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1 – 10 of 472The purpose of this paper is to investigate the role of the retailer’s brand strength as a potential predictor of loyalty. It also examines the role of customer satisfaction (CS…
Abstract
Purpose
The purpose of this paper is to investigate the role of the retailer’s brand strength as a potential predictor of loyalty. It also examines the role of customer satisfaction (CS) to the retailer’s loyalty as well as its impact on the retailer’s brand strength.
Design/methodology/approach
The study was conducted in the grocery context and in a market under recession using the European Customer Satisfaction Index (ECSI) model. Data were collected through a telephone survey from 2,000 participants responsible for the household grocery shopping with a quota of 250 respondents from each of the leading grocery retailers in Greece. A formative measurement model was developed and the collected data were analyzed using partial least square path modeling.
Findings
The findings revealed that the strength of the retailer’s brand and CS influence retail loyalty and that brand strength mediate the strength of CS to loyalty. Results also suggested that the expectations and the perceptions toward the retailer’s product offering are the most important drivers of CS and loyalty. Thus, the study has proved the importance of the functional store attributes to CS and loyalty in the grocery store setting.
Originality/value
Research examining the suitability of the ECSI model in the grocery setting and in a market under economic crisis is scarce. This paper addresses these shortcomings by examining a customer loyalty model which incorporates the brand strength construct and investigates the role of brand strength as a potential predictor of loyalty as well as the role of CS in the brand strength and loyalty.
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Allard C.R. van Riel, Jörg Henseler, Ildikó Kemény and Zuzana Sasovova
Many important constructs of business and social sciences are conceptualized as composites of common factors, i.e. as second-order constructs composed of reflectively measured…
Abstract
Purpose
Many important constructs of business and social sciences are conceptualized as composites of common factors, i.e. as second-order constructs composed of reflectively measured first-order constructs. Current approaches to model this type of second-order construct provide inconsistent estimates and lack a model test that helps assess the existence and/or usefulness of a second-order construct. The purpose of this paper is to present a novel three-stage approach to model, estimate, and test second-order constructs composed of reflectively measured first-order constructs.
Design/methodology/approach
The authors compare the efficacy of the proposed three-stage approach with that of the dominant extant approaches, i.e. the repeated indicator approach, the two-stage approach, and the hybrid approach by means of simulated data whose underlying population model is known. Moreover, the authors apply the three-stage approach to a real research setting in business research.
Findings
The study based on simulated data illustrates that the three-stage approach is Fisher-consistent, whereas the dominant extant approaches are not. The study based on real data shows that the three-stage approach is meaningfully applicable in typical research settings of business research. Its results can differ substantially from those of the extant approaches.
Research limitations/implications
Analysts aiming at modeling composites of common factors should apply the proposed procedure in order to test the existence and/or usefulness of a second-order construct and to obtain consistent estimates.
Originality/value
The three-stage approach is the only consistent approach for modeling, estimating, and testing composite second-order constructs made up of reflectively measured first-order constructs.
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Evmorfia Karampournioti and Klaus-Peter Wiedmann
This paper examines in detail how the use of storytelling with parallax technology can influence the user experience (UX) in online shops as well as brand- and behavior-relevant…
Abstract
Purpose
This paper examines in detail how the use of storytelling with parallax technology can influence the user experience (UX) in online shops as well as brand- and behavior-relevant variables. Furthermore, this study analyzes the causal relationships between UX, brand attitudes and brand-related behavioral intentions in terms of purchase intention and price premiums. Explicit and implicit paths of human information processing are considered.
Design/methodology/approach
A sample of 266 respondents completed a web-based experiment under two conditions (text-based vs parallax storytelling online shop). An existing and operational online shop was used. The causal relationships were assessed by using partial least squares structural equation modeling (PLS-SEM). To measure implicit information processing, a single category implicit association test was applied.
Findings
By applying the storytelling technique with parallax scrolling, the online shop increased visitors' UX on explicit and implicit information processing levels and increased the online shop's overall perceived attractiveness. Storytelling with parallax motion enables an efficient transmission of brand-related associations to consumers' minds, enhances their explicit and implicit brand attitudes and increases their willingness to pay a higher price. Moreover, this study provides empirical evidence on the effects of UX on brand-related measures by applying PLS-SEM and thus reveals a causal chain of effects from UX on online shop attractiveness, brand attitude and behavioral intentions. Again, explicit and implicit perceptions were considered.
