scholarly journals Exploring the Impact of Airlines Service Quality on Customer Loyalty: Evidence from Taiwan

2017 ◽  
Vol 12 (5) ◽  
pp. 36 ◽  
Author(s):  
Chun-Mei Chen ◽  
Hsian-Ming Liu

The purpose of this paper tries to explore what are the key factors to influence customers to choose an airline. The research assesses the service quality, brand image, perceived value and customer loyalty on Taiwan-based airlines. The study analyzes the data by applying structure equation modeling (SEM) from valid 560 questionnaires surveyed in the airports. To validate the measurement model, this study checks scale reliability, overall model fit, and validity using the CFA technology. Moreover, the two major indicators including convergence validity and discriminate validity were employed to assess scale validity. Many prior studies had proved that brand image has a positive influence on perceived value, this study had validated that perceived value has also a positive influence on brand image. The brand image assists in the relation between service quality and loyalty, and perceived value strengthens their relationship. Furthermore, brand image and perceived value mediate the effect of service quality on customer loyalty to display a distal effect. The strategic implications for the effects of service quality lead to repurchase intention and loyalty inclination, which are contributed to both scholarly advancement of knowledge and the state of managerial practice.

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chih-Chin Liang

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.


2016 ◽  
Vol 8 (2) ◽  
pp. 55
Author(s):  
Latifa Rahma

<p>This research discusses the effects of Service Quality on Customer Satisfaction, Customer Loyalty, and Brand Image Budget hotel (Five Budget Hotel Managed by local chain hotel). The purpose of this study were 1) to analyze the effects of Service Quality on Customer Satisfaction, 2) to analyze the effects of Service Quality on Customer Loyalty, 3) to analyze the effect of Customer Satisfaction to Customer Loyalty, 4) to analyze the effects of Service Quality on the Brand Image, 5 ) to analyze the influence of the Customer Satisfaction Brand Image, 6) to analyze the effect of Customer Loyalty to Brand Image. The design of this research using primary data obtained by distributing questionnaires to 250 respondents eligible stayed at the Budget Hotel at least 1 time in last 12 months. Respondents were selected using purposive sampling method and the data were analyzed using AMOS version 22.0 and SPSS version 22.0. The proposed model was tested using Structural Equation Modeling (SEM) and analyzed using AMOS. This study shows that 1) Service Quality found to have an influence on Customer Satisfaction, 2) Service Quality found to have an influence on Customer Loyalty, 3) Customer Satisfaction is found to have an influence on Customer Loyalty, 4) Service Quality found to have an influence on brand image, 5) Customer Satisfaction is found to have an influence on Brand Image, 6) Customer Loyalty found to have an influence on the Brand Image. The results of this study concluded that there is a positive influence of the Service Quality on Brand Image through the Customer Satisfaction and Customer Loyalty. Future researches are recommended to increase the factor of First Impression, Favorable Location, Hotel Core Product and Hotel Deals. Not only on the Budget Hotel research, but also be able to develop this research in the other service company such as travel, restaurant and hospital.</p>


Author(s):  
Trinh Kim Hoa ◽  
Luu Thi Bich Ngoc

This study was aimed at investigating three factors (service quality, brand image and price perception) and assessed the degree of the impact of each factor on customer satisfaction, especially the relationship between customer satisfaction and customer loyalty in Vietnamese mobile telecom sector where there have been the existence of the fierce competition, mature market and internationally integrated economy, ultimately struggling for market share and survival. The results indicated that each factor (service quality, brand image, price perception) has a positive impact on customer satisfaction at the different level as well as a significantly positive relationship between customer satisfaction and customer loyalty in mobile telecommunication industry in Vietnam. The results of this study are consistent with the findings and evidence in the extant literature. The study provides the important feedback from customers to mobile telecom suppliers. Research findings are expected to be marketing insights for Vietnamese mobile telecom managers so that they can develop the sound marketing strategies in today’s competitive and costly market.


Author(s):  
Amriah Amir ◽  
Silvya L. Mandey ◽  
Hendra N. Tawas

The study aims to analyze the effect of Perceived Value and Brand Image on Customer Loyalty with Customer Engagement as a Mediation Variable for Indihome Customers at PT. Telkom Manado. The population of this research were Indihome customers in Manado. Sampling was carried out based on Isaac Michael's table of 267 respondents. The research data were analyzed using PLS SEM (Partial Least Square - Structural Equation Modeling) with SmartPLS 3.0 software. The results showed that Perceived Value and Brand Image had an effect on Customer Engagement but did not directly influence Customer Loyalty. Perceived Value and Brand Image affect Customer Loyalty through Customer Engagement with full mediation. Customer Engagement affects Customer Loyalty. Indihome at Telkom Manado has already good at Perceived Value and Brand Image.  However, the product still couldn't drive the loyal customers to buy any add-on services or ensure to a long time subscription. The company need to find strategies that can improve the customer engagement and customer loyalty with Indihome as a product. Keywords : Perceived Value, Brand Image, Customer Engagement, Customer Loyalty


