These studies took out the discussions about explaining the differences between expectations and perceived performance. In some research studies, scholars have been able to establish that customer satisfaction has a strong emotional, i.
Especially for durable goods that are consumed over time, there is value to taking a dynamic perspective on customer satisfaction. Within a dynamic perspective, customer satisfaction can evolve over time as customers repeatedly use a product or interact with a service. The satisfaction experienced with each interaction transactional satisfaction can influence the overall, cumulative satisfaction. Scholars showed that it is not just overall customer satisfaction, but also customer loyalty that evolves over time.
It is negatively confirmed when a product performs more poorly than expected. There are four constructs to describe the traditional disconfirmation paradigm mentioned as expectations, performance, disconfirmation and satisfaction. In operation, satisfaction is somehow similar to attitude as it can be evaluated as the sum of satisfactions with some features of a product. Churchill and Suprenant in , evaluated various studies in the literature and formed an overview of Disconfirmation process in the following figure: Organizations need to retain existing customers while targeting non-customers.
It can be, and often is, measured along various dimensions. A hotel, for example, might ask customers to rate their experience with its front desk and check-in service, with the room, with the amenities in the room, with the restaurants, and so on.
Additionally, in a holistic sense, the hotel might ask about overall satisfaction 'with your stay. As research on consumption experiences grows, evidence suggests that consumers purchase goods and services for a combination of two types of benefits: Hedonic benefits are associated with the sensory and experiential attributes of the product. Utilitarian benefits of a product are associated with the more instrumental and functional attributes of the product Batra and Athola The state of satisfaction depends on a number of both psychological and physical variables which correlate with satisfaction behaviors such as return and recommend rate.
The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the organization's products. Work done by Parasuraman, Zeithaml and Berry Leonard L  between and provides the basis for the measurement of customer satisfaction with a service by using the gap between the customer's expectation of performance and their perceived experience of performance.
This provides the measurer with a satisfaction "gap" which is objective and quantitative in nature. The usual measures of customer satisfaction involve a survey  using a Likert scale. The customer is asked to evaluate each statement in terms of their perceptions and expectations of performance of the organization being measured. Good quality measures need to have high satisfaction loadings, good reliability, and low error variances.
In an empirical study comparing commonly used satisfaction measures it was found that two multi-item semantic differential scales performed best across both hedonic and utilitarian service consumption contexts. This impression which a customer makes regarding supplier is the sum total of all the process he goes through, right from communicating supplier before doing any marketing to post delivery options and services and managing queries or complaints post delivery.
During this process the customer comes across working environment of various departments and the type of strategies involved in the organization. This helps the customer to make strong opinion about the supplier which finally results in satisfaction or dissatisfaction. If he is satisfied with the post marketing services then there are good chances for supplier to retain the customers to enhance repeated purchases and make good business profits.
It is necessarily required for an organization to interact and communicate with customers on a regular basis to increase customer satisfaction. In these interactions and communications it is required to learn and determine all individual customer needs and respond accordingly.
Even if the products are identical in competing markets, satisfaction provides high retention rates. The clarity and undisturbed voice quality achieved during the call session with fast and undisturbed network connectivity are considered as the measures. The degree of premature call termination or call dropping, and service availability at peak network time are considered. Also, the number of attempts required to make the call, countrywide coverage with own or third party tie ups, while roaming has been considered.
Yet another factor indicative of the network quality as perceived by the customer is easy internet connectivity and wide internet coverage. Value Added Services Whether the customer is receiving a range of values added services at reasonable rates and the convenience with which a customer can decide and get the services enabled or disabled is measured as an additional factor contributing to the customer satisfaction level This is a definite indicative factor of quality of services provided by the service providers.
Whether the service provider puts the customer at convenience for all aspects like attending to queries, billing, providing an updated and correct as well as timely information is another important aspect.
These factors related to Service Quality by Parasuraman et al. The factors represent electronic service quality delivered by the website on which the consumer shops, as per the Handbook of Marketing scales. Electronic service quality E-S Qual is defined broadly to encompass all phases of a customer's interaction with a website - the extent to which a website facilitates efficient and effective shopping or service experience.
Website The service providers have a net presence and it has facilitated the life of a mobile service customer. Whether the website of service provider makes it easy to navigate around and find what the customer needs, whether it enables easy online payment of bills are the considered issues.
Whether the information at the website is well organized and provides simplicity of use ensuring the 24x7 availability of the site are the factors looked for. An equally important issue is the delay in response and loading and running time. Privacy For the website users, the secure and protect transactions are required, especially when the user if making online payments for services. Also the issue considered is if the website secures sharing of the query information with other sites.
Feeling of Satisfaction The customer satisfaction is a measure of the feeling the customer has about the services and the service provider.
It is evaluated if the customer felt extremely happy with the service provider with current service provider meeting all pre purchase expectations. The overall satisfaction level with service provider was also evaluated. Whether the current service provider provided the customer everything promised at the time of engagement of services was also considered.
