Using Structural Equation Modelling to Evaluate the Service Quality, Satisfaction and Customer's Loyalty in Hypermart Department Store, Bangkalan, Indonesia
Keywords:
hypermart department store, loyalty, satisfaction, service quality
Abstract
The aim of this research is to investigate the relationships among service quality, satisfaction, and custo- mer loyalty in a department store context. The sample consisted of 198 respondents who had visited the Department store of Hypermart in Bangkalan Town Square. A structured questionnaire, with a five-point Likert scale, was used. Confirmatory factor analysis (CFA) and structural equation modeling (SEM) were used to analyse the casual relationships between service quality, customer satisfaction, and customer loyalty and to evaluate the hypotheses regarding relationships among model constructs. All the hypotheses developed in the study were positively confirmed, reinforcing the theory and previous research on this field. The study also reveals interesting implications in service quality, satisfaction, and customer loyalty, useful to academics and practitioners. Managers will find this research helpful in better understanding these variables and their roles on their bussiness' performance. This study could not be generalized widely to other locations or countries. In conclusion is that service quality had the highest correlation with customer satisfaction, but the other independent variables also significantly influence customer loyalty within an department store environment. The implication is that department store need to focus on service quality in order to improve customer satisfaction and customer loyalty. The limitations and recommendations for future research were also included in this study.
Downloads
How to Cite
References
Thomas Alejandro, Daniela Souza, James Boles, Áurea Ribeiro, Plinio Monteiro (2011) The outcome of company and account manager relationship quality on loyalty, relationship value and performance. 40(1), 36-43. https://doi.org/10.1016/j.indmarman.2010.09.008
James Anderson, David Gerbing (1988) Structural equation modeling in practice: A review and recommended two-step approach. 103(3), 411-423. https://doi.org/10.1037/0033-2909.103.3.411
Anderson E, Sullivan MW (1993) The antecedents and consequences of customer satisfaction for firms. Mark. 12(2), 125-143.
J. Bloemer, J. Kasper (1995) The complex relationship between consumer satisfaction and brand loyalty. 16, 311-329.
Harvir Bansal, P. Irving, Shirley Taylor (2004) A Three-Component Model of Customer to Service Providers. 32(3), 234-250. https://doi.org/10.1177/0092070304263332
P. Bentler (1990) Comparative fit indexes in structural models. 107, 237-246.
Ruth Bolton, James Drew (1991) A Multistage Model of Customers' Assessments of Service Quality and Value. 17(4), 375. https://doi.org/10.1086/208564
William Boulding, Ajay Kalra, Richard Staelin, Valarie Zeithaml (1993) A Dynamic Process Model of Service Quality: From Expectations to Behavioral Intentions. 30(1), 7-27. https://doi.org/10.1177/002224379303000102
M. Browne, R. Gudeck (1992) Alternative Ways of Assessing Model Fit.
V. Chau, Y. Kao (2009) Bridge over troubled water or long and winding road? Gap-5 in airline service quality performance measures. 19(1), 106-134.
Wynne Chin, Peter Todd (1995) On the Use, Usefulness, and Ease of Use of Structural Equation Modeling in MIS Research: A Note of Caution. 19(2), 237-246. https://doi.org/10.2307/249690
J. Cronin, S. Taylor (1992) Measuring Service Quality: A Reexamination and Extension. 56(3), 55-88.
J. Cronin, Michael Brady, G. Hult (2000) Assessing the effects of quality, value, and customer satisfaction on consumer behavioral intentions in service environments. 76(2), 193-218. https://doi.org/10.1016/s0022-4359(00)00028-2
John Dotchin, John Oakland (1994) Total Quality Management in Services Part 2: Service quality. 11(3), 27-42. https://doi.org/10.1108/02656719410056468
L. Du Plessis (2010) Customer relationship management and its influence on customer loyalty at Liberty Life in South Africa.
Claes Fornell (1992) A National Customer Satisfaction Barometer: The Swedish Experience. 56(1), 6-21. https://doi.org/10.1177/002224299205600103
Johnson Fornell (1991) A Framework for Comparing Customer Satisfaction across Individuals and Product Categories. 12, 267-286.
M. Johnson, T. Andreessen, L. Lervik, J. Cha (2001) The evolution and future of national customer satisfaction index models. 22(2), 217-245. https://doi.org/10.1016/s0167-4870(01)00030-7
Michael Jones, Jaebeom Suh (2000) Transaction‐specific satisfaction and overall satisfaction: an empirical analysis. 14(2), 147-159. https://doi.org/10.1108/08876040010371555
P. Kotler (2000) Marketing Management.
Lenka Usha, Suar Damodar, Mohapatra Pratap, K. (2009) Service Quality, Customer Satisfaction, and Customer Loyalty in Indian Commercial Banks. 18, 47-64.
Robert Morgan, Shelby Hunt (1994) The Commitment-Trust Theory of Relationship Marketing. 58(3), 20-38. https://doi.org/10.1177/002224299405800302
J. Nunnally (1978) Psychometric theory.
R. Oliver, R. Rust, S. Varki (1997) Customer delight: Foundations, findings, and managerial insight. 73(3), 311-336. https://doi.org/10.1016/s0022-4359(97)90021-x
V. Paulins (2005) An analysis of customer service quality to college students as influenced by customer appearance through dress during the in-store shopping process. 12(5), 345-355. https://doi.org/10.1016/j.jretconser.2004.11.003
N. Siu, J. Cheung (2001) A measure of retail service quality. 19(2), 88-96. https://doi.org/10.1108/02634500110385327
Richard Spreng, Robert Mackoy (1996) An empirical examination of a model of perceived service quality and satisfaction. 72(2), 201-214. https://doi.org/10.1016/s0022-4359(96)90014-7
Bernhard Swoboda, Frank Haelsig, Dirk Morschett, Hanna Schramm‐klein (2007) An intersector analysis of the relevance of service in building a strong retail brand. 17(4), 428-448. https://doi.org/10.1108/09604520710760553
R. Varley, M. Rafiq (2004) Principles of retail management.
Y. Wang, H. Lo, Y. Yang (2004) An Integrated Framework for Service Quality, Customer Value, Satisfaction: Evidence from China's Telecommunication Industry. 6(4), 325-340.
D. Wilson (1995) An Integrated Model of Buyer-Seller Relationships. 23(4), 335-345. https://doi.org/10.1177/009207039502300414
Valarie Zeithaml, Leonard Berry, A. Parasuraman (1996) The Behavioral Consequences of Service Quality. 60(2), 31-46. https://doi.org/10.1177/002224299606000203
V. Zeithaml, M. Bitner, D. Gremler (2009) Service Marketing: Integrating Customer Focus Across the firm.
(2012) nnouncement/ANNOUNCEMENTSTOCK/Exchange/ PENG-00009_BEI-PPJ_ER_02-2012. http://www.idx.co.id/Portals/0/StaticData/NewsAndAnnouncement/ANNOUNCEMENTSTOCK/Exchange/PENG-00009_BEI-PPJ_ER_02-2012.pdf
Published
2013-08-01
Issue
Section
License
Copyright (c) 2013 Authors and Global Journals Private Limited
This work is licensed under a Creative Commons Attribution 4.0 International License.