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Article
Publication date: 25 October 2019

Pavleen Soni

Given the importance of relationship benefits in creating customer satisfaction, the purpose of this paper is to investigate the moderating role of relationship benefits (special

Abstract

Purpose

Given the importance of relationship benefits in creating customer satisfaction, the purpose of this paper is to investigate the moderating role of relationship benefits (special treatment benefits and confidence benefits) on relationship quality and word of mouth (WOM) for online retailers. The conditional mediating role of relationship quality between customer satisfaction and WOM is also examined.

Design/methodology/approach

A sample of 700 MBA students from two universities in Punjab (North India) has been used to collect data. Structural equation modelling and PROCESS Macro (Hayes (2017) have been used for data analysis (mod mod mediation).

Findings

When customers perceive high confidence benefits, special treatment benefits moderate the mediational role of relationship quality between customer satisfaction and WOM. Specific conditions under which use of confidence benefits and special treatment benefits are successful for online retailers have also been identified.

Practical implications

Tailored use of special treatment benefits with confidence benefits in appropriate combinations will help the online retailers in segmenting the customers and differentiating amongst them according to the customers’ receptivity towards these benefits. Marketers can devise communication strategies, create customer segments and position their services using the results obtained in the study.

Originality/value

The present study is the first of its kind which clarifies as to why the previous literature considered special treatment benefits as less relevant to customers. It also establishes the situations in which these benefits successfully moderate the effect of customer satisfaction in developing relationship quality and eliciting positive WOM in the Indian internet retailing context.

Details

Marketing Intelligence & Planning, vol. 38 no. 6
Type: Research Article
ISSN: 0263-4503

Keywords

Article
Publication date: 24 June 2021

Ala' Omar Dandis, Mohammad Badi’ Al Haj Eid, Robin Robin and Nathalie Wierdak

The main objective of this paper is to investigate the factors affecting customer lifetime value (CLV) for Internet service providers in Jordan, namely, technical quality…

1632

Abstract

Purpose

The main objective of this paper is to investigate the factors affecting customer lifetime value (CLV) for Internet service providers in Jordan, namely, technical quality, functional quality, brand credibility, confidence benefits, special treatment benefits, customer satisfaction and commitment.

Design/methodology/approach

An online survey was conducted involving a sample of 481 respondents. SPSS was used to analyse the data and test the proposed relationships, while SmartPLS was used to examine the robustness of our results.

Findings

Results showed that confidence benefits, special treatment benefits and brand credibility had a significant and positive impact on customer satisfaction and commitment, with brand credibility appearing as the most influential factor leading to customer satisfaction and commitment, and ultimately CLV. Furthermore, research reveals an insignificant relationship between functional quality, technical quality and customer satisfaction.

Practical implications

Services' providers seeking to increase CLV need to build strong and sustainable relationships with their customers.

Originality/value

This study incorporates a set of crucial customer relationship management strategies that could be universally applied to enhance customers benefits and business performance. This is also the first study of its kind conducted in the Middle East, particularly in Jordan.

Details

International Journal of Quality & Reliability Management, vol. 39 no. 4
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 4 June 2018

Shihyu Chou and Chi-Wen Chen

The purpose of this study is to develop and examine an integrated mediating model that contains relationship benefits as the relationship antecedents; trust, relationship…

2822

Abstract

Purpose

The purpose of this study is to develop and examine an integrated mediating model that contains relationship benefits as the relationship antecedents; trust, relationship commitment and gratitude as mediators; and repurchase intention as the relationship consequence in a service business context.

Design/methodology/approach

The study recruited 253 respondents to test the proposed model. A partial-least-square-based structural equation modeling was adopted to evaluate the measurement of research constructs and test the research hypotheses that underpinned a proposed conceptual model.

Findings

The results show that confidence benefits increase trust more than social and special treatment benefits; social benefits have the most influence on relationship commitment; and special treatment benefits most greatly enhance feelings of gratitude. Thus, depending on the improvement objectives, marketers can accordingly choose the proper relationship benefits as a primary approach. Furthermore, both the direct and indirect effects of confidence benefits and social benefits on repurchase intention were significant.

Research limitations/implications

The main limitation of this study is that all research variables were measured at a static point rather than as they were developing. Ignorance of the temporal sequence may incur the concern of possible spurious causal relationship inferences.

Practical implications

The study’s findings offer several important implications for service providers, which, in this study, were separated into high (e.g. such as hairdressing, beauty and massage) and low personal contact service groups (e.g. telecommunications and equipment maintenance). First, social benefits are more effective at increasing gratitude in the low personal contact service group, and at boosting trust in the high-contact group. Second, special treatment benefits increase gratitude much more in the high-contact group than in the low personal contact group. Third, gratitude has a much stronger effect on repurchase intention in the high personal contact group than in the low-contact group.

Originality/value

The interactions among relationship benefits, mediators (i.e. trust and relationship commitment) and outcomes remain unclear. Although the importance of gratitude as a mediator in relationship marketing (RM) has been shown, little research has examined how relational benefits influence repurchase intention through the combined mediating effects of commitment, trust and gratitude. Therefore, this study advances RM theory by examining the degree of additional explaining power that gratitude contributes to the commitment–trust model. The study also makes a practical contribution by building a research model to understand the nature of mediating roles played by relationship commitment, trust and gratitude in the service industry.

