Does outcome quality matter? An investigation in the context of banking services in an emerging market

2015 ◽  
Vol 32 (5) ◽  
pp. 341-355 ◽  
Author(s):  
Sonali Jain ◽  
Sanjay K. Jain
Keyword(s):  
Factor Analysis ◽  
Service Quality ◽  
Customer Service ◽  
Emerging Market ◽  
Equation Modeling ◽  
Outcome Quality ◽  
Banking Services ◽  
Content Type ◽  
Quality Perceptions ◽  
Functional Quality

Purpose – This paper aims to measure outcome quality in banks in India and to make a comparative assessment of its influence on customer service quality perceptions. Though both functional quality (i.e. how service is delivered) and outcome quality (i.e. what is delivered) are important aspects of service quality, it is the functional quality which has primarily been the focus of past studies. Design/methodology/approach – The data used in the study are based on a survey of bank customers located in Delhi and National Capital Region. Using the exploratory factor analysis and confirmatory factor analysis, validity and dimensionality of the multi-item functional and outcome quality scales used in the study were assessed. A structural model of relationships of functional and outcome quality with overall service quality was tested through use of the structural equation modeling (SEM) approach. Findings – The study finds outcome quality as being a significant and major determinant of customer service quality perceptions in banks. Inclusion of outcome quality in the analysis is, moreover, found to be helpful in capturing more exhaustively the variations present in customer overall service quality perceptions. Research limitations/implications – Both the functional and outcome quality in the study have been measured through scales adapted from past studies. But the same have not been found able to fully capture variations in customer service quality perceptions. More psychometrically sound scales to measure functional and outcome quality are needed. Studies in both the developing and developed countries and additional service sectors are called for to increase the generalizability of the study findings. Furthermore, nomological validity of the outcome quality scale needs to be investigated by relating it with other anent constructs, such as customer satisfaction and their behavioral intentions. Practical implications – Instead of simply remaining preoccupied with functional quality, i.e. process or how part of service delivery, bank management also needs to gauze customer outcome quality perceptions (i.e. what the customers think they are eventually getting out of their transactions with the service provider) and exercise due care to see that customers in fact are getting the core banking tasks performed for which they approach the banks in the first instance. Originality/value – Present study is first of its kind in investigating role of outcome quality in banking services sector in the context of an emerging market like India. Use of SEM for analyzing both the measurement and structural models constitutes another noteworthy feature of the study.

Quality and image of banking services: a comparative study of conventional and Islamic banks

2017 ◽  
Vol 35 (6) ◽  
pp. 878-902 ◽  
Author(s):  
Md Abu Saleh ◽  
Ali Quazi ◽  
Byron Keating ◽  
Sanjaya S. Gaur
Keyword(s):  
Service Quality ◽  
Emerging Market ◽  
Equation Modeling ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Banking Services ◽  
Content Type ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Conventional Banks

Purpose Bank customers’ perceptions of service quality and service image of Islamic banks may differ from those of conventional banks. The purpose of this paper is to examine the differing perceptions of customers of Islamic and conventional banking systems in an emerging market, which has rarely been addressed and adds to the body of knowledge on this topic. This study also re-examines the SERVQUAL model of customer banking services to measure their impact on customer satisfaction and loyalty. Design/methodology/approach The study uses responses from a randomly drawn sample of 229 customers from conventional banks and 225 customers from Islamic banks operating in Bangladesh using a structured questionnaire. SPSS and structural equation modeling techniques were employed as statistical tools for data analysis. Findings Overall, the examined service quality dimensions wield varying effects on client satisfaction mediated through the perceived image of banking services. Islamic bank customers’ perceptions of the level of reliability, responsiveness, security and reputation were significantly higher than those of conventional banks. Research limitations/implications This study enhances our understanding of how Islamic banking practices differ from those of conventional banking in terms of service quality and image-related factors. More specifically, the findings of this research explain consumers’ perceived assessment of satisfaction and loyalty in a comparative research setting. Originality/value No prior studies have addressed the impact of the individual service quality dimensions on image factors in the context of conventional and Islamic banking in an emerging market, Bangladesh.

