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Article
Publication date: 8 May 2017

Stephanie Hui-Wen Chuah, Philipp A. Rauschnabel, Malliga Marimuthu, Ramayah Thurasamy and Bang Nguyen

The purpose of this paper is to go beyond satisfaction as an indicator of customer loyalty and propose a holistic model of service switching in a mobile internet setting. The…

3708

Abstract

Purpose

The purpose of this paper is to go beyond satisfaction as an indicator of customer loyalty and propose a holistic model of service switching in a mobile internet setting. The model, which reflects both barriers and inducements of switching, is developed based on the “mooring” and “pull” concepts in the migration literature.

Design/methodology/approach

Focusing on Generation Y mobile internet subscribers, the study analyzed a total of 417 usable questionnaire responses. Partial least squares structural equation modeling was used to test the research model.

Findings

The results show that first, satisfaction and switching barriers (i.e. a focal firm’s marketing innovation initiatives, switching costs, inertia, and local network effects) are positively related to customer loyalty; second, switching barriers have a stronger influence on customer loyalty compared with satisfaction; third, switching inducements (i.e. competitors’ marketing innovation initiatives, alternative attractiveness, variety-seeking tendencies, and consumers’ susceptibility to social reference group influence) is negatively related to customer loyalty and the relationship is weaker when perceived switching barriers are high.

Originality/value

This study empirically validates multidimensional scales of switching barriers and inducements from a more nuanced perspective, and specifies them as reflective-formative type II models. This study is among the first to use opposing dimensions to measure switching barriers and its counterpart. Hence, it illustrates how the two contrasting mechanisms can coexist in the minds of mobile internet subscribers.

Details

Journal of Service Theory and Practice, vol. 27 no. 3
Type: Research Article
ISSN: 2055-6225

Keywords

Article
Publication date: 5 June 2007

Mark M.H. Goode and Lloyd C. Harris

The current study aims to develop and extend existing research into online behavioural intentions of consumers' by proposing, operationalising, and testing a model of the…

6190

Abstract

Purpose

The current study aims to develop and extend existing research into online behavioural intentions of consumers' by proposing, operationalising, and testing a model of the antecedents of behavioural intentions that models and evaluates how switching costs and inducements moderate the behavioural intentions of online shoppers.

Design/methodology/approach

The study employed a personally administered structured questionnaire to gather data regarding consumer's interpretations and evaluations of one specific website. A total of 296 completed questionnaires were analysed.

Findings

Analyses found support for the theoretical framework and uncovered strong links between a number of hypothesised antecedent and moderating factors and behavioural intentions.

Research limitations/implications

The study supplies an empirical contribution through conceptualising, and subsequently empirically verifying, a model of the antecedents and moderators of online behavioural intentions. Empirical contributions also stem from the findings of moderated associations as well as from the strength and magnitude of uncovered associative links. Finally the study also generates a more general contribution to existing knowledge of e‐loyalty.

Practical implications

The findings of the study also have numerous implications for practitioners. The moderated regression equation indicates that the exogenous factors studied explain nearly 68 per cent of variance in behavioural intentions. As such, the findings supply valuable insights into which factors practitioners should focus their attention to better tailor their approaches and content.

Originality/value

The value of the current study centres on the conceptual and empirical contributions regarding the moderation of links between antecedent factors and online behavioural intentions.

Details

European Journal of Marketing, vol. 41 no. 5/6
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 June 2010

Mohammad Suleiman Awwad and Bashar Awad Neimat

This study aims at identifying the most critical factors affecting the customer switching behavior for mobile service providers in Jordan. A number of 580 questionnaires…

1240

Abstract

This study aims at identifying the most critical factors affecting the customer switching behavior for mobile service providers in Jordan. A number of 580 questionnaires distributed to a random sample of Jordanian mobile users. The questionnaire contains 33 items measured on a five‐point likert scale. The data were analyzed using regression analysis. It was found that all the independent variables (pricing, inconvenience, core service failures, service encounter failures, employee responsiveness to service failures, attraction by competitors, changes in technology, switching cost) had a significant effect on switching behavior of mobile service users except change in technology and employee responsiveness to service failure. Recommendations and directions for future research are proposed.

Details

Journal of Economic and Administrative Sciences, vol. 26 no. 1
Type: Research Article
ISSN: 1026-4116

Keywords

Book part
Publication date: 31 August 2016

Timothy B. Folta, Constance E. Helfat and Samina Karim

This paper introduces the volume on Resource Redeployment and Corporate Strategy, which is devoted to exploring a relatively new justification for how multi-business firms create…

Abstract

This paper introduces the volume on Resource Redeployment and Corporate Strategy, which is devoted to exploring a relatively new justification for how multi-business firms create value – having flexibility to internally redistribute non-financial resources across their businesses. We clarify how a theory around resource flexibility differs from other theories of how multi-business firms create value. We then synthesize the collection of papers in this volume and describe how they contribute to this line of inquiry. Finally, we offer our own views on opportunities for elaboration of this theory.

