the relationship & impacts of service quality, perceived value, customer satisfaction, and image
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TRANSCRIPT
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Relationships & Impacts of
Service quality, perceived value,
customer satisfaction, and image
An Empirical Study
Presenter: Sharon Chang Instructor: Dr. Pi-Ying Hsu Date: May 20, 2013
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Citation
Hu, H.-H., Kandampully, J., Juwaheer, T. D. (2009). Relationships and impacts of service quality, perceived value, customer satisfaction, and image: An empirical study. The Service Industries Journal, 29(2), 111-125.
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IntroductionLiterature ReviewMethodologyResult & ConclusionReflection
Introduction
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Introduction
Background
Given the global nature of the market, competing firms are constantly seeking to project their firms’ superior quality of service, customer-perceived value, and image in order to gain customer loyalty.
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Introduction
PurposeThis empirical study seeks to understand the relationships that exist between service quality and perceived value and how they impact customer satisfaction, corporate image, and behavioural intentions.
Literature Review
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H1: Perceived quality has positive impacts on behavioural intentions.
Literature Review
The positive relationships between service quality and repurchase intentions and willingness to recommend.
(Boulding & Karla & Staelin & Zeithaml, 1993)
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Literature Review
Service quality is an important driver of perceived customer value.
(Cronin et al., 2000; Parasuraman & Grewal, 2000)
H2: Service quality has positive impacts on perceived value.
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Literature Review
Perceived value contributes directly to customer satisfaction which, in turn, leads to future intentions.
(McDougall & Levesque, 2000)
H3: Perceived value has positive impacts on behavioural intentions.
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Customer satisfaction is a post-consumption experience which compares perceived quality with expected quality, whereas service quality refers to a global evaluation of a firm’s service delivery system.
(Anderson & Fornell, 1994)
H4: Service quality has positive impacts on customer satisfaction.
Literature Review
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Literature Review
Service quality and satisfaction are distinct constructs, and there is a causal relationship between the two, and that perceptions of service quality affect feelings of satisfaction which, in turn, influence future purchase behaviour.
(Hurley & Estelami, 1998)
H5: Perceived value has positive impacts on customer satisfaction.
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Literature Review
Corporate image is built mainly by technical quality what the customer receives from the service experience, and functional quality: the manner in which the service is delivered.
(CrÖnroos, 1984)
H6: Service quality has positive impacts on corporate image.
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Literature Review
A company will have a strong image if customers believe that they are getting high value when they buy from it.
(Barich and Lotler, 1991)
H7: Perceived value has positive impacts on corporate image.
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Literature Review
H8: Customer satisfaction has positive impacts on corporate image.
Satisfaction levels derived from each service encounter are viewed as having an effect on image assessments.
(Nguyen & LeBlanc, 1998)
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Literature Review
Corporate image serves as an important factor influencing customer loyalty, and a favourable image can influence repeat patronage.
(Andreassen & Lindestad, 1998; Dick & Basu, 1994)
H9: Corporate image has positive impacts on behavioural intentions.
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Literature Review
Zeithaml et al. (1996)
H1
H2
H3
H4
H5
H6
H7
H8 H9
- Conceptual model -
Methodology
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Methodology
SampleThree
categories•Namely luxury (26%)•Mid-scale (64%)•Economy hotels (10%)
Location
•
Participants
•1500 participants
Bilingual country (French & English)
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Methodology
1 2 3 4 5 6 7
Completely disagree Disagree Disagree
somewhat Undecided Agree somewhat Agree Completely
agree
- Instrument -Service quality –
Multiple-item scale of SERVQUAL from Parasuraman et al. (1988)
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Methodology
Perceived value –
Three items were adapted from Cronin et al. (2000)
1 2 3 4 5 6 7
Strongly disagree Disagree Disagree
somewhat Undecided Agree somewhat Agree Strongly
agree
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Methodology
Customer satisfaction - 1 2 3 4 5 6 7
Very dissatisfied Dissatisfied Dissatisfied
somewhat Undecided Satisfied somewhat Satisfied Very
satisfied
Corporate image - Two dimensions: image attributes and image holistic
1 2 3 4 5 6 7
Strongly disagree Disagree Disagree
somewhat Undecided Agree somewhat Agree Strongly
agree
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Methodology
1 2 3 4 5 6 7
Not all likely
Not likely
Not likely somewhat Undecided likely
somewhat likely Extremely likely
Behavioural intentions –
Three categories: repurchase intentions, willingness to recommend, and price sensitivity.
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Methodology
Pilot study-Establish content
validity of the questionnaire
Pilot study-Establish content
validity of the questionnaire
Collect the data- During a 6-week
period
Collect the data- During a 6-week
period
Analyze the data-Cronbach’s alphaLISREL 8
Analyze the data-Cronbach’s alphaLISREL 8
Step2Step 1 Step 3
Procedure
Result & Conclusion
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Result
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Result
Descriptive statistics including mean and standard deviation of each variable used in the proposed model.
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Result
These are all close to or even exceed the recommended level of 0.9 that represents reasonable fit.
( Comparative fit index )( Normed fit fit index )( Tucker-Lewis index )
The RMSEA values between 0.0 and 0.05 indicate a close fit.
( Root Mean Square of Approximation )
Assess the “goddness of fit” of the model.
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Result
Structural equation model
H1
H2
H3
H4
H5
H6
H7
H8 H9H1: Perceived quality has positive impacts on behavioural intentions. Not Supported
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Conclusion
High quality leads to superior perceived value, customer satisfaction, and favourable perceptions of corporate image.Customers’ perceived value was found to affect customer satisfaction, the image of the hotel, and customers more likely to prefer the organisation and recommend it to others.
Reflection
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Reflection
This study My researchFocus on hotelTest the impact of service quality, perceived value, customer satisfaction, and image.
Focus on restaurantTest the impact of customer loyalty, service quality, customer satisfaction, relationship age, and image on repurchase behavior.
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