Journal Screenshot

International Journal of Academic Research in Business and Social Sciences

Open Access Journal

ISSN: 2222-6990

The Influence of Customer Experience on Customer Loyalty in Telecommunication Industry

Noorain Imbug, Sylvia Nabila Azwa Ambad, Imbarine Bujang

http://dx.doi.org/10.6007/IJARBSS/v8-i3/3909

Open access

This study aims to examine the relationship between customer experiences and customer loyalty in the context of telecommunication industry. A self–administrated questionnaire was distributed to 248 network service subscribers as a sample of this study. PLS approach to Structural Equation Modelling (SEM) was applied to data analysis. In the second-order model derived from the results, customer experience is decomposed into 3 dimensions, namely core service, charging, and brands, which have a significant impact towards customer loyalty. It is concluded that customer experience positively influenced customer’s loyalty. The study’s results have important implications for the durability of customer relationship with the service provider since it provides the best practice guideline in building customer loyalty through customer experience. Designing good customer experience will ensure telecommunication industry to perform well. Furthermore, this paper hopes to enhance marketing manager’s knowledge and understanding of the effect of customer experience towards customer loyalty. Thus, they will be able to precisely maneuver the identified determinants that contribute towards greater customer experiences

Athanassopoulos, A. D., & Iliakopoulos, A. (2003). Modelling customer satisfaction in telecommunication : assessing the effects of multiple transaction points on the perceived overall perfomance of the provider. Production and Operation Managament , 12, 22-245. doi: 10.1111/j.1937-5956.2003.tb00502.x
Aydin, S., & Özer, G. (2005). The analysis of antecedents of customer loyalty in the Turkish mobile telecommunication market. European Journal of Marketing, 39(7/8), 910-925. doi:10.1108/03090560510601833
Bagdare, S., & Jain, R. (2013). Measuring retail customer experience. International Journal of Retail & Distribution Management, 41, 790–804. doi:10.1108/IJRDM-08-2012-0084
Bagozzia, R. P., Yib, Y., Nassenc, K. D. (1998). Representation of measurement error in marketing variables: review of approaches and extension to three-facet designs. Journal of Econometrics, 89(1-2), 393-421. doi: 10.1016/S0304-4076(98)00068-2
Bagozzi, R. P., Gopinath, M., & Nyer, P. U. (1999). The role of emotions in marketing. Journal of the Academy of Marketing Science, 27(2), 184.
Barclay, D., Higgins, C., & Thompson, R. (1995). The Partial Least Square (PLS) approach to causal modeling : personal computer adopation and use an illustration ( special issue on research methdology). Technology Studies, 2 (2), 285-309
Barsky, J., & Nash, L. (2002). Evoking emotion: affective keys to hotel loyalty. The Cornell Hotel and Restaurant Administration Quarterly, 43(1), 39-46. doi:10.1177/0010880402431004
Becker, J. M., Klein, K., & Wetzels, M. (2012). Hierarchical latent variable models in PLS-SEM: Guidelines for Using Reflective-Formative Type Models. Long Range Planning, 45(5) 359-394. doi:10.1016/j.lrp.2012.10.001
Bennet, R. (2001). A study of brand loyalty in the business-to-business services sector. Management Review, 23(3):249-258.
Berry, L. L., Carbone, L. P., & Haeckel, S. H. (2002). Managing the total customer experience.
Sloan Management Review, 43(3), 85–89. 43(3), 85-89.
Carbone, L. P. (1998). Total customer experience drives value. Management Review, 87(7) 62.
Carbone, L. P. & Haeckel, S. H. (1994). Engineering customer experiences. Marketing Management, 3(3) 8-19.
Chen, C., & Cheng, L. (2012). A study on mobile phone service loyalty in Taiwan. Total Quality Management and Business Excellence, doi: 10.1080/14783363.2012.661129.
Chin, W. W., Peterson, R. A., & Brown, S. P. (2008). Structural Equation Modeling in marketing: some practical reminders. Journal of marketing theory and practice, 16(4), 287-298
Chung?Y. W., & Wu, L. W. (2012). Customer loyalty and the role of relationship length. Managing service quality: An International Journal. 22(1)58-74.
Churchill, Jr. G. A., & Surprenant, C. (1982). An investigation into the determinants of customer satisfaction. Journal of marketing research, 491-504. doi: 10.2307/3151722
Cohen, J. (1998). Statistical Power Analysis For The Behavioral Science ( 2nd ed). Hillsdale NJ : Lawrence Erbaum Associate
Cropanzano, R., & Mitchell, M. S. (2005). Social Exchange Theory: An interdiscplinary review. Journal of Management , 31 (6), 874-900. doi: 10.1177/0149206305279602
Delgado, E. B., & Munuera?Alemán, J. L. (2005). Does brand trust matter to brand equity. Journal of Product & Brand Management,14(3)187-196. doi: .org/10.1108/10610420510601058
Donovan, R. J., & Rossiter, J. R. (1982). Store atmosphere: an environmental psychology approach. Journal of Retailing, 58(1) 34-57
Faul, F., Erdfelder, E., Lang, A-G., & Buchner, A. (2007). G* Power a flexible statistical power analysis program for the social , behaviour and biomedical science. Behaviour Research Methods. 39, 175-191.
Fornell, C., & Larcker, D. (1981). Evaluating Structural Equation Models with unobservable variables and measurment error. Journal of Marketing Research, 18(3), 39-50. doi: 10.2307/3151312
Frost & Sullivan’s Malaysia. (2014). Telecommunications Services Customer Experience 0nline. October –

In-Text Citation: (Imbug, Ambad, & Bujang, 2018)
To Cite this Article: Imbug, N., Ambad, S. N. A., & Bujang, I. (2018). The Influence of Customer Experience on Customer Loyalty in Telecommunication Industry. International Journal of Academic Research in Business and Social Sciences, 8(3), 100–113.