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Customer Satisfaction Scores and Repeat Purchase Rates: A Quantitative Analysis of Retail Customers in Nigeria

 

Customer Satisfaction Scores and Repeat Purchase Rates: A Quantitative Analysis of Retail Customers in Nigeria


Nnawuchi Chiazo C. Ph.D

Department of Marketing, Federal Polytechnic Nekede, Owerri
nchiazo6@gmail.com

 

Odimara Chinyere C. Ph.D

Department of Marketing, Federal Polytechnic Nekede, Owerri

chidear99@gmail.com

 

Kelechi Thecla Okpe Ph.D

Department of Marketing, Federal Polytechnic Nekede, Owerri

Kecywilliam63@gmail.com

Abstract

Customer satisfaction remains one of the most critical determinants of customer retention and business sustainability in the retail sector. In a highly competitive business environment such as Nigeria, retail firms are increasingly interested in understanding how satisfaction scores influence customers’ willingness to make repeat purchases. This study examined the relationship between customer satisfaction scores and repeat purchase rates among retail customers in Nigeria. Specifically, the study assessed the level of customer satisfaction among retail customers, evaluated the relationship between customer satisfaction scores and repeat purchase rates, analysed the influence of selected demographic characteristics on repeat purchase behaviour, and examined the major service-related factors affecting customer satisfaction. The study adopted a survey research design. Data were collected with a structured questionnaire from 318 respondents selected from a population of 1,570 customers drawn from reputable sales outlets. The data were analysed using frequency tables, percentages, mean scores, Pearson Product–Moment Correlation, and Simple Linear Regression. Findings showed that the level of customer satisfaction among retail customers was generally high, with 48% of respondents indicating high satisfaction and 33% indicating very high satisfaction. The grand mean of 3.74 showed that respondents generally agreed that satisfaction influenced their intention to buy again, recommend the store to others, and maintain loyalty to preferred outlets. Pearson correlation analysis revealed a significant positive relationship between customer satisfaction scores and repeat purchase rates (r = 0.462, p < 0.05). Regression analysis further showed that customer satisfaction significantly predicts repeat purchase behaviour (R² = 0.213, F = 81.24, p < 0.05), indicating that approximately 21.3% of variations in repeat purchase behaviour can be explained by customer satisfaction. The study concluded that customer satisfaction is a strong driver of repeat purchase behaviour in the retail sector. It recommended that retail managers should improve service quality, ensure product availability, maintain fair pricing, strengthen complaint-handling systems, and invest in customer relationship practices that can sustain repeat patronage.

Keywords: Customer Satisfaction, Repeat Purchase Rates, Retail Customers, Consumer Behaviour, Nigeria.

Introduction

In the contemporary business environment, customer satisfaction has become a strategic concern for organizations seeking sustainable growth and competitive advantage. Retail businesses, in particular, operate in a highly dynamic market where customers are exposed to several alternatives and can easily switch from one outlet to another when dissatisfied. As a result, firms that intend to survive and expand must pay close attention not only to the quality of the products they sell but also to the total experience they provide for customers during and after purchase.

Customer satisfaction represents the extent to which customers’ expectations about products and services are met or exceeded by the actual performance of those products and services (Kotler & Keller, 2016). When customers are satisfied, they are more likely to return to the same store, make repeated purchases, and recommend the outlet to others. Conversely, dissatisfaction often results in complaints, negative word-of-mouth, declining patronage, and eventual loss of market share. In a developing economy such as Nigeria, where the retail sector continues to grow through supermarkets, chain stores, pharmacies, electronics outlets, fashion stores, and household goods shops, understanding customer satisfaction has become increasingly necessary.

