scholarly journals Does CSR Help to Retain Customers in a Service Company?

2020 ◽  
Vol 13 (1) ◽  
pp. 300
Author(s):  
Juan Carlos Fandos-Roig ◽  
Javier Sánchez-García ◽  
Sandra Tena-Monferrer ◽  
Luis José Callarisa-Fiol
Keyword(s):  
Financial Services ◽  
Structural Equation ◽  
Structural Equation Models ◽  
Special Importance ◽  
Csr Strategies ◽  
Shopping Experience ◽  
Managerial Implications ◽  
Customer's Loyalty ◽  
High Level ◽  
Customer Trust

The main aim of this paper is to analyze the influence of service companies’ corporate social responsibility (CSR) actions on final customer’s loyalty. A theoretical model of loyalty formation based on CSR was proposed and a sample of 1125 final customers of financial services in Spain was studied. Structural equation models were used to verify the hypothesized relationships. Based on the CSR theory oriented to stakeholders, this work justifies the direct and positive relationship between the perception of CSR actions in the shopping experience and customer trust. We also verified a positive indirect influence on loyalty. The services industry was chosen to conduct this research due to its own particularities (intangibility, inseparability, heterogeneity and perishability). As it is impossible to evaluate a service before its consumption, a high level of trust in the supplier will be necessary to motivate the purchase decision. We conclude that CSR becomes a key strategic asset for determining trust and loyalty among consumers. As major findings, we have verified the special importance of CSR in the services market. CSR improves customer trust in the service provider. Thus, this paper has significant managerial implications. Through CSR strategies, both the perception of the customer’s purchasing experience and trust can be enhanced, resulting in more loyal customers. As a limitation, this research was carried out among financial services. Further research should test the model across different industries and countries in order to determine the generalizability and consistency of the findings of this study.

scholarly journals An Empirical Analysis of the Impact of Agency Banking on Financial Inclusion in Benue State, Nigeria: Implications for Economic Activities

2022 ◽  
Vol 14 (2) ◽  
pp. 75
Author(s):  
David Terfa Akighir ◽  
Tyagher Margaret ◽  
Jacob Terungwa Tyagher ◽  
Tordue Emmanuel Kpoghul
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Structural Equation ◽  
Structural Equation Models ◽  
Survey Design ◽  
Secondary Data ◽  
The State ◽  
Financial Inclusion ◽  
Economic Activities ◽  
The Impact

Twelve (12) out of the Twenty-three (23) local government areas (LGAs) in Benue State do not have the presence of banks over a long period of time. This situation has deprived the inhabitants of these LGAs of access to formal financial services until the advent of agency banking. This study therefore, investigates the impact of agency banking on financial inclusion and economic activities in Benue State focusing on the agency banking activities of First Bank Ltd. The study is anchored on the agency theory and it used a survey design. The study has utilized both primary and secondary data that were analyzed using descriptive statistical tools and structural equation models. Findings of the study have revealed that agency banking activities of First Bank Ltd have immensely enhanced financial inclusion and economic activities in Benue State. However, challenges such as shortages of cash, security problems, network failures, and lack of financial literacy are militating against the smooth operations of the agency banking in the State. On the basis of these findings, the study has recommended among others that, other banks operating in the State should be encouraged to venture into agency banking in the state so as to have a wider coverage of agency banking in the State. Also, government should provide security and partner with the private sector to provide national carrier communication network system to overcome the network failure challenge. Finally, banks should intensify efforts to educate the masses about the validity and potency of agency banking.

scholarly journals FinTech in COVID-19 and Beyond: What Factors Are Affecting Customers’ Choice of FinTech Applications?

2020 ◽  
Vol 6 (4) ◽  
pp. 153 ◽  
Author(s):  
Mohammad K. Al nawayseh
Keyword(s):  
Financial Services ◽  
Structural Equation ◽  
Service Providers ◽  
Equation Modeling ◽  
Intention To Use ◽  
Factors Affecting ◽  
Modeling Techniques ◽  
Customer Trust ◽  
The Relationship

Accessing financial services is considered one of the main challenges facing communities during crises. This research studies the role of using FinTech applications to build resilience during the COVID-19 pandemic. The research empirically examines the factors affecting Jordanian citizens’ intention to use FinTech applications. The sample of the research comprised 500 potential FinTech service users in Jordan. Based on the research conceptual model, five hypotheses were developed and tested using structural equation modeling techniques (SEM-PLS). The research results indicate that perceived benefits and social norms significantly affect the intention to use FinTech applications. However, it has been found that perceived technology risks do not significantly affect the intention to use FinTech applications. Moreover, the results also indicate that customer trust is significantly mediating the relationship between perceived risks and intention to use FinTech applications. FinTech service providers should insure that their products are easy to use, fulfill needs and protect consumers’ data in order to ensure trust, hence positively influencing consumer adoption.

