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Article
Publication date: 14 September 2012

Doan T. Nguyen, Janet R. McColl‐Kennedy and Tracey S. Dagger

This paper aims to argue that, traditionally, service recovery attempts have paid little attention to customer preferences. Despite attempts to recover the customer, firms…

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4291

Abstract

Purpose

This paper aims to argue that, traditionally, service recovery attempts have paid little attention to customer preferences. Despite attempts to recover the customer, firms generally do not know if the recovery solution is what the customer expects. Hence, the paper seeks to examine whether customer recovery preferences influence customers' evaluation of the recovery attempt in terms of recovery satisfaction and repurchase intentions.

Design/methodology/approach

First, a two‐stage qualitative study was conducted. Then the research model was tested empirically on a sample of 431 consumers using a multivariate analysis.

Findings

The findings support the argument that customers have distinct recovery preferences. Moreover, customers are satisfied with the service recovery solution only when it matches the most demanding recovery preference. Customers' recovery preferences have a significant impact on their satisfaction with recovery and their repurchase intentions.

Research limitations/implications

First, the model developed is tested on a cross‐sectional sample. Second, the measure of recovery satisfaction and repurchase intentions used here was relatively simple. Third, the study relies on repurchase intentions instead of actual behavioural data.

Practical limitations/implications

This research indicates that customers have a preference for how service recovery should be undertaken. Given these distinct recovery preferences, different recovery solutions should be applied to address each preference appropriately.

Originality/value

It is widely accepted in the service recovery literature that customers' perceptions of a service recovery attempt are often different to those of the service provider. However, this research suggests that customer recovery preferences need to be carefully considered given their effect on customer satisfaction and repurchase intentions.

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Article
Publication date: 28 May 2021

Ihwan Ghazali, Salwa Hanim Abdul-Rashid, Siti Zawiah Md Dawal, Hideki Aoyama, Novita Sakundarini, Fu Haw Ho and Safarudin Gazali Herawan

There is an increasing awareness among manufacturers to make production more sustainable in Southeast Asian countries such as Malaysia and Indonesia. Manufacturers are now…

Abstract

Purpose

There is an increasing awareness among manufacturers to make production more sustainable in Southeast Asian countries such as Malaysia and Indonesia. Manufacturers are now urged to not only focus on the business profit but also concern on environment protection by producing green products. However, issues may arise regarding the preferences of customers on green products, which will vary due to the influence of cultural values. This will give an impact on the marketing of green products. The aim of this study is to identify the influence of cultural values on the green products design in Malaysia and Indonesia.

Design/methodology/approach

A pretest on the survey instruments was performed to ensure the reliability and validity of the questionnaire. The collected data were statistically analyzed based on the satisfaction level, confirmatory factor analysis and structural equation modeling.

Findings

The results showed that customer preferences in Malaysia were mostly influenced by uncertainty avoidance, long-term orientation and power distance, excluding collectivism and masculinity. In Indonesia, the dimension of uncertainty avoidance and long-term orientation had significant influence, whereas power distance, masculinity and collectivism dimension had no influence. Eco-label was identified as the most important factor for green products in Malaysia and having product services characteristics factor for product lifetime extension in Indonesia.

Practical implications

For practices, the cultural values and preferred characteristics identified in this study provide valuable information to policymakers and businesses on what draws customers toward green products in Malaysia and Indonesia. This finding can be used as supported data for the policymakers in order to achieve sustainable development goal (SDGs) in Malaysia and Indonesia.

Originality/value

The findings of this study provide valuable information for designers to design products with green characteristics that cater to the consumer market in Malaysia and Indonesia, as well as other countries which may have similar cultural traits.

Details

Management of Environmental Quality: An International Journal, vol. 32 no. 5
Type: Research Article
ISSN: 1477-7835

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Article
Publication date: 4 September 2017

George Kofi Amoako, Peter Anabila, Ebenezer Asare Effah and Desmond Kwadjo Kumi

The purpose of this paper is to investigate the mediating role of brand preference on the relationship between bank advertising and customer loyalty in Ghana’s banking industry.

