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What drives customer loyalty in social commerce sector? PLS-SEM approach

Son-Hoang Dang and Luan-Thanh Nguyen

MPRA Paper from University Library of Munich, Germany

Abstract: This study explores the factors influencing customer loyalty in social commerce, defined as the integration of e-commerce with Web 2.0 software and social technology. Despite the significance of customer loyalty in maintaining long-term competitive advantages, limited research has focused on this aspect within the context of social commerce. The aim of this study is to identify the key factors affecting customer loyalty in social commerce platforms. Data was collected through surveys from 218 social commerce customers in Ho Chi Minh City, Vietnam, representing various s-commerce platforms. The partial least squares approach was used to analyze the data. The results reveal that customer loyalty is positively influenced by trust and satisfaction. Additionally, service quality, reputation, perceived security, and customer feedback positively impact both trust and satisfaction. These findings contribute to the theoretical understanding of customer loyalty in social commerce and provide practical implications for social commerce managers. The study highlights the importance of fostering trust and satisfaction through various factors, such as service quality, reputation, perceived security, and customer feedback, to enhance customer loyalty.

Keywords: social commerce; PLS-SEM; customer loyalty; Vietnam (search for similar items in EconPapers)
JEL-codes: M3 M31 (search for similar items in EconPapers)
Date: 2023-08-10, Revised 2023-10-15
New Economics Papers: this item is included in nep-sea and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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