scholarly journals FACTORS AFFECTING CUSTOMER LOYALTY FOR MOBILE SERVICE PROVIDERS

2020 ◽  
Vol 12 (0) ◽  
pp. 1-10
Author(s):  
Miglė Vyšedvorskytė ◽  
Neringa Vilkaitė-Vaitonė

Intense competition in the mobile services market encourages these service providers to take measures to create, maintain and enhance consumer loyalty. In such a concentrated market, it becomes important for service providers to identify and enhance the factors determining customer loyalty and their expression, whereas maintaining existing users requires significantly less effort and financial, human and time resources than attracting new ones. This article deals with a case study of Lithuania’s mobile operators: UAB “Bitė Lietuva”, UAB “Tele2”, UAB “Telia” in the context of consumer loyalty. The paper raises the question of what factors influence mobile phone user loyalty and how these factors can be evaluated. The article presents theoretical analysis of factors determining consumer loyalty in the service sector. An expert evaluation and multi-criteria study reveals which loyalty factors have the strongest influence on customers of mobile operators when choosing a particular service provider in Lithuania. The relevance of this article has potential for a practical study of consumer loyalty factors in the future. In the future, the research may be continued on a larger scale, involving more companies in the telecommunications sector, choosing research methods that are suitable for a broader sample of research and formulating consumer loyalty enhancement solutions applicable exclusively to organizations in the industry.

2018 ◽  
Vol 30 (5) ◽  
pp. 444-457 ◽  
Author(s):  
Marco Ieva ◽  
Cristina Ziliani

Purpose The explosion in the number of touchpoints is putting pressure on companies to design omnichannel customer experiences aimed at achieving long-term customer loyalty. The purpose of this paper is to examine the relative importance of 24 touchpoints in contributing to customer loyalty intentions. Design/methodology/approach Data were collected by means of a survey on almost 6,000 subjects belonging to the Nielsen consumer panel. Two ordinary least squares regression models with clustered standard errors estimate the relationship between touchpoint exposure – measured in terms of reach, frequency and positivity – and customer loyalty intentions in the mobile service sector. Findings Reach has a significant relationship with customer loyalty intentions as far as eight touchpoints are concerned. Positivity, when controlling for frequency of exposure, is related to customer loyalty intentions as far as nine touchpoints are concerned. Practical implications Results provide guidance for mobile service providers on customer experience management strategies and specifically on touchpoint prioritization, adaptation, monitoring and design. Originality/value This study addresses two relevant research gaps. First, most studies focus on single or a few touchpoints without considering the variety of touchpoints within the customer journey (Lemon and Verhoef, 2016). Second, no studies focus on the relative contribution of touchpoints to customer loyalty intentions (Homburg et al., 2017).


2016 ◽  
Vol 11 (3) ◽  
pp. 347-361 ◽  
Author(s):  
Ingy Shafei ◽  
Hazem Tabaa

Purpose This research works toward identifying the service quality constructs for the telecommunication industry, the extent they affect customer satisfaction, the perceived switching costs and their significance to the customer. The purpose of this paper is to examine the effect of customer satisfaction and switching barriers on customer loyalty as well as the mediating effect of the switching barriers on the customer satisfaction and loyalty link. Design/methodology/approach An empirical causal framework was developed and tested through qualitative and quantitative phases. In-depth interviews were performed with consumers and experts in the field as well a survey with consumers. The results were analyzed using Cronbach’s α, Pearson’s correlation and regression analysis techniques. Findings The results of the research showed that network quality, customer support and pricing structure are the main service quality constructs that affects the customer satisfaction, showing how the customer is more interested in the core services other than other benefits and value-added services. Originality/value The research presents a comprehensive framework enabling mobile service providers to understand the factors affecting consumer loyalty. In terms of practical implication; the telecommunications sector is changing radically and as the market is approaching its maturity, customer retention has become a critical issue in the success of the mobile telecommunications business. The findings of the research can aid practitioners in firms in focussing their efforts on areas that can build consumer loyalty and retention.


