The Influence of Relationship Quality on Customer Loyalty in the Context of Outsourcing Relationships in the Malaysian Hotel Industry (original) (raw)
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Predictors of Customer Loyalty in the Malaysian Hotels’ Outsourcing Relationships
International Review of Management and Marketing, 2016
The success of a firm in an outsourcing relationship depends on the loyalty of a business customer towards its service providers. Therefore, it is crucial for service providers to focus on relationship marketing strategies to increase their customers’ loyalty. However, there is little agreement as to which relationship marketing strategies that should be used to maintain customer loyalty. This study intends to examine the relationships between relational norms, relationship quality, and customer loyalty. Data collected from 159 hotel managers were analyzed using Partial Least Squares. Results of this study revealed that relational norms and relationship quality are positively related to customer loyalty.
2016
The success of a firm in an outsourcing relationship depends on the loyalty of a business customer towards its service providers. Therefore, it is crucial for service providers to focus on relationship marketing strategies to increase their customers' loyalty. However, there is little agreement as to which relationship marketing strategies that should be used to maintain customer loyalty. This study intends to examine the relationships between relational norms, relationship quality, and customer loyalty. Data collected from 159 hotel managers were analyzed using partial least squares. Results of this study revealed that relational norms and relationship quality are positively related to customer loyalty.
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Building up loyalty through relationship marketing as in the case for a budget hotel has been found to be a long term investment and loyal customer were more tolerance towards occasional inferior performances. The objective of this study was to investigate the relationship quality of trust, commitment and satisfaction perceived by the customer that can influence their loyalty towards a budget hotel. A cross sectional data collection approach was employed on a group of 85 hotel guests who were staying in a budget hotel. This study revealed that there was a direct relationship between relationship quality and loyalty with the exception to trust. Furthermore, this study confirmed that commitment and customer satisfaction acted as important factors in building customer loyalty. This study implies to service providers in enhancing loyalty is to reach the customer through a mean of communication, customized service and comfort to the customer. Future studies suggest such as replicated of ...
INFLUENCE OF RELATIONSHIP QUALITY ON HOTEL GUESTS’ LOYALTY: A
Building up loyalty through relationship marketing as in the case for a budget hotel has been found to be a long term investment and loyal customer were more tolerance towards occasional inferior performances. The objective of this study was to investigate the relationship quality of trust, commitment and satisfaction perceived by the customer that can influence their loyalty towards a budget hotel. A cross sectional data collection approach was employed on a group of 85 hotel guests who were staying in a budget hotel. This study revealed that there was a direct relationship between relationship quality and loyalty with the exception to trust. Furthermore, this study confirmed that commitment and customer satisfaction acted as important factors in building customer loyalty. This study implies to service providers in enhancing loyalty is to reach the customer through a mean of communication, customized service and comfort to the customer. Future studies suggest such as replicated of the study in other service industries (e.g. banking, hospitals, insurance, food service, and hotels) and also to consider a bigger sampling frame that will have the ability to be generalize.
The International Journal of Business and Management, 2022
This study is the first attempt to approach the quality of university-business relationships based on the theory of relationship marketing and test the mediating role of this concept in the impact of perceived service quality (PSQ) on the loyalty of corporate customers. A combination of online and in-depth interview instruments was adopted to gather the data from 486 enterprises. Estimation of the structural model and hypothesis testing were performed via structural equation modeling. The findings of our empirical research in the context of researching the universitybusiness relationship in Ho Chi Minh City, Vietnam have determined that PSQ not only has a direct effect on the loyalty of corporate customers but also has a much stronger effect on customer loyalty when impacting through relationship quality (RQ) mediation. Current results imply that better relationship quality is likely to induce more loyal customers, given the same PSQ.
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Stiff competition in the service market forces service firms looking for the best approach to attract and create a group of loyal customers. Relationship marketing is a strategy used by many service providers to maintain long-term relationship. Moreover, relationship quality is the manifest of successful relationship marketing activities. Good implementation of relationship marketing strategy can be seen from good relationship quality built between customer and service provider. The purpose of this research is to examine the relationship between relationship quality and loyalty across service types (Credence services versus Experience Services). In this study, relationship quality dimensions consist of interpersonal factors (closeness, communication, communication quality and special care) and firm factors (commitment, trust and satisfaction). The findings revealed that relationship quality influenced the loyalty in both service types. Importantly, all dimensions of relationship qua...