Originality/value
Science and practice are increasingly emphasizing that storytelling emotionalizes content, which facilitates effective communication and builds strong relationships with customers. Little evidence exists about its efficient implementation in an online shopping context and in fulfilling hedonic and pragmatic needs throughout the online journey. This study provides novel insights into managing online shoppers' UX, brand-related perceptions and behavioral intentions with the optimal use of techniques to implement storytelling. Furthermore, this is one of the first studies to holistically consider the human perception of online shops by drawing on theories and methods of psychology, marketing, consumer behavior, brand research and consumer neuroscience and considering explicit and implicit information processing in terms of hedonic and pragmatic UX and brand-related measures.
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Larissa Alves Sincorá, Marcos Paulo Valadares de Oliveira, Hélio Zanquetto-Filho and Marcelo Bronzo Ladeira
The survival and growth of organizations presently depend on managing processes and capabilities to effectively use large volumes of data from different sources to assist…
Abstract
Purpose
The survival and growth of organizations presently depend on managing processes and capabilities to effectively use large volumes of data from different sources to assist organizations’ strategic and operational goals. This paper aims to test the relationship between organizational analytical capabilities (OAC), the performance results in organizational resilience (OR) and the business process management maturity (BPMM).
Design/methodology/approach
Based on a survey of companies operating in the state of Espírito Santo, Brazil, a conceptual model was proposed and tested using the partial least squares algorithm.
Findings
The results confirm the proposed theoretical hypotheses that OAC and BPMM positively impact OR. In addition, the results show that OAC exert a moderating effect on the relationship between BPMM and OR.
Practical implications
It is understood that stimulating the practice of data and information analysis in the organizational routine translates into a relevant managerial behavior, as this attitude leverages the knowledge development and understanding about how to manage unexpected risk events, enabling companies to assess their ability to react to disruptions, even in terms of operational failures.
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Nicole Franziska Richter, Rudolf R. Sinkovics, Christian M. Ringle and Christopher Schlägel
Structural equation modeling (SEM) has been widely used to examine complex research models in international business and marketing research. While the covariance-based SEM…
Abstract
Purpose
Structural equation modeling (SEM) has been widely used to examine complex research models in international business and marketing research. While the covariance-based SEM (CB-SEM) approach is dominant, the authors argue that the field’s dynamic nature and the sometimes early stage of theory development more often require a partial least squares SEM (PLS-SEM) approach. The purpose of this paper is to critically review the application of SEM techniques in the field.
Design/methodology/approach
The authors searched six journals with an international business (and marketing) focus (Management International Review, Journal of International Business Studies, Journal of International Management, International Marketing Review, Journal of World Business, International Business Review) from 1990 to 2013. The authors reviewed all articles that apply SEM, analyzed their research objectives and methodology choices, and assessed whether the PLS-SEM papers followed the best practices outlined in the past.
Findings
Of the articles, 379 utilized CB-SEM and 45 PLS-SEM. The reasons for using PLS-SEM referred largely to sampling and data measurement issues and did not sufficiently build on the procedure’s benefits that stem from its design for predictive and exploratory purposes. Thus, the procedure’s key benefits, which might be fruitful for the theorizing process, are not being fully exploited. Furthermore, authors need to better follow best practices to truly advance theory building.
Research limitations/implications
The authors examined a subset of journals in the field and did not include general management journals that publish international business and marketing-related studies. Fur-thermore, the authors found only limited use of PLS-SEM in the journals the authors considered relevant to the study.
Originality/value
The study contributes to the literature by providing researchers seeking to adopt SEM as an analytical method with practical guidelines for making better choices concerning an appropriate SEM approach. Furthermore, based on a systematic review of current practices in the international business and marketing literature, the authors identify critical challenges in the selection and use of SEM procedures and offer concrete recommendations for better practice.
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Kathrin Kölbl, Cornelia Blank, Wolfgang Schobersberger and Mike Peters
This study aims to address customer focus as an important component of total quality management (TQM) and explore the key drivers of member satisfaction in tennis clubs via a…
Abstract
Purpose
This study aims to address customer focus as an important component of total quality management (TQM) and explore the key drivers of member satisfaction in tennis clubs via a novel theory-based member satisfaction index (MSI) model with high explanatory and predictive power. Furthermore, the study aims to investigate the relationship between satisfaction and behavioral intentions (willingness to stay; WTS) with consideration of the mediating effect of identification with the club.
