Success in delivering good services and to gain customer loyalty does not only depend on sales but also on other factors related to product, service and support. This study investigates three potential subscribers’ related to buying telecommunications products (accepting the purchase price), decision to use the product (satisfied to use the product), and the decision to stay and be loyal to the service provider. There are claims saying that it is more expensive to win a new customer than to retain an existing customer. Loyalty initiates a series of economic effects, and the net return on investments for the services provider could be much higher than retention strategies or any other strategies to attract new customer. This study explores the effect of customer satisfaction towards customer loyalty in mobile telecommunication sector of Pakistan. In addition this research will identify the factors that lead to why a customer is loyal or disloyal In the model selected two independent variables service quality and brand image has shown great contribution towards customer loyalty. Therefore it can be concluded that in order to improve upon the customer loyalty improving service quality or improving the brand image will lead to a stronger customer loyalty. This research has pointed out two areas which can improve the customer loyalty. One area is to target the service quality and enhance it and the other one is to improve the brand image.

BBA (HONS)