Integrating service quality as a second-order factor in a customer satisfaction and loyalty model

2017 ◽  
Vol 29 (12) ◽  
pp. 2978-3005 ◽  
Author(s):  
Robin Nunkoo ◽  
Viraiyan Teeroovengadum ◽  
Peta Thomas ◽  
Llewellyn Leonard
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Structural Equation ◽  
Structural Model ◽  
Factor Model ◽  
Explanatory Power ◽  
Second Order ◽  
Equation Modeling ◽  
Content Type ◽  
Order Factor

Purpose The study conceptualizes service quality as a second-order factor and analyzes its influence on customer satisfaction, perceived value, image, consumption emotions and customer loyalty by testing a structural equation model. Design/methodology/approach The model is tested using data collected from 672 guests staying in accommodation establishments located in South Africa. The study follows a hierarchical approach using confirmatory factor analysis to test the second-order factor model and structural equation modeling to test the overall model. Findings The results indicate that the second-order factor model is acceptable both empirically as well as conceptually and performs better than other competing models of service quality. The findings provide support for all hypotheses and evidence of a structural model with a high explanatory power. Research limitations/implications The second-order factor model is less useful when fine-grained analyses are needed, such as when a detailed assessment of the level of quality of service offered by a hospitality organization is required. Practical implications The second-order factor model allows for an analysis of service quality at different levels of abstraction. Accommodation managers interested in customers’ evaluation of service on a cumulative basis can make use of the global measure to determine service quality evaluations. Practitioners can also use the findings to manage the different dimensions of service quality. Originality/value The study demonstrates that service quality is best represented as a second-order factor, and in doing so, it provides an improved measurement of the construct. More so, by integrating the variable in a nomological network, the research develops a more parsimonious model than the existing ones.

Higher education service quality, student satisfaction and loyalty

2019 ◽  
Vol 27 (4) ◽  
pp. 427-445 ◽  
Author(s):  
Viraiyan Teeroovengadum ◽  
Robin Nunkoo ◽  
Christian Gronroos ◽  
T.J. Kamalanabhan ◽  
Ashley Keshwar Seebaluck
Keyword(s):  
Higher Education ◽  
Service Quality ◽  
Student Satisfaction ◽  
Structural Model ◽  
Perceived Value ◽  
Second Order ◽  
Equation Modeling ◽  
Content Type ◽  
Education Service ◽  
Order Factor

Purpose The purpose of this study is to validate the higher education service quality (HESQUAL) scale using a confirmatory approach and test an improved structural model that predicts student loyalty from image, perceived value, satisfaction and service quality. In addition to validating the HESQUAL scale using a confirmatory approach, two other main limitations in the extant literature are addressed. Design/methodology/approach The model is tested using data collected from 501 students enrolled in different higher education institutions in Mauritius. A two-stage approach to structural equation modeling is used whereby the measurement model is first tested using confirmatory factor analysis and followed by the assessment of the structural model. Findings Importantly, results indicate that student satisfaction is influenced by technical service quality, image and perceived value, but not by functional service quality. Both dimensions of service quality however are significant predictors of image and perceived value. The study uses a comprehensive measure of service quality and demonstrates that it is worthwhile to consider functional service quality as higher-order model and clearly distinguish between functional and technical quality, as both the technical and functional aspects play an important role in shaping students’ perceptions and behaviors. Originality/value First, in the existing literature, service quality has not been considered as a second-order factor model in structural models of student satisfaction and loyalty, thus lacking either precision or parsimony. Second, the transformative quality aspect of higher education has been largely neglected in previous research testing such predictive models. The model delineates service quality into the functional and transformative (technical) aspects and treats functional service quality as a second-order factor comprising nine sub-dimensions.