Author(s):  
Pham Thi Thanh Hong ◽  
Tran Van Hai

This study explores the factors influencing the quality of telecommunication services in Hanoi and Ho Chi Minh City. By conducting an online survey of 413 office workers, the results indicate that among the five components of the perceived quality of telecommunications services, reliability, assurance, and empathy are Key factors affecting consumer satisfaction in Hanoi and Ho Chi Minh City. The findings of this research help mobile service providers to understand how consumers perceive the quality of mobile services. Thus, mobile service providers would effectively design marketing strategy to improve customer loyalty as well as enter new markets. Keywords: Mobile service, service quality, online survey, empirical study, Vietnam. References [1] Boohene, R., & Agyapong, G., “Analysis of the antecedents of customer loyalty of telecommunication industry in Ghana: The case of Vodafone (Ghana)”, International Business Research, 4 (2011) 1, 229-240.[2] Leelakulthanit, O., & Hongcharu, B., “Factors that impact customers satisfaction: Evidence from the Thailand mobile cellular network industry”, International Journal of Management and Marketing Research, 4 (2011) 2, 67-76.[3] Eugenia Y. Huang, Sheng-Wei Lin, Ya-Chu Fan, “M-S-Qual: Mobile service quality measurement”, Electronic Commerce Research and Applications, 14 (2015), 126-142, http://dx.doi.org/10.2016/j.elerap.2015.01.003[4] Omotayo, O., & Abiodun, A., “Service quality, value offer, satisfaction, and loyalty: An empirical relationship in the Nigerian telecom industry”, Contemporary Management Research, 5 (2011) 2, 14-23.[5] Lee, Roy Chun, “Telecommunications in Vietnam”, Chung-Hua Institution for Economic Research (CIER). Chinese Taipei WTO Center, C.20 (2011), p.1.[6] Agarwal, S., M. Erramilli, et al., “Market orientation and performance in service firms: role of innovation”, Journal of Services Marketing 17 (2003) 1, 68-82.[7] Agyapong, G., “The effect of service quality on customer satisfaction in the utility industry: A case of Vodafone (Ghana)”, International Journal of Business and Management, 6 (2011) 5, 203-210. http://dx.doi.org/10.5539/ijbm.v6n5p203[8] Yee, R. W. Y., Yeung, A. C. L. & Cheng, T. C. E., “An empirical study of employee loyalty, service quality and firm performance in the service industry”, International Journal of Production Economics, 124 (2010) 1, 109-120. http://dx.doi.org/10.1016/j.ijpe.2009.10.015[9] Le The Gioi and Nguyen Minh Duan, “Improving the competitiveness of VMS-MOBIFONE on mobile communication market”, Journal of Science and Technology, University of Da Nang, 2 (2007) 19, 68-72.[10] Dinh Thi Hong Thuy, “Research the factors affecting on the decision for mobile telecommunications of students in Ho Chi Minh City”, Master Thesis, (2008).[11] Le Thi Tuyet Trinh, “Research the customer satisfaction in using Vinaphone mobile service in Binh Dinh province”, Master Thesis, 2012.[12] Bui Van Trinh and Luu Ngoc Mai Anh, “Research the customer satisfaction in using Viettel mobile service in Hai Giang province”, Master Thesis, 2013.[13] Pizam, A., Ellis, T., “Customer satisfaction and its measurement in hospitality enterprises”, International Journal of Contemporary Hospitality Management 11 (1999) 7, p. 326-339, http://dx.doi.org/10.1108/09596119910293231[14] A. Parasuraman, Valarie A. Zeithaml, Leonard L. Berry, “A Conceptual Model of Service Quality and Its Implications for Future Research”, The Journal of Marketing, Vol. 49, No. 4 (1985), pp. 41-50[15] Cronin Jr, J. J., & Taylor, S. A. “SERVPERF versus SERVQUAL: reconciling performance-based and perceptions-minus-expectations measurement of service quality”. The Journal of Marketing, 58 (1994). 125-131.[16] Aydin, S. and G. Ozer, “National Customer Satisfaction Indices: An Implementation in the Turkish Mobile Telephone Market”, Marketing Intelligence and Planning, 23 (2005) 5, 486-504.[17] Mishra, R.C and Sandilya, A., Reliability and Quality Management, New Age International Publishers, 2009.[18] Torsten J. Gerpott, Ilknur Bicak, “Telecommunication service choice and use among migrants: The case of German-Turkish consumers”, Computers in Human Behavior, 6 (2016), 584-596, http://dx.doi.org/10.2016/j.chb.2016.03.018[19] Uddin, M. B., Akhter, B., “Customer satisfaction in mobile phone services in Bangladesh: A survey research”, Management & Marketing X (1) (2012), 20-36.


