Relationships and impacts of service quality,perceived value,customer satisfaction,and image: an empirical study

In today's world of intense competition, satisfying customers is only the base line and may not be sufficient for survival. Management should focus on gaining customer loyalty by enhancing customer perceptions of service quality and increasing as perceived by the consumer value. Although previous studies have addressed the importance of service quality, satisfaction, perceived value, and image, the precise nature of the relationships that exist between these constructs and the understanding of their effect on customer behaviour still remains a key issue. This empirical study seeks to understand the relationships that exist between service quality and perceived value and how they impact customer satisfaction, corporate image, and behavioural intentions. The proposed model indicates that delivering high quality service and creating superior customer value can result in achieve high customer satisfaction, thus effecting the firm's corporate image, and ultimately leading to consumer retention.     

Employee behaviour and relationship quality: impact on customers

This paper examines relationship quality as a multidimensional metaconstruct comprising three dimensions; satisfaction, trust and commitment. The role of relationship quality in its nomological network with service orientation as an antecedent construct and consumers' positive behavioural intentions, perceived switching costs and activism as the consequences is explored. Survey data from 728 travellers are used, employing structural equations modelling to test this conceptualisation. It is found that service orientation affects relationship satisfaction and trust, and that the latter influences satisfaction and commitment. In turn, satisfaction, trust and commitment have a positive impact on positive behavioural intentions, trust has a negative impact on activism, and commitment a positive one on perceived switching costs. The implications of this conceptual and empirical understanding of relationship quality are discussed and directions for future research presented.     

Conceptualising consumers’ word-of-mouth behaviour intention: evidence from a university education services in Malaysia

The aim of this study is to propose a theoretical model to examine consumer word-of-mouth (WOM) behavioural intention in Malaysian education services. The results from a survey of 247 respondents indicate that servicescape, service recovery, service quality and satisfaction significantly affect consumers’ intention to engage in WOM behaviour. The results support majority of the hypothesized relationships, suggesting that servicescape and service recovery function as antecedents, directly affecting consumer perceptions of education service quality. The analytical results also demonstrate that perceived service quality positively affects satisfaction, which subsequently induces consumers’ behavioural intentions. Consistent with previous empirical studies, our findings suggest that satisfaction is a super-ordinate construct with a positive relation to behavioural intention, and significantly mediates the effect of service quality on the intention to engage in WOM behaviour. The insignificant direct effect from service quality to WOM further suggests the role of satisfaction as a complete mediator in the university education service setting. Implications for future research are discussed and limitations noted.     

The behavioural sequence of the financial services industry in Taiwan: Service quality,relationship quality and behavioural loyalty

This study develops and empirically tests a model for examination of the relations among service quality scales, relationship bonding tactics, customer satisfaction, trust and commitment, and customer behavioural loyalty in a relationship marketing system. This paper aims to test the relationship between perceived service quality satisfaction and relationship intentions, or, in other words, whether or not consumers will consider building long-term relationships with service providers on the basis of a single instance of perceived service quality. Based on three groups of samples from XYZ bank, one of the most famous banks providing merchant banking services in Taiwan, the findings suggest that financial products with different product attributes need different kinds and levels of service and relationship investment. The findings also suggest that there does exist a positive relationship between service quality satisfaction and perceived relationship investment.     

Retail service quality,corporate image and behavioural intentions: the mediating effects of customer satisfaction

This study investigates the relationships between service quality, corporate image, satisfaction and behavioural intentions. A structural equation modelling (SEM) approach is applied to test the proposed conceptual framework, using data collected from 404 supermarket customers in China. The structural model suggests that customer satisfaction fully mediates the impact of retail service quality on behavioural intentions (e.g. intention to recommend and repurchase). The results also indicate that retail service quality significantly influences customer perceptions of corporate image. The relationship between corporate image and behavioural intentions is fully mediated by satisfaction.     

Organizational image's partial mediation role between quality and users' satisfaction

Evidences point to the idea that organizational image may be influenced by patients' perception of service quality, and in turn may influence their expectations. The main aim of this research is to analyse the influence of perceived quality on patients' satisfaction and to evaluate the potential mediating effect that organizational image may have on the relationship between both constructs, in the specific context of primary health care. A structural equation modelling approach was applied to data collected on Portuguese primary healthcare units. Results show that perceived service quality has both positive direct and indirect effects on satisfaction, confirming the partial mediation role played by organizational image in the relationship between service quality and customer satisfaction and highlighting the importance for healthcare units' administrators to manage both the service quality and the image of the institution.     

