Customer Value Creation in Multichannel Systems: The Interactive Effect of Integration Quality and Multichannel Complexity

2017 ◽  
Vol 3 (1) ◽  
pp. 1-18 ◽  
Author(s):  
Sertan Kabadayi ◽  
Yuliya Komarova Loureiro ◽  
Marina Carnevale
Keyword(s):  
Service Delivery ◽  
Customer Value ◽  
Interactive Effect ◽  
Perceived Value ◽  
Retail Banking ◽  
Multichannel System ◽  
Banking Services ◽  
Channel Integration ◽  
Value Perceptions ◽  
Multichannel Systems

This research examines factors that influence consumer perceptions of value created by a multichannel system of service delivery. The literature suggests that multichannel integration quality allows firms to benefit from the effect of synergy and complementarity between channels. We investigate the perceived value of multichannel service delivery in the context of retail banking services, where such multichannel systems are omnipresent. We propose and test a model in which multichannel integration quality is an important value driver, such that higher multichannel integration quality leads to greater value perceptions of not only the multichannel system, but also the overall value of the bank as perceived by the customer. Importantly, the complexity of the multichannel system of service delivery, as perceived by customers, moderates the direct effect of channel integration quality on perceived value of the multichannel system, so that in highly complex multichannel systems, channel integration quality will have a stronger effect on the perceived value to customer. Our findings also shed light on the specific factors that contribute to consumer value perceptions of multichannel retail banking services, which has important implications to managers and researchers.

Examining customer willingness to pay more for banking services: the role of employee commitment, customer involvement and customer value

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ernest Emeka Izogo ◽  
Mathias Egede Elom ◽  
Mercy Mpinganjira
Keyword(s):  
Service Delivery ◽  
Willingness To Pay ◽  
Customer Value ◽  
Structural Equation ◽  
Employee Commitment ◽  
Customer Participation ◽  
Interactive Marketing ◽  
Banking Services ◽  
Content Type ◽  
Customer Involvement

PurposeAlthough scholars highlighted the need to close the interactive marketing gap and enhanced understanding of willingness to pay more in settings where customer participation in the service delivery process is paramount, research addressing this issue is scare. This study investigates the effect of perceived employee commitment to service delivery and customer involvement on customer value and willingness to pay more. The study also examines the extent to which customer value mediates the effect of employee commitment and customer involvement on willingness to pay more for banking services.Design/methodology/approachThe analysis was based on a sample of 211 Nigerian bank customers procured through a mall-intercept survey technique. The partial least squares structural equation modelling procedure and the Preacher–Hayes Bootstrapping technique aided hypotheses testing.FindingsThis study demonstrates that elements of employee commitment to service delivery and customer involvement have significant positive effect on the components of customer value. It also shows that customer value components have significant effect on customers' willingness to pay more. Additionally, the study shows that components of customer value mediate the effect of employee commitment to service delivery and customer involvement on willingness to pay more.Research limitations/implicationsThe study contributes to closing gaps in interactive marketing literature by uncovering how willingness to pay more for services is influenced by customer perceptions of employee commitment (affective and calculative) service delivery, customer involvement and customer value (hedonic and utilitarian).Practical implicationsIt is important for managers to put in place measures that will help them know the kind of commitment cues their employees are emitting to customers as well as levels of customer involvement during service encounters.Originality/valueThis study breaks new ground in three unique ways. First, the study represents the first attempt to examine the combined effect of employee commitment to service delivery and customer involvement on consumer value perceptions. Second, the study also demonstrates that hedonic value has a more pronounced effect on willingness to pay more for banking services than utilitarian value. Finally, the study shows the extent to which customer value (hedonic vs utilitarian) mediates the effect of employee commitment to service delivery and customer involvement on willingness to pay more.

The unobserved signaling ability of marketing accountability: can suppliers’ marketing accountability enhance business customers’ value perceptions?

2019 ◽  
Vol 34 (1) ◽  
pp. 166-175 ◽  
Author(s):  
Maja Arslanagic-Kalajdzic ◽  
Vesna Žabkar ◽  
Adamantios Diamantopoulos
Keyword(s):  
Customer Value ◽  
Perceived Value ◽  
Theory And Practice ◽  
Future Research ◽  
Marketing Theory ◽  
Content Type ◽  
Value Perceptions ◽  
Signaling Effect ◽  
Client Firm ◽  
Marketing Accountability

