Assessing the effects of satisfaction and value on customer loyalty behaviors in service environments

2014 ◽  
Vol 37 (8) ◽  
pp. 706-727 ◽  
Author(s):  
Emre Sahin Dölarslan
Keyword(s):  
Customer Satisfaction ◽  
Customer Loyalty ◽  
Perceived Value ◽  
Personal Characteristics ◽  
Important Predictor ◽  
Equation Modeling ◽  
Content Type ◽  
Moderating Variables ◽  
Service Value ◽  
Main Effects

Purpose – The primary purpose of this paper is to determine the relative effects of perceived value and customer satisfaction on customer loyalty behaviors. The secondary aim focuses on addressing whether such personal characteristics as gender, age and levels of income and education exert any moderating influence over perceived value/customer satisfaction such that loyalty behaviors, including repurchase intention (RPI), word-of-mouth (WOM) marketing and willingness to pay more (WPM), are ultimately affected. Design/methodology/approach – The research technique used a face-to-face questionnaire for collecting data from passengers who use the State Railways of the Turkish Republic. A total of 780 questionnaires were collected and used in this study after excluding 80 incomplete forms. First, the main effects of perceived value/customer satisfaction on customer loyalty behaviors were tested using structural equation modeling. Next, customers' personal characteristics, considered as moderating variables, including age, gender and levels of income and education, were examined to determine if their impact on perceived value/customer satisfaction would, in turn, have any effect on loyalty behaviors. To do this, a multigroup moderation test was used. Findings – The empirical findings of this study show that both customer satisfaction and perceived value directly influence the loyalty behaviors of Turkish railway passengers. However, customer satisfaction was found to be a more important predictor of RPI than perceived service value. However, the relationship between perceived service value and WPM was strong. The association between customer satisfaction and loyalty behaviors was stronger for females, youths and those customers at the lower range of income and education. On the other hand, the association between perceived value and loyalty behaviors was stronger for older passengers with more education and income, irrespective of gender. Originality/value – The first goal was to assess the main effects of perceived value/customer satisfaction on customer loyalty behaviors. It was found that perceived value/customer satisfaction affected loyalty behaviors, including RPI, WOM and WPM, in different ways. For instance, while customer satisfaction was suggested to be an important predictor of RPI, perceived value was an important predictor of WPM. Importantly, this study also examines how customers' personal characteristics, i.e. moderating variables in this study, impact perceived value/customer satisfaction such that loyalty behaviors are demonstrably changed. Thus, with this additional knowledge of customers' personal characteristics in the context of loyalty behaviors, marketers can create new strategies to develop long-term brand loyalty.

The effect of experience quality on customer perceived value and customer satisfaction and its impact on customer loyalty

2020 ◽  
Vol 32 (6) ◽  
pp. 1525-1540
Author(s):  
Andriani Kusumawati ◽  
Karisma Sri Rahayu
Keyword(s):  
Customer Satisfaction ◽  
Customer Loyalty ◽  
Structural Equation ◽  
Perceived Value ◽  
Statistical Technique ◽  
Equation Modeling ◽  
Content Type ◽  
Customer Perceived Value ◽  
Perceived Values ◽  
The Relationship

PurposeTo test the effect of experience quality on customer perceived value and customer satisfaction and its impact on customer loyalty to the visitors of natural nuanced outdoor cafés in the hilly areas of Joyo Agung, Malang.Design/methodology/approachThis study uses four variables, namely experience quality, customer perceived value, customer satisfaction, and customer loyalty. The population used in this research was all customers or visitors who buy and enjoy the products and services provided by the natural outdoor cafés in Malang. This study used structural equation modeling (SEM) as inferential statistical technique.Findings1) Quality experience has a significant effect on customer perceived value, customer satisfaction, and customer loyalty; 2) customer perceived value has a significant effect on customer satisfaction and customer loyalty; and 3) customer satisfaction has a significant effect on customer loyalty.Originality/valueBased on the results of previous research and the phenomenon that has been described previously, the research gaps found in this study are: (1) the relationship between experience quality and customers’ perceived values. (2) There are differences in the relationship between experience quality and customer satisfaction found in the research, which examines the effect of experience quality on customer loyalty. (3) Experience quality and customer loyalty variables still differ in the research concerning the effect of experience quality on customer loyalty. (4) The influence of customer satisfaction and customer loyalty is still different in the research results regarding the effect of customer satisfaction on customer loyalty.