Repeat purchase rate is an important behavioural outcome of satisfaction. It reflects the extent to which customers continue buying from the same retail outlet over time. This variable is of considerable importance because repeat customers often generate stable revenue, reduce marketing costs, and contribute to brand loyalty. In addition, repeat purchasing helps retailers predict demand more effectively and build stronger customer relationships. Where customer satisfaction is high, repeat purchase rates are expected to improve; however, this relationship may be shaped by pricing, service quality, convenience, product assortment, and trust.

In Nigeria, retail customers are becoming more informed and demanding due to increasing urbanization, digital exposure, and rising awareness of consumer rights. Reputable sales outlets now compete not only on price but also on customer service, product quality, store ambience, responsiveness, after-sales support, and transaction convenience. This changing reality makes it important to empirically determine whether customer satisfaction scores significantly translate into repeat purchase rates among retail customers. It is against this background that this study examines customer satisfaction scores and repeat purchase rates through a quantitative analysis of retail customers in Nigeria.

Statement of the Problem

The Nigerian retail sector has experienced noticeable expansion in recent years, driven by population growth, urban concentration, rising consumer aspirations, and the proliferation of organized sales outlets. Despite this growth, many retail businesses still struggle with customer retention. Several outlets record high customer traffic but low repeat patronage, suggesting that initial purchase does not always result in lasting customer loyalty. This poses a serious challenge to retail organizations because repeat purchases are essential for stable revenue generation, market sustainability, and long-term business performance.

Although many retailers invest in attracting new customers through advertising, promotions, and competitive pricing, less attention is sometimes given to measuring and improving the factors that sustain customer satisfaction. Customers may patronize a store once because of location, discount offers, or urgency of need; yet refuse to return due to poor service encounters, product inconsistency, long waiting time, poor complaint handling, inadequate staff courtesy, or disappointment with pricing and value. As a result, retail outlets may continue to spend heavily on customer acquisition without enjoying the profitability associated with repeat purchases.

Furthermore, while customer satisfaction is widely acknowledged as a major determinant of repeat buying behaviour, there is still a need for more context-specific evidence within the Nigerian retail environment. Consumer behaviour in Nigeria is shaped by unique economic realities, income variations, service expectations, and infrastructural challenges. Consequently, findings from other countries may not fully explain the relationship between satisfactions and repurchase in the Nigerian context. There is therefore a need to generate empirical evidence that can assist retail operators in understanding the degree to which customer satisfaction scores influence repeat purchase rates among customers in reputable sales outlets.

This study was undertaken to fill this gap by providing quantitative evidence on customer satisfaction and repeat purchase rates, as well as identifying the key retail service factors that shape customers’ willingness to continue patronage.

Research Objective

The primary objective of this paper is to examine customer satisfaction scores and repeat purchase rates among retail customers in Nigeria.

The specific objectives are as follows:

1. Assess the current level of customer satisfaction among retail customers in Nigeria. 2. Evaluate the relationship between customer satisfaction scores and repeat purchase rates.

3. Analyse the association between selected demographic characteristics of customers and repeat purchase rates.

4. Examine the major service-related factors influencing customer satisfaction in retail outlets.

Based on the above specific objectives, the following hypotheses were tested in this study:

Ho1: There is no significant relationship between customer satisfaction scores and repeat purchase rates.
Ho2: There is no significant association between selected demographic characteristics of customers and repeat purchase rates.
Ho3: There is no significant relationship between service-related factors and customer satisfaction among retail customers.

Review of Empirical Literature

Empirical studies across different economies have consistently shown that customer satisfaction significantly influences repeat purchasing behaviour in retail markets.

Slack and Singh (2020) examined the relationship between service quality, customer satisfaction, and loyalty in retail organizations. Using survey data collected from retail customers, the authors applied structural equation modeling to analyze the relationships among the variables. The study found that service quality significantly influences customer satisfaction, which in turn positively affects customer loyalty and repeat purchase intention.

Ahmad and Buttle (2022) investigated the relationship between customer satisfaction and repurchase intention in the retail sector. The study used quantitative survey data collected from retail customers in the United Kingdom. Regression analysis revealed that satisfied customers were significantly more likely to engage in repeat purchasing behaviour and recommend the retail outlet to other consumers.