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1694

Abstract

Purpose

The purpose of this paper is to investigate the mediating role of brand preference on the relationship between bank advertising and customer loyalty in Ghana’s banking industry.

Design/methodology/approach

A total number of 600 respondents participated in the study. Convenient sampling technique was employed to select a cross-section of customers from the universal banks currently operating in Ghana. Structural equation modeling technique of PLS was used to test the nature of relationships in the research hypotheses.

Findings

The study found a significant positive relationship between advertising effectiveness and brand preference. Also, there is a significant positive relationship between advertising and customer loyalty. Again, there is a significant positive relationship between brand preference and customer loyalty. Finally, brand preference positive mediates the relationships between advertising and customer loyalty.

Practical implications

The study provides a useful guide to strategy and policy formulation in marketing communication by establishing the potential viability of advertising strategy in bank marketing and its potential to generate brand preference and customer loyalty.

Originality/value

The study has practical implication for, and relevance not only to the banking industry communication strategy but also the entire financial services industry.

Details

International Journal of Bank Marketing, vol. 35 no. 6
Type: Research Article
ISSN: 0265-2323

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Article
Publication date: 7 October 2014

Matthew Tingchi Liu, Ipkin Anthony Wong, Chu Rongwei and Ting-Hsiang Tseng

This study aims to investigate how perceptions associated with corporate social responsibility (CSR) initiatives influence customerspreference and loyalty in a…

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5107

Abstract

Purpose

This study aims to investigate how perceptions associated with corporate social responsibility (CSR) initiatives influence customerspreference and loyalty in a controversial consumer market. The mediating effect of brand preference between perceived CSR initiatives and customer loyalty is also examined.

Design/methodology/approach

The methodology in the current study involves the use of questionnaire surveys delivered to a convenience sample in the city of Macau in 2012. A total of 616 valid samples were collected among casino players in a high bet limit area in six major casinos. Regression analysis was used to test the hypotheses formulated for carrying the study forward.

Findings

The findings indicated that customers’ brand preference can be enhanced by their perceptions on CSR. Two CSR initiatives (stakeholders and society) significantly increase loyalty intention, although to varying degrees. The impact of CSR on stakeholders has a stronger influence on customers’ brand preference. Another important finding of the current study is the fact that brand preference is a partial mediator of perceived CSR initiatives and customer loyalty.

Research limitations/implications

This study verified the relationship among CSR initiatives perception, brand preference and loyalty intention in the context of the Macau gaming industry. Perceived CSR initiatives enhance customer loyalty. Additionally, this study found a partial mediating effect of brand preference between CSR perception and customer loyalty.

Practical implications

Customer loyalty can be enhanced with companies’ appropriate investments in social responsibilities. Although a socially responsible brand image of a company is not guaranteed to be a competitive advantage that attracts more premium customers, there is a general consensus that it may result in the latter with appropriate CSR strategies involving the greatest attention directed toward improving stakeholders’ interests. From the marketing perspective, retaining premium customers with a higher brand preference level is a key to both long-term competitiveness and profitability.

Originality/value

This study investigates how premium customers’ perceived CSR initiatives of a casino influence their loyalty intention, and also examines how brand preference, as a mediator, influences the relationship between perceived CSR and loyalty intention. Extending the realm of CSR study to understand the linkage between CSR and customer behaviors is also important because multiple theories predict different benefits, and assessing the value of CSR, therefore, requires multiple approaches. Finally, evidence from the research is significant for researchers and practitioners, especially when working on conflicting issues.

Details

International Journal of Contemporary Hospitality Management, vol. 26 no. 7
Type: Research Article
ISSN: 0959-6119

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Article
Publication date: 5 August 2014

Anyuan Shen

The purpose of this paper is an exploratory study of customers’ “lived” experiences of commercial recommendation services to better understand customer expectations for…

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4640

Abstract

Purpose

The purpose of this paper is an exploratory study of customers’ “lived” experiences of commercial recommendation services to better understand customer expectations for personalization with recommendation agents. Recommendation agents programmed to “learn” customer preferences and make personalized recommendations of products and services are considered a useful tool for targeting customers individually. Some leading service firms have developed proprietary recommender systems in the hope that personalized recommendations could engage customers, increase satisfaction and sharpen their competitive edge. However, personalized recommendations do not always deliver customer satisfaction. More often, they lead to dissatisfaction, annoyance or irritation.