Details

Journal of Business & Industrial Marketing, vol. 33 no. 5
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 13 February 2017

Shuai Yang, Yiping Song, Sixing Chen and Xin Xia

This study aims to provide a taxonomy of relational benefits that drive customer loyalty in sharing-economy services, assess the relative strengths of these relational benefits in…

8305

Abstract

Purpose

This study aims to provide a taxonomy of relational benefits that drive customer loyalty in sharing-economy services, assess the relative strengths of these relational benefits in influencing customer loyalty and examine whether commitment mediates the influence of relational benefits on customer loyalty in this context.

Design/methodology/approach

Relational benefits of sharing-economy services were explored through a focus group interview, followed by an online survey completed by 440 respondents in China. Structural equation modeling was used to test the hypotheses.

Findings

This study shows that confidence and social benefits have significant and positive effects on commitment in sharing-economy services. In addition, safety benefits, a new type of relational benefits, also significantly affect commitment in this context. Furthermore, the findings suggest that commitment acts as a mediator between confidence, social and safety benefits and customer loyalty. Special treatment benefits had no effect on commitment and loyalty in the sharing-economy context.

Practical implications

This paper provides sharing-economy service providers with insight on how to better create and sustain loyal relationships with customers through the provision of relational benefits.

Originality/value

This study offers initial insight into why customers would stay in peer-to-peer relationships in the sharing economy, and suggests how to strengthen relationships between customers and peer service providers.

Details

Journal of Services Marketing, vol. 31 no. 1
Type: Research Article
ISSN: 0887-6045

Keywords

Article
Publication date: 22 March 2011

Sandy Ng, Meredith E. David and Tracey S. Dagger

This paper seeks to investigate the effects of relationship benefits on relationship quality and aspects of service quality, namely technical and functional quality, and the…

11380

Abstract

Purpose

This paper seeks to investigate the effects of relationship benefits on relationship quality and aspects of service quality, namely technical and functional quality, and the subsequent influence on word‐of‐mouth behavior.

Design/methodology/approach

The paper reports results from a structural equation model that utilizes data from 591 consumers across a range of services.

Findings

The findings highlight the important role of relationship benefits in driving customer perceptions of technical, functional and relationship quality. While confidence, social and special treatment benefits drive technical and functional quality, it is only confidence benefits that drive relationship quality. Furthermore, it is found that functional and relationship quality drive word‐of‐mouth behavior.

Research limitations/implications

The findings of this study contribute to the literature by showing the differential impact that relationship benefits have on quality – technical, functional, and relationship – and subsequently the effect that functional and relationship quality have on word‐of‐mouth behavior.

Practical implications

The paper provides firms with the knowledge needed to more effectively implement relationship‐marketing activities. As the service economy continues to grow, competition intensifies, and to ensure service excellence, firms need to establish strong relationships with their customers as the quality of the customer‐provider relationship can increase word‐of‐mouth behavior.

Originality/value

The paper empirically investigates the role of relationship benefits in enhancing perceptions of quality while also providing an analysis of the differential role of functional, technical, and relationship quality in enhancing customers' word‐of‐mouth intentions.

Details

Managing Service Quality: An International Journal, vol. 21 no. 2
Type: Research Article
ISSN: 0960-4529

Keywords

Article
Publication date: 1 December 2003

Hsiu Ju Rebecca Yen and Kevin P. Gwinner

The application of technology‐based self‐service in service delivery has grown rapidly in recent years, but our current understanding of customer retention and satisfaction in…

10197

Abstract

The application of technology‐based self‐service in service delivery has grown rapidly in recent years, but our current understanding of customer retention and satisfaction in such contexts remains limited. This paper proposes a conceptual framework that utilizes the construct of relational benefits to explain the link between Internet‐based self‐service technology attributes and customer loyalty and satisfaction. The framework posits that confidence and special treatment benefits mediate the impact of Internet self‐service technology attributes on customer loyalty and satisfaction. The results of an empirical study using two contexts finds support for a fully mediated model. That is, confidence benefits mediate the impact of perceived control and performance on customer loyalty and satisfaction, while special treatment benefits mediate the relationship of efficiency and convenience with customer loyalty and satisfaction. The findings afford not only practical implications for marketers but also directions for future research on customer relational benefits and Internet‐based self‐service.

Details

International Journal of Service Industry Management, vol. 14 no. 5
Type: Research Article
ISSN: 0956-4233

Keywords

Article
Publication date: 4 November 2014

Jin-Soo Lee, Seongseop Kim and Steve Pan

This paper aims to, building on the concept of relational benefits, relationship marketing investments, gratitude, satisfaction and favorable reciprocal behaviors, examine the…

3040

Abstract

Purpose

This paper aims to, building on the concept of relational benefits, relationship marketing investments, gratitude, satisfaction and favorable reciprocal behaviors, examine the mechanism of cultivating relationships with valued customers at an upscale restaurant.