Design/methodology/approach
This study uses variance-based partial least squares structural equation modeling (PLS-SEM) to estimate the MSI model, which was tested in a leading tennis club in Germany (n = 185).
Findings
The results reveal that club atmosphere, club facilities and the price/quality ratio of the membership fee are the most important drivers of member satisfaction in tennis clubs. Member satisfaction has a large influence on the WTS of tennis club members. Identification with the club, when included as a mediator in the model, increases the variance explained in WTS considerably.
Research limitations/implications
The small sample limits the generalizability of findings, and further research is recommended.
Practical implications
The MSI model is a useful benchmark tool for club managers who want to quantify the satisfaction and WTS of their club members. In addition, because of the integrated formative measurement models, the PLS-SEM results show which indicators can be used to positively impact satisfaction with each of the service quality dimensions, overall member satisfaction and WTS. The most important of these results are discussed in an importance-performance map analysis.
Originality/value
The MSI model is a multi-attribute index model through which members' evaluations of various dimensions of service and value are derived through multivariable linear function with each dimension weighted according to its importance in one holistic model. The model shows the strong impact of satisfaction on WTS of sports club members and reveals that findings of previous research on the relationship between fan and spectator identification and loyalty are transferable to sports club members. The MSI represents a new contribution to the literature; it was applied here to tennis clubs but is also suitable for application to other sports clubs.
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Tobias Müller, Florian Schuberth and Jörg Henseler
Sports marketing and sponsorship research is located at the intersection of behavioral and design research, which means that it analyzes the current world and shapes a future…
Abstract
Purpose
Sports marketing and sponsorship research is located at the intersection of behavioral and design research, which means that it analyzes the current world and shapes a future world. This dual focus poses challenges for formulating and testing theories of sports marketing.
Design/methodology/approach
This article develops criteria for categorizing theoretical concepts as either behavioral or formed as different ways of expressing ideas of sports marketing research. It emphasizes the need for clear concept categorization for proper operationalization and applies these criteria to selected theoretical concepts of sports marketing and sponsorship research.
Findings
The study defines three criteria to categorize theoretical concepts, namely (1) the guiding idea of research, (2) the role of observed variables, and (3) the relationship among observed variables. Applying these criteria to concepts of sports marketing research manifests the relevance of categorizing theoretical concepts as either behavioral or formed to operationalize concepts correctly.
Originality/value
This study is the first in sports marketing to clearly categorize theoretical concepts as either behavioral or formed, and to formulate guidelines on how to differentiate behavioral concepts from formed concepts.
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Joseph F. Hair, Pratyush N. Sharma, Marko Sarstedt, Christian M. Ringle and Benjamin D. Liengaard
The purpose of this paper is to assess the appropriateness of equal weights estimation (sumscores) and the application of the composite equivalence index (CEI) vis-à-vis…
Abstract
Purpose
The purpose of this paper is to assess the appropriateness of equal weights estimation (sumscores) and the application of the composite equivalence index (CEI) vis-à-vis differentiated indicator weights produced by partial least squares structural equation modeling (PLS-SEM).
Design/methodology/approach
The authors rely on prior literature as well as empirical illustrations and a simulation study to assess the efficacy of equal weights estimation and the CEI.
Findings
The results show that the CEI lacks discriminatory power, and its use can lead to major differences in structural model estimates, conceals measurement model issues and almost always leads to inferior out-of-sample predictive accuracy compared to differentiated weights produced by PLS-SEM.
Research limitations/implications
In light of its manifold conceptual and empirical limitations, the authors advise against the use of the CEI. Its adoption and the routine use of equal weights estimation could adversely affect the validity of measurement and structural model results and understate structural model predictive accuracy. Although this study shows that the CEI is an unsuitable metric to decide between equal weights and differentiated weights, it does not propose another means for such a comparison.
Practical implications
The results suggest that researchers and practitioners should prefer differentiated indicator weights such as those produced by PLS-SEM over equal weights.
Originality/value
To the best of the authors’ knowledge, this study is the first to provide a comprehensive assessment of the CEI’s usefulness. The results provide guidance for researchers considering using equal indicator weights instead of PLS-SEM-based weighted indicators.
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