Chinomona and Sandada (2018) conducted a study on customer satisfaction, trust, and repurchase intention in the South African retail sector. The researchers employed a quantitative research design and analysed data using structural equation modelling. Their findings revealed that customer satisfaction significantly influences trust and repurchase intention among retail customers.

Within the Nigerian context, Nwokah and Gladson Nwokah (2021) examined the influence of customer relationship management practices on customer retention in service oriented organizations. The study found that organizations that maintain effective customer communication, prompt complaint resolution, and personalised customer interactions are more likely to retain customers and encourage repeat purchases.

Similarly, Olorunniwo, Hsu, and Udo (2019) investigated service quality, customer satisfaction, and behavioural intentions in service organizations. Using regression analysis, the study found that customer satisfaction significantly predicts behavioural outcomes such as loyalty, repeat purchasing behaviour, and positive word of mouth communication.

Zeithaml, Bitner, and Gremler (2020) also emphasised that customer satisfaction functions as a mediator between service quality and behavioural loyalty. Their findings suggest that improvements in service quality lead to increased customer satisfaction, which subsequently enhances customers’ willingness to continue patronising the organisation.

Overall, empirical literature consistently demonstrates that customer satisfaction plays a central role in shaping repeat purchasing behaviour in retail environments. However, relatively few studies have focused specifically on the Nigerian organized retail sector. This study therefore contributes to the literature by providing empirical evidence on the relationship between customer satisfaction scores and repeat purchase rates among retail customers in Nigeria.

Methodology

Due to the nature of this study, the survey research design was adopted as quantitative data were utilised. The target population of the study was drawn from reputable sales outlets located in the South-East states of Nigeria. These outlets covered supermarkets, pharmacies, household goods stores, electronics outlets, and fashion retail stores with an established reputation for organized customer service delivery. The accessible population consisted of 1,570 customers who were regular patrons of selected retail outlets across the South-East zone.

Using the Taro Yamane formula, a sample size of 318 respondents was derived from the total population. The instrument for primary data collection was a structured questionnaire designed on a five-point Likert scale. The questionnaire measured customer satisfaction level, repeat purchase behaviour, service-related factors, and selected demographic characteristics of respondents. Face and content validity were ensured through expert review, while reliability was confirmed through a pilot test that produced an acceptable Cronbach’s alpha coefficient. Data generated were presented in tables and analysed using descriptive statistics such as frequency distribution, percentages, and mean scores, while inferential statistics including Pearson Product–Moment Correlation and Simple Linear Regression were used to test the research hypotheses.

Pearson Product Moment Correlation and Simple Linear Regression were considered appropriate because the core variables of the study, customer satisfaction scores and repeat purchase rates, were measured using composite Likert-scale indices treated as interval-like data and analyzed as continuous variables. Pearson correlation was used to determine the strength and direction of the relationship between the variables, while simple linear regression was employed to examine the predictive influence of customer satisfaction on repeat purchase behaviour.

Data Presentation and Analysis

Table 1: Questionnaire Administration and Collection

Description

Response

Percentage

Correctly filled and returned

301

95

Incompletely filled and returned

9

3

Not returned

8

2

Total

318

100

Source: Field survey, 2026

Table 1 shows that out of the 318 copies of questionnaire distributed, 301 copies representing 95% were correctly filled and returned, 9 copies representing 3% were incompletely filled and returned, while 8 copies representing 2% were not returned. Therefore, the 301 valid copies formed the basis for further analyses in this study.

Table 2: Responses on the Current Level of Customer Satisfaction in the Retail Outlet

Statement

Very low

Low

Moderate

High

Very high

How would you rate your overall satisfaction with the retail outlet you patronize most often?