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ali Mursid ◽  
Cedric Hsi-Jui Wu

Purpose This study aims to elucidate customer participation and value co-creation in enhancing customer loyalty in the context of Umrah travelers. First, it identifies the antecedents of Umrah travelers’ participation including service brand image, service employee performance and willingness to customize. Second, this study explores the impact of Umrah travelers’ participation in Umrah travelers’ loyalty. Finally, it explores co-creation value (hedonic, refreshment and price) and Umrah travelers’ satisfaction emerging in the relationship between Umrah travelers’ participation and Umrah travelers’ loyalty. Design/methodology/approach The survey draws its respondents from Umrah participants in Central Java Province, Indonesia, using the purposive sampling method with 459 samples. Data analysis used confirmatory factor analysis and structural equation modeling. Findings The results reveal that service brand image, service employee performance and willingness to customize significantly affect Umrah travelers’ participation. Umrah travelers’ participation has an insignificant effect on Umrah travelers’ loyalty; conversely, Umrah travelers’ participation has a significant effect on co-creation value (hedonic value, refreshment and price). Only the price of the co-creation value has a significant effect on Umrah travelers’ loyalty, while hedonic value and refreshment value do not. Finally, Umrah travelers’ participation directly affects Umrah travelers’ satisfaction, and, in turn, Umrah travelers’ satisfaction impacts Umrah travelers’ loyalty. Originality/value This study attempts to elucidate the theory of customer participation and value co-creation in the Umrah travelers setting. It identifies the factor determiner of customer participation from the professional aspects of the company, namely, service brand image, service employee performance and willingness to customize. This study explored the importance of value co-creation and customer satisfaction in enhancing customer loyalty.


2019 ◽  
Vol 11 (5) ◽  
pp. 1175-1200
Author(s):  
Mohsin Abdur Rehman ◽  
Ismah Osman ◽  
Khurram Aziz ◽  
Hannah Koh ◽  
Muhammad Awais

Purpose Marketing investigations on the concomitant variables of both service quality and relationship marketing are very scarce. Hence, the purpose of this study is to examine the customers’ perception of the Takaful (Islamic insurance) in relation to service quality and relationship marketing. More importantly, the examination of the impact of both service quality and relationship marketing on corporate image is further established. Accordingly, corporate reputation and customer loyalty were further evaluated, along with these respective interactions. Design/methodology/approach A self-administered survey was conducted from 350 Malaysian customers of Takaful products and services. The purposive sampling was used to collect data from the existing customers of Takaful service operators in the Klang Valley, an area in Malaysia. The questionnaire was constructed through measures of PAKSERV for service quality, as well as other measures related to relationship marketing and other constructs in this study. Structured equation modeling was used in the analysis of data. Findings The current study is the first one of its kind to examine perceptions of customers of relationship marketing and service quality as predictors of corporate image, which drives corporate reputation and ultimate customer loyalty from the perspective of the Takaful industry in Malaysia. Service quality dimensions (tangibility, reliability and personalization) and relationship marketing dimensions (Islamic ethical behavior and structural bond) positively influence corporate image of the Takaful organizations. Moreover, customer loyalty can be predicted, mainly through corporate reputation as well as corporate image. Research limitations/implications The present study is focused on the existing Malaysian Takaful customers as the population frame. Accordingly, future research studies may evaluate the same model, but perhaps in another different cultural context where the Takaful industry can grow and expand in other countries, including Saudi Arabia, Sudan and Pakistan. More importantly, the same variables may be verified to different service industries in future studies, especially those constructs related to relationship marketing because many products and services at present can be attained without face-to-face interactions through online transactions without having brick and mortar businesses. Practical implications It is important for Takaful service operators to focus on connecting the social and financial bonds to ensure the fulfilment of customers’ needs. They also need to improve the qualities related to tangibility, reliability and personalization to be able to increase their market share, especially in this present highly competitive market. Indeed, Takaful generally provides financial protection and risk management; nevertheless, the religious and ethical values need to be embraced in totality unlike conventional insurance, which has the element of gambling, uncertainty and the imposition of interest. Hence, this study aims to assist the Takaful operators toward achieving corporate reputation and apparently customer loyalty for them to remain relevant in this industry. Originality/value The model used in this study is based on the cultural context of Malaysia from the perspective of the Takaful industry. It attempts to explain customer loyalty through the incorporation of service quality and relationship marketing dimensions, where it is associated with the elements of the values of Islamic ethics especially in business transactions. More importantly, these dimensions were put together to identify its impact on corporate image, corporate reputation, and ultimately, customer loyalty, thus illustrating a distinct set of outcomes of the present study.


