Michael Daniel Clemes, Zurinawati Mohi, Xuedong Li and Baiding Hu
The purpose of this paper is to develop and test a comprehensive hierarchical model of the interrelationships among five higher order marketing constructs (service quality…
Abstract
Purpose
The purpose of this paper is to develop and test a comprehensive hierarchical model of the interrelationships among five higher order marketing constructs (service quality, customer satisfaction, perceived value, restaurant image and behavioural intentions) for moderate upscale restaurants in Malaysia. A third order conceptualisation of service quality is also included in the empirical analysis.
Design/methodology/approach
The data were analysed using exploratory factor analysis, confirmatory factor analysis and structural equations.
Findings
Service quality, customer satisfaction and restaurant image all have a strong, positive impact on the behavioural intentions of moderate upscale restaurant patrons. Service quality, perceived value and restaurant image are also important determinants of customer satisfaction. Behavioural intentions to re-patronise a restaurant and recommend it to friends are influenced more strongly by restaurant image than by customer satisfaction. Three primary dimensions and ten pertaining sub-dimensions are modelled in the third order conceptualisation of service quality. The primary and sub-dimensions also vary in importance amongst the customers in the sampling frame.
Originality/value
This is the first empirical research that develops and tests a comprehensive hierarchical model for moderate upscale restaurants to provide a complete and integrative analysis of a service setting. The interrelationships among service quality, customer satisfaction, perceived value restaurant image and behavioural intentions are assessed. A third order conceptualisations of service quality is also included in the modelling framework.
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Juhaida Abu Bakar, Michael Daniel Clemes and Kathryn Bicknell
The purpose of this paper is to develop and test a comprehensive hierarchical model of behavioural intentions in the Malaysian retail banking industry.
Abstract
Purpose
The purpose of this paper is to develop and test a comprehensive hierarchical model of behavioural intentions in the Malaysian retail banking industry.
Design/methodology/approach
The data were analysed using EFA, CFA and structural modelling.
Findings
The findings illustrate that customer satisfaction is the most important determinant of behavioural intentions, followed by switching costs, corporate image and perceived value. Service quality is indirectly related to behavioural intentions and customer satisfaction mediates the relationship between the two constructs. Customer satisfaction is strongly influenced by service quality, corporate image and perceived value. Service quality is also an antecedent of perceived value, corporate image and switching costs. The empirical results also support a hierarchical and multidimensional approach for conceptualising and measuring customers’ perceptions of service quality.
Research limitations/implications
The comprehensive hierarchical model developed in this research can be used as framework for additional studies on the banking industry.
Practical implications
The findings provide Malaysian bank managers with empirically-based insights into behavioural intentions and offer guidelines for assessing and improving service quality.
Originality/value
This is the first study that uses comprehensive hierarchical modelling to synthesise the effects of service quality, customer satisfaction, perceived value, corporate image and switching costs on the behavioural intentions of retail bank customers.
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Michael Daniel Clemes, David L. Dean and Thongkern Thitiya
This research develops and tests a comprehensive hierarchical model of the behavioural intentions of day spa customers.
Abstract
Purpose
This research develops and tests a comprehensive hierarchical model of the behavioural intentions of day spa customers.
Design/methodology/approach
The primary data was collected from the customers of 17 day spas throughout Thailand. EFA and SEM were used to analyse the data and test the interrelationships among service quality, customer satisfaction, perceived value, perceived switching costs and behavioural intentions. A third-order conceptualisation of service quality is also included in the modelling framework.
Findings
Customer satisfaction is the key determinant of behavioural intentions. Service quality and perceived value are two important descriptors of customer satisfaction. Service quality is the most important determinant of customer satisfaction, and customer satisfaction is the most significant antecedent of behavioural intentions. Service quality is a significant determinant of perceived value and perceived switching costs. Customer satisfaction plays a partial mediating role on the relationship between service quality and behavioural intentions and between perceived value and behavioural intentions.
Originality/value
There is a conceptual gap in the literature as no published empirical research on the day spa industry has comprehensively modelled the behavioural intentions of day spa customers. The comprehensive hierarchical modelling approach used in this study provides a complete and integrative analysis of the constructs under investigation in a day spa context and closes the research gap.