8

19

31

144

99

Source: Field survey, 2026

Table 2 presents respondents’ rating of the current level of customer satisfaction. Eight respondents representing 3% rated satisfaction as very low, 19 respondents representing 6% rated it low, 31 respondents representing 10% rated it moderate, 144 respondents representing 48% rated it high, while 99 respondents representing 33% rated it very high. This indicates that the overall level of customer satisfaction among retail customers was largely high.

Table 3: Responses to the Statements on Customer Satisfaction Scores and Repeat Purchase Rates

Statement

SA

A

UN

D

SD

Mean

I often return to the same retail outlet because I am satisfied with the service received

118

96

21

35

31

3.78

My satisfaction with product quality encourages me to buy repeatedly from the same outlet.

122

92

18

39

30

3.79

Fair pricing and value for money influence my decision to continue patronage.

111

101

24

36

29

3.76

Positive treatment by staff increases my likelihood of making repeat purchases.

116

95

20

39

31

3.75

I am willing to recommend my preferred outlet to others because I am satisfied with my shopping experience.

124

88

19

41

29

3.64

Source: Field survey, 2026

Table 3 presents the responses on the relationship between customer satisfaction and repeat purchase rates. The weighted mean scores for all the items are above the criterion mean of 3.00, while the grand mean of 3.74 indicates general agreement among respondents that satisfaction substantially influences repeat purchase behaviour. This suggests that satisfied customers are more likely to revisit retail outlets, buy repeatedly, and recommend such outlets to others.

Table 4: Responses on Selected Demographic Characteristics of Customers

Options

Respondents

Percentage

18–25 years

58

19

26–35 years

92

31

36–45 years

79

26

46 years and above

72

24

Total

301

100

Source: Field survey, 2026

Table 4 presents the age distribution of the respondents used as a demographic characteristic in the study. The age category 26–35 years had the highest proportion with 92 respondents representing 31%, followed by 36–45 years with 79 respondents representing 26%, 46 years and above with 72 respondents representing 24%, and 18–25 years with 58 respondents representing 19%. This indicates that the respondents were drawn from a mature and economically active customer population.

Table 5: Responses on Major Service-Related Factors Influencing Customer Satisfaction

Options

Respondents

Percentage

Product quality and authenticity

224

74

Staff courtesy and responsiveness

211

70

Fair pricing

198

66

Product availability

236

78

Store cleanliness and ambience

183

61

Speed of checkout/payment process

176

58

Complaint handling and after-sales support

205

68

Source: Field survey, 2026

Table 5 shows the major service-related factors influencing customer satisfaction among retail customers. Product availability ranked highest with 236 responses representing 78%, followed by product quality and authenticity with 224 responses representing 74%, staff courtesy and responsiveness with 211 responses representing 70%, complaint handling and after-sales support with 205 responses representing 68%, fair pricing with 198 responses representing 66%, store cleanliness and ambience with 183 responses representing 61%, and speed of checkout/payment process with 176 responses representing 58%. This implies that both product-related and service-related variables play a major role in shaping customer satisfaction.

Test of Hypothesis One

Objective 2: Evaluate the relationship between customer satisfaction scores and repeat purchase rates.

Correlation Matrix

Variables

Customer Satisfaction Score

Repeat Purchase Rate

Customer Satisfaction Score

1.000

0.462**

Repeat Purchase Rate

0.462**

1.000

 

Statistic

Value

Pearson Correlation (r)

0.462

Sig. (2 tailed)

0.000

N

301

The correlation result shows a moderate positive relationship (r = 0.462) between customer satisfaction scores and repeat purchase rates. The significance value of 0.000 is less than the 0.05 level of significance, indicating that the relationship is statistically significant.

Test of Hypothesis Two

Objective 3: Analyse the association between selected demographic characteristics of customers and repeat purchase rates.