Procedia - Social and Behavioral Sciences, 2012
The intense competition among hotels in Malaysia means that there is a larger demand for service outsourcing. Hotels are now exposed to a wider choice of service providers that are willing to provide services. As a result, hotel managements are more inclined to switch to other service providers if the current service providers are unsatisfactory. This paper aims to investigate the effect of relationship quality and hotel service outsourcing. This study is important considering the economic advantages of retaining current customers as opposed to searching for new customers. Partial Least Squares was adopted as the data analysis methodology. Results of the study show that relationship quality positively and significantly influences customer loyalty. However, switching costs does not influence customer loyalty.
Relationship Value and Relationship Quality: An Exploration of Its Antecedents on Customer Loyalty
The aim of this study is to examine relationship value and relationship quality, and its effect on customer loyalty in the context of relationship marketing. Four key relationship value variables of economic value, service value, relational value and social value are examined in this study. The study focuses on the Malaysian telecommunication industry and based on the business-to-customer environment. The structural equation modelling technique is used to empirically test the proposed hypotheses using a sample of 350 customers collected by a questionnaire survey. The results showed that three relationship value variables of economic value, service value, and social value have significantly influenced relationship quality. Customer loyalty is significantly affected by relationship quality. There is no significant effect of relational value and relationship quality. The contribution of this paper is twofold. From a theoretical perspective, the social exchange theory is used to explain and conceptualize relationship marketing paradigms. It offers both a conceptual foundation and empirical-based evaluation of customer loyalty through the context of relationship value and relationship quality. The relationship value dimensions of economic value, service value, and social value is the antecedent to relationship quality, which lead to customer loyalty. In the practical perspective, the findings proposed that the telecommunication service providers should focus on relationship value through providing better value for money packages, innovation of services and improve social interaction with customers to build stronger relationship quality and achieve customer loyalty.
Exploring Relationship Quality in the Hospitality Industry
Tourism and hospitality management, 2018
Purpose-The focus on building and developing partner relationships can help hotels to improve their business. Consequently, relationships with partners like: suppliers, hotel guests, tourist agencies, tourist offices and employees are developed as they react to environmental changes and consequently influence perceived financial and non-financial hotel performance. Hence, the purpose of this paper is to explore partner relationships and their influence on perceived hotel performance. Design/Methodology/Approach-Based on previous literature, a conceptual model has been developed and empirically tested through a questionnaire applied on a sample of hotel managers in Croatia. Scales from previous literature were used. The sample consists of 266 managers in hotels. The results were analysed using multiple regression analysis and these constructs have been tested for their reliability and validity through confirmatory factor analysis. Findings-Research findings indicate that relationship quality elements contribute to the development of perceived hotel financial and non-financial performance. Commitment and satisfaction influence perceived hotel performance while trust is found to have no effect. Moreover, commitment has more influence on perceived non-financial performance and satisfaction, than perceived financial performance. Originality of the research-The study demonstrates different influences that relationship quality elements have over perceived financial and non-financial hotel performance.
Relationship quality as a predictor of B2B customer loyalty
Journal of Business Research, 2007
This study aims to provide a picture of how relationship quality can influence customer loyalty or loyalty in the business-to-business context. Building on prior research, we propose relationship quality as a higher construct comprising trust, commitment, satisfaction and service quality. These dimensions of relationship quality can reasonably explain the influence of relationship quality on customer loyalty. This study follows the composite loyalty approach providing both behavioural aspects (purchase intentions) and attitudinal loyalty in order to fully explain the concept of customer loyalty. A literature search is undertaken in the areas of customer loyalty, relationship quality, perceived service quality, trust, commitment and satisfaction. This study then seeks to address the following research issues: Does relationship quality influence both aspects of customer loyalty? Which relationship quality dimensions influence each of the components of customer loyalty? This study was conducted in a business-to-business setting of the courier and freight delivery service industry in Australia. The survey was targeted to Australian Small to Medium Enterprises (SMEs). Two methods were chosen for data collection: mail survey and online survey. The total number of usable respondents who completed both survey was 306. In this study, a two step approach (Anderson and Gerbing 1988) was selected for measurement model and structural model. The results also show that all measurement models of relationship dimensions achieved a satisfactory level of fit to the data. The hypothesized relationships were estimated using structural equation modeling. The overall goodness of fit statistics shows that the structural model fits the data well. As the results show, to maintain customer loyalty to the supplier, a supplier may enhance all four aspects of relationship quality which are trust, commitment, satisfaction and service quality. Specifically, in order to enhance customer's trust, a supplier should promote the customer's trust in the supplier. In efforts to emphasize commitment, a supplier should focus on building affective aspects of commitment rather than calculative aspects. Satisfaction appears to be a crucial factor in maintaining purchase intentions whereas service quality will strongly enhance both purchase intentions and attitudinal loyalty.