Mobile communications: a comprehensive hierarchical modelling approach

2014 ◽  
Vol 26 (1) ◽  
pp. 114-146 ◽  
Author(s):  
Michael Daniel Clemes ◽  
Xin Shu ◽  
Christopher Gan
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Loyalty ◽  
Mobile Communications ◽  
Switching Costs ◽  
Important Determinant ◽  
Perceived Value ◽  
Corporate Image ◽  
Content Type ◽  
Customer Perceived Value

Purpose – Global mobile communication is one of the most dynamic and important service markets. Several researchers suggest using a theoretical approach to develop a much deeper insight into key marketing constructs such as service quality, customer perceived value, customer satisfaction, perceived switching costs, corporate image, and customer loyalty is of vital importance to the mobile communications market. This study aims to develop and test a comprehensive hierarchical model of these six important constructs. The model also incorporates the retailing function of a major mobile communication provider. Design/methodology/approach – The research sample of 516 was drawn from customers of one of the largest mobile communications service providers in China. The data were analysed using exploratory factor analysis, confirmatory factor analysis and structural equation modelling. Findings – The results of the study support using a hierarchical and multidimensional approach for conceptualising and measuring customers' perceptions of service quality in the mobile communications market. In addition, the findings illustrate that service quality is an important determinant of customer perceived value, customer satisfaction, corporate image, and perceived switching costs. Customer perceived value is also an antecedent of customer satisfaction. Corporate image, customer satisfaction, and perceived switching costs are three key drivers of customer loyalty. However, the findings also indicate that corporate image is not an important determinant of customer satisfaction and that customer perceived value is not a key driver of customer loyalty. Originality/value – This is the first paper that has developed and tested a comprehensive hierarchical model of the mobile communications market.

The influence of e-customer satisfaction, e-trust and perceived value on consumer's repurchase intention in B2C e-commerce segment

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Miao Miao ◽  
Tariq Jalees ◽  
Syed Imran Zaman ◽  
Sherbaz Khan ◽  
Noor-ul-Ain Hanif ◽  
...  
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Perceived Value ◽  
Partial Least Square ◽  
Least Square ◽  
Mediation Effect ◽  
Equation Modeling ◽  
Repurchase Intention ◽  
Content Type ◽  
Online Experience

PurposeThis research study investigates the factors that influence e-customer satisfaction, e-trust, perceived value and consumers repurchase intention in the context of the B2C e-commerce segment. It investigates the mediation effect of e-customer satisfaction, e-trust and perceived value on repurchase intention. It also examines the moderating role of prior online experience.Design/methodology/approachBased on the adapted questionnaire, pre-recruited enumerators collected the data from five leading business universities of Karachi. They distributed 425 questionnaires and received 415 questionnaires. The study has used Partial Least Square-Structure Equation Modeling (PLS-SEM) technique for data analysis.FindingsWe have tested 20 hypotheses, of which our results do not support five, including two direct, two mediating. Our results support all the direct hypotheses except the following two: (1) delivery service affects e-satisfaction (2) customer services quality effect on trust. We did not find support for the following two mediating hypotheses (1) e-satisfaction mediates delivery services and repurchase intention, (2) service quality mediates customers' service quality and repurchase intention. Our results do not support one moderating relationship. Prior online experience moderates e-perceived value and repurchase intention.Research limitations/implicationsThis research provides valuable information to the online retailers of B2C e-commerce, which can help them make strategies based on their consumers' behavior and encourage them to make repeat purchases from online retailing stores. It allows future researchers to replicate the model in cross-cultural studies in different product categories.Originality/valueWe have examined the moderating effect of prior online experience between (e-satisfaction, e-trust and perceived value) on the repurchase intention.

scholarly journals Service quality, religiosity, customer satisfaction, customer engagement and Islamic bank’s customer loyalty

2019 ◽  
Vol 11 (6) ◽  
pp. 1691-1705 ◽  
Author(s):  
Abror Abror ◽  
Dina Patrisia ◽  
Yunita Engriani ◽  
Susi Evanita ◽  
Yasri Yasri ◽  
...  
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Loyalty ◽  
Customer Engagement ◽  
Equation Modeling ◽  
Islamic Banks ◽  
Content Type ◽  
Islamic Bank ◽  
Moderating Role

