Introduction This study aimed to examine the relationship between customer retention and business performance using Globacom subscribers as a case study.Customer retention has a direct impact on long term customer lifetime value, which is a more profitable avenue for firms that seek to pursue growth and sustainability or those that seek to protect themselves from market shrinkage resulting from a contracting economy. This study examines the impact of customer retention on business performance. Specifically, it aims to determine the effect of pricing, service quality, and customer care service on the business performance of Globacom Plc. Methodology. The research adopted a primary data collection method using questionnaires as a data collection tools which were administered to Globacom subscriber around Ogun State Nigeria. Since the population size is infinite, a sample size of 113 respondents was chosen at random. Statistical analysis was carried out using regression analysis with the aid of SPSS to analyze data collection and testing of research hypothesis. In other to test the set hypothesis, Pearson’s correlation formula and multiple regression analysis was used with ordinary least square method. Resultsanddiscussion Findings of this study revealed customer retention practice is very vital for firms to move beyond satisfying both existing and new customers where the practice is proved to be an important tool to improve firm’s performance particularly from their non-financial aspects. The management of Globacom should also put in place mechanism that will deal effectively with the challenges confronting their day to day operation; which can be tackled by developing good feedback mechanism; making services available to reach out customers within the stipulated time thereby increasing the level of customer believe and trust in customer care lines. Conclusion i. There is need for management of Globacom, Abeokuta to adhere to many importance attach to customer retention because satisfied customer will advertise the company and its product to the general populace; the management are also recommending to put in place strategies that will give customer maximum satisfaction to stays loyal and buys more as the company introduces new products and upgrades existing products. The management also needs to understanding that retained customers should pay less attention to competing brands and is less sensitive to price. The management should give retained customers opportunities to offers product or service ideas to the company and retained customer are cost less to serve than new customers because transactions are routine. ii. The management of Globacom should put into cognizance effective practices to ensure continuous quality process that will lead to maximum customers’ satisfaction; they should also develop marketing perspective that recognizes the nature of customers’ needs, through effective networking positioning to attend to their customers in time. Furthermore, the management should promote interconnected relationships between employee and customers in order to retain customer by high payoff in terms of quality product and customer satisfaction. iii. The management of Globacom should also put in place mechanism that will deal effectively with the challenges confronting their day to day operation; which can be tackled by developing a good feedback mechanism; making services available to reach out customers within the stipulated time thereby increasing their level customer believe and trust in customer care lines. Keywords: Business performance, Customer relationship management, Customer retention, Customer satisfaction, Customer.
Bankole Oluseun Ayodele, Oluwaniyi Adetunji Moses