Abstract:
Purpose of the Study: The purpose of the study is to identify the impact of
trustworthiness and website usefulness on customer loyalty and satisfaction which
leads to increase the retention rate in online businesses. It is believed that there is a
lack of customer retention rate in E-Commerce industry of Pakistan. Customers
prefer to purchase from retail markets rather than from online stores.
Research Methodology: In this research, the data has been collected from 255
respondents including both males and females through questionnaire having close
ended questions. The data is further analysis using frequency table, graph and
regression. In order to analyze the data regression and correlation test were
performed via SPSS. In this research Non- probability and convenient selection
approach was used. As Domyei (2007) stated that convenience sampling method is
a type of non-probability or non-random sampling technique. Because in this
technique individuals from targeted population are selected on certain definite
standards. Like Geographical Location, Easy Access, Timely availability, &
willingness to participate.
Research Findings and Result: In this research, we analyze that trust
worthiness and website usefulness has moderate effect in building customer loyalty
and satisfaction. All these components or independent variables of this study are
observed useful and showed a significant impact with a significance value less than
0.05, on dependent variable which is Customer Retention. Practical Implications: The findings resulting from this research will help the
investors and government of Pakistan to implement effective policies and eliminate
those causes which are resulting a decreasing trend of Customer satisfaction and
retention in this online industry.
This research is very important for all the online ventures to increase the switching
cost and retention rate of customers by focusing on the following grounds:
• Companies need to attractively visualize their own website.
• Connecting their web portals to local advertising department.
• Sponsoring a mega public event
• Sharp Focus on their Supply Chain Strategies