Customer Loyalty Whether the customer wants to continue with the service provider is the aim of finding this response. The loyalty has also been checked on the factor if the customer is keen to avail more connections and services with the same service provider or in a situation of a competitor offering a cheaper connection. If the customer has ever switched to other service provider then depending on the response, it was asked to be specific about the period and reasons, so as to find out the migration of the customer base amongst the service providers.
The factors which would be crucial in coming back to the previous service provider gave an insight in the factors governing customer loyalty. No problems were observed in the pilot study. The respondents who participated in the pilot study were not part of sample used fro main study. The respondents in many cases, chose not to disclose their preferences and experiences. The questionnaire was collected and only 5 of them needed an additional explanation to handle the unanswered questions, filling it completely.
The complete period to distribute and collect the questionnaire back was about 12 days. After feeding the same in microsoft excel , it was further codified and ported to SPSS Statistical package for the social sciences package for analysis. SPSS 16 for windows was used to carry out the necessary and required analysis. Factors analysis was carried out by computing means of each factor, a detailed factor analysis was not required since the questions were designed as per the approved and tested factors.
Hence , factors were not required to be derived using factor analysis. Also important statistical tools like computing and checking bivariate correlation, anova and regression were carried out to check the affect of factors ,which were independent variables on the dependent variables of Customer satisfaction and customer loyalty.
The regression model used is given below: Also means for demographic preferences. Also bearing of satisfaction on loyalty was tested empirically using regression. Correlation between Customer Satisfaction and Customer Loyalty was also seen. Hypotheses testing was also done using regression. This study however could be easily extended to find out important factors responsible for customer satisfaction and loyalty for individual service providers. The study also would have resulted in finding factors which were not responsible for customer satisfaction and loyalty and where the service provider lacks.
This would have helped mobile service providers to devise strategies in heir offer to make satisfied customers leading to loyalty. Also this would have given insight on the factors which are lacking and needs improvement. Data analysis and Results 4. The profile of the respondents is given below in table 1: Mobile Connection type Frequency Percent Postpaid 34 Mobile Connection Type 4. In females, only 14 had postpaid connections with 40 prepaid users.
So altogether there were 34 postpaid connections and 69 prepaid connections among respondents. Please refer tables 1 and 2. Refer table 3 below: Age Groups of Respondents 4. Service Provider Frequency 4. Please refer the table 5 below. Please see table 6 below: Please see the table 9 below: Age Group in years vrs Occupation Age groups of Respondents student Exexutive Housewife Businessmen Total yrs 7 8 15 0 30 yrs 5 10 5 1 21 yrs 14 9 3 10 36 yrs - 7 - 7 14 yrs - - - 2 2 Total 26 34 23 20 The reasons for changing over to new subscriber was poor connectivity , poor services and costly call rates or plan of their previous mobile service provider.
Data Analysis The mean of means of the likert scales scores for all the independent 12 factors were computed which are given in the next page in table The mean scores of independent factors of all users combined are given in descending order and the result shows that the respondents give more weightage to factors like Website , Convenience , Customer Perceived Network Quality and information and responsiveness mean.
This means that the website has emerged as a most important factor due to proliferation of internet. All activities are now being done on website like billing , recharging, querying and complaint resolving. Convenience of usage, recharging for prepaid , network connectivity and timely information updates with immediate response to complaints are also important.
Overall Mean of Factors. Factors N Mean Std. Deviation Website mean 3. Deviation Factors Mean Std. Mean Score by Mobile Connection Type The mean scores of factors in respect of postpaid and prepaid users were computed to find out that the factors of Website , Information and Communication and Privacy were the most preferential factors for postpaid to be satisfied with the service provider. The prepaid users gave more preference to Website , Convenience and Customer Perceived Network Quality in the order of priority.
Since prepaid users 69 for twice in numbers to post paid users 34 , the overall preferences to factors of prepaid users are in line with overall factors preferences. For housewives factors of website, Convenience , and privacy were important where as businessmen considered Customer Perceived Network Quality CPNQ , Tangibles and Website to be more important factors.
Please see the table 13 below: Website webmean was the most important factor for both male and female however , males like Customer Perceived Network Quality CPNQ , Tangibles as other important factors ,however, females indicated Convenience and Privacy as important for them after website. Qualification Profile Wise Preferences The respondents who were below under graduates diploma holders or ITI certification preferred website , privacy and pricing structure factors ; however; under graduates indicated website, CPNQ Customer Perceived Network Quality and privacy as there preferences in the order of priority.
For post graduates Convenience, Website and tangibles to be important. We see that website is the factor getting maximum score for below graduates and under graduates and second highest scores by post graduates.
It emerges as the most important factor in this internet world as preferred by the respondents. Please see the table 15 in the next page. The factors preferred by respondents in different Age Groups profiles are given above in the table Age group Wise Preferences. Respondents with monthly expenditure in the range of Rs gave preference to Customer Perceived Network Quality CPNQ , Website and Value added Services whereas for those with monthly expenditure more than Rs preferred Website, Assurance and Empathy factors for being satisfied by the mobile services.