2006 ◽  
Vol 45 (4II) ◽  
pp. 797-817
Author(s):  
Toseef Azid ◽  
Naeem Khaliq ◽  
Muhammad Jamil

Development of overall economy of any country largely depends upon the characteristics of different prominent sectors such as agriculture, industry, services, etc. Sharp structural change in prominent sectors are experienced by the Pakistan’s economy during the last four decades, in which industrial and service sector have exhibited an extra ordinary rate of growth, while the agricultural sector did not shown that rate of growth which was experienced during the time of green revolution. Due to these structural changes in the prominent sectors volatility of growth rate has been experienced by the economy. To the extent that most of the recent volatility in growth rate of GDP can be attributed to the increasing share of the some volatility of the some prominent sectors, the analysis of their volatility can be useful in providing some enlightenment on the factors behind this phenomenon and its implications for the formulation of the policy in the future.


Author(s):  
S. Sakthivel Rani ◽  
S. Kannan

Objective - The world is moving towards continuous and ubiquitous availability of information. Entry of private operators in 1990's, competition has caused prices to drop and calls across India are one of the cheapest in the world. Technological advances combined with forces of globalization resulted in the transformation of the economy, industries, markets and customers resulting in a connected knowledge economy, borderless global economy, globalizing, covering and consolidating industries, fragmenting and frictionless markets and active, connected, informed and demanding customers. The objective of this research is to ascertain the constructs like customer satisfaction towards the mobile phone service providers, switching barrier and the customer loyalty factors. Methodology/Technique - Respondents in the study are the customers who use mobile phones. Primary data were collected with the help of the specially designed questionnaire, which was administered to the mobile users. The final questionnaire was pre-tested on 40 respondents and the coefficient values are all above .8 thus meeting Nunnaly's recommendation of greater than 0.7 as the acceptable reliability level. The overall alpha value was 0.8 and the instrument consists of customer satisfaction regarding the mobile service providers, which includes factors like price (5 items, 0.816), network coverage (4 items, 0.795), customer service (5 items, 0.852) and usage (8 items, 0.884). Switching barriers factors consists of 28 items like credibility factors (8 items, 0.863), congruency factors (7 items, 0.816), switching cast (8 items, 0.871), and value (5 items, 0.900). Final part of the instrument includes 17 customer loyalty factors like trust (7 items, 0.858), commitment (4 items, 0.848), word of mouth (3 items, 0.779) and cooperation (3 items, 0.691). Findings - Gender, location of the customers and service providers has a significant association with level of customer satisfaction. Gender and occupation have a significant association with level of customer switching barriers. Hierarchical regression analysis was used to analyze the main effect and the adjustment effect of those switching barrier factors and the relative effect. The contribution is that this study reviews theoretically and verifies empirically the relationship and mechanism between the customer retention and the switching barrier. Type of Paper - Empirical Keywords: Customer satisfaction factors; switching barrier factors; Customer loyalty factors.


Author(s):  
Hafiz Muhammad Wasif Rasheed ◽  
Muhammad Khalid Anser

Brands are the key to sales increase in consumer markets. They make a relationship between the consumers and the company. Brand loyalty is a consumer’s preference to purchase a particular product or service at first or repeatedly in a competitive market. The general purpose of this study is to investigate the factors leading to brand loyalty in service sector. Specifically, we are concerned to observe the factors affecting brand loyalty in mobile phone purchasing in Bahawalpur, Pakistan. The sample size of 150 is taken through convenient sampling method. The survey method is used to collect the data from the respondents through self-administered questionnaire. The regression analysis approved the significant positive relationship of the proposed factors with brand loyalty. 


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