The Effects of Airline Mergers on Consumers' Perceptions of Services and Behavioral Responses

Prior literature focuses on customer satisfaction in the airline industry, while research on consumers' perceptions and behavioral responses to airline mergers is limited and understudied. This paper conducts a field survey on the merger between United and Continental Airlines to examine the effects of an airline merger on passenger satisfaction, service value, and behavioral intentions through perceived service quality. Data were collected from airline passengers arriving at three US airports in two phases: before and after the merger across a period of four years. The results show a noticeable increase in customer satisfaction and positive behavioral responses with the postmerger United Airlines due to the perceived improvement in service quality. This study provides insights into the role of airline mergers in improving customer satisfaction, implications for airline managers, and directions for future research.     

Effect of price increases on future intentions of sport consumers

This work analyzes the relationships between perceived value, satisfaction and future intentions among users of a public sport service who experience a price increase in the service they receive. A self-administered survey provides data from two samples (before and after the service price increase). After confirming the reliability and validity of the measures, hierarchical multiple regression provides the means for analyzing the data. The results show that the increase in the service price worsens the perception of service performance. As expected, satisfaction, perceived value and future intentions decrease following an increase in the service price. Perceived value also serves as a more effective predictor of future intentions than satisfaction. Finally, price increase has a low direct effect on predicting future intentions of sport users.     

Relationships between process quality,outcome quality,satisfaction, and behavioural intentions for online travel agencies – evidence from Taiwan

Instead of using the SERVQUAL-type scale, this study conceptualizes e-service quality by two dimensions – process quality and outcome quality – and explores the relationships between process quality, outcome quality, satisfaction, and behavioural intentions in the context of online travel agencies. Using an empirical survey consisting of 240 Taiwanese respondents who have purchased online travel agents' products, the results reveal that process quality and outcome quality have significantly direct and positive effects on satisfaction. In addition, there exists a significant influence of satisfaction on behavioural intentions. While supporting the quality–satisfaction–behavioural intentions relationship overall, this study specifically provides more insights into the construction and effects of e-service quality.     

Providing a critical service today for tomorrow's consumers: A relational model of customer evaluations and responses in the child care industry

Based on data collected in the important and rapidly expanding child care services industry, this study develops and tests a model that examines the relationships among customers’ evaluations of service performance dimensions, their satisfaction with and trust in the organization, as well as their word-of-mouth intentions and also investigates the role of social status in the proposed relationships. The results show that non-interpersonal (i.e., hard) service quality attributes have a greater impact on customer satisfaction while interpersonal (i.e., soft) service quality attributes have more influence on trust. Word-of-mouth intentions are primarily driven by trust and the hard dimension of service performance. Social status is shown to act as a moderator of many of the relationships in the model. The findings of the study offer important implications for providers of child care and other consumer services that are high in credence qualities.     

Antecedents of mobile payment loyalty: An extended perspective of perceived value and information system success model

Drawing on the information system success model and perceived value theory, we develop a research model to examine factors that may affect user satisfaction and loyalty of mobile payment platforms. Empirical data was collected from users using Alipay and WeChat Pay in China, and a total of 410 valid responses were gathered for data analysis. The results show that the multi-dimensional formative perceived value including benefits and sacrifice is important determinant of mobile payment user satisfaction and loyalty. The three benefit dimensions of functional value, experiential value and social value are more important value components than the two sacrifice dimensions of risk and cost, and experiential value is the dominant component of mobile payment users' value perception. As for the antecedents of perceived value, system quality and service quality mainly affect perceived benefits, while information quality has a greater impact on risk. The research results provide the contribution of specific value dimensions to users' perceived value and the impact of quality characteristics on specific perceived value for mobile payment platform providers, thus helping them to adopt effective strategies to strengthen market competitiveness and retain existing users.     