Linking transformational leadership and “multi-dimensions” of project success

2019 ◽  
Vol 13 (1) ◽  
pp. 103-127 ◽  
Author(s):  
Umer Zaman ◽  
Shahid Nawaz ◽  
Sidra Tariq ◽  
Asad Afzal Humayoun
Keyword(s):  
Transformational Leadership ◽  
Structural Equation ◽  
Structural Model ◽  
Project Success ◽  
Higher Order ◽  
Project Managers ◽  
Second Order ◽  
Equation Modeling ◽  
Content Type ◽  
The Relationship

Purpose Transformational leadership, flexibility and visibility improves project responsiveness to highly unpredictable and impactful events referred as the ‘black swans’ in mega projects (Bloch et al., 2012; Raziq et al., 2018; Zailani et al., 2016). However, these concepts have never been empirically tested in a single framework to determine their significant impact on multi-dimensional project success. The purpose of this paper is to investigate the interactional effects of project flexibility and project visibility on the relationship between transformational leadership and “multi-dimensions” of project success including meeting design goals; impact on customers and benefits to project-based organization. Design/methodology/approach Empirical data derived from cross-sectional survey of 160 project managers from telecom intensive companies in Pakistan were used to test the conceptual framework developed from recent literature. Partial least squares-structural equation modeling (PLS-SEM) provided detailed analysis of the measurement and structural model. The most recent reflective–formative PLS-SEM approach for higher-order constructs has been introduced. Findings The results indicate that project managers’ transformational leadership (β = 0.348, p < 0.01), project flexibility (β = 0.221, p < 0.01) and project visibility (β = 0.366, p < 0.01) are positively related with the multi-dimensional project success (second-order formative) construct. Interestingly, the relationship between transformational leadership and project success is influenced by significantly negative moderations established through project flexibility (β = −0.100, p < 0.01) and project visibility (β = −0.093, p < 0.05). Research limitations/implications This study in the telecom sector examined the interactional effects of risk mitigating strategies (i.e. project flexibility and project visibility) on the relationship between transformational leadership and multi-dimensional project success. This study creates a basis for future investigations extending to various project types and relevant to different industries especially those involving higher-order (formative) assessments of project success. Practical implications The study findings assist project leaders to meet their escalating commitments in achieving project success from a multi-dimensional standpoint. Additionally, this study underscores a renewed perspective of transformational leadership and project outcomes. Despite prevailing understanding developed through prior research, transformational leadership may become less favorable for project success in conditions of increased flexibility and visibility in projects. Originality/value Earlier studies have overlooked the multi-dimensional nature of project success (second-order formative) construct, despite several attempts to examine the interplay between transformational leadership and project success. Based on the knowledge gap and non-existence of empirical evidence, the authors introduced and empirically tested the moderating role of project flexibility and project visibility in the relationship between transformational leadership and multi-dimensional project success.

Service quality and customer satisfaction in Ghanaian retail banks: the moderating role of price

2018 ◽  
Vol 36 (1) ◽  
pp. 68-88 ◽  
Author(s):  
Bedman Narteh
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Structural Equation ◽  
Survey Methodology ◽  
Equation Modeling ◽  
Content Type ◽  
Bank Managers ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Retail Banks

Purpose Various models and scales exist in the literature to measure retail bank service quality without any attempt at integrating them and the moderators have often been under explored. The purpose of this paper is to integrate the SERVQUAL and BSQ models and moderated the resulting scale with price in order to examine service quality and customer satisfaction with retail bank services in Ghana. Design/methodology/approach The study is quantitative and the survey methodology was used to collect data from 560 retail bank customers. The result was analyzed through structural equation modeling. Findings The study provides an expanded model for measuring retail bank service quality as seven of the eight latent constructs emerged as service quality dimensions when moderated with price. It is significant to also note that five of the constructs – tangibles, reliability, assurance, empathy and price – from the direct relationship emerged as the dimensions of retail bank service quality that positively and significantly predicted customer satisfaction. Practical implications The study provides insight into customer behavior with the quality of retail bank services in Ghana. The resulting broader dimensions provide an integrated and expanded model as well as pointers to bank managers on service quality and customer satisfaction cues to enable them attract, serve and retain customers. Originality/value The study is the first of its kind to integrate two of the popular models to measure retail bank service quality and to use price as a moderator of this relationship. The resulting scale, which comprised of variables from the two models, provides support for the approach used in the current study.

