Mornay Roberts-Lombard and Daniël Johannes Petzer
Using the stimulus–organism–response (S–O–R) framework, this study investigates the role of trust (organism) in influencing the behavioural intentions (response) of emerging…
Abstract
Purpose
Using the stimulus–organism–response (S–O–R) framework, this study investigates the role of trust (organism) in influencing the behavioural intentions (response) of emerging market retail banking customers, based on the banks' selected customer-focused efforts (stimuli) to influence behavioural intentions. The study also looks at the moderating effects of customers' perceived value and the duration of their support on these relationships.
Design/methodology/approach
The data analysed were collected from 599 retail banking customers in an emerging market via a self-administered questionnaire.
Findings
Customer-focused efforts, except for expertise, significantly and positively influence trust. Trust partially mediates the relationships between the remaining customer-focused efforts and behavioural intentions. Furthermore, perceived value moderates the relationships between these stimuli and trust, excluding information sharing. The duration of customer support for the bank also moderates the relationships between these stimuli and trust, bar customer orientation.
Research limitations/implications
The study augments the understanding of trust's role as the organism from an S–O–R framework perspective.
Practical implications
The study assists banks in emerging markets in understanding trust's role in influencing customers' behavioural intentions, given the application of selected customer-focused efforts. It highlights the significance of perceived value and duration of customer support in the relationships between these customer-focused efforts and trust.
Originality/value
Using a single S–O–R framework, the role of trust in mediating the relationships between retail banks' selected customer-focused efforts and customers' behavioural intentions is uncovered.
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Irma Magaña Carrillo, Göran Svensson and María del Carmen Otero Neira
The purpose of this paper is to test a research model based on the cause-and-effect relationships between perceived justice, service satisfaction and behavioral intention.
Abstract
Purpose
The purpose of this paper is to test a research model based on the cause-and-effect relationships between perceived justice, service satisfaction and behavioral intention.
Design/methodology/approach
This paper is based on a questionnaire survey with service receivers in the Mexican telecom industry.
Findings
There are significant relationships between international/distributive justice and service satisfaction, as well as between service satisfaction and behavioral intention.
Research limitations/implications
The research model tested appears not to be context- and time-specific, but valid across contexts and through time.
Practical implications
The cause-and-effect relationships between perceived justice, service satisfaction and behavioral intention provide useful insights into service recovery strategies.
Originality/value
This paper provides additional empirical substantiations to existing theory and previous studies.
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Carmen Otero-Neira, Carmen Padin, Juan Carlos Sosa Varela, Maria Santos Corrada, Irma Magana and Goran Svensson
This paper aims to assess negative emotions in Mexican, Puerto Rican and Spanish service settings in the hospital industry. The paper also attempts to validate previous findings…
Abstract
Purpose
This paper aims to assess negative emotions in Mexican, Puerto Rican and Spanish service settings in the hospital industry. The paper also attempts to validate previous findings in existing theory and previous studies across three national samples and describes the similarities and differences in negative emotions between Mexican, Puerto Rican and Spanish service settings.
Design/methodology/approach
The current study comprised Mexicans, Puerto Ricans and Spaniards who experienced a service failure (i.e. critical incident) in hospital settings within the past year. A descriptive research design was followed, and a self-administered questionnaire was applied to gather the data from respondents.
Findings
The three-dimensional construct of negative emotions commonly identified in existing theory and previous studies of negative emotions turned out to be four in the current multinational study.
Research limitations/implications
The four-dimensional construct of negative emotions thus revealed is relevant and valuable to research. A number of research limitations are provided, all of which provide opportunities for further research in assessing negative emotions in service settings.
Practical implications
Service providers need to manage and deal with the negative emotions in service failures in an appropriate manner. It is necessary that the front-line staff identify and understand the reasons behind service receiver’s negative emotions in service failures, and that they act accordingly to reduce the intensity of critical incidents and the overall negative consequences.
Originality/value
The negative emotions assessed provide a fruitful contribution and do not only complement additional facets to existing theory and previous studies of negative emotions in service settings but also fortify the notion that further research is required to gain an enhanced understanding and additional insights into them across countries and cultures, just as it is crucial to manage the occurrence of negative emotions in critical incidents accurately.
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Tendai Douglas Svotwa, Charles Makanyeza, Mornay Roberts-Lombard and Olumide Olasimbo Jaiyeoba
This study aims to explore the influence of surprise and delight on the loyalty intentions of retail banking customers in an emerging market context. This study also considers the…
Abstract
Purpose
This study aims to explore the influence of surprise and delight on the loyalty intentions of retail banking customers in an emerging market context. This study also considers the moderating effect of trust on these relationships.
Design/methodology/approach
Using convenience and purposive sampling methods, data collection was secured from 350 customers in the retail banking industry who are delighted with their banks.
