The effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction

Abstract

PurposeThe purpose of this study is to determine the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.Design/methodology/approachIn total, 480 supermarket customers participated in an intercept survey in four urban centres of Fiji. Descriptive statistics were used to determine the level of service quality provided by supermarkets, and inferential statistics to determine the gap between customer's service quality expectations and perceptions and to test the research hypotheses.FindingsThe findings indicate service quality of supermarkets is perceived as being unsatisfactory, service quality significantly affects customer satisfaction and loyalty and customer satisfaction partially mediates the relationship between service quality and customer loyalty reducing customer's perceptions of service quality, leading to lower customer loyalty.Practical implicationsThis study provides an indication as to where supermarkets should target their marketing attention and scarce corporate resources and may help in their efforts to service, satisfy, retain and attract more long-term loyal customers in the increasingly competitive supermarket sector. This research could inform government policy makers in sequencing the supermarket sector transformation and assist local supermarkets to adapt to this changing retail landscape.Originality/valueThis study advances our understanding of the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.

The Effect of Perception of Health Care Service Quality on Patient Satisfaction and Loyalty in Mother and Child Hospital

“…Then, H1 is rejected. This finding is not consistent with the previous studies (Boonlertvanich, 2019;Fatima et al, 2018;Makanyeza and Mumiriki, 2016;Slack and Singh, 2020). This inconsistency can be explained by the unique characteristics of patients in mother and child hospital.…”

“…Then, H3 is accepted. This finding is in line with the prior studies (Akroush and Mahadin, 2019;Chahal and Kumari, 2010;Slack and Singh, 2020;Woratschek et al, 2020), which shows that patient satisfaction positively impacts patient loyalty. Satisfied patients will be more likely to come again in the future when they need the same or different services, spread positive reviews about the hospital, and recommend the provided services to other people who need the same or different services.…”

“…This relationship will lead to repetitive purchase behavior that would undoubtedly benefit the organization. Woratschek et al (2020) and Slack and Singh (2020) also found that customer satisfaction significantly influences customer loyalty. Satisfied and happy customers tend to be loyal customers because customer satisfaction can make an emotional affection to a service provider and generate loyalty (Othman et al, 2020).…”

“…Boonlertvanich 2019found that customer-perceived service quality positively impacts both attitudinal and behavioral loyalty. Slack and Singh (2020)also found that service quality significantly affects customer loyalty. Service quality affects an organization's ability to compete and reinforce its position in the market, so there is a need to implement strategies to improve service quality and promote customer loyalty.…”

Structural Equation Modelling the Interrelationships between Service Quality, Customer Satisfaction and Behavioural Intention among Maldivians seeking Medical Tourism Services

“…Rahman et al (2018) studied hospitals in Bangladesh to conclude that the performance of the organisation in the service industry was measured by the high degree of customer behavioural intention of use of service consumption, although the understanding, measuring and predicting customer's behavioural intention is challenging for service organisations such as public and private hospitals. Slack and Singh (2020) carried an analysis of Fiji supermarkets to show that service quality significantly affects customer satisfaction, and service quality effects customer loyalty, and customer satisfaction partially mediates the relationship between service quality and customer loyalty. Based on the discussions above, this study proposes the following hypothesis: H2: Service quality has a positive impact on behavioural intention in medical care in the Maldives.…”