Article
Publication date: 1 March 2005

Mario J. Miranda, László Kónya and Inka Havrila

To identify the factors that influence shoppers' satisfaction with their “primary” grocery store, and those that encourage them to continue patronising it despite being presented…

8991

Abstract

Purpose

To identify the factors that influence shoppers' satisfaction with their “primary” grocery store, and those that encourage them to continue patronising it despite being presented with a significant inducement to shop elsewhere.

Design/methodology/approach

A structured questionnaire containing 31 variables relating to shopping behaviour and satisfaction was administered to 934 shoppers leaving a number of grocery stores in an Australian city during a two‐week period. Results were used to construct two mathematical models predicting customer satisfaction and store loyalty, from which two research hypotheses were derived.

Findings

The results of model estimation show that factors with a significant influence on store satisfaction have little in common with others that impel shoppers to remain loyal to one store. Indeed, there was no evidence in this study that shoppers' overall satisfaction was by itself a significant influence on continued patronage.

Research limitations/implications

The questionnaire did not ask questions, judged to be intrusive, relating to respondents' income level, education background, employment status or household size – characteristics known to have a bearing on perception of risk associated with switching to an unfamiliar store and hence potentially to inhibit action. It would be instructive in future research to assess the extent to which demographic characteristics mediate perceptions of financial, psychological and social risk, and their influence on satisfaction and loyalty.

Practical implications

Retailers often do not recognise that what influences customer satisfaction is not the same as what engenders store loyalty, and consequently do not allocate scarce resources systematically among tactics influencing one or the other. Unless they are vigilant to changing consumer behaviour patterns, they will not be able to isolate in their strategy the elements of the retail mix that could insulate their loyal customers from responding to competitors' special offers.

Originality/value

This study introduces intelligence gatherers and strategic planners in the retail context to an important distinction between general satisfaction and specific loyalty.

Details

Marketing Intelligence & Planning, vol. 23 no. 2
Type: Research Article
ISSN: 0263-4503

Keywords

Open Access
Article
Publication date: 17 October 2022

Ismail Juma Ismail

Consumer psychology research has established the importance of customer satisfaction as a determinant of customer repurchasing intention…

4585

Abstract

Purpose

Consumer psychology research has established the importance of customer satisfaction as a determinant of customer repurchasing intention. Nonetheless, even satisfied customers switch brands. Also, even dissatisfied customers have repurchasing intentions. This means that customer repurchasing behaviour is extremely difficult to predict, necessitating additional research to identify additional factors that can help organizations better understand the methods to predict customer repurchasing intention. To fill this knowledge gap, this study examined the mediating effects of brand love (BL) and positive word of mouth (PWOM) on psychological contract fulfilment (PCF) and customer repurchasing intentions.

Design/methodology/approach

This is a cross-sectional study. The study used structural equation modelling (SEM) to analyse relationships from a sample size of 400 beauty salon customers. Also, a process macro mediation test was used to analyse the mediating effects of BL and PWOM on the relationship between PCF and customer repurchase intentions.

Findings

The findings indicate that transactional and relational psychological contracts have a positive and significant relationship with BL and PWOM. As well, BL and PWOM positively and significantly influence customer repurchase intentions. Finally, the findings indicate that BL and PWOM mediate the relationship between psychological contract fulfilment and customer repurchase intentions.

Research limitations/implications

This survey sampled beauty salons solely. Given that each type of organization may have a unique way of fulfilling psychological contracts, future studies may include more categories such as restaurants and craftsmanship to broaden the sample. Additionally, this study utilized female beauty salons. Therefore, future research could include salons that cater to women and men to boost the sample's generalizability. Finally, this study concluded that BL and positive recommendations are the most effective variables for resolving consumer satisfaction challenges. However, additional factors can probably amplify this fact by focusing on additional elements to broaden the arguments.

Originality/value

Past studies have extensively covered customer repurchasing intention in relation to customer satisfaction. However, it was noted that even some satisfied customers could switch to other brands, and those who were dissatisfied could repurchase the brand. Given that little is known about how other factors than customer satisfaction can affect repurchasing intentions, this study examines the mediating effects of BL and PWOM on PCF and customer repurchase intentions.

Article
Publication date: 1 January 1987

William H. Motes

Present data suggest that planned price increases should be carried out gradually in small systematic increments. However, an identical approach would not seem necessary for price…

Abstract

Present data suggest that planned price increases should be carried out gradually in small systematic increments. However, an identical approach would not seem necessary for price reductions. This is the third in a series of related experiments on brand choice behaviour, the major interest of which lies in the effects of introducing and withdrawing a price increase/reduction over a protracted period. The effects of each price change are assessed through the use of an interrupted multiple time‐series design with an equivalent no‐treatment control group. Various extensions to previous research are offered, and it is found that the effects of reduction extend beyond the promotional period. Price increases appear to have an effect on penetration only, but a stronger effect is measured than for a decrease.