Examining the consequences of customer-oriented deviance in retail

Retail employees sometimes breach company rules and policies in order to assist their customers. Referred to as customer-oriented deviance (COD), the phenomenon is defined as intentional behaviours that depart from the norms of a referent group in honorable ways. While researchers have begun to examine the important organisational contributions that positive deviance delivers, there have been calls to develop a better understanding of the direct and indirect consequences of such behaviours. Accordingly, conceptual model was tested on a sample of 390 frontline service employees, elucidating the complex relationships between COD behaviours, self-perceptions of service quality and organisational commitment intentions. The current research also examines the moderating effect of gender on these complex relationships. The model offers a strong psychological explanation of how an employee's COD behaviours impact on their self-perception of their service reliability, responsiveness, assurance and empathy, which leads to greater overall commitment to the organisation. This research also finds an employee's gender moderates several of these relationships. The work offers practitioners insight into the important role of employee empowerment in service organisations. The research calls for further empirical examinations of COD behaviours, including antecedents and the mediating roles of perceived risk and tenure.     

The role of emotions in utilitarian service settings: The effects of emotional satisfaction on product perception and behavioral intentions

The role of emotions in hedonic service settings is well established, but their role in utilitarian service settings has received scant attention. This research attempts to fill this gap by investigating the effects of customers’ perceptions of service quality and servicescape on their emotional reactions, and their perceptions of product quality and subsequent behavioral intentions. Data are collected from 189 clients/patients who visited an optometry clinic. The study reports that perceived service quality (reliability, responsiveness, assurance, and empathy) and service environment (atmosphere and layout) both increase positive emotional satisfaction. In turn, positive emotional satisfaction leads to a high perception of product quality, high recommendation, patronage intention, and likelihood of purchase. Additionally, product quality perceptions have a significant positive impact on behavioral intentions.     

Service Orientation: Its Impact on Business Performance in the Medical Service Industry

From the viewpoint of internal marketing, employees who are content in their job may be motivated to satisfy their customers better than ones who are not content. Another relevant premise is that the content employees, because of their work motivation, would eventually help improve the performance of their firm. To verify these relationships, some previous studies looked into the effects of organisational service orientation on employee's satisfaction. But only few of them investigated the mediating effects of variables such as service value and customer orientation for their role in linking service orientation to business performance. This study examines how an organisation's service orientation had an effect on its performance at hospitals. For this purpose, verification of the mediating role of service value perceived by employees as well as the role of customer orientation on the firm's performance was attempted. For this study, a total of 292 usable questionnaires were collected from hospital staffs located in metropolitan cities of Korea. The hypotheses concerning relationships among service orientation, service value, employee satisfaction and customer orientation were verified by covariance structural modelling, using SPSS 10.0 and AMOS 4.0 programs. The result is as follows. First, organisational service orientation had a positive effect on both employee satisfaction and service value perceived by hospital staff. Second, employee satisfaction had a positive impact on service value and customer orientation. Finally, service value as well as employee's customer orientation were found to exert positive influence on the medical firm's performance.     

Customer Satisfaction with Consumption Systems

ABSTRACT

Purpose: This research examines how satisfaction toward a product and its associated services offered together by a single provider jointly affects behavioral intentions toward the provider.

Design/methodology/approach: In this study, empirical tests were conducted using longitudinal data spanning 5 years from a multinational company that offers both products and associated services as part of a consumption system to their customers.

Findings: Results show a joint congruent effect of product and services satisfaction on behavioral intentions is linear and positive. It appears that offering great service cannot compensate for less-than-adequate satisfaction toward the product. The results further highlight decreasing customer sensitivity to improvements in both sources of satisfaction and imply that focusing on too high levels of one type of satisfaction for their customers can actually be counterproductive for firms.

Research Limitations: Our model was tested using the data obtained from a single firm. Future research could test this model with data from multiple firms in various different industries and establish broader generalizability to the findings.

Practical Implications: Findings provide managers with insights on how to allocate resources across product and service spaces and to manage product and services revenues over time. Results also indicate that customer behavioral intention ratings are more weighted on product quality over the service received by them. However, mere improvements in the product cannot provide the highest desired results and therefore quality improvements in the product need to be complemented by improvements in service quality.

Originality/Value: There is a rapid emergence of the phenomenon of manufacturers providing both products and services as an integrated consumption system to their customers. While the provision of both product and service subsystems by the same firm leads to certain synergies, there are obvious costs to the development of new service capabilities and coordination with existing product capabilities. Our research intends to address this issue.     