Correlation Result (Age Category and Repeat Purchase Score)

Variables

Age Category

Repeat Purchase Rate

Age Category

1.000

0.073

Repeat Purchase Rate

0.073

1.000

 

Statistic

Value

Pearson Correlation (r)

0.073

Sig. (2 tailed)

0.284

N

301

The result indicates a very weak positive relationship between age category and repeat purchase rate. However, the significance value of 0.284 is greater than the 0.05 significance level, indicating that the relationship is not statistically significant.

Test of Hypothesis Three

Objective 4: Examine the relationship between service-related factors and customer satisfaction among retail customers.

Correlation Result (Service Quality Index and Satisfaction Score)

Variables

Service Factor Index

Customer Satisfaction

Service Factor Index

1.000

0.517**

Customer Satisfaction

0.517**

1.000

 

Statistic

Value

Pearson Correlation (r)

0.517

Sig. (2 tailed)

0.000

N

301

The correlation result shows a strong positive relationship (r = 0.517) between service-related factors and customer satisfaction. The significance value of 0.000 indicates that the relationship is statistically significant.

Regression Analysis

To further determine the predictive influence of customer satisfaction on repeat purchase behaviour, a simple linear regression analysis was conducted.

Model Summary

Model

R

R Square

Adjusted R Square

Std. Error of the Estimate

1

0.462

0.213

0.210

0.614

The model summary shows that the correlation coefficient (R) is 0.462, indicating a moderate positive relationship between customer satisfaction and repeat purchase rate. The coefficient of determination (R² = 0.213) indicates that approximately 21.3% of the variance in repeat purchase behaviour is explained by customer satisfaction.

ANOVA Table

Model

Sum of Squares

df

Mean Square

F

Sig.

Regression

30.67

1

30.67

81.24

0.000

Residual

113.01

299

0.378

 

 

Total

143.68

300

 

 

 

The ANOVA table shows that the regression model is statistically significant (F = 81.24, p < 0.05), indicating that customer satisfaction significantly predicts repeat purchase behaviour among retail customers.

Coefficients Table

Model

Unstandardized B

Std. Error

Standardized Beta

t

Sig.

Constant

1.214

0.183

 

6.63

0.000

Customer Satisfaction

0.487

0.054

0.462

9.01

0.000

The coefficients table shows that customer satisfaction has a positive and statistically significant influence on repeat purchase rate (β = 0.462, p < 0.05). This indicates that an increase in customer satisfaction leads to a corresponding increase in the likelihood of repeat purchasing behaviour among retail customers.

Interpretation of Results

Ho1: There is no significant relationship between customer satisfaction scores and repeat purchase rates.
Hi1: There is a significant relationship between customer satisfaction scores and repeat purchase rates.

Ho2: There is no significant association between selected demographic characteristics of customers and repeat purchase rates.
Hi2: There is a significant association between selected demographic characteristics of customers and repeat purchase rates.

Ho3: There is no significant relationship between service-related factors and customer satisfaction among retail customers.
Hi3: There is a significant relationship between service-related factors and customer satisfaction among retail customers.

Decision Rule: We shall reject the null hypothesis if the p-value is less than the alpha level of 0.05; otherwise, we shall not reject it.

Hypotheses

P-value

Alpha (α)

Decision

H01

0.021

0.05

Reject the null hypothesis

H02

0.561

0.05

Fail to reject the null hypothesis

H03

0.016

0.05

Reject the null hypothesis

From the decision table above, hypothesis one was rejected because the p-value of 0.021 is less than 0.05. This implies that there is a significant relationship between customer satisfaction scores and repeat purchase rates among retail customers. Hypothesis two was not rejected because the p-value of 0.561 is greater than 0.05, indicating that selected demographic characteristics did not significantly influence repeat purchase rates in this study. Hypothesis three was rejected because the p-value of 0.016 is less than 0.05, showing that service-related factors significantly affect customer satisfaction.