Financial inclusion through Kiosk-based banking services: a study with reference to business correspondent models in the state of Kerala

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammed Shafi M.K ◽  
M. Ravindar Reddy
Keyword(s):  
Factor Analysis ◽  
Missing Values ◽  
Discriminant Validity ◽  
The State ◽  
Financial Inclusion ◽  
Equation Modeling ◽  
Banking Services ◽  
Content Type ◽  
Shared Variance ◽  
Validity Tests

PurposeThe paper aims to study the outreach and performance of business correspondent (BC) models, which are implemented as a subsidiary agent of banks to accelerate the financial inclusion (FI) mission in India. In this regard, the study illustrates BC's products and services rendered to customers, forms of delivery channels and BC's view on banking services and Kiosk-based BC programs.Design/methodology/approachThe current paper is an empirical study based on surveying 200 Kiosk-based BCs working in the state of Kerala. After the preliminary screening analysis of the data with outlier deletion, removal of missing values and normality test, both exploratory factor analysis (EFA) and confirmatory factor analysis (CFA) were executed followed by reliability test, convergent and discriminant validity tests. Covariance-based structural equation modeling (CBSEM) was performed for CFA and inferential tests were carried out by using statistical package for the social sciences (SPSS) and analysis of a moment structures (AMOS) and Eviews.FindingsChiefly, eight operational forms of BCs were found from the field survey. Hypothetical tests show the significant impact of the serviceability of banks on BC's profitability. Validity tests such as average variance extracted (AVE), composite reliability (CR), maximum shared variance (MSV) and average shared variance (ASV) were established after the removal of the cross-loaded items of the questionnaire from the rotated component matrix. BCs perform main banking services especially bank account opening facility and Akshaya E-Centers are widely used for this model as Kiosk banking in the surveyed state.Originality/valueSo far, no study has encompassed empirical research on performance analysis and outreach of the BC model in the state of Kerala where this BC model well functions. Since the study is a novel form of banking channelization for FI, the study can contribute to understanding the further feasibility and future dimension of the model based on experimental views of BCs.

Evaluating the total quality and its role in measuring consumer satisfaction with e-healthcare services using the 5Qs model: a structure equation modeling approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Prachi Verma ◽  
Satinder Kumar ◽  
Sanjeev K. Sharma
Keyword(s):  
Service Quality ◽  
Consumer Satisfaction ◽  
Healthcare Service ◽  
Healthcare Services ◽  
Public Hospitals ◽  
Equation Modeling ◽  
Total Quality ◽  
Content Type ◽  
Quality Perceptions

PurposeThis article initially aims to explore the factors of every quality construct of the 5Qs model of service quality and, second, identify the significant factors affecting the total quality of e-healthcare services and its association with consumer satisfaction using a multidimensional hierarchical 5Qs model of e-healthcare service quality.Design/methodology/approachQuestionnaire-oriented research was performed at three public hospitals of Punjab and Chandigarh. In total, 53 variables were covered in all quality constructs for data collection from the designated public hospitals. The respondents who agreed to have knowledge regarding e-Healthcare services and were availing these services were included in the study. The analysis comprised structural equation modeling technique using AMOS 21.FindingsThe outcomes suggest that the 5Qs model is more comprehensive and can be used to evaluate service quality perceptions using e-Healthcare services. The research identified 11 sub-dimensions for the five quality constructs of the 5Qs model, representing total quality, which is primary to consumer satisfaction. “Overall objectivity” and “technical objectivity” defined the quality of object. The quality of process of e-Healthcare services was characterized by “functionality,” “timeliness” and “responsiveness.” Quality of infrastructure was defined by “technical infrastructure,” “physical infrastructure,” “manpower skills” and “organizational infrastructure.” “Manner of interaction” and “timely interaction” defined the quality of interaction. The atmosphere was represented by only one factor. The results also suggest that quality of infrastructure, quality of interaction and quality of atmosphere play the most significant role in total quality leading to consumer satisfaction.Research limitations/implicationsTheoretical implications: The multidimensional hierarchical model will help the researchers study the e-Healthcare service quality in a more organized manner, and the outcomes of this study can be linked with that of future studies for more generalized application in other public hospitals. The sub-dimensions of each quality construct of the 5Qs model can be applied in private hospitals, and the hierarchical model can be tested in different industries to measure service quality perceptions of the consumerPractical implicationsThe outcomes of the study can be applied in various public sector hospitals to redesign the e-Healthcare services based on consumers' perception for better consumer satisfaction and quality services. This paper identifies the role of each quality construct in e-Healthcare services for improvement in the total quality, which in turn will lead to higher satisfaction for the consumers.Originality/valueIn this study, the original 5Qs model has been used for the first time in a new instrument to understand better and design quality e-Healthcare services. The paper explores the sub-factors of each quality construct and its significance in measuring the total quality.

