To read this content please select one of the options below:

The impact of switching costs on the customer satisfaction‐loyalty link: mobile phone service in France

Jonathan Lee (Assistant Professor, Kelley School of Business, Indiana University, Indianapolis, Indiana, USA)
Janghyuk Lee (Lecturer, Department of Economics, University of Reading, Reading, UK)
Lawrence Feick (Professor of Business Administration, Joseph M. Katz Graduate School of Business, University of Pittsburgh, Pittsburgh, USA)

Journal of Services Marketing

ISSN: 0887-6045

Article publication date: 1 February 2001

26937

Abstract

The main objective of customer satisfaction programs is to increase customer retention rates. In explaining the link between customer satisfaction and loyalty, switching costs play an important role and provide useful insight. For example, the presence of switching costs can mean that some seemingly loyal customers are actually dissatisfied but do not defect because of high switching costs. Thus, the level of switching costs moderates the link between satisfaction and loyalty. The purposes of this paper are: to examine the moderating role of switching costs in the customer satisfaction‐loyalty link; and to identify customer segments and then analyze the heterogeneity in the satisfaction‐loyalty link among the different segments. An empirical example based on the mobile phone service market in France indicates support for the moderating role of switching costs. Managerial implications of the results are discussed.

Keywords

Citation

Lee, J., Lee, J. and Feick, L. (2001), "The impact of switching costs on the customer satisfaction‐loyalty link: mobile phone service in France", Journal of Services Marketing, Vol. 15 No. 1, pp. 35-48. https://doi.org/10.1108/08876040110381463

Publisher

:

MCB UP Ltd

Copyright © 2001, MCB UP Limited

Related articles