Customer lifetime value: the effect of relational benefits, brand experiences, quality, satisfaction, trust and commitment in the fast-food restaurants

Abstract

Purpose

This study examines factors that affect customer lifetime value (CLV) in fast-food restaurants (FFRs) in Jordan. These factors are relational benefits, brand experiences, service quality (SQ), satisfaction, trust and commitment.

Design/methodology/approach

An online survey was collected from a sample of 503 respondents. The authors used SPSS to test the constructs' relationships and analyse the data. SmartPLS was used to test the hypotheses.

Findings

In contrast to previous studies, not all dimensions of brand experiences and relational benefits had a significant and positive influence on relationship marketing outcomes (satisfaction, trust and commitment). On the other hand, results demonstrated that SQ had a significant and positive influence on relationship marketing outcomes. Furthermore, research reveals that satisfaction, trust and commitment significantly and positively influenced CLV.

Practical implications

Those FFRs that seek to enhance CLV should build solid and sustainable bonds with their customers. This paper concludes by stating its implications, its limitations and the opportunities available for future research.

Originality/value

This study, which is unique in the Middle East, includes essential strategies for managing customer relationship that can be universally applied to improve customer benefits and maximise the performance of businesses.

Citation

Dandis, A.O., Al Haj Eid, M., Griffin, D., Robin, R. and Ni, A.K. (2023), "Customer lifetime value: the effect of relational benefits, brand experiences, quality, satisfaction, trust and commitment in the fast-food restaurants", The TQM Journal, Vol. 35 No. 8, pp. 2526-2546. https://doi.org/10.1108/TQM-08-2022-0248