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Michael D. Clemes, Christopher Gan and Dongmei Zhang
There is intense competition and increasing globalisation in financial markets. Bank management must develop customer‐oriented strategies in order to compete successfully in the…
Abstract
Purpose
There is intense competition and increasing globalisation in financial markets. Bank management must develop customer‐oriented strategies in order to compete successfully in the competitive retail banking environment. The longer a bank can retain a customer, the greater revenue and cost savings from that customer. China's accession to the World Trade Organisation (WTO) has resulted in the liberalisation and deregulation of China's financial services market. Chinese customers now have greater choices between domestic and foreign banks. This study aims to identify and analyse the factors that influence bank customers' switching behaviour in the Chinese retail banking industry.
Design/methodology/approach
The data for this analysis was obtained using a convenience sample of 421 bank customers in Jiaozuo City, Henan Province, China. The decision to switch banks is hypothesised to be a function of price, reputation, service quality, effective advertising competition, involuntary switching, distance, switching costs, distance, and demographic characteristics. Factor analysis and logistic regression are used to analyse the data and identify and rank the factors that impact on the bank switching behaviour of customers.
Findings
The research findings reveal that price, reputation, service quality, effective advertising, involuntary switching, distance, and switching costs impact on customers' bank switching behaviour. The findings also reveal that the young and high‐income groups are more likely to switch banks.
Practical implications
The results of this research allow service marketers and practitioners to develop and implement service marketing strategies to decrease customer defection rates, and in turn, increase bank profits. Furthermore, this research provides useful information for future researchers investigating customer switching behaviour in the retail banking industry.
Originality/value
This paper provides an empirical analysis of Chinese bank switching behaviour and provides a framework for future studies on the behaviour of bank customers.
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Christopher Gan, Mike Clemes, Visit Limsombunchai and Amy Weng
In this paper the competitive landscape of financial institutions is shifting and internet banking is no longer a competitive advantage but a competitive necessity for banks…
Abstract
Purpose
In this paper the competitive landscape of financial institutions is shifting and internet banking is no longer a competitive advantage but a competitive necessity for banks. However, a limited number of empirical studies have been published in the marketing literature about electronic banking. This paper seeks to examine consumers' choices between electronic banking and non‐electronic banking in New Zealand.
Design/methodology/approach
The paper shows that the data for this analysis were obtained through a mail survey sent to 1,960 households in New Zealand. The decision to use electronic banking is hypothesised to be a function of service quality dimensions, perceived risk factors, user input factors, price factors, service product characteristics, individual factors and demographic variables such as age, gender, marital status, income, etc. Logistic regression is used to analyse the data. The discrete dependent variable measures whether an individual is an electronic banking or non‐electronic banking user.
Findings
The findings in the paper show that the output from the logistic regression indicates that the service quality, perceived risk factors, user input factors, employment, and education are the dominant variables that influence consumers' choice of electronic banking and non‐electronic banking channels.
Practical implications
This paper provides an improved understanding of consumers' choice between electronic and non‐electronic banking. This paper also identifies new relationships, and provides findings that further support, confirm, or contradict previous studies. In addition, it provides insights into the links between electronic banking and consumer decision making, to help provide strategies, recommendations and guidelines for the banking industry.
Originality/value
The paper shows how banks are developing, and utilizing new alternative distribution channels to reach their customers.
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Michael Daniel Clemes, Xin Shu and Christopher Gan
Global mobile communication is one of the most dynamic and important service markets. Several researchers suggest using a theoretical approach to develop a much deeper insight…
Abstract
Purpose
Global mobile communication is one of the most dynamic and important service markets. Several researchers suggest using a theoretical approach to develop a much deeper insight into key marketing constructs such as service quality, customer perceived value, customer satisfaction, perceived switching costs, corporate image, and customer loyalty is of vital importance to the mobile communications market. This study aims to develop and test a comprehensive hierarchical model of these six important constructs. The model also incorporates the retailing function of a major mobile communication provider.
Design/methodology/approach
The research sample of 516 was drawn from customers of one of the largest mobile communications service providers in China. The data were analysed using exploratory factor analysis, confirmatory factor analysis and structural equation modelling.