Design/methodology/approach

The critical incident technique is used to analyze customer satisfactory or dissatisfactory incidents collected from online group discussion participants and bloggers to develop a classification scheme.

Findings

A classification scheme with 15 categories is developed, each illustrated with satisfactory incidents and dissatisfactory incidents, defined in terms of an underlying customer expectation, typical instances of satisfaction and dissatisfaction and, when possible, conditions under which customers are likely to have such an expectation. Three pairs of themes emerged from the classification scheme. Six tentative research propositions were introduced.

Research limitations/implications

Findings from this exploratory research should be regarded as preliminary. Besides, content validity of the categories and generalizability of the findings should be subject to future research.

Practical implications

Research findings have implications for identifying priorities in developing algorithms and for managing personalization more strategically.

Originality/value

This research explores response to personalization from a customer’s perspective.

Details

Journal of Services Marketing, vol. 28 no. 5
Type: Research Article
ISSN: 0887-6045

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Article
Publication date: 3 October 2016

Vijay Kumar Gupta and Gunjan Malhotra

The purpose of this paper is to understand customerspreferences for housing attributes in India.

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1052

Abstract

Purpose

The purpose of this paper is to understand customerspreferences for housing attributes in India.

Design/methodology/approach

The study highlights the attributes important to the customer when purchasing residential property. The Kano model has been used to understand these preferences of consumers. The data are collected across Delhi and the National Capital Region and have been analyzed using the cross-tabulation approach.

Findings

Demographics of the consumers play an important role in deciding purchase of residential real estate. Because of their income level, Indian consumers prefer low-rise residential complexes.

Originality/value

The study helps to understand the diverse behavior of Indian consumers when they invest in the real estate sector, especially residential.

Details

International Journal of Housing Markets and Analysis, vol. 9 no. 4
Type: Research Article
ISSN: 1753-8270

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Article
Publication date: 1 December 2003

Phillip K. Hellier, Gus M. Geursen, Rodney A. Carr and John A. Rickard

This paper develops a general service sector model of repurchase intention from the consumer theory literature. A key contribution of the structural equation model is the…

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40469

Abstract

This paper develops a general service sector model of repurchase intention from the consumer theory literature. A key contribution of the structural equation model is the incorporation of customer perceptions of equity and value and customer brand preference into an integrated repurchase intention analysis. The model describes the extent to which customer repurchase intention is influenced by seven important factors – service quality, equity and value, customer satisfaction, past loyalty, expected switching cost and brand preference. The general model is applied to customers of comprehensive car insurance and personal superannuation services. The analysis finds that although perceived quality does not directly affect customer satisfaction, it does so indirectly via customer equity and value perceptions. The study also finds that past purchase loyalty is not directly related to customer satisfaction or current brand preference and that brand preference is an intervening factor between customer satisfaction and repurchase intention. The main factor influencing brand preference was perceived value with customer satisfaction and expected switching cost having less influence.

Details

European Journal of Marketing, vol. 37 no. 11/12
Type: Research Article
ISSN: 0309-0566

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Article
Publication date: 13 February 2017

Marco Ieva and Cristina Ziliani

The purpose of this paper is to identify patterns of medium preference for loyalty programs (LPs) among members to support the case for segmenting customers based on their…

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2437

Abstract

Purpose

The purpose of this paper is to identify patterns of medium preference for loyalty programs (LPs) among members to support the case for segmenting customers based on their medium preference.

Design/methodology/approach

A survey of nearly 2,000 customers who are enrolled in at least one supermarket LP was employed. LP members are segmented based on a latent class clustering model and then profiled in terms of socio-demographic variables by means of a multinomial logit regression model.

Findings

Medium preference is heterogeneous and differs at the customer segment and at the LP touchpoint level. Five segments emerge which display different medium preference patterns. LP medium preference is associated with age, gender, affluency and number of different LPs the customer is enrolled in.