scholarly journals PENGARUH KUALITAS PELAYANAN TERHADAPKEPUASAN KONSUMEN DAN DAMPAKNYA TERHADAP BRAND IMAGE

2021 ◽  
Vol 11 (2) ◽  
pp. 392-408
Author(s):  
Ilza Febrina ◽  
Lisa Nurlitasari ◽  
Lela Nurlaela Wati
Keyword(s):  
Structural Equation Modeling ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Empirical Evidence ◽  
Structural Equation ◽  
Brand Image ◽  
Second Order ◽  
Equation Modeling ◽  
Study Support ◽  
Determining Factor

ABSTRAKPenelitian ini bertujuan untuk menguji pengaruh kualitas pelayanan terhadap kepuasan konsumen dan dampaknya terhadap brand image pada PT Bank Mayapada Internasional, Tbk Cabang Menara Topas Jakarta Pusat. Sampel dalam penelitian ini sebanyak 105 nasabah. Analisis data yang digunakan adalah Structural Equation Modeling (SEM). Hasil penelitian secara empiris menunjukkan bahwa kualitas pelayanan berpengaruh positif dan signifikan terhadap kepuasan nasabah, sehingga ketika kualitas pelayanan meningkat maka kepuasan nasabah pun akan meningkat. Kepuasan nasabah berpengaruh positif dan signifikan terhadap brand image, sehingga ketika kepuasan nasabah meningkat maka brand image yang ditampilkan perusahaan pun akan meningkat. Kualitas pelayanan berpengaruh negatif dan tidak signifikan terhadap brand image, artinya kualitas pelayanan bukan merupakan factor penentu brand image. Pengujian tidak langsung kualitas pelayanan terhadap brand image melalui kepuasan nasabah berpengaruh positif dan signifikan. Bukti empiris ini menunjukkan bahwa kualitas pelayanan tidak dapat mempengaruhi brand image secara langsung, namun melalui kepuasan nasabah. Hasil penelitian ini mendukung teori Service Quality, semakin baik kualitas pelayanan maka nasabah akan semakin puas sehingga menimbulkan kesan yang baik terhadap perusahaan. Penelitian ini berbeda dengan peneliti sebelumnya karena menguji pengaruh langsung dan tidak langsung secara komprehensif dengan menggunakan second order confirmatory.  Kata Kunci: Kualitas pelayanan, kepuasan konsumen dan  brand image           ABSTRACTThis study aims to analyze the empirical evidence of the influence of service quality on customer satisfaction and its impact on brand image at PT Bank Mayapada Internasional, Tbk Menara Topas Central Jakarta Branch. The sample in this study were 105 customers. Analysis of the data used is Structural Equation Modeling (SEM). Empirical research results show that service quality has a positive and significant effect on customer satisfaction, so that when service quality increases, customer satisfaction will increase. Customer satisfaction has a positive and significant effect on brand image, so that when customer satisfaction increases, the brand image displayed by the company will increase. Service quality has a negative and not significant effect on brand image, meaning that service quality is not a determining factor for brand image. Indirect testing of service quality on brand image through customer satisfaction has a positive and significant effect. This empirical evidence shows that service quality cannot affect brand image directly, but through customer satisfaction. The results of this study support the Service Quality theory, the better the service quality, the more satisfied customers will be, thus creating a good impression on the company. This study is different from previous researchers because it examines the direct and indirect effects comprehensively by using second order confirmatory.so that when service quality increases, customer satisfaction will increase and will improve the brand image displayed by the company.Keywords: Service quality, customer satisfaction and brand image

