics companies are constantly develop and marketing many cosmetics products for the consumers' demand. The competition in the cosmetics industry is increasing. However, the products knowledge of many cosmetics consumers was limited. How to obtain and maintain customer loyalty becomes an important challenge to the cosmetics industry. To understand the decision-making process of consumers will help the cosmetics companies to improve the customer relationships successfully and maintain their competitive advantage. Therefore, the study is to investigate the consumers' decision-making process from the important factor of brand, product, services and customer relationship management. The researchers establish a framework to study the relationship among brand image, product quality, service quality, relationship quality, and customer loyalty in cosmetics industry. The researchers use questionnaires method and use SPSS and AMOS statistical software to analysis the samples of the cosmetics consumers. The empirical results show that: first, brand image of the cosmetics positively impacts on both customer perceived product quality and service quality. Second, customer perceived product quality and service quality both positively impact on customers' relationship quality. Third, the customers' relationship quality has a positive effect on customer loyalty. The results show that the brand image of cosmetics helps to improve the customer perceived product quality, service quality and relationship quality, and then impact on customer loyalty. Therefore, improving brand image, product quality, service quality and relationship quality would improve customer loyalty in the cosmetics industry. The effects of antecedent variables on customer loyalty are different; therefore, understanding the decision-making process of customers' will help the cosmetics companies to manage customer relationship efficiently.