Assessing intervention of satisfaction and switching costs in the perceived service quality-customer loyalty link

Author(s):  
Anicar D. Manavi ◽  
D.H. Malini
Author(s):  
Abdul Qayyum ◽  
Do Ba Khang

The paper evaluates various roles (direct antecedent, mediator or moderator) of perceived switching costs in determining customer loyalty in the mobile telecommunications market. Data were collected through a field survey of mobile phone users in Pakistan. Structural equation modelling was used to evaluate hypothesized relationships. Perceived switching costs were found to play all three roles. Findings suggest that perceived switching costs directly influence customer loyalty, mediate the impacts of perceived service quality, value, and trust on customer loyalty and negatively moderate the relationships of satisfaction and perceived service quality with customer loyalty. Implications of these findings are discussed.


2013 ◽  
Vol 29 (5) ◽  
pp. 1541 ◽  
Author(s):  
Valentina Stan ◽  
Barbara Caemmerer ◽  
Roxane Cattan-Jallet

Customer loyalty plays a crucial role in firms performance. Over the last three decades the antecedents of customer loyalty in the service sector have attracted great interest by academics and practitioners alike. This study has two key objectives. First, we investigate how image perceptions, service quality and customer satisfaction contribute to customer loyalty. The results show that the organizational image customers hold of the service provider and perceived service quality have a similarly strong relationship with customer loyalty. Moreover, both, service quality and organizational image are significantly and positively correlated with customer satisfaction. The findings highlight that it is in particular through the formation of customer satisfaction that service quality and organizational impact customer loyalty. Thus, we can demonstrate that customer satisfaction has a mediating effect between external and interactive marketing initiatives and the development of customer loyalty. Second, we investigate the role of switching costs in the development of customer loyalty. The findings indicate that perceived switching costs, here assessed in terms of price sensitivity, have by far the strongest, positive and direct impact on customer loyalty in comparison to the other antecedents included in the model. The importance of switching costs is further corroborated with the finding that switching costs moderate the link between customer satisfaction and customer loyalty.


Author(s):  
Abdul Qayyum ◽  
Do Ba Khang

The paper evaluates various roles (direct antecedent, mediator or moderator) of perceived switching costs in determining customer loyalty in the mobile telecommunications market. Data were collected through a field survey of mobile phone users in Pakistan. Structural equation modeling was used to evaluate hypothesized relationships. Perceived switching costs were found to play all three roles. Findings suggest that perceived switching costs directly influence customer loyalty, mediate the impacts of perceived service quality, value, and trust on customer loyalty and negatively moderate the relationships of satisfaction and perceived service quality with customer loyalty. Implications of these findings are discussed.


2019 ◽  
Vol 11 (1) ◽  
pp. 66-80 ◽  
Author(s):  
Dwi Suhartanto ◽  
Christopher Gan ◽  
Ira Siti Sarah ◽  
Setiawan Setiawan

Purpose This paper aims to integrate and examine three loyalty routes (i.e. service quality, emotional attachment and religiosity) in developing customer loyalty towards Islamic banking. Design/methodology/approach Data were collected from 412 Islamic bank customers from Indonesia. Variance-based structural equation modelling was applied to evaluate the association between service quality, emotional attachment, religiosity and customer loyalty. Findings This study reveals that customer loyalty is more driven by emotional attachment and religiosity rather than by perceived service quality. Although not directly affecting customer loyalty, service quality strengthens customer satisfaction towards Islamic banks. Practical implications This study provides an opportunity for Islamic bank managers to increase their customer loyalty through the development of emotional attachment and religiosity. To improve customer loyalty, this study suggests that Islamic banks have to provide prompt, accurate and non-personal service. It is also important for Islamic bank managers to keep the bank operation compliant with the Sharia law. Originality/value This study is the first attempt to assess the three loyalty routes simultaneously in influencing customer loyalty.


2014 ◽  
Vol 26 (1) ◽  
pp. 114-146 ◽  
Author(s):  
Michael Daniel Clemes ◽  
Xin Shu ◽  
Christopher Gan

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.


2020 ◽  
Vol 2 (2) ◽  
pp. 105-121
Author(s):  
Madumere Humphrey Ikenna ◽  
Dickson Ben Uche ◽  
Agu Godswill Agu

The purpose of this was to investigate the relationship between perceived service quality and customer loyalty in the road transport industry in Nigeria. Leveraging the RATER service quality model, only reliability, tangibles and responsiveness were explored. Participants were drawn from the customer base of organized road transport firms operating in the South East of Nigeria. Being a quantitative survey, results from 318 valid responses were analyzed with SPSS version 21.  Findings indicate that the three constructs (reliability, tangibles, and responsiveness) are significant predictors of customer loyalty, with reliability having the greatest influence, followed by responsiveness and tangibles. The study recommends steady monitoring of service quality as a step towards customer loyalty in the highly competitive road transport industry in Nigeria.


Sign in / Sign up

Export Citation Format

Share Document