PurposeMarketing accountability is currently receiving increased attention from scholars and practitioners alike, with its usage mostly being linked to the improved position of marketing within the firm and to better firm performance. The purpose of this study is to assess whether a supplier’s marketing accountability also has an unobserved signaling effect on customer perceived value.Design/methodology/approachBased on a survey of advertising agency-client dyads, the authors develop and test a multilevel model that assesses the relationship between the supplier’s marketing accountability and perceived value of the client.FindingsEmpirical results indicate that marketing accountability of the agency is positively related to client-firm perceived value, that is marketing accountability also has a positive signaling effect on customers’ value perceptions.Originality/valueThis study provides novel insights on how perceptions of customer value are created in business relationships. More specifically, it highlights that marketing accountability of a supplier positively contributes to shaping clients’ value perceptions. Implications for marketing theory and practice, focused on the need for building, improving and sustaining marketing accountability within the firm and its relevance for value, are discussed and future research directions are identified.

scholarly journals Front-Line Employees’ Recognition And Empowerment Effect On Retail Bank Customers’ Perceived Value

2013 ◽  
Vol 6 (1) ◽  
pp. 105-116
Author(s):  
Vida Skudiene ◽  
Dallas D. Everhart ◽  
Karolina Slepikaite ◽  
James Reardon
Keyword(s):  
Customer Value ◽  
Positive Impact ◽  
Perceived Value ◽  
Retail Banking ◽  
Front Line ◽  
Social Emotional ◽  
Employee Recognition ◽  
Customer Perceived Value ◽  
Retail Banks ◽  
Bank Employee

Understanding how front-line bank employee recognition and empowerment impacts customer value is an important issue for the banking industry. Retail banking customers perceive little difference in services as competition has created more choices. When banks develop new products, they are easily duplicated by the competition. Banks can gain a competitive advantage by understanding the interrelationships that impact customers perceived value. The major providers of customer perceived value in retail banking are front-line employees. This research aims to better understand these interrelationships and examine how front-line retail bank employee recognition and empowerment relate to retail bank customer perceived value. Customers perceived value is defined in terms of relationship, social, emotional, service and empowerment. Survey findings illustrate that retail banks should concentrate more on employee recognition and empowerment to impact customers perceived value. According to the findings of the survey, front-line employee recognition and empowerment has a positive impact on customers perceived value.

RETAIL BANKING SERVICES AND PROSPECTS FOR ITS DEVELOPMENT IN THE REPUBLIC OF UZBEKISTAN

2020 ◽  
Vol 3 (3) ◽  
pp. 26-31
Author(s):  
Zafar Umarov ◽  
◽  
Shahnoza Pardayeva
Keyword(s):  
Retail Banking ◽  
Practical Significance ◽  
Banking Services ◽  
Current State ◽  
The Republic

This article is about a market of retail banking services in Uzbekistan and development of this market. It covered the practical significance of retail banking services, analyzes the current state and ways to improve it. The article analyzes past and current years,identifies problems and provides recommendations for addressing them.

scholarly journals Can Corporate Fairness towards Public Authorities Enhance Customer Loyalty? A Multi-Sectorial Investigation in a Developing Country

2019 ◽  
Vol 12 (1) ◽  
pp. 187 ◽  
Author(s):  
Ovidiu I. Moisescu ◽  
Oana A. Gică ◽  
Victor O. Müller ◽  
Camelia Ancuța Müller
Keyword(s):  
Developing Country ◽  
Customer Loyalty ◽  
Structural Equation ◽  
Positive Impact ◽  
Retail Banking ◽  
Equation Modeling ◽  
Public Authorities ◽  
Banking Services ◽  
Mediating Role ◽  
Company Identification

This paper investigates how customer loyalty can be enhanced by improving customers’ perceptions of corporate fairness towards public authorities, taking into account the mediating role of customer-company identification, in a multi-sectorial context, in a developing country in Central and Eastern Europe. The investigation is conducted comparatively within four main industries (telecom services, retail banking services, dairy products and personal care products) and depicts the particular impact these perceptions have on customer loyalty in each domain, with practical implications concerning corporate social responsibility (CSR) communications. A consumer survey was designed and implemented among a sample of 1464 customers from Romania. The collected data was analyzed by means of partial least squares structural equation modeling (PLS-SEM). We found that customers’ perception of corporate fairness towards public authorities has a significant and positive impact on customer loyalty in all investigated industries, both directly and indirectly via customer-company identification, with a higher impact for services, especially for retail banking services.

Pengaruh Kualitas Layanan, Nilai Nasabah, Kepercayaan dan Kepuasan Terhadap Loyalitas Nasabah Pengguna Layanan Mobile Banking Syariah

2020 ◽  
Vol 19 (3) ◽  
pp. 134-158
Author(s):  
Yulia Widi Astuti ◽  
Ratno Agriyanto ◽  
Ahmad Turmudzi
Keyword(s):  
Data Analysis ◽  
Service Quality ◽  
Customer Loyalty ◽  
Customer Value ◽  
Service Users ◽  
Mobile Banking ◽  
Banking Services ◽  
Insignificant Effect ◽  
Banking Service ◽  
The City

This study analyzes the effect of service quality, customer value, trust and satisfaction on customer loyalty at Bank Syariah Mandiri. The problem in this research is: how to increase customer loyalty of mobile banking service users at BSM. This study used 100 respondents using mobile banking services at BSM in the city of Semarang. Data analysis using SEM with the Smart PLS 3 computer program. The results showed that, among other things, service quality had a positive and insignificant effect on loyalty. Customer value has a positive and significant effect on loyalty. The effect of trust on customer loyalty has a positive and insignificant effect. Meanwhile, satisfaction has a positive and significant effect on loyalty.

