Ala' Omar Dandis, Mohammad Al Haj Eid, Denis Griffin, Robin Robin and Arnt Kyawt Ni
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…
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.
Details
Keywords
Ala’ Omar Dandis, Donna Marie Wallace-Williams, Arnt Kyawt Ni, Len Tiu Wright and Yousef Ibrahim Abu Siam
The aim of this study is to examine the role of relational benefits and brand experience measurements on willingness to pay more (WPM), effects of word of mouth (WOM) and…
Abstract
Purpose
The aim of this study is to examine the role of relational benefits and brand experience measurements on willingness to pay more (WPM), effects of word of mouth (WOM) and repurchase intention (RI) in fast-food restaurants (FFR).
Design/methodology/approach
Employing an online questionnaire survey with a sample size of 503 respondents, the quantitative methodology included multiple regression and factor analysis to facilitate the analyses of data.
Findings
Relational benefits and their dimensions (confidence, special treatment and social benefits) found to positively impact WPM, WOM and RI. With reference to brand experiences, the current study found that behavioural and intellectual experiences have significant and positive effects on WPM, WOM and RI. Surprisingly, no positive significance was identified between sensory experiences and WPM, WOM and RI.
Practical implications
The findings show that relational benefits and brand experience dimensions play an essential role in improving brand loyalty.
Originality/value
The current study subscribes to the concept of relationship marketing theory, suggesting that loyalty to FFRs can be enhanced by offering customers relational benefits and augmenting their brand experiences.