Impact of service quality and trust on repurchase intentions – the case of Pakistan airline industry

2017 ◽  
Vol 29 (5) ◽  
pp. 1136-1159 ◽  
Author(s):  
Muhammad Abid Saleem ◽  
Sadaf Zahra ◽  
Asif Yaseen
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Airline Industry ◽  
Structural Equation ◽  
The Body ◽  
Equation Modeling ◽  
Repurchase Intention ◽  
Data Set ◽  
Content Type ◽  
Repurchase Intentions

Purpose The purpose of this paper is to examine the antecedents of repurchase intentions in the Pakistani airline industry. Though research on repurchase intentions has traditionally focused on service quality and satisfaction, recently scholars have proposed that word of mouth (WOM) and thin Pakistan’s airline industr trust also play a vital role in driving repurchase intentions for all services businesses. Design/methodology/approach The study employs structural equation modeling to examine the hypothesized relationships among antecedents of repurchase intention drawing on a data set of 383 customers listed as “frequent flyer members” within Pakistan’s airline industry. Findings The results revealed that service quality and trust are directly associated with repurchase intentions as well as through the mediator of customer satisfaction. The findings hold important implications for marketers and academics. Originality/value This study makes original contribution to the body of knowledge in the services marketing sector by investigating the effects of service quality and trust through the mediation of customer satisfaction and brand image, and the moderation of WOM factors on predictors of repurchase intention.

Measuring quality variations in e-service

2017 ◽  
Vol 27 (2) ◽  
pp. 427-452 ◽  
Author(s):  
Yen-Chun Chen ◽  
Yung-Cheng Shen ◽  
Crystal Tzu-Ying Lee ◽  
Fu-Kai Yu
Keyword(s):  
Service Quality ◽  
Structural Equation ◽  
Quantitative Methods ◽  
Factor Model ◽  
Reliability And Validity ◽  
Equation Modeling ◽  
Measurement Tool ◽  
Information Quantity ◽  
Content Type ◽  
Qualitative And Quantitative Methods

Purpose The purpose of this paper is to develop and validate a multidimensional hierarchical scale for measuring “e-service quality variation.” Design/methodology/approach Based on the psychometric scale-development approach, qualitative and quantitative methods were employed to develop the e-SERVAR scale. A multidimensional hierarchical factor structure of e-SERVAR is proposed, along with a set of preliminary items derived from literature and the qualitative study. Furthermore, the Yahoo website in Taiwan was chosen to be the target e-service website for data collection to develop the e-SERVAR scale. A series of statistical methods (i.e. item-to-total correlations, exploratory factor analyses, CFAs and structural equation modeling) were adopted to verify construct reliability and validity as well as nomological validity of the scale. Findings A 41-item e-SERVAR scale based on the structure of a hierarchical factor model was developed that contains three primary dimensions (i.e. information, system and fulfillment) and nine subdimensions (information accuracy, information quantity, information timeliness, information usefulness, system reliability, system security, merchandise quality, merchandise delivery timeliness and merchandise security). Practical implications The results of this study help managers identify sources of quality variability and design efficacious strategies to reduce such variability in order to improve the overall e-service quality. Originality/value Prior research of e-service quality has paid less attention to the role of e-service quality variability. Discussion of e-service quality variability was mainly conceptual in nature. This research presents the e-SERVAR scale as a measurement tool that provides a new avenue for researchers to study how to improve e-service quality by measuring service variability.