Findings
This study found that for delightful experiences to occur, customers need to be surprised and see value in the product/service offered by the retail bank, coupled with the expertise of employees in delivering the service.
Research limitations/implications
The sample’s demographic profile was mostly skewed towards the younger generation (individuals 20–39 years of ages), meaning the results could be biased towards this group.
Practical implications
Retail banks need to create delightful experiences, as they are more memorable and leave a permanent mark in customers’ minds.
Originality/value
Limited studies have explored the relationship between delight, its antecedents and outcomes in a developing African market context, such as Botswana, hence the contribution of this study to literature.
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Estelle van Tonder, Daniël J. Petzer, Naomi van Vuuren and Leon T. De Beer
The purpose of this paper is to explore the proposed relationships between perceived usefulness (a dimension of perceived value), the relationship quality factors (competence…
Abstract
Purpose
The purpose of this paper is to explore the proposed relationships between perceived usefulness (a dimension of perceived value), the relationship quality factors (competence trust and continuous commitment) and positive word-of-mouth intentions in an electronic banking setting.
Design/methodology/approach
A survey was conducted among 511 electronic banking customers.
Findings
Continuous commitment was found to mediate the relationships between perceived usefulness and competence trust with positive word-of-mouth intention, respectively.
Research limitations/implications
The results indicate the role of perceived value and relationship quality in contributing to positive word-of-mouth intention.
Practical implications
The findings could also guide banking institutions in managing their existing electronic banking customers more appropriately and to encourage them to engage in word-of-mouth behaviour that will convince other potential users of the benefits of the service.
Originality/value
Little is known on a mediated model noting the connection between perceived value, the relationship quality factors competence trust and continuous commitment and positive word-of-mouth intention. The findings provide more insight into the matter and accordingly contribute to the developing body of knowledge on perceived value, relationship quality and behavioural intention and their importance to the stream of research on positive word of mouth.
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Mornay Roberts-Lombard, Vernon Albert Pieterse and Lennet Gabriel
The study aims to explore how selected factors influence customer’s satisfaction in a business-to-consumer context. Furthermore, it also investigates the mediating role of…
Abstract
Purpose
The study aims to explore how selected factors influence customer’s satisfaction in a business-to-consumer context. Furthermore, it also investigates the mediating role of affective and calculative commitment on the satisfaction–loyalty link.
Design/methodology/approach
Using quota sampling methods, data was collected from 300 retail banking customers in an emergent market setting through self-administered questionnaires. In addition, the measurement and structural models were assessed.
Findings
The study established that satisfaction (through selective precursors) has a positive and significant influence on the future loyalty intentions of retail banking customers in an emerging market. Also, both affective and calculative commitment was found to partially mediate the satisfaction–loyalty relationship in a retail banking setting.
Research limitations/implications
The tested model validates the hypothesized relationships between employee attitude and service performance, employee personality traits, perceived value and satisfaction of retail banking customers in South Africa as an emergent market. It also confirms the positive influence of satisfaction on loyalty and the partial mediation of affective and calculative commitment on the satisfaction–loyalty link.
Practical implications
The findings of the study can guide retail banks in developing enhanced knowledge of how employee attitude and service performance, employee personality traits and perceived value can nurture satisfaction, ultimately strengthening the future loyalty intention of customers. It furthermore informs the management of retail banks of the directional importance of affective commitment and calculative commitment in strengthening the satisfaction–loyalty link.
Originality/value
Limited studies have investigated the relationship between satisfaction, its precursors and outcomes in a developing African market context, such as South Africa. Also, few studies have examined how commitment (affective and calculative) impacts the satisfaction–loyalty link from an emerging market perspective in Africa.
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Daniel J. Petzer and Estelle van Tonder
The purpose of this paper is to assess the mediating effect of customer engagement on the relationships between selected relationship quality and value antecedents (commitment…
Abstract
Purpose
The purpose of this paper is to assess the mediating effect of customer engagement on the relationships between selected relationship quality and value antecedents (commitment, customer satisfaction, trust and customer value), and the consequence (loyalty intentions) within the short-term insurance industry.
Design/methodology/approach
A descriptive research design that is quantitative in nature was followed and 491 responses from insurance customers were analysed.
Findings
Short-term insurers should facilitate customer engagement by implementing strategies that foster customer commitment, ensure customer satisfaction, build trust and create customer value. Facilitating customer engagement may lead to stronger loyalty intentions amongst customers towards the short-term insurer.
Research limitations/implications
The investigation offers a greater understanding of the relevance and importance of the customer engagement theory and the impact it may have in strengthening the relationships between factors of the relationship marketing domain and customer loyalty.
Practical implications
From a managerial perspective, it is evident that short-term insurers should facilitate customer engagement carrying out strategies that foster customer commitment, ensure customer satisfaction, build trust and create customer value.
