Exploring Relationship between Service Quality and Positive Word of Mouth at Retail Banks in Rural India

Author(s):  
Mohd Adil ◽  
Mohammed Naved Khan

One of the major concerns of management in today’s competitive business world,is to deliver superior customer service leading to satisfaction, loyalty, and positive word of mouth (+WOM). This study explores perceived service quality and identifies most significant predictors of +WOM at rural banks. Taking a cue from extant service quality literature, five dimensional performance-only SERVPERF scale was developed in English and later translated into vernacular Hindi employing back translation method. Structured research instrument was administered on 480 customers, who were contacted at the premises of designated rural branches of public sector banks located in the most populous province of Uttar Pradesh in India. To extract relevant factors, statistical tools such as Exploratory Factor Analysis (EFA), t-Test, and linear regression were employed. Reliability, predictive validity, and dimensionality of the scale has also been explored. To detect multi-collinearity and data structure, Variance Inflation Factor (VIF) and box-plot technique have been used. Study reports high levels of perceived service quality across all five dimensions while results of regression analysis show that reliability and empathy are potent contributors in explaining +WOM. Original 22-item SERVPERF scale was not found to be universally applicable and thus the study proposes a refined and shorter 13-item SERVPERF scale for assessing service quality at rural banks in India. Findings can be of vital importance to banking industry in re-structuring and prioritizing service quality dimensions and also developing appropriate promotional strategies by highlighting relevant aspects of service quality for generating desired +WOM.

2020 ◽  
Vol 14 (2) ◽  
pp. 146-154
Author(s):  
Prita Patricia ◽  
Luvian Krisantono ◽  
Stephen Junadi Darmawan ◽  
Sutrisno Salim

The aim of this research is to analyze and to understand the relation between service quality, perceived service fairness, convenient and product portfolio to customer service satisfaction. The research is also done to find out the effect of customer service satisfaction, trust, and word of mouth specifically in the car wash industry. The data is collected by using questionnaires as the survey method which analysed using Multiple Regression Analysis. The survey result shows that there are influence service quality, which are assurance, product portfolio, convenience, perceived service fairness, and reliability. The five dimensions also show the positive relation with customer service satisfaction, so does customer service satisfaction and trust to word of mouth. Based on the result of this research, gaining positive customer satisfaction and word of mouth in the car wash industry imply the need in focusing on improving service in matters concerning assurance product portfolio and convenience. This research shows that the assurance dimension has the most significant influence on customer satisfaction and the trust dimension has the most significant impact on word of mouth in the car wash industry in DKI Jakarta.


2021 ◽  
Vol 14 (2) ◽  
pp. 300
Author(s):  
Sri Vandayuli Rirorini ◽  
Genesis Sembirng Depari

<p>This research, which was conducted in the era of the COVID-19 pandemic, aims to analyze the influence of the dimensions of service quality, competitive prices, customer satisfaction toward the positive word-of-mouth of Supermarket customers. Questionnaires were distributed to 350 respondents as samples using the <em>non-probability sampling method</em> and <em>purposive sampling technique</em>. Meanwhile, Structural Equation Modeling (SEM) is used to analyze the data. The results of the study indicate that <em>Reliability, Assurance, Tangibles, Empathy, Responsiveness, Competitive Price</em> have positive and significant effects on<em>Customer Satisfaction</em>, which in turn would have a positive impact on positive word-of-mouth. Of all dimensions of service quality, the most powerful factor influencing consumer satisfaction shopping in supermarkets is reliability, and the one that gives consumers the most important feeling in providing quality services is Responsiveness. For further research, it is recommended to expand the scope of research in various types of businesses, not only in supermarkets.</p>


Author(s):  
Haliza Mohd Said ◽  
Ahmad Faizal Md Sukarno ◽  
Zaid Abdul Razak ◽  
Siti Bayaah Ahmad ◽  
Safiah Rashid

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lova Rajaobelina ◽  
Sandrine Prom Tep ◽  
Manon Arcand ◽  
Line Ricard

Purpose This study aims to examine the relationships between brand attachment, mobile service quality (MSQ), and positive word-of-mouth (WOM) for mobile banking applications (m-banking apps). Design/methodology/approach An online survey was conducted among 759 Canadian consumers who had used m-banking apps in the previous six months. To test the research hypotheses, a causal model using structural equation modeling was developed. Findings The results reveal that, in the m-banking context, brand attachment is associated with three MSQ dimensions – value-added features, security/privacy and interactivity – and positive WOM, with the usability dimension replacing interactivity in this case. Brand attachment is also associated with positive WOM. Practical implications To promote WOM, mobile banking managers should foster brand attachment and improve MSQ, mainly in terms of value-added features. Originality/value This is the first study to examine the relationships between brand attachment, mobile service quality and WOM in the context of m-banking apps. It also highlights the prominent role of value-added features available on m-banking apps to persuade customers.


2020 ◽  
Vol 9 (5) ◽  
pp. 2024
Author(s):  
Ni Putu Dema Punkyanti ◽  
Ni Ketut Seminari

This study aims to determine the effesct of service quality, and brand image on positive word of mouth through customer satisfaction as a mediating variable. This research was conducted on Samsung Smartphone Consumers in Denpasar City, using Non-Probability Sampling techniques, as many as 100 respondents. Data collection was obtained from the distribution of questionnaires. Data analysis techniques used are path analysis and multiple test. The results showed that service quality had a positive and significant effect on positive word of mouth, brand image had a positive and significant effect on positive word of mouth, service quality had a positive and significant effect on customer satisfaction, brand image had a positive and significant effect on customer satisfaction, customer satisfaction positive and significant effect on positive word of mouth, the role of customer satisfaction mediates positively and significantly the relationship of service quality to positive word of mouth, and the role of consumer satisfaction positively and significantly relationship brand image to positive word of mouth. Keywords: brand image, customer satisfaction, service quality, positive word of mouth


2004 ◽  
Vol 22 (2) ◽  
pp. 144-157 ◽  
Author(s):  
Ugur Yavas ◽  
Martin Benkenstein ◽  
Uwe Stuhldreier

This study examines the nature of relationships between service quality, background characteristics, and satisfaction and selected behavioral outcomes by using retail banking in Germany as its setting. Study results show that service quality is at the root of customer satisfaction and is linked to such behavioral outcomes as word of mouth, complaint, recommending and switching. However, different aspects of service quality and different consumer characteristics seem to be associated with different outcomes. For instance, the results suggest that tangible elements of service quality and being a female are more closely associated with positive word of mouth and commitment. On the other hand, “timeliness” aspects of service delivery are more closely related to customer satisfaction, and complaint and switching behaviors. Implications of these results to induce greater customer satisfaction, to attain higher levels of favorable outcomes and/or to alleviate negative outcomes are discussed.


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