The effect of CRM implementation on pharmaceutical industry’s profitability

2016 ◽  
Vol 39 (8) ◽  
pp. 854-878 ◽  
Author(s):  
Nedra Bahri-Ammari ◽  
Khalid S. Soliman
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Structural Equation ◽  
Customer Relationship ◽  
Equation Modeling ◽  
Content Type ◽  
Factors Affecting ◽  
Quality Perception ◽  
Significant Relationships ◽  
The Impact

Purpose The aim of this study is examine customer relationship management (CRM) effect on enhancing customer satisfaction and on improving customer retention. In this study, the impact of CRM on loyalty in the pharmaceutical sector in Tunisia is studied. Service quality perception, customer satisfaction, loyalty, retention and firm profitability have been tested as independent variables. This study highlights the importance of CRM and service quality perception in maintaining a sustainable and profitable relationship with customers. Design/methodology/approach A survey research design was used to collect data. In total, 221 respondents from 5 pharmaceutical companies in Tunisia were involved in the study. Exploratory and confirmatory analyses were adopted to examine the effect of CRM technology on profitability. Structural equation modeling was used to validate results. Findings The results show that there are significant relationships between CRM and quality perception, satisfaction and loyalty. However, there are no significant relationships either between CRM and retention or between CRM and profitability. Research limitations/implications Fitting CRM scale with the context of the study and the number of the survey companies was the limitation of this research. Practical implications This study provides significant results to practitioners to understand the role of establishing a CRM strategy and to understand the selected factors affecting customer satisfaction and retention as well. Originality/value This study was conducted in Tunisia to contribute to enrich literature in the implementation of information technology and customer satisfaction.

The effect of service quality on foreign participants’ satisfaction and behavioral intention with the 2016 Shanghai International Marathon

2019 ◽  
Vol 21 (1) ◽  
pp. 91-105 ◽  
Author(s):  
Yi Xiao ◽  
Xiaoling Ren ◽  
Pei Zhang ◽  
Antonnette Ketlhoafetse
Keyword(s):  
Service Quality ◽  
Behavioral Intention ◽  
Structural Equation ◽  
Structural Model ◽  
Equation Model ◽  
Equation Modeling ◽  
City Image ◽  
Content Type ◽  
Sports Events ◽  
The Impact

Purpose The purpose of this paper is to examine foreign participants’ service quality, satisfaction and behavioral intention during the 2016 Shanghai International Marathon, and to gain a better understanding of the impact of service quality on their satisfaction and behavioral intention. Design/methodology/approach An English questionnaire was originally designed on the basis of the literature review of service quality, overall satisfaction and re-participation intention to assess the purpose of the study. Data were collected from 308 foreign runners including 61.7 percent (n=190) of male and 38.3 percent (n=118) of the female. Structural equation modeling was employed to check the proposed model and to test the impact of service quality on foreign participants’ overall satisfaction and behavioral intention. Findings A positive correlation was captured between the following: service quality and overall satisfaction (r=0.752, p<0.01), overall satisfaction and behavioral intention (r=0.876, p<0.01), and between service quality and participants’ behavioral intention (r=0.760, p<0.01). Furthermore, the service quality of Shanghai International Marathon had an indirect effect on foreign participants’ behavioral intention. The structural model fits the data well (R2=0.823). Research limitations/implications First, the sample size was small and was just drawn from one event, which can be taken with caution in the context of the generalization of findings. Second, the results are specific to 2016 Shanghai International Marathon participants and cannot be generalized with other events in China or around the world. Practical implications The results are practical for the marathon event organizers to better understand foreign participants’ needs and improve their services. This study has a significant importance to the sports events organizers, especially the organizers of the Shanghai International Marathon in terms of a better understanding the level of their service. This study will also help the event organizers to adapt their strategies and their efforts to increase Shanghai International Marathon foreign participants’ satisfaction and intention to repurchase or to share with others. Social implications This study contributes to the foreign participant’s satisfaction literature. In fact, many studies were carried on event spectators’ satisfaction while rare studies were carried on event participants’ satisfaction, especially marathon foreign participants’ satisfaction, and this study will supplement studies related to sport events participation. This will be convenient for sports managers and scholars to better understand the impact of service quality on participants’ satisfaction and behavioral intention in the field of sports events management. Meanwhile, the results were extremely useful to Shanghai during the process of constructing a “world-famous sports city” and “modern international metropolis”. Originality/value Little literature focus on foreign participants of Shanghai International Marathon, which is important in the process of shaping city image and building world-famous city. Are foreign participants satisfied with the Shanghai International Marathon? Which aspect of the service quality is of greater value for them? What are the influencing factors of their behavioral intention and word-of-mouth communication? What are the specific impact paths among the service quality, overall satisfaction and behavioral intention variables? To examine the objectives, the study was designed to target foreign participants’ service quality, satisfaction and behavioral intention. Besides, structural equation model was applied in this study to explore the path relationship between service quality, satisfaction and behavioral intention specifically.