Details

European Journal of Marketing, vol. 21 no. 1
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 4 May 2023

Abdul Hafaz Ngah, Ramayah Thurasamy and Heesup Han

The issue is which third-party logistics to engage, and escalating customer complaints about service quality of third-party logistics (3PL) enhances the tendency of online…

Abstract

Purpose

The issue is which third-party logistics to engage, and escalating customer complaints about service quality of third-party logistics (3PL) enhances the tendency of online retailers to switch to another 3PL. The current study seeks to investigate the factors influencing the satisfaction and switching intention of 3PL services among online sellers in Malaysia.

Design/methodology/approach

Applying a purposive sampling method, data were gathered via an online survey among online sellers. Initially, the system gathered 418 respondents, but only 311 were useable for further analysis. Since we operationalised the measures as composites, a combination of reflective and formative measurement in the study and the study focuses on explanatory and predictive purposes, partial least squares structural equation modelling with SmartPLS 4 was applied to test the model developed.

Findings

The results indicated that conflict handling had a positive effect on satisfaction, and satisfaction had a negative relationship with the switching intention of 3PL among the online retailers. Moreover, satisfaction and customer relationship management sequentially mediated conflict handling and switching intention, whereas CRM strengthens the negative relationship between satisfaction and switching intention.

Research limitations/implications

The respondents only limit to the online sellers in Malaysia which based on purposive sampling method, thus the findings cannot be generalised to another countries.

Practical implications

The study offers insightful information for the managers of the 3PL in crafting a better policy to avoid switching behaviour among their customers. The conflict between customers and providers is unavoidable since consumers have unlimited demand and businesses have limited resources. The findings also benefit online sellers and 3PL service providers to create attractive marketing strategies for business sustainability.

Originality/value

The study developed a new model for the 3PL studies using the S-O-R model in introducing conflict handling and customer relationship management as the stimulus, customer's satisfaction as an organism and switching intention as a response. The study introduced single and sequential mediators also contributes to the S-O-R theory to predict the switching intention among the online sellers towards the 3PL providers. Another important contribution, customer relationship management, was confirmed to play a moderating role to influence the relationship between satisfaction and switching intention.

Details

International Journal of Physical Distribution & Logistics Management, vol. 53 no. 7/8
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 16 February 2023

Choukri Menidjel, Linda D. Hollebeek, Sigitas Urbonavicius and Valdimar Sigurdsson

This study aims to examine the role of service customers’ variety-seeking and engagement in driving their service switching intention. The authors also explore the moderating role…

Abstract

Purpose

This study aims to examine the role of service customers’ variety-seeking and engagement in driving their service switching intention. The authors also explore the moderating role of customer relationship proneness in this association.

Design/methodology/approach

To test the hypotheses, the authors deployed a sample of 227 service customers, whose data was analyzed by using partial least squares structural equation modeling.

Findings

The findings show that customer engagement mediates the relationship of customer variety-seeking and their service switching intention, as hypothesized. Moreover, customer relationship proneness weakens the negative effect of engagement on customers’ service switching intention.

Originality/value

Though scholarly acumen of customer engagement is rapidly developing, little remains known regarding its theoretical interface with customer variety-seeking and switching intention. Addressing this gap, the authors test a model exploring the mediating role of customer engagement in the association of customer variety-seeking and switching intention, and the potentially moderating role of customer relationship proneness in the association of customer engagement and service switching intention.

Details

Journal of Services Marketing, vol. 37 no. 5
Type: Research Article
ISSN: 0887-6045

Keywords

Article
Publication date: 13 November 2019

Yonghua Cen and Li Li

Given a product or service, the number of its installed user base has a significant positive effect on the existing users’ loyalty and new users’ conversion. This effect is…

1601

Abstract

Purpose

Given a product or service, the number of its installed user base has a significant positive effect on the existing users’ loyalty and new users’ conversion. This effect is conceptualized as network externalities in economics. Network externalities are supposed to be particularly striking in nowadays online business-to-business (B2B) platforms, but yet the mystery behind their effects on user loyalty to online B2B platforms remains to be delicately unraveled. The purpose of this paper is to discover the factors driving users’ loyalty, especially buyers’ loyalty, to online B2B platforms, by highlighting the impacts of network externalities on loyalty and other mediating factors.

Design/methodology/approach

A conceptual model of buyer loyalty under network externalities is elaborated. The reliability and validity of the instruments of the latent model constructs are assessed by confirmatory factor analysis, and the hypothesized causal relationships among the constructs are tested by structural equation modeling, on 710 valid buyer samples collected from a famous online B2B platform in China.

Findings

The analysis demonstrates that: perceived value, user satisfaction and switching costs are the major predictors of buyer loyalty to online B2B platforms characterized by network externalities; network externalities positively account for buyer loyalty by contributing to perceived value, user satisfaction and switching costs; and direct network externality (measured by perceived network size and perceived external prestige) has a significant effect on indirect network externality (measured by perceived compatibility and perceived complementarity).

Originality/value

The findings allow the authors to conclude meaningful managerial implications for online B2B service providers to build up loyal user bases through improving users’ perceptions of network externalities, switching costs and value.

Details

Journal of Enterprise Information Management, vol. 33 no. 2
Type: Research Article
ISSN: 1741-0398

Keywords

1 – 10 of 623