Design/methodology/approach

To capture the traits of the population (upscale restaurant customers who perceive relationship marketing investments by experiencing relational benefits), upscale restaurant customers with membership cards were contacted in the survey. Structural equation modeling was used to test measurement and structural models.

Findings

Empirical findings indicated that confidence and social benefits positively contributed to relationship marketing investments, whereas special treatment benefits were not significantly related to relationship marketing investments. In turn, relationship marketing investments positively affected both gratitude and satisfaction; relationship marketing investments were also more associated with gratitude than satisfaction. Gratitude positively evoked favorable reciprocal behaviors; however, satisfaction did not trigger favorable reciprocal behaviors.

Originality/value

The integration of relationship marketing investments and gratitude into the conceptual model would allow the current findings to generate rich theoretical and practical implications that the extant hospitality literature has not elucidated.

Details

International Journal of Contemporary Hospitality Management, vol. 26 no. 8
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 21 September 2010

Tracey S. Dagger and Timothy K. O'Brien

Although customer relationships transpire through a process of time, encounters and experience, few studies have examined the dynamics of service relationships. This paper aims to…

7591

Abstract

Purpose

Although customer relationships transpire through a process of time, encounters and experience, few studies have examined the dynamics of service relationships. This paper aims to address this issue by examining the effect of experience on the association between relational benefits and relationship quality, and between relationship quality and loyalty.

Design/methodology/approach

Using a national sample of 376 service consumers and nine service industries, the study examines whether the impact of relationship benefits on perceptions of satisfaction, trust and commitment, and ultimately customer loyalty, differs significantly between novice and experienced customer cohorts.

Findings

The results indicate significant differences between novice and experienced cohorts. Specifically, the impact of confidence, social and special treatment benefits on perceptions of satisfaction, trust and commitment, and ultimately customer loyalty, differ significantly based on a customer's level of relationship experience.

Practical implications

The findings of this study have tactical and strategic implications for service firms, including effective customer asset management, resource allocation, and relationship strategy.

Originality/value

This study makes a significant new contribution to theory and practice.

Details

European Journal of Marketing, vol. 44 no. 9/10
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 21 December 2021

Timmy H. Tseng, Sara H. Hsieh and Crystal T. Lee

Numerous companies have launched branded applications to foster consumer–brand relationships. Due to fierce competition among branded apps, the retention rate is quite low. The…

Abstract

Purpose

Numerous companies have launched branded applications to foster consumer–brand relationships. Due to fierce competition among branded apps, the retention rate is quite low. The facilitation of behavioural outcomes through branded apps is a highly relevant research area. This paper investigates the drivers of behavioural outcomes in the context of branded apps from an investment model perspective.

Design/methodology/approach

This work examines various branded apps primarily used by consumers in disparate product categories, namely, Target, Walmart, Under Armour, Nike, Pandora, Spotify, Starbucks, Burger King, Disney and Netflix. Four hundred and one valid online questionnaires were obtained and partial least squares structural equation modelling was used for data analysis.

Findings

The results obtained extend the investment model to the context of branded apps and show that app investment size and app satisfaction facilitate brand relationship commitment, successively enhancing app continuance intention, brand purchase intention and app word-of-mouth (WOM) intention. Furthermore, app confidence benefits and self-enhancement benefits facilitate app satisfaction, while app social benefits and special treatment benefits facilitate app investment size.

Originality/value

The present work applies an investment model to various branded apps to show how relationship components facilitate behavioural outcomes. We contribute to the literature by identifying four types of app relational benefits as drivers of relationship components in the context of branded apps.

Details

Internet Research, vol. 32 no. 5
Type: Research Article
ISSN: 1066-2243

Keywords

Article
Publication date: 1 August 2016

Mingli Zhang and Nuan Luo

Brand communities have been labeled as a social aggregation of brand fans and businesses. Yet, limited research has examined customers’ perceived relationship benefits in brand…

4977

Abstract

Purpose

Brand communities have been labeled as a social aggregation of brand fans and businesses. Yet, limited research has examined customers’ perceived relationship benefits in brand community on social media. Drawing from social capital theory and relationship benefits research, the purpose of this paper is to discover how online harmonious brand community influence customers’ perceived relationship benefits (i.e. confidence, special treatment, social and honor).

Design/methodology/approach

Hypotheses are tested by applying a structural equation modeling and the data are collected from a survey of smartphone community members (n=543) based on Sina Weibo.

Findings

The results suggest that harmonious brand communities strengthen customers’ perceived relationship benefits on social media, which are the important factors to form community satisfaction and positive word-of-mouth of community. And community engagement amplifies the influence of harmonious brand communities and has a moderating effect on the role of harmonious community relationships in confidence benefits.

Originality/value

The present study extends prior research on relationship benefits from the perspective of brand community based on social media and reveals the role of harmonious community relationships in developing community satisfaction and positive word-of-mouth.

Details

Internet Research, vol. 26 no. 4
Type: Research Article
ISSN: 1066-2243

Keywords

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