The mediating role of customer satisfaction and its effect on service quality-customer loyalty link

Author(s):  
Mohd Adil ◽  
Mohd Sadiq
2021 ◽  
Vol 7 (1) ◽  
pp. 143-154
Author(s):  
Danish Ali ◽  
Mohammad Alam ◽  
Hazrat Bilal

The purpose of this research is to examine the influence of service quality (SQ), Price (P) and Restaurant Environment (RE) on customer loyalty (LOY), via the mediating role of customer satisfaction (SAT) in the context of the restaurant industry in the capital city of Pakistan (Islamabad). Five hundred questionnaires were distributed at various restaurants in a different location at Islamabad, and 385 were returned. Multiple Regression Analysis was used to test hypothesis relationships. The outcome of this research shows that SQ, Pand RE have a positive association with the SAT. In contrast, customer satisfaction also leads to customer loyalty. Moreover, customer satisfaction significantly mediates the association among SQ, P, RE, and customer loyalty. The restaurant operators need to consider that good quality of service, fairness in price, pleasant and attractive restaurant the environment can increase customer satisfaction, which often contributes to customer loyalty.


2020 ◽  
Vol 32 (3) ◽  
pp. 543-558 ◽  
Author(s):  
Neale J. Slack ◽  
Gurmeet Singh

PurposeThe purpose of this study is to determine the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.Design/methodology/approachIn total, 480 supermarket customers participated in an intercept survey in four urban centres of Fiji. Descriptive statistics were used to determine the level of service quality provided by supermarkets, and inferential statistics to determine the gap between customer's service quality expectations and perceptions and to test the research hypotheses.FindingsThe findings indicate service quality of supermarkets is perceived as being unsatisfactory, service quality significantly affects customer satisfaction and loyalty and customer satisfaction partially mediates the relationship between service quality and customer loyalty reducing customer's perceptions of service quality, leading to lower customer loyalty.Practical implicationsThis study provides an indication as to where supermarkets should target their marketing attention and scarce corporate resources and may help in their efforts to service, satisfy, retain and attract more long-term loyal customers in the increasingly competitive supermarket sector. This research could inform government policy makers in sequencing the supermarket sector transformation and assist local supermarkets to adapt to this changing retail landscape.Originality/valueThis study advances our understanding of the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.


2019 ◽  
Vol 11 (8) ◽  
pp. 2408 ◽  
Author(s):  
Noor Ul Hadi ◽  
Nadia Aslam ◽  
Amir Gulzar

Generally, the current scenario in the hyperactive corporate world, and specifically in the telecom sector, renders companies to compete concurrently on two fronts: Expansion of their customer base and the retention of their current customers. In order to explore and examine the latter concept, the current study hypothesizes the effects of sustainable service quality on customer loyalty with a mediating role of customer satisfaction conceptualized through the reciprocity theory. The study also considers the suggested moderating role of switching cost by theorizing the Apostle model. Pertinently, the satisfied customer may not be loyal if the switching cost is low, since the dynamics of the switching cost provide a useful insight into the phenomenon of retaining the customers through customer satisfaction. The research opts for explanatory study where data were conveniently collected. The study has used the PROCESS macro model 4 and 14 to analyze the data. Findings reveal that the role of customer satisfaction is significant but the effect of the switching cost was considered to be insignificant, elucidating that a satisfied customer will remain loyal even if the switching cost is low. It means that sustaining service quality longitudinally did not affect customer loyalty in the presence of a low switching cost. With a view to complement the study, managerial implications of a switching cost have also been discussed.


Author(s):  
Sagir Muhammad Sulaiman ◽  
Muhammad Abdulaziz Muhammad ◽  
Aliyu Dahiru Muhammad ◽  
Tasiu Tijjani Sabiu

The world has become a global village as competition among banks is now intense. Globalization is fuelling increased competition in Nigerian banking industry and as a result, banks are challenged to adopt customer centred strategies that would enable them to gain customer loyalty, maximize profitability and survive the competition. There is no business that survives without customers’ patronage and Islamic banks are not an exception. Customers are key stakeholders to the survival of any business, thus, satisfying the customer through providing high quality services is core to Islamic banking business. The aim of the study is to examine the mediating role of customer satisfaction in investigating the relationship between service quality and customer loyalty in non-interest bank i.e. Jaiz Bank of Kano state metropolis, Nigeria. The variance based (SEM) technique is employed in analyzing the hypothesized model of the study. Service quality positively and significantly influences customer satisfaction and customer loyalty, whereas, customer satisfaction does not significantly mediate the relationship between service quality and customer loyalty among customers of Jaiz bank in Kano state metropolis, Nigeria. The study recommends for providing high quality service in order to achieved maximum loyalty from the customers. It was further recommended on the need for reviving of the existing regulatory bodies or institutions that will ensure proper implementation of good service quality delivery among non-interest banks in Nigeria.


Author(s):  
Anak Agung Ayu Ratna Maheswari ◽  
Ni Made Asti Aksari

The amount of activities that requires airline services demands airline companies to provide good quality services to create satisfied and loyal consumers. The purpose of this study is to explain the effect of service quality on customer satisfaction and customer loyalty, the effect of customer satisfaction on customer loyalty, and to explain the mediating role of customer satisfaction in the effect of service quality on customer loyalty of AirAsia airline. Through purposive sampling method, this study uses a sample of 130 AirAsia customers at Ngurah Rai International Airport and Denpasar City, data was collected using questionnaire with a five-point Likert scale to measure 13 indicators, and analysed using path analysis. The result shows that service quality have a positive effect on customer satisfaction and their loyalty on AirAsia airline, customer satisfaction have a positive effect on customer loyalty on AirAsia airline, and customer satisfaction mediates the effect of service quality towards customer loyalty on AirAsia airline. We recommend for AirAsia to pay close attention to the quality of its services by controlling its flight schedule punctuality to satisfy its customers, which in turn will become loyal customers of AirAsia airline.


2018 ◽  
Vol 2 (3) ◽  
pp. 34-38
Author(s):  
Arawati binti Agus

This study investigates the relationships between service quality determinants namely tangible, reliability, responsiveness, competency, courtesy and credibility, with customer satisfaction and loyalty in the context of Malaysian hypermarkets. The paper also investigates the mediating role of customer satisfaction and also determines whether location (from the strategic perspective) plays a significant moderating role in the customer satisfaction-customer loyalty linkage. The findings suggest that service quality has significant relationships with  customer satisfaction and customer loyalty measures. The result indicates that three service quality determinants specifically tangibles, courtesy and credibility demonstrate high associations with customer satisfaction and customer loyalty. The result suggests that customer satisfaction has significant mediating role in the relationship between service quality and customer loyalty. In addition, location moderates the linkage between customer satisfaction and customer loyalty in both directions. The findings suggest that a more strategic location of a hypermarket can strengthen the relationship between customer satisfaction and customer loyalty.


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