Practical implications

Retailers, e-tailers and brands can benefit from this customer segmentation when faced with the challenges of adding online features or migrating their LPs online. Marketers should differentiate their investment in online and offline LP touchpoints according to the medium preference for each LP touchpoint of the customer segments of interest.

Originality/value

Retailers, e-tailers and brands are today introducing online marketing strategies and tactics, such as LPs, that have been traditionally used offline. So far, however, they have failed to answer the question whether online and offline LPs and related touchpoints have the same preference among consumers. Literature on LPs has not explored customer preference for the LP medium or the consumer characteristics related to medium preference. This work is unique in providing an overview of medium preference for LPs and their touchpoints.

Details

International Journal of Retail & Distribution Management, vol. 45 no. 2
Type: Research Article
ISSN: 0959-0552

Keywords

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Article
Publication date: 30 March 2020

Ching-Chan Cheng, Hung-Che Wu, Ming-Chun Tsai, Yu-Yuan Chang and Cheng-Ta Chen

This study aims to extract determinants of customers' choice of dining-related services (CDS) to understand their attitudes and habits for dining-related services…

Abstract

Purpose

This study aims to extract determinants of customers' choice of dining-related services (CDS) to understand their attitudes and habits for dining-related services. Moreover, it classifies restaurant customers into several clusters based on their CDS factors and further analyzes the differences in the preferences and habits for dining-related services among various clusters.

Design/methodology/approach

This study extracts the CDS factors using principal component analysis and identifies construct validity of the CDS factors through the results of confirmatory factor analysis. Then, it divides the restaurant customers in Taipei City into different clusters through cluster analysis to explore the habits and preferences for dining-related services in each cluster.

Findings

The study results show that the extracted six CDS factors, including service commitment, dietary preferences, design styles, additional value, delicate information collection, and dining environments. Dietary preferences, service commitment and additional value factor are the most important CDS factors for restaurant customers in Taipei City. This study divides 1,029 restaurant customers in Taipei City into three clusters based on the CDS factors through cluster analysis. The differences in the preferences and habits for dining services among three clusters have been discussed in the context in detail. Finally, this study develops eight service strategies and determines the order of execution of the eight service strategies for each cluster of customers.

Originality/value

The findings will help restaurant operators segment the market, target market customers, carry out service positioning and develop marketing strategies to respond to the highly competitive restaurant market and achieve sustainable restaurant operations.

Details

British Food Journal, vol. 122 no. 5
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 22 November 2017

Yong-Hai Li, Zhi-Ping Fan and Guang-Hui Qiao

The purpose of this paper is to present a novel framework for recommending desirable products to active customers with the consideration of not only their preferences but…

Abstract

Purpose

The purpose of this paper is to present a novel framework for recommending desirable products to active customers with the consideration of not only their preferences but also the products’ quality performances and their e-retailers’ service performances under e-commerce.

Design/methodology/approach

A framework in support of the product recommendation is presented. Three modules are involved in the framework, i.e. data collection and preference analysis module, hybrid recommendation module and recommendation generation module. First, preferences of different types of customers are inferred through analysis of their behavioral data and then a paradigm is adopted based on cased-based reasoning to generate candidate recommendation products. Further, recommendation lists for different types of customers are obtained through measurement of the quality and service performances concerning each candidate recommendation product.

Findings

To illustrate the performance of the presented framework, a simulation study comparing the approach developed based on the framework and the traditional approach is conducted. The experiment results show that the developed approach outperformed the traditional approach in term of average rank score. This means that incorporating the consideration of product performance and customer service factors can play an important role in product recommendations.

Originality/value

The presented framework can overcome the defect that low conversion rate of recommended products to actually purchased ones suffered by the traditional approach. In addition, the use of the presented framework can not only help customers to obtain desirable products and save searching time but also supervise and urge e-retailers to pay more attention to the quality and service performances.

Details

Kybernetes, vol. 46 no. 10
Type: Research Article
ISSN: 0368-492X

Keywords

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