Relationship Between Customer Satisfaction and Customer Retention. A Study of Selected Banks in Enugu Metropolis, Enugu State

This study was to evaluate the relationship between customer satisfaction and customer retention. The specific objectives include to: examine the relationship between service quality and customer trust and evaluate the relationship between customer's involvement and customer loyalty. The survey method of co-relational design research was used. The area of study comprised of three banks: First Bank Okpara avenue, Zenith Bank Okpara avenue and Ecobank Ogui road in Enugu metropolis, Enugu State. A population of 208 management and staff were used. The primary sources were personal interview and the administration of questionnaire to the management and staff of the banks. The data collected from the questionnaire were presented in a frequency tables and the hypotheses were tested using F-statistic tool (ANOVA). It was found there is positive relationship between service quality and customer trust F(n = 208) = 32746.632, P<0.05.; there is positive relationship between customer's involvement and customer loyalty F(n = 208) = 31298.328, P<0.05. It was concluded customer satisfaction has independently contributed immensely to the retaining of respective customers. More so, there is a significant positive relationship between customer satisfaction and customer retention. It was recommended among others managers should always aim at creating deep and long term relationships with its customers, Organizations should improve in their service quality in order to be more effective than competitors in creating, delivering, and retaining customers.