A review of value drivers in service settings

2018 ◽  
Vol 32 (7) ◽  
pp. 850-867 ◽  
Author(s):  
Maria-Eugenia Ruiz-Molina ◽  
Martina Gallarza ◽  
Irene Gil-Saura
Keyword(s):  
Product Quality ◽  
Customer Loyalty ◽  
Perceived Value ◽  
Value Drivers ◽  
Content Type ◽  
Value Perceptions ◽  
Segmentation Approach ◽  
Emotional Value ◽  
Home Furnishing ◽  
Loyal Customers

Purpose Perceived value and customer loyalty have been studied jointly in most of services literature but mainly through SEM models. This paper aims to draw on the literature on the multidimensional richness of perceived value, to adopt a segmentation approach and explore segments of loyal consumers towards the service provider based on their value perceptions. Design/methodology/approach A survey was conducted among 460 Spanish consumers interviewed at the store exit of seven retail chains in two sectors (grocery and home furnishing). A CHAID analysis was performed on loyalty responses, through nine value dimensions (efficiency, service quality, product quality, emotional value, value for money, social value, aesthetic value, escapism and ethics). Findings Results show the existence of different groups of loyal customers based on the nine value types. Efficiency is prioritised by the most loyal customers in grocery but not for home furnishing. Emotional value and aesthetics, along with product quality determine the most loyal segments. Practical implications Retailers should focus on enhancing those value dimensions that better explain customer loyalty towards retail stores in their area of specialisation, combining not only tangible and intangible elements but also functional and emotional elements. Originality/value The paper adds to the prolific research on perceived value in services with a diachronic graphical review of value dimensions in retailing; furthermore, the range of value dimensions studied here is wider than most of previous works using dimensions of value in services.

scholarly journals The Moderation Effect of Resource Implementation Factors on Performance Contracting and Public Service Delivery in Huduma Centres in Kenya

2020 ◽  
pp. 68-77
Author(s):  
Wesonga Justus Nyongesa ◽  
Samson Ntongai ◽  
Charles Ondoro
Keyword(s):  
Service Delivery ◽  
Case Studies ◽  
Interactive Effect ◽  
Policy Formulation ◽  
Moderating Effect ◽  
Performance Contracting ◽  
Moderation Effect ◽  
Delivery Performance ◽  
The Relationship ◽  
Implementation Factors

The Kenyan Government has pressures from its citizens to improve on service delivery and be responsive to citizen’s needs. Attempts such as privatization, voluntary early retirement and restructuring failed to improve the service delivery. Performance contracting was introduced to address the decline and is now being used together with Huduma Centres. The centres serve 30,000 customers daily against a target of 60,000 customers. On revenue, the centres collect Kshs 12 billion annually against a target of Kshs 30 billion according to a Government report of 2020. Focus from previous studies in resolving this around performance contracting have majorly been case studies and not surveys. Further from reviewed literature, performance contracting influence service delivery, performance and accountability. However other studies reveal that it does not result in increased customer care activities, effectiveness and efficiency and reduction in the number of customer complaints. These are mixed findings from case studies, an indicator of a moderation effect yet to be tested. Additionally, reviewed studies show that resource factors influence service delivery. The purpose of this research was to establish the moderating effect of resource implementation factors on the relationship between performance contracting and service delivery in the Huduma Centres of Kenya. The study was anchored on Vroom’s Expectancy Theory and Goal Setting Theory and utilized correlational survey research design. The target population was 276 workers at the 5 Huduma Centres in Western Region in a census survey. Pilot results (N=10) revealed 20-item instrument overall mean reliability α=0.898. Validity was checked and confirmed by expert review. Results revealed proportion of variance in the Service delivery explained by the resource implementation factors (∆R2=0.088; p=0.000) positively and significantly moderated the relationship significantly implying the interactive effect of resource implementation factors improved service delivery levels by 8.8%. The study concluded that performance contracting practices are significant predictors of service delivery levels; resource factors has a positive moderating effect (B= 0.197, p=0.000) on the relationship between performance contracting and service delivery. Recommendations were that firms should continue enhancing performance contracting practices by providing resource implementation factors as these efforts enhance service delivery in Huduma Centres in Kenya. The study’s significance is in contributing new literature and in government policy formulation by isolating resource implementation factors as key variables for improving public sector service delivery.

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