Please see the table 18 below: Please see the tables 19 and 20 given below: Error of the Estimate 1. Constant , Empmean b. Error Beta 1 Constant 1. Mean Customer Satisfaction 4. The regression analysis shows that the customer satisfaction is dependent on the three independent variables ,ie, empathy , customer perceived network quality, website quality.
We can write the regression equation as follows: Also R2 value of 0. The sig values P value for all these factors are less than 0. Please see the tables 21 and 22 below: Constant , CPNQmean b. The R2 value of 0. Also Sig P values are less than 0. When customer satisfaction was taken as one of the independent variables for computing regression for customer loyalty the equation was computed as shown below in the tables 23 and Constant , Customer Satisfaction b.
Error Beta 1 Constant. Customer Loyalty with customer satisfaction as one of the independent variables 4. When customer satisfaction was taken as one of the independent variables , it was seen that it has maximum bearing on customer loyalty. The regression equation model can be written as given below: R2 values of 0. Correlation between Customer satisfaction and Customer loyalty The data being non parametric a spearmans correlation was computed to see the affect or correlation between the two factors.
Please see the table 25 below: N Correlation is significant at the 0. Hence , it can be interpreted that the customer satisfaction has a very significant impact on the customer loyalty. To make a customer loyal , he has to be satisfied with the mobile service provider first. Please see the scatter plot in the next page: Out of the customers whose questionnaires were accepted, 18 had defected with a churn percentage of The high churn percentage of respondents tells that the service quality of service providers are not very good and there is scope for further improvement.
With the table 26 shown in the next page gives the reasons for defection including offers which will bring them back to their previous mobile service providers: Reasons for Defection No. Hence to avoid defections and to reduce churning rates the service providers should ensure good quality coverage and network connectivity. This is also clearly reflected and corroborated by the factor customer perceived network quality as one of the very important factors in satisfying customers and making them loyal.
Also call rates have to cheaper and competitive and services. It is the second most important factor. Hence we reject the Null hypotheses and take the Alternate Hypotheses. Hence, customer Perceived Network Quality has significant impact on customer Loyalty. In view of this, we reject the Null hypotheses and take the Alternate Hypotheses.
Hence, Customer Satisfaction has significant impact on customer Loyalty. Summary of Findings 5. Hence all service providers should ensure that these factors are further improved to keep customers satisfied. Overall improvement on these factors will lead to reduction in defections and enhanced satisfaction. The prepaid users gave more preference to Website , Convenience and customer Perceived Network Quality as these three factors in the order of priority.
For housewives factors of website, Convenience , and privacy were important where as businessmen considered Customer Perceived Network Quality CPNQ , Tangibles and website to be more important factors.
Website was the most preferred factor getting maximum score for below graduates and under graduates and second highest scores by post graduates. It emerges as the most important factor in this internet world as indicated by the respondents. Age Group Wise Preferences Age Groups of Respondents Factors given Preference to years Website, Convenience and Information and communication years Convenience, Information and communication , Assurance years Website, Customer Perceived network Quality and Tangibles years Customer Perceived Network Quality CPNQ , Information and Communication and Website years Privacy ,Website and Value Added Services The respondents in the age group of years preferred website giving all information, availability of 24 hours, ease of charging at all outlets with all denominations of talktime packs convenience and their service provider updating them with required information in time like bill payment alerts, receipt alerts and immediate response to their queries and hence these factors satisfied them the most.
introduction to customer satisfaction Whether the buyer is satisfied after purchase depend on the offers performance in relation to the buyer expectation. In general satisfaction is a person's feelings of pleasure or disappointment resulting from comparing a products perceived performance relation /5(7).
Introduction To Customer Satisfaction And Loyalty. Chapter 1: Introduction Introduction to Customer Satisfaction and Loyalty Mobile service is one of the growing sectors in India. With economy opening up in this sector, competition has increased manifold. The entry of private companies promoted the use of cellular phones in the country.
CUSTOMER SATISFACTION TOWARDS SUV’SMAHINDRA & MAHINDRA 1 INTRODUCTION Customer satisfaction: Customer satisfaction, a term frequently used in marketing, is a measure of how products and services supplied by a company meet or surpass customer expectation. Customer satisfaction is the overall essence of the impression about the supplier by the customers. This impression which a customer makes regarding supplier is the sum total of all the process he goes through, right from communicating supplier before doing any marketing to post delivery options and services and managing queries or complaints post delivery.
Customer satisfaction is an abstract concept that basically measures the degree to which the products or services of a business meet consumers' expectations. Factors that can affect consumer. Concepts of Customer Services and Customer Satisfaction: Introduction Posted on July 6, by John Dudovskiy Johnson and Clark () define service concept as a shared understanding of the service nature provided and received.