Originality/value
Building on the work of earlier relationship and quality management scholars, the study provides new insight into the role and relevance of relationship quality and value factors and customer engagement, while simultaneously being assessed for their contribution to customer loyalty.
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Daniel J. Petzer, Christine F. De Meyer-Heydenrych and Göran Svensson
The interactional and distributive dimensions of perceived justice as one of its objectives are to reveal the link between perceived justice and service satisfaction (SS). The…
Abstract
Purpose
The interactional and distributive dimensions of perceived justice as one of its objectives are to reveal the link between perceived justice and service satisfaction (SS). The purpose of this paper is to consider the influence of the perceived justice that South African retail bank customers experience based on the service recovery efforts of these banks in response to their complaints, the customers’ SS, and, consequently, the behavioral intention (BI) toward these banks.
Design/methodology/approach
This study focuses on the perceived justice construct where a service failure has occurred followed by a customer complaint and a resultant service provider response. In total, 281 respondents completed a structured self-administered questionnaire.
Findings
The study found that interactional and distributive justice (DJ) experienced in response to the service recovery efforts of a bank significantly and positively influence SS, and that SS in turn significantly and positively influences the BI of these customers. However, it was found that interactional and DJ had no direct effect on BI.
Research limitations/implications
The research model tested addresses the interfaces between service receivers’ perception of interactional justice, distributional justice and SS as well as the interface between SS and BI. The tested research model indicates that both are interrelated through SS.
Practical implications
It is evident from the findings that retail banks should utilize the service encounter that follows a customer complaint as a desirable prospect to implement strategies to recover from service failures in an effort to bring about perceived justice that will ultimately influence customers’ levels of SS and BI.
Originality/value
This study makes a complementary contribution to previous studies and existing theory building a nomological framework of constructs in service encounters consisting of service receivers’ perceived justice, SS and BI.
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Ronnie Kritzinger and Daniël Johannes Petzer
The purpose of this paper is to examine specific gratifications obtained from using mobile instant messaging (MIM) applications by applying the uses and gratifications theory…
Abstract
Purpose
The purpose of this paper is to examine specific gratifications obtained from using mobile instant messaging (MIM) applications by applying the uses and gratifications theory. This study explores the relationships between motivational factors, customer engagement and loyalty for existing WhatsApp subscribers in South Africa, as well as the moderating effect of application usage.
Design/methodology/approach
A descripto-explanatory research design was used in this quantitative study and 282 responses from an online survey were analysed. Structural equation modelling was used to test the study’s hypotheses.
Findings
The study reveals that utilitarian and hedonic motivation impact customer engagement positively in using WhatsApp, which, in turn, impacts loyalty. Social motivation in using WhatsApp bore no relationship with customer engagement. Furthermore, medium application usage moderates the link between customer engagement and utilitarian and hedonic motivation.
Research limitations/implications
The study offers a greater understanding of customer engagement and motivational factors in the MIM environment. Future studies could consider more complex relationships with customer engagement in using MIM apps focussed on a younger generation.
Practical implications
MIM service providers should enhance customer engagement by tracking user activity and identifying customers who need to use an app more by targeting their utilitarian and hedonic needs through sophisticated marketing strategies.
Originality/value
This research enriches the understanding of key motivational factors impacting customers’ continued engagement towards using MIM, as opposed to the adoption thereof.
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Mornay Roberts-Lombard and Daniël Johannes Petzer
The purpose of this research is to develop an enhanced understanding of the drivers of trust and loyalty in a conventional and Islamic banking setting.
Abstract
Purpose
The purpose of this research is to develop an enhanced understanding of the drivers of trust and loyalty in a conventional and Islamic banking setting.
Design/methodology/approach
The study’s sample included South African retail bank customers who had Islamic or conventional products and who were 18 years or older. A field services company collected data from respondents through the distribution of self-administered questionnaires and a total of 949 questionnaires were deemed suitable for data analysis. SmartPLS 3.2.7 and Hayes Process Macro for SPSS tested the study’s hypotheses.
Findings
Comparing conventional banking customers with Islamic banking customers, the path from trust to customer loyalty was statistically significantly different across customer type, while the paths between trust and customer orientation, information sharing, and service fairness were not statistically significantly different across customer type. A closer examination of the path coefficients reveals that the relationship between trust and loyalty is stronger for conventional banking customers than for Islamic banking customers.
Practical implications
The findings of the study guide both conventional and Islamic banks in South Africa on how banks should redesign their purpose as the providers of financial resources to their customer segments. It highlights the need for these banks to secure a more focused approach on how to deliver financial resources and consulting services to customers in a trusting, engaging and reliable manner.
Originality/value
The study provides insight into Islamic and retail bank customers’ perceptions of the drivers of trust and loyalty and how these constructs’ interrelationships differ between Islamic and conventional banking customers.