A New Look at the Antecedents and Consequences of Relationship Quality in the Hotel Service Environment

Abstract

As economic conditions improve, hotels are investing in new ways to improve service quality and perceived value that hopefully will lead to better customer satisfaction and loyalty. This study took a new look, with newly developed scales, at the antecedents and consequences of relationship quality in the hotel service environment to shed new light on the factors hotels have to deal with to achieve their objective of satisfied and loyal customers. Using a structural equation model, it was determined that the tangible and intangible factors of perceived value, timeliness, and hotel facilities are antecedents of hotel quality. Hotel quality, subsequently, is a determinant of both customer satisfaction and loyalty. However, consistent with previous research, customer satisfaction is not a guarantee of customer loyalty.     

The effects of service quality,perceived value and trust in home delivery service personnel on customer satisfaction: Evidence from a developing country

The rapid growth of online purchasing in recent years has emphasized the accompanying role of home delivery service provided by delivery personnel in ensuring customer satisfaction. On-time delivery, better service, generating positive customer perceived value, and trust towards service providers are influential factors that contribute to customer satisfaction. The aim of the study was to investigate the effects of service quality of home delivery personnel and perceived value on customer satisfaction, with trust playing an intervening role. It was conducted in Dhaka, Bangladesh, a less developed country with a new but rapidly growing digital sector. Data was collected from 259 respondents who received home delivery service, using a structured questionnaire. The conceptual model was analysed using partial least square structural equation modelling (PLS-SEM) with SmartPLS tool. The findings revealed that service quality, customer perceived value, and trust influenced customer satisfaction. The relationship between service quality and customer satisfaction and the relationship between customer perceived value and satisfaction were both partially mediated by trust. The findings contribute to the development and validation of a trust-based satisfaction model by extending the SERVQUAL model to incorporate perceived value in the presence of trust, while complying with expectation disconfirmation theory This study provides insights for managers to develop reliability and build trust in their service delivery personnel.     

Action control,proxy control,and consumers' evaluations of the service exchange

This article adopts a consumer's point of view, and extends current literature that models the relationships between consumers' control perceptions, service providers' fair behaviors, and consumers' satisfaction with the exchange. Perceived control is disassembled into action and proxy control and their differential actions in the service exchange discussed. This article models, for the first time, the joint effects of perceived control and service provider behaviors on consumer satisfaction by explicitly connecting service‐provider fair behaviors to consumers' perceptions of control. The results from two repeated‐measures experiments provide support for the hypotheses. Specifically, a multivariate analysis of the data demonstrated main effects for the experimental manipulations on perceived control, perceived fairness, satisfaction, and behavioral intentions. An interaction effect between perceived control and perceived fairness was also evident in one experiment. Future research and managerial implications are discussed. © 2004 Wiley Periodicals, Inc.     

A two-dimensional model of trust–value–loyalty in service relationships

The study examines the relationships between consumer trust (cognitive and affective), perceived value (utilitarian and hedonic), and loyalty behavioral intentions (repurchase and advocacy) in a two-dimensional (affect- and rational-based) consumer–service provider model. It provides an alternative theoretical representation of consumer behavior in service relationships and implications for service providers about consumers' loyalty intentions. A mail survey analyzed by SEM supports the model of loyalty as a function of consumers' expressive and instrumental responses resulting from intrinsic and extrinsic perceptions of trust and heuristic and rational-based perceived value. Implications for designing loyalty programs are explored and future research opportunities recommended.     

How managers in the financial services industry ensure financial performance

With the wide prevalence of the balanced scorecard, this study develops and empirically tests a model examining the relations between the customer perspective (relationship bonding tactics, perceived relationship investment, customer satisfaction, trust, commitment and customer behavioural loyalty) and the financial perspective (financial performance). A cross-departmental study in the financial services industry was conducted based on three consumer samples (department of Loans, Deposits, and Credit Cards) drawn from XYZ bank, one of the most famous banks providing merchant banking services in Taiwan. The results show that the customer perspective does have positively significant effects on financial performance, as proposed by the BSC (Balanced Scorecard) and SPC (Service Profit Chain). In addition, the findings suggest that customers purchase financial services according to their perceived relationship to investment retailers, with corresponding bonding tactics, which results in different levels of customer satisfaction and behavioural sequences, and is important in reinforcing customers' trust, commitment, repurchase intentions and corporate financial performance.