A sustainable e-service quality model

2015 ◽  
Vol 25 (4) ◽  
pp. 414-442 ◽  
Author(s):  
Gjoko Stamenkov ◽  
Zamir Dika
Keyword(s):  
Quality Management ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Organizational Performance ◽  
Structural Equation ◽  
Quality Management System ◽  
Equation Modeling ◽  
Quality Model ◽  
Content Type ◽  
The Republic

Purpose – Providing high service quality is a necessary but insufficient criterion for success. Service quality must be sustained longitudinally. The purpose of this paper is to propose a sustainable e-service quality model by presenting results from a mixed-method study conducted in the Republic of Macedonia’s banking industry. Sustainable e-service quality is the ability to deliver services continually with sustainable high quality, and the ability to manage and maintain customer satisfaction and loyalty. The authors scrutinized sustainable quality from an e-services perspective. Design/methodology/approach – Based on interview data, a theoretical model is developed. The model is examined empirically using exploratory factor analysis and structural equation modeling. As a sample, the authors chose one bank, with internal, e-services customers as a unit of analysis. Findings – Results support a sustainable e-service quality model, confirming that it captures the effect of the internal domain (i.e. quality management system, business/ICT alignment, ICT capabilities, ICT service climate, and e-service quality), and predicts the external domain (satisfaction and loyalty). Research limitations/implications – This study was conducted in one bank that is among the best in the country. This limitation implies a need for validation across varying contexts, markets, and countries. Practical implications – Practitioners can deploy the model as a diagnostic tool for organizational root-cause analysis of reduced performance and decreased customer satisfaction. The model answers a question regarding unfulfilled expectations of many companies that implement quality management systems: Why did the system fail to improve organizational performance or service quality? Originality/value – The result of this research is a sustainable e-service quality model. The model highlights relationships among factors, and provides a research foundation for elaboration in other contexts.

Thai Airways: key influencing factors on customers’ word of mouth

2019 ◽  
Vol 36 (1) ◽  
pp. 40-57 ◽  
Author(s):  
Arash Ahmadi
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Airline Industry ◽  
Structural Equation ◽  
Word Of Mouth ◽  
Equation Modeling ◽  
Target Market ◽  
Content Type ◽  
Service Convenience ◽  
Quality Dimensions

Purpose The purpose of this paper is to evaluate and analyze the influence of service convenience, service quality and customer satisfaction on the formation of word of mouth in airline industry. Design/methodology/approach The sample included 400 passengers who had experienced THAI’S international flights. To test the study hypotheses, a research model was examined applying structural equation modeling. Findings The findings submit that, in addition to effects of service convenience, service quality and customer satisfaction on word of mouth, decision convenience has the most positive significant influence on word of mouth compared to service quality dimensions and customer satisfaction. Research limitations/implications The present research focuses on assessing the word of mouth level only for THAI; therefore, its findings may not be generalized for the other airlines. In addition, the target market of this study is the customers of THAI. Future researchers can select the markets of other airlines customers. Practical implications In airline companies, service convenience plays a central role on customer word of mouth. Therefore, airlines should concentrate on travelers’ convenience in the service procedure. They should plan the service to support the best convenience for travelers. Originality/value This investigation would help airlines to understand what makes customers more satisfied before, during and after using an airline service and to understand how this is related to the word of mouth.

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