How Product Quality and Price Influence Customer Retention: Exploring the role of Customer Satisfaction as Mediator in Pakistan's Footwear Industry

Customer retention is a core topic of consideration in this competitive environment. Therefore, this study investigates the effect of product quality and price on customer retention with a mediation of customer satisfactionin the footwear industry of Pakistan. The sample size of this study was 396 taken by simple random sampling. The respondents were the users of different shoe brands of Pakistan. This research study used a quantitative tool i.e., questionnaire for the collection of data. Different types of analyses were performed i.e., data normality check, correlation analysis, descriptive statistics, reliability analysis, structural equation modelling, construct validity, confirmatory factor analysis and hypotheses testing using AMOS (simple and mediation path analysis). The results of this study have showed that the product quality and price have positive and strong association with customer retention. They both have shown strong association/effect on customer retention and customer satisfaction plays an imperative role in these relationships by mediating them. This study contains many implications which have been discussed. They are beneficial for marketing managers, policy-makers, strategists and future researchers