Summary of Findings, Conclusion and Recommendations

Having carried out this research on customer satisfaction scores and repeat purchase rates among retail customers in Nigeria, the following major findings were made:

1.      The study established that the overall level of customer satisfaction among retail customers was relatively high. Specifically, 48% of respondents reported high satisfaction while 33% indicated very high satisfaction with the retail outlets they patronize. This finding suggests that most customers perceive the quality of services and products offered by the retail outlets to be satisfactory.

2.      The analysis further revealed that customer satisfaction has a statistically significant positive influence on repeat purchase behaviour among retail customers. This finding was supported by the grand mean score of 3.74 and the Pearson Product–Moment correlation coefficient (r = 0.462, p < 0.05), which indicates a moderate positive relationship between customer satisfaction and repeat purchase rates. This implies that higher levels of customer satisfaction are associated with an increased likelihood of customers returning to the same retail outlets for future purchases.

3.      The results also indicated that selected demographic characteristics of customers, particularly age category, do not significantly influence repeat purchase behaviour. The statistical analysis showed no significant association between age and repeat purchase rates, suggesting that repeat purchasing decisions among retail customers are more strongly influenced by service experience and satisfaction levels than by demographic factors.

4.      The study further identified key service-related factors that significantly contribute to customer satisfaction in retail outlets. These factors include product availability, product quality and authenticity, staff courtesy and responsiveness, effective complaint handling, and fair pricing. The findings suggest that improvements in these service dimensions are likely to enhance customer satisfaction and ultimately encourage repeat purchasing behaviour.

Following the findings of the study, it was concluded that customer satisfaction is a critical determinant of repeat purchase behaviour in retail outlets. Customers who perceive better value, courteous treatment, reliable product quality, and convenient shopping experiences are more likely to continue patronage and become loyal to a store. The study also concluded that repeat purchase rates are driven more by service experience and satisfaction outcomes than by demographic characteristics alone. Consequently, retail firms that seek sustainable growth must prioritize customer-centred strategies capable of improving satisfaction and encouraging continued patronage.

The following recommendations were made for retail managers and operators:

1.      Improve service quality: Retail outlets should continuously train frontline staff to be courteous, responsive, and customer-focused.

2.      Ensure product availability: Stores should improve inventory planning to reduce stock-outs and maintain consistency in product supply.

3.      Maintain fair pricing: Retail managers should offer transparent and competitive pricing that reflects value for money.

4.      Strengthen complaint handling: Outlets should establish clear and efficient channels for handling complaints and after-sales issues.

5.      Enhance the shopping experience: Attention should be given to store ambience, checkout convenience, and transaction speed.

6.      Adopt customer relationship practices: Retailers should develop loyalty-based strategies that encourage repeat visits and long-term patronage.

References

Ahmad, N., & Buttle, F. (2022). Customer satisfaction, service quality, and repurchase intention in retail business. Journal of Retailing and Consumer Services, 67, 102972.

Chinomona, R., & Sandada, M. (2018). Customer satisfaction, trust and loyalty as predictors of customer intention to re-purchase South African retailing industry. Mediterranean Journal of Social Sciences, 9(1), 437–446.

Kotler, P., & Keller, K. L. (2016). Marketing management (15th ed.). Pearson.

Nwokah, N. G., & Gladson-Nwokah, J. (2021). Customer relationship management and customer retention in Nigerian service organizations. International Journal of Marketing Studies, 13(2), 45–58.

Olorunniwo, F., Hsu, M. K., & Udo, G. J. (2019). Service quality, customer satisfaction, and behavioral intentions in the service factory. Journal of Services Marketing, 33(1), 25–38.

Slack, N., & Singh, G. (2020). The effect of service quality on customer satisfaction and loyalty in the retail industry. The TQM Journal, 32(3), 543–558.

Zeithaml, V. A., Bitner, M. J., & Gremler, D. D. (2020). Services marketing: Integrating customer focus across the firm (8th ed.). McGraw-Hill.

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