Author(s):  
Nindita Gabriele Pragunadi ◽  
I Made Sukresna ◽  
Sutopo Sutopo

The problem that happened in this research is the decrease of BIGTV customer loyalty of Semarang which result in customer decision to unsubscribe. This is evident from the increasing number of subscribers who have been subscribed for more than 1 year but unsubscribed in the first half of 2015. So the formulation of this research problem is how to increase customer loyalty BIGTV Semarang and BIGTV Semarang customer decisions to re-subscribe allegedly influenced by the quality service, and brand image. This study aims to analyze the influence of service quality and brand image directly or indirectly to customer loyalty with mediated by satisfaction. Sample selection using purposive sampling. The sample used is 150 people BIGTV Semarang customers. The analysis tool used is structural equation modeling. Based on the results of research, service quality and brand image have a positive effect on satisfaction and loyalty, while satisfaction has a positive effect on loyalty. Based on the fit model test, 7 indicator test result stated that all models have a good fit. So from this, it can be concluded that the model has a good enough fit to predict customer loyalty


2020 ◽  
Vol 13 (12) ◽  
pp. 3787-3807
Author(s):  
Guy Assaker

Purpose This study aims to present and empirically examines an expanded service model that incorporates green hotel practices together with a multidimensional/higher-order measurement model of service quality, as well as perceived value and satisfaction, to examine the relationships among these variables and hotel consumers’ loyalty/behavioral intentions (BI). Design/methodology/approach The model was examined using partial least squares structural equation modeling (PLS-SEM) using data gathered in August 2018 from 200 surveys completed by UK subjects who stayed at upscale European hotels. Findings The results of PLS-SEM found that hotel service quality has a direct and positive effect on perceived value, satisfaction and BI. There is also an indirect effect of service quality on BI through perceived value and satisfaction, while green practices only had a direct effect on perceived value, not satisfaction or BI. Research limitations/implications This study offers new insights into the network of causal relationships among determinants of hotel consumers’ BI. The results offer hotel operators a better understanding of specific green practices and service quality attributes they can use to more favorably influence consumers’ intentions to revisit the property and recommend them through positive word-of-mouth. Originality/value This research is particularly relevant in today’s reality characterized by travelers’ growing concern for green issues and business’ responsibilities toward the environment. Moreover, unlike previous studies, this study assumes a multidimensional scheme for service quality, further enhancing the understanding of hotel consumers’ BI relationships.


2021 ◽  
Vol 58 (1) ◽  
pp. 236-246
Author(s):  
Resti Hardini Et al.

The Influence of Service Quality, Brand Image and Customer Relationship Management on Indomaret mini market customer loyalty in Pedurenan, East Bekasi areobjectives of this study. In this study using primary data by distributing questionnairessample used was 100 respondents. Results of calculations using multiple regression methods obtained byresults of a standardized regression, namely Y = 3.316 + 0.338X1 + 0.298X2 + 0.222X3. Service Quality variable (X1) gavelargest contribution of 0.338 andBrand Image variable contributed 0.928 and CRM contributed 0.222 to Loyalty. F test results showed thatindependent variables used in this study were able to explainvariation ofdependent variable changes namely Loyalty soit can be stated thatmodel developed in this study was feasible. Independent variables have a significant and positive influence on loyalty. R square value shows thatpercentage ofindependent variables on Loyalty with R square value obtained by 50.2%.


2020 ◽  
Vol 4 (1) ◽  
pp. 1
Author(s):  
Nicholas Wilson

Penelitian ini dilakukan guna mengetahui bagaimana pengaruh service quality dan corporate reputation terhadap loyalty, baik secara langsung ataupun tidak langsung melalui trust. Penelitian ini mengimplementasikan metode survei, dimana, kuesioner digunakan sebagai alat untuk mengumpulkan data yang diperlukan pada penelitian ini. Sebanyak 200 responden berpartisipasi pada penelitian ini, dimana, dari 200 data yang terkumpul, sebanyak 191 data dinyatakan valid, reliable dan dapat digunakan untuk selanjutnya diproses pada penelitian ini. Data selanutnya dianalisa dengan metode partial least squares-structural equation modelling (PLS-SEM). Berdasarkan hasil analisis data yang diperoleh, peneliti dapat menyimpulkan bahwa service quality dan corporate reputation berpengaruh positif terhadap loyalty, baik secara langsung ataupun tidak langsung melalui trust pada industri Perhotelan di Indonesia. This research was conducted in order to determine the impact of service quality and corporate reputation toward customer loyalty, both directly and indirectly through trust in the Indonesian hospitality sector. This research implements ssurvey method, in which quaestionnaires were utilized as the tools to collect all of the data required for the completion of this study. A total od 200 respondents participate in this study, in which, out of 200, 191 data had been deemed valid, reliable and usable to be further processed in this research. All of the data then were analyzed using partial least squares-structural equation modeling (PLS-SEM) method. Based on the results of the data analysis, author would like to conclude that both service quality and corporate reputation had a positive impact on customer loyalty, both directly and indirectly through trust in the Indonesian hospitality sector.


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