Empirical Study of Brand-Customer Relationship Based on Customer Lock-In in Chinese Banking

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The central construct of customer lock-in (CL) is measured and its role along with that of consumer loyalty in influencing the brand-customer relationship is tested. Using data collected from focus groups, a measurement model for CL is developed, and a structural equation model consisted based on literature review and our own theory is established. Moreover, the moderating effects of CL on the relationship between perceived value (PV) and brand relationship quality (BRQ), as well as that between BRQ and brand loyalty (BL) based on data collected through a survey have been tested. Results indicate that consumer satisfaction is a critical factor in establishing brand-customer relationship, and the attitudinal brand loyalty is the key to obtain brand behavioral loyalty. Furthermore, CL tactics, such as decreasing consumers’ leing cost and transactional cost facilitate the relationship building between customer and brand, while involuntary lock-in may have an adverse effect in the relationship building process. In addition, involuntary lock-in and loyalty program help in obtaining consumers’ behavioral brand loyalty but not their attitudinal loyalty.
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