Findings
The results of the study support using a hierarchical and multidimensional approach for conceptualising and measuring customers' perceptions of service quality in the mobile communications market. In addition, the findings illustrate that service quality is an important determinant of customer perceived value, customer satisfaction, corporate image, and perceived switching costs. Customer perceived value is also an antecedent of customer satisfaction. Corporate image, customer satisfaction, and perceived switching costs are three key drivers of customer loyalty. However, the findings also indicate that corporate image is not an important determinant of customer satisfaction and that customer perceived value is not a key driver of customer loyalty.
Originality/value
This is the first paper that has developed and tested a comprehensive hierarchical model of the mobile communications market.
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Azmat Gani and Michael D. Clemes
The purpose of this paper is to present an empirical study of the contribution of the services sector to per capita economic growth for Pacific Island countries.
Abstract
Purpose
The purpose of this paper is to present an empirical study of the contribution of the services sector to per capita economic growth for Pacific Island countries.
Design/methodology/approach
Within the new growth theory framework, the empirical procedure consisted of the regression analysis of data using the panel data fixed effects procedure.
Findings
The results confirm the positive and statistically significant correlation of services growth to per capita gross domestic product growth.
Research limitations/implications
Limitations largely centre on the use of aggregate cross‐country data. Variations may be found in what actually drives the services growth at the country level. Thus, a country‐specific study would be more appropriate in order to get more robust results. Also, the data do not capture the effect of non‐market services. Disaggregate services data that separate market data services with non‐market services would provide a more accurate picture of the influence of non‐market services.
Practical implications
The practical implication is that that service sectors in the Pacific Island countries ought to be given greater support, for example, investment in physical and institutional infrastructure, market access, financial support, skill development and investment incentives.
Social implications
Pacific Islands services sectors contribute to household welfare through paid employment and meet household demands of service sector output.
Originality/value
This paper presents the first study among the Pacific Island countries that has examined the importance of services sector and its contribution to growth. The findings of this study are useful to Pacific policy makers in terms of improving the services sector through instituting appropriate growth enhancing policies.
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Elisabeth Happ, Ursula Scholl-Grissemann, Mike Peters and Martin Schnitzer
Offline retail stores have been working on improving their in-store customer experience; they have begun to realise the physical advantage they have over online channels…
Abstract
Purpose
Offline retail stores have been working on improving their in-store customer experience; they have begun to realise the physical advantage they have over online channels. Especially sports products have a number of unique features, such as high emotional involvement or a sense of community; additionally, sports customers put emphasis on multisensory brand experience at the point of sale. This study examines the in-store customer experience (ISCX) in offline sports retail stores, taking into account the commercial uniqueness of sport.
Design/methodology/approach
A qualitative study (focus groups; n = 16) and quantitative survey (cross-sectional survey design; n = 238) were conducted to measure ISCX in sports retail stores.
Findings
The results suggest that the customers' in-store experience has a significant influence on customers' satisfaction with the sports retailer and their likeliness to recommend the store to friends, which, in turn, is significantly affected by customers' satisfaction with the retailer. Moreover, social responses to actors involved in the service encounter, for example, the interaction with employees, play a significant role for the customer in-store experience. Accordingly, sports customers strive not only for functional benefits inherent in the interaction with customers and employees but also for social benefits.
Originality/value
This study extends the knowledge by (1) replicating the ISCX scale, (2) analysing ISCX in a sports retail environment and (3) examining the influence of ISCX on the Net Promoter Score. Moreover, the findings support managers' know-how about in-store setting and help to maintain the customer relationship.
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Simulating Earthquakes at Siemens. The more intricate a device or the more complex a system, the more important is product evaluation and testing say Siemens. Over the years, the…
Abstract
Simulating Earthquakes at Siemens. The more intricate a device or the more complex a system, the more important is product evaluation and testing say Siemens. Over the years, the company has built up a test facility in Munich to evaluate a wide range of products and systems under a variety of differing, and often gruelling, environmental conditions. Staffed by some 80 specialists from most of the engineering disciplines, with the emphasis on non‐destructive testing techniques, Siemens claim their facility is one of the most comprehensive testing centres in Europe.