MTR Trains Case Study: Customer Satisfaction and Loyalty

Topics: MTR / Pages: 5 (1173 words) / Published: Apr 22nd, 2009
Relationship between Customer Satisfaction and Customer Loyalty
Loyalty is the direct result of customer satisfaction which is greatly influenced by value of services provided to the Customer.
It is believed that with the Customer Loyalty, the company can achieve profitability and continuous growth. According to an article “Zero Defections: Quality Comes to Services”, it indicated that a 5% increase in customer loyalty can produce profit increase from 25% to 85%.

In this part, we will discuss how MTR gain customer loyalty as ultimate goal through providing value to the Customer (example Time, comfort and Safety) and improve the customer satisfactions gradually.

Improve the environment/equipment within the stations
Since 2006, MTR first installed High Brightness Light Emitting Diode (HB-LED) lights for trial in one MTR train compartment which enhanced travelling environment for the passengers. Seeing there was room for improvement in the efficiency, reliability and light color, MTR further refined the application of HB-LEDs for it trains in a joint venture with industrial lighting specialist JM Technologies Limited, which received expert technical input from the Hong Kong University of Science and Technology. The improved design features enhanced reliability and lighting which more closely resemble the color of natural daylight which provide an enhanced traveling environment for passengers, especially for those reading books and newspapers.

MTR decided to install HB-LED on three MTR trains with the first train beginning operation on the Tsuen Wan Line and the other two trains will be put into service by June 2009. In addition, MTR will be testing the use of HB-LEDs for the first time in stations. The technology is being adapted to provide everyday lighting in a trial at MTR Choi Hung Station. Installation work is expected to be completed by August 2009.

It is estimated that the new HB-LEDs will consume 30% less electricity than traditional fluorescent

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