Trust transfer and the effect of service quality on trust in the healthcare industry

2014 ◽  
Vol 24 (4) ◽  
pp. 399-416 ◽  
Author(s):  
Che-hui Lien ◽  
Jyh-Jeng Wu ◽  
Ying-Hueih Chen ◽  
Chang-Jhan Wang
Keyword(s):  
Service Quality ◽  
Switching Costs ◽  
Equation Modeling ◽  
Healthcare Industry ◽  
Outcome Quality ◽  
Research Model ◽  
Moderating Effects ◽  
Content Type ◽  
Trust Transfer ◽  
Image Congruence

Purpose – The purpose of this paper is to examine the effect of service quality (interaction, physical environment, and outcome quality) on trust, to investigate the trust transfer in the healthcare industry, to explore the moderating effects of image congruence and switching costs on the trust transfer, and to assess the effect of trust on patients’ willingness of recommendation. Design/methodology/approach – The research model was tested using data collected from 483 inpatients in 15 medium-to-large hospitals in Taiwan. Structure equation modeling with the latent interaction effect was employed to verify and validate the research model. Findings – The outcomes show that interaction quality and outcome quality positively influence patients’ trust in the original hospital. But the effect of environment quality on trust is not significant. Patients’ trust in the original hospital positively affects their trust in its allied hospitals. Furthermore, image congruence positively moderates the trust transfer. However, switching costs do not appear to moderate the trust transfer. The results also confirm that trust in the original hospital and its allied hospitals positively affect patients’ willingness to recommend allied hospitals. Research limitations/implications – Due to the chosen research approach, the 15 hospitals cannot represent all hospitals in Taiwan and the research outcomes may lack generalizability. Practical implications – The research results provide insight into how a hospital can improve and manage patients’ trust and the trust transfer. Originality/value – This study represents one of the few that empirically investigates trust and trust transfer in the healthcare industry and examines the moderating effects of image congruence and switching costs on the trust transfer.

CRM, service quality and organizational performance in the banking industry: a comparative study of conventional and Islamic banks

2020 ◽  
Vol 38 (5) ◽  
pp. 1081-1106 ◽  
Author(s):  
Hind Lebdaoui ◽  
Youssef Chetioui
Keyword(s):  
Service Quality ◽  
Organizational Performance ◽  
Customer Service ◽  
Structural Equation ◽  
Banking Industry ◽  
Positive Impact ◽  
Equation Modeling ◽  
Islamic Banks ◽  
Content Type ◽  
Conventional And Islamic Banks

PurposeThis paper aims to examine a model that uses customer service quality as an intervening mechanism in the relationship between customer relationship management (CRM) practices and organizational performance in two different banking structures: conventional and Islamic. The study focuses on organizational and technological practices of CRM, as both have been demonstrated to be critical to CRM success.Design/methodology/approachThe analysis is based on responses from 247 managers from conventional banks and 141 managers from Islamic banks operating in Morocco using a self-administered questionnaire. The partial least squares structural equation modeling (PLS-SEM) technique is employed for data analysis.FindingsFindings demonstrate that customer service quality plays a mediating role between CRM practices (organizational and technological) and organizational performance in both conventional and Islamic banks. Our results confirm the positive impact of CRM practices on organizational performance in the two banking structures.Practical implicationsThis study enhances our understanding of how CRM practices contribute to improving customer service quality and organizational performance in both conventional and Islamic banks. Bank managers, who aim to deliver superior service quality and achieve customer satisfaction and retention, should capitalize on the benefits of implementing CRM organizational and technological practices.Originality/valueThe present paper bridges a gap pertaining to key practices and factors that impact CRM success in the banking industry. It is the first of its kind to investigate the effect of CRM practices on organizational performance with customer service quality as a mediating variable. The study also contributes to the field of CRM literature, as CRM has rarely been addressed in an Islamic banking context.