Purpose The purpose of this study is to investigate the influential factors of customer loyalty to Islamic banks, namely, service quality, customer satisfaction, customer engagement and religiosity. Design/methodology/approach This study is a survey of 335 Islamic bank customers in West Sumatra, Indonesia. This research deployed purposive sampling and analyzed the data by using covariance-based structural equation modeling. Findings Service quality has a positive and significant impact on customer satisfaction. Religiosity has a significant and negative moderating impact on the service quality–customer satisfaction relationship. Service quality has no significant influence on customer loyalty. Customer satisfaction is a significant antecedent of customer engagement and loyalty. Finally, customer engagement has a significant and positive effect on customer loyalty. Research limitations/implications This study is a combination of cross-sectional and a single-country case. Accordingly, the results may not be representative of other countries. Similar studies in longitudinal data collection are conducted in other countries (e.g. ASEAN countries), which would therefore be worthwhile. Some antecedents of customer loyalty have been neglected in this study (e.g. customer value co-creation and customer commitment); hence, the future study may investigate those factors. Practical implications By considering these Islamic banks’ antecedents, the Islamic banks might enhance their customer loyalty. Also, this study has revealed the moderating role of religiosity in a loyalty relationship. Therefore, it will give insights for the Islamic bank managers in decision-making. Originality/value This study has revealed the moderating role of religiosity on the link between service quality and customer satisfaction in Islamic banks, which is, to the authors’ knowledge, neglected in the previous studies. The customers with high religiosity will have a higher standard of satisfaction and demand a better service quality than the customers with low religiosity. This study has also examined the relationships between service quality, religiosity, customer satisfaction, customer engagement and loyalty as a whole, which have been limited previously.

scholarly journals The transformational potential of Latin American retail experiences

2020 ◽  
Vol 34 (6) ◽  
pp. 769-783
Author(s):  
Pilar Gardiazabal ◽  
Constanza Bianchi ◽  
M. Abu Saleh
Keyword(s):  
Customer Satisfaction ◽  
Latin American ◽  
Customer Loyalty ◽  
Empirical Support ◽  
Well Being ◽  
Equation Modeling ◽  
Content Type ◽  
Firm Outcomes ◽  
Transformative Potential ◽  
The Impact

Purpose The purpose of this paper is to investigate if retail services have a transformative potential to improve the well-being of customers in a Latin American market. Transformative studies have been conducted mostly in developed countries, and consumer well-being in a Latin American supermarket context has not been addressed previously. Specifically, this study aims to understand if customer satisfaction with a supermarket experience in Chile leads to positive customer well-being. Additionally, it is examined if customer well-being influences firm outcomes, such as customer loyalty, word-of-mouth (WOM) communication or retailer equity. Design/methodology/approach A conceptual model was developed, and data was collected through an online survey from 866 customers of a large supermarket chain in Chile. Hypotheses were tested with structural equation modeling. Findings The findings of this study support all the hypotheses of the model and confirm that customer satisfaction has direct and indirect effects on customer loyalty and other firm outcomes through customer well-being. Research limitations/implications This research is among the few studies in the academic literature that considers retail experience and well-being outcomes for supermarket customers in a Latin American context. Limitations derive from the cross-sectional nature of this study. Practical implications There are implications from this study contributing to the literature on customer retail experience, in terms of the potential to transform supermarket shopping in a Latin American country. This is particularly relevant in Latin America as the extent to which for-profit organizations acknowledge their relevancy of the individuals’ well-being is still at its infancy. Social implications This research provides empirical support to the importance of not only looking at traditional measures such as WOM, equity and loyalty but looking into the impact services have for customers’ life and well-being. Originality/value This study contributes to the services literature and addresses a gap in it by exploring the transformative potential of supermarket shopping on customer well-being and in turn the role of customer well-being in retail firm outcomes. The findings also contribute in considering Chile, a Latin American context that has been overlooked in the transformative services studies. This provides managerial implications for domestic and global companies that offer grocery retailing for consumers in this region.

