Satisfaction and retention strategies for Nigerian Generation Y customers

Abstract

Firms in the service industry have experienced a 15 to 30% drop in customer satisfaction ratings estimated at $10 billion annually due to the unpredictable tendencies of Generation Y customers, also known as Millennials. Researchers project that the population size, spending power and inconsistent behavioral pattern of this generational cohort might determine how customers will relate to service providers in the future. The purpose of this multiple case study was to explore the customer satisfaction strategies business leaders use to retain Generation Y customers in Nigeria. The target population consisted of 3 business leaders from the service industry in Akwa Ibom State, Nigeria, who have successfully retained Generation Y customers. The theory of customer satisfaction management system served as the study’s conceptual framework. Data collection was through semistructured interviews and the company’s archived documents. Patterns were identified through data familiarization, data coding, and theme development and revision. Interpretations were subjected to methodological triangulation and member checking to ensure the trustworthiness of the findings. The themes that emerged from the study were: Positive brand image creation, social media as an enabler, and quality service and timely delivery.   Key words: Generation Y, customer satisfaction, loyalty, retention, engagement, millennial.