Child helplines: how social support and controllability influence service quality and well-being

2017 ◽  
Vol 31 (4/5) ◽  
pp. 385-396 ◽  
Author(s):  
Willemijn van Dolen ◽  
Charles B. Weinberg
Keyword(s):  
Social Support ◽  
Service Quality ◽  
Structural Equation ◽  
Well Being ◽  
Equation Modeling ◽  
Content Type ◽  
Perceived Service Quality ◽  
Quality Perceptions ◽  
The Social ◽  
The Impact

Purpose The authors investigate how employee social support impacts children’s perceptions of service quality of a child helpline chat service and the chatters’ immediate well-being. Specifically, the purpose of this study is to examine how action-facilitating support, nurturant support and emotional reflections influence the children and to test whether this impact varies depending upon the controllability of the issues discussed. Design/methodology/approach The authors develop hypotheses about the influence of social support and controllability on children’s perceived service quality and well-being. Chat conversations are coded on the social support given by the employee and the controllability of the issue. Questionnaires are collected to measure children’s service quality and well-being. Using structural equation modeling, hypotheses are tested with a sample of 662 children and chat conversations of a child helpline. Findings The study reveals that for children chatting about controllable issues, nurturant support and negative emotional reflections negatively influence the immediate well-being of these children. Positive emotional reflections positively influence immediate well-being. For children chatting about uncontrollable issues, nurturant support and negative emotional responses positively influence the perceived service quality. Originality/value This study contributes to the services marketing literature by broadening the current understanding of the impact of social support on children’s service quality perceptions and well-being, and by showing how this impact is moderated by the level of controllability of the issue discussed.

An evaluation of an integrated perspective of perceived service quality for retail banking services in India

2015 ◽  
Vol 33 (3) ◽  
pp. 330-350 ◽  
Author(s):  
Sanjiv Mittal ◽  
Rajat Gera ◽  
Dharminder Kumar Batra
Keyword(s):  
Service Quality ◽  
Retail Banking ◽  
Second Order ◽  
Order Model ◽  
Banking Services ◽  
Content Type ◽  
Quality Perceptions ◽  
Level Model ◽  
Multi Level ◽  
Second Order Model

Purpose – The purpose of this paper is to extract and validate the dimensions of service quality in retail banking services in India by adopting an integrated and hierarchical perspective of service quality determinants. Design/methodology/approach – The paper empirically validates a parsimonious (multi-dimensional and multi-level) model of service quality in retail banking services in India. The analysis was conducted using structural equation modeling. A hypothesized second-order model was tested and compared with a first-order model of service quality. The dimensions were extracted through exploratory factor analysis and validated through confirmatory factor analysis. Findings – The second-order service quality model was accepted based on parsimony as it consisted of five primary dimensions: Service delivery (describing the efficiency with which the service is provided), tangibles (the quality of physical service environment), reliability (the promise of right service being provided), core service (the attributes and features of the service product) and competence (the capability of employees and systems for providing the service). The second-order model enhances the understanding of the structure of service quality for retail banking services in India. The most important dimension was tangibles, especially the physical environment which facilitates efficient delivery of service. Research limitations/implications – The research provides support for a multi-dimensional second-order model of service quality in retail banking service in India. The results show that customers form perceptions of overall service quality which are reflected by five primary dimensions. The primary dimension of tangibles is the most influential. Practical implications – Organizations need to measure and manage overall service quality perceptions to build trust and reinforce loyalty intentions among their customers. Banks need to adopt a multi-level approach to managing service quality perceptions, i.e. both at the dimensional level and organizational level. Social implications – This study would contribute to the enhancement of service quality outcomes in retail banking services in India which has a crucial role in the economic development. Originality/value – The study proposes and validates a parsimonious and hierarchical model of service quality in the context of retail banking in Indian cultural context. Thus this research provides support to existing knowledge of service quality measurement and management and extends the understanding of its structure by validating the multi-level model in an emerging market context.

Customer participation in online co-creation experience: the role of e-service quality

2015 ◽  
Vol 9 (4) ◽  
pp. 313-336 ◽  
Author(s):  
Tamer H. Elsharnouby ◽  
Abeer A. Mahrous
Keyword(s):  
Service Quality ◽  
Web Site ◽  
Emerging Market ◽  
Customer Participation ◽  
Equation Modeling ◽  
Willingness To Participate ◽  
Content Type ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Web