Predictors of customer loyalty in the Pakistani banking industry: a moderated-mediation study

2016 ◽  
Vol 34 (3) ◽  
pp. 411-430 ◽  
Author(s):  
Muhammad Abid Saleem ◽  
Sadaf Zahra ◽  
Rashid Ahmad ◽  
Hina Ismail
Keyword(s):  
Customer Satisfaction ◽  
Customer Loyalty ◽  
Structural Equation ◽  
Integral Model ◽  
Equation Modeling ◽  
Survey Method ◽  
Content Type ◽  
Research Framework ◽  
Mediational Role

Purpose – The purpose of this paper is to develop an original framework to explore the effects of social influence (SI), market orientation (MO) and service quality (SQ) with moderating effect of emotional intelligence (EI) on customer loyalty (CL) and to discuss the mediational role of customer satisfaction. Design/methodology/approach – This study applies six original concepts – SI, MO, SQ, EI, customer satisfaction to develop an integral model to enhance CL. In addition, this research employs an empirical study by means of the questionnaire survey method to verify the hypotheses and to explore its managerial implications. Structural equation modeling has been applied to verify the research framework. Findings – The empirical results show that MO, SI and SQ significantly affect CL with presence of customer satisfaction as a mediator. Furthermore, this study demonstrates that the direct relationships between MO and SI on CL are not supported. However indirect paths present full mediation except in case of SQ where mediation was partial. Moreover, EI was found to enhance the partially mediated relationship between SQ and CL with mediational role customer satisfaction. Hence, banks should invest resources to increase MO, SI and SQ to increase customer satisfaction and CL. Originality/value – This study summarizes the literature on customer satisfaction and relationship marketing into a new managerial framework of CL. It utilizes new arrangement of four construct – SI, MO, and SQ with EI – to develop an original framework to enhance CL. Although past research has highlighted the relevant issues about CL, none explores it with MO and moderating role of EI on SQ. Therefore, this paper develops the research framework of CL to fill the research gap specifically in Pakistani context.

Solo economy in Taiwan: a quality study of click-and-mortar malls

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chih-Chin Liang
Keyword(s):  
Service Quality ◽  
East Asia ◽  
Customer Loyalty ◽  
Perceived Value ◽  
Corporate Image ◽  
Asia Pacific ◽  
Equation Modeling ◽  
Managerial Implication ◽  
Content Type ◽  
The Impact

Purpose The rapid growth of the solo economy in the Asia-Pacific area indicates an economic transition. In East Asia, solitary households are growing along with low marital rates and birth rates under high economic pressure. Because of these population changes, malls must provide good quality service to meet the specific needs of solitary households and social households. The paper aims to discuss this issue. Design/methodology/approach In this study, relationships among service quality, customer satisfaction (CS), perceived value, corporate image and customer loyalty were compared between social and solitary customers of Taiwan click-and-mortar malls. The effects of five service quality dimensions on CS and customer loyalty were investigated by structural equation modeling. Findings The analytical results show that all hypothesized relationships among factors were supported with the exception of the impact of perceived value on satisfaction and the impact of the corporate image on satisfaction. Additionally, the comparison between solitary and social customers showed that service quality, corporate image and customer loyalty have strong relationships without differences between both kinds of customers. Solitary and social customers only differed in the impact of perceived value on loyalty. Practical implications The managerial implication of this study is that, to satisfy both social and solitary customers and to increase their loyalty, Click-and-mortar malls (CAM malls) should apply different service quality strategies for social and solitary customers. To satisfy both types of customers, a strategy for increasing visible cares should be applied in social customers, and a strategy for increasing the perception of reliability, assurance and visible cares should be applied in solitary customers. To enhance the loyalty of solitary customers, a CAM mall should enhance the value perceived by solitary customers, which can help CAM malls increase the loyalty of solitary customers in the solo economy. Originality/value The solo economy is a hot topic in East Asia because the issue of solo economy impacts the market. A CAM mall must evolve its business to attract solitary customers. However, no studies compared perceived quality, satisfaction, perceived value, corporate image and loyalty between solitary customers and social customers. This study is the first study investigated the business model of CAM malls.

E-service quality: a study of online shoppers in India

2014 ◽  
Vol 29 (2) ◽  
pp. 178-188 ◽  
Author(s):  
Suresh Kandulapati ◽  
Raja Shekhar Bellamkonda
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Online Survey ◽  
Service Providers ◽  
Equation Modeling ◽  
Content Type ◽  
Service Value ◽  
Online Shoppers ◽  
Online Shops ◽  
The Relationship