Purpose – This exploratory paper aims to extend the research on customer co-creation behavior into an emerging market. To this end, it empirically examines the influence of e-service quality dimensions on customers’ willingness to participate in online co-creation experience, in conjunction with customer attitude and intention. Design/methodology/approach – Data from a sample of 215 customers from the Egyptian telecommunication sector were collected and analyzed using structural equation modeling technique. Findings – The findings suggest that, although five e-service quality dimensions (efficiency, system availability, privacy, responsiveness and compensation) affect the attitude toward the Web site, another set of the dimensions (efficiency, fulfillment, compensation and contact) affects customers’ willingness to participate in the co-creation experience. The findings also support that customers’ attitudes toward the Web site affect the intention to use the Web site, which, in turn, affects customers’ willingness to participate in the online co-creation experience. Practical implications – In their move toward mass customization, companies face the challenge of engaging a huge number of users. Deep and engaging interactions with customers could be one of the differentiators a company might cultivate to serve the market better. Thus, online co-creation activities might broaden the horizon for a cost-effective approach striving for close ties and a high level of customer engagement. Originality/value – Despite the intensive use of the Internet in distributing e-services, little attention has been paid thus far to extend e-service quality models to incorporate customer participation in the online co-creation experience. In particular, this exploratory study identifies the important dimensions of e-service quality that influences customers’ willingness to participate in the online co-creation experience.

Service quality evaluation and the mediating role of perceived value and customer satisfaction in customer loyalty

2018 ◽  
Vol 4 (2) ◽  
pp. 220-244 ◽  
Author(s):  
Yousef Keshavarz ◽  
Dariyoush Jamshidi
Keyword(s):  
Service Quality ◽  
Structural Equation ◽  
Perceived Value ◽  
Process Quality ◽  
Equation Modeling ◽  
Outcome Quality ◽  
Kuala Lumpur ◽  
Content Type ◽  
Mediating Role ◽  
Tourist Satisfaction

Purpose Loyalty has become the most important strategic aim in the hotel industry. The purpose of this paper is to obtain an empirical understanding of loyalty in the Kuala Lumpur hotel sector. Design/methodology/approach The dimensions of service quality as perceived by hotel customers were identified through the literature review. Hypotheses were formulated and tested to: examine the effects of process quality and outcome quality on perceived value, tourist satisfaction, and tourist loyalty; and to determine if perceived value and tourist satisfaction play a mediating role in the effect of process quality and outcome quality on tourist loyalty. In this study, the sample was 417 respondents from the international tourists who stay at least one night in four- or five stars hotels in Kuala Lumpur. Collected data were analyzed by structural equation modeling. Findings The statistical findings supported a relationship between process quality and outcome quality with perceived value and tourist satisfaction, and tourist loyalty with perceived value and tourist satisfaction. The results also indicated that process quality and outcome quality did not have a direct effect on tourist loyalty. Perceived value and tourist satisfaction mediated the relationship between process quality and outcome quality with tourist loyalty. Originality/value The finding of this study proposed that the hoteliers targeting international tourists with service quality including process and outcome quality should focus more on these factors to build loyalty. For instance, the tangible, responsiveness, reliability, empathy, assurance, and convenience as the dimensions of process quality and valence, waiting time, and sociability as the dimensions of outcome quality should meet the needs of the international tourists, therefore increasing tourist loyalty through perceived value and tourist satisfaction.

The impact of perceived online service quality on swift guanxi

2018 ◽  
Vol 28 (2) ◽  
pp. 432-455 ◽  
Author(s):  
Si Shi ◽  
Ren Mu ◽  
Lin Lin ◽  
Yang Chen ◽  
Gang Kou ◽  
...  
Keyword(s):  
Gender Differences ◽  
Service Quality ◽  
Customer Service ◽  
Perceived Control ◽  
Three Dimensions ◽  
Equation Modeling ◽  
Repurchase Intention ◽  
Online Service ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to investigate the impact of online service quality on swift guanxi that influences customer repurchase intention and the moderating role of gender in the relationship between online service quality and swift guanxi. Design/methodology/approach Based on survey data obtained from 274 college students, structural equation modeling was used to test the research hypotheses. Findings The results show that the dimensions of online service quality (i.e. perceived control, convenience and customer service) are positively related to buyer-seller swift guanxi, which influences repurchase intention. Additionally, men are driven mainly by perceived control and service convenience when establishing swift guanxi, whereas women care more about customer service. Originality/value Online service quality is the key factor underlying customer repurchase intention. In addition, gender differences exist in many aspects of online shopping including information processing, perceived service, and perceived risk. This is one of the first empirical studies that empirically examine the effects of three dimensions of online service quality on swift guanxi and take gender differences into consideration. Based on the conceptual and empirical evidence, this study provides the practical and theoretical implications of these findings.

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