Purpose – The purpose of this paper is to measure the service quality of online shops using E-S-QUAL and validating the tool in an Indian context. Also, the study examines the mediating role of service value on the relationship between service quality and customer satisfaction in the context of online services. Design/methodology/approach – An online survey is conducted by administering a structured questionnaire to online shoppers in India. The dimensions of E-S-QUAL (Parasuraman et al., 2005) are adopted without revision to measure electronic service quality (e-SQ) of online shops. Structural equation modeling, reliability tests, analysis of variance (one-way), correlation and regression analysis are performed through SPSS and AMOS. Findings – The study reveals that E-S-QUAL as developed by Parasuraman et al. (2005) is valid for measuring e-SQ in the context of Indian online shopping. The study proves that there is a significant impact of perceived e-SQ on perceived service value. Further, perceived service value mediates the relationship between e-SQ and customer satisfaction. Originality/value – The study helps the online service providers/e-commerce industry to understand e-shoppers’ perception and e-SQ in India. Also, it can contribute to formulating the best e-marketing strategies by which to tap into the e-shopping market in India.

An application of European Customer Satisfaction Index (ECSI) in business to business (B2B) context

2015 ◽  
Vol 30 (1) ◽  
pp. 17-31 ◽  
Author(s):  
Mohammad Hossein Askariazad ◽  
Nazila Babakhani
Keyword(s):  
Customer Satisfaction ◽  
Customer Loyalty ◽  
Corporate Image ◽  
Equation Modeling ◽  
Content Type ◽  
Satisfaction Index ◽  
Customer Satisfaction Index ◽  
Complaint Handling ◽  
Proposed Model ◽  
Business To Business

Purpose – This paper aims to examine the most important antecedents of customer loyalty in business-to-business (B2B) context using European Customer Satisfaction Index (ECSI) model. Design/methodology/approach – A questionnaire is designed consisting of measures of customer loyalty gathered mainly from previous related studies. A survey of business customers in construction and mining equipment industry in Iran is conducted, and a total of 90 responses are obtained. The collected data are analyzed according to the structural equation modeling technique using partial least square path modeling software. Findings – The ECSI model shows sufficient explanatory power in explaining loyalty in the B2B context. Adding trust to the original model leads to a better explanation of loyalty in the proposed model. In this model, corporate image is the main route to predict loyalty, while satisfaction, complaint handling and trust also are important. Although there is no direct effect of perceived quality, perceived value and expectation on loyalty, their total impact is considerable which is mediated through satisfaction. Research limitations/implications – The research should be expanded to other B2B sectors to validate its findings in different industries. Future research can also assess the impact of moderating variables. Originality/value – Most previous customer loyalty models concern business-to-consumer (B2C) rather than the B2B context. Moreover, research examining the suitability of the ECSI model in B2B is scarce. This paper addresses these shortcomings by examining a holistic customer loyalty model which incorporates some overlooked constructs as corporate image, expectation and complaint handling from the ECSI model. The proposed model, also adds trust which is not incorporated in national indices despite its importance in predicting loyalty.

Building customer loyalty in retail banking: a serial-mediation approach

2019 ◽  
Vol 38 (2) ◽  
pp. 456-484 ◽  
Author(s):  
Pallavi R. Kamath ◽  
Yogesh P. Pai ◽  
Nandan K.P. Prabhu
Keyword(s):  
Customer Satisfaction ◽  
Brand Equity ◽  
Customer Loyalty ◽  
Family Income ◽  
Customer Experience ◽  
Retail Banking ◽  
Equation Modeling ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this paper is to advance research on the relationship between customer experience and customer loyalty by exploring the serially mediating roles of brand equity and customer satisfaction and the moderating roles of age, gender, education and family income in the retail banking industry. Design/methodology/approach A total of 500 responses of retail banking customers were used to test the model using the partial least squares structural equation modeling approach. Advanced statistical techniques, such as importance-performance map analysis and a joint application of FIMIX-PLS and PLS-POS, were used to gain new insights. Findings The study highlighted that the relationship between customer experience and loyalty is serially mediated by brand equity and customer satisfaction. Age, gender and education were found to be significant moderators in the customer experience–loyalty relationship. Age and gender were found to be significant moderators in the brand equity–loyalty relationship. Practical implications The study strongly suggests that practitioners not only focus on delivering exceptional customer experiences but also on providing leverage brand equity and satisfaction to build customer loyalty. Practitioners should focus on training their front-line employees to improve the quality of their behavior and relations with customers and thereby build customer loyalty. Originality/value To the authors’ knowledge, this is the first study to explore the mediating role of several variables sequentially and the moderating role of customer demographics in the customer experience–customer loyalty relationship.

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