scholarly journals Younger and older trust in a crisis situation

2018 ◽  
Vol 36 (3) ◽  
pp. 456-481 ◽  
Author(s):  
Miguel Angel Moliner-Tena ◽  
Juan Carlos Fandos-Roig ◽  
Marta Estrada-Guillén ◽  
Diego Monferrer-Tirado
Keyword(s):  
Theoretical Model ◽  
Financial Crisis ◽  
Economic Crisis ◽  
Financial Services ◽  
Structural Equation ◽  
Structural Equation Models ◽  
Total Sample ◽  
Content Type ◽  
Older Consumers ◽  
Trust Formation

Purpose The purpose of this paper is to analyze consumer trust during a financial crisis, studying its antecedents and consequences. The perceptions of older and younger consumers are also compared. Design/methodology/approach The theoretical model of trust formation is tested on a random sample of 634 individuals from the three largest Spanish cities, Madrid, Barcelona and Valencia, in a period of economic crisis. Structural equation models were used to verify the global hypothesized relationships. Additionally, the total sample was divided into two groups (younger and older consumers) in order to test the moderating effect of age in the proposed relationships. Findings In a period of financial crisis, older consumers’ trust is protected by an emotional and experiential shield from the effects of negative news in the surrounding environment. In contrast, trust, although important, is not the core variable for the younger segment, whose preferences are the consequence of a broad range of cognitive and emotional variables. Research limitations/implications This research was carried out on financial services. Emotional, relational and experience-linked variables acquire greater importance as the individual gets older, in contrast to more cognitive evaluations. The difference between the younger and the older segments is that the cornerstone of older consumers’ attitudinal loyalty is trust, whereas for younger people, it is positive switching costs or rewards. Further research on the proposed conceptual model across different industries and countries is needed to determine the generalizability and consistency of the findings from this study. Practical implications This paper has significant managerial implications. The authors believe that the best strategy for a bank during a period of crisis is to follow a customer-friendly orientation, as in the case of banks that took a long-term vision to look after their brand image. The study draws banking companies’ attention to the importance of using age as a segmentation criterion. Originality/value Based on the life-course paradigm, a theoretical model of trust formation is performed. In a period of economic crisis, trust becomes the key variable in determining older consumers’ preferences.

Study on Customer Personality Characteristics and Relationship Outcomes Using SEM Analysis

2013 ◽  
Vol 462-463 ◽  
pp. 841-844 ◽  
Author(s):  
Xi Feng
Keyword(s):  
Structural Equation ◽  
Structural Equation Models ◽  
Positive Impact ◽  
Sem Analysis ◽  
Personality Characteristics ◽  
Customer Relationship ◽  
Social Affiliation ◽  
Service Companies ◽  
Relationship Outcomes ◽  
Customer Trust

The purpose of this article is to empirically examine the influence of customer personality characteristics (need for social affiliation, customer relationship proneness) on relationship outcomes (customer trust, satisfaction, and loyalty). Online responses from service companies were gathered to assess the influence using Structural Equation Models (SEM). Results indicate that need for social affiliation is a strong determinant of customer relationship proneness and trust. Consumer relationship proneness has directly positive impact on trust and satisfaction. The results confirm the trust-satisfaction-loyalty paradigm in service context.

scholarly journals The Effect Of Retail Shop Format on Customer Relationship and Customer Loyalty With Customer Trust as Mediation Variables (Case Study : Make Over Retail Stores in Surabaya)

2021 ◽  
Vol 1 ◽  
Author(s):  
Geodita Woro Bramanti ◽  
Berto Mulia Wibawa ◽  
Meuthia Fatah Aulia
Keyword(s):  
Structural Equation ◽  
Sem Analysis ◽  
Customer Relationship ◽  
Retail Stores ◽  
Attitudinal Loyalty ◽  
New Finding ◽  
Managerial Implications ◽  
Customer Attitude ◽  
Additional Reference ◽  
Customer Trust

To solve these problems, this research aims to analyse the relationship between satisfaction , customer attitude loyalty and customer behaviour loyalty and the influence of different retail formats. The variables used in these research are Satisfaction (S), Trust (T), Attitudinal Loyalty (AL), and Behavioural Loyalty (BL). This research was conducted using a quantitative approach and the data used in this study were obtained from questionnaires to 211 respondents by distributing questionnaires directly (direct survey) to Make Over shops in Surabaya shopping centres. Hypotheses testing in this study use Structural Equation Modelling (SEM). The results of this study indicated that the Satisfaction variable has a positive and significant relationship to the Attitude Loyalty variable and has an influence on Behavioural loyalty through Attitude Loyalty. In addition, the SEM analysis results have a new finding that the Trust variable which is a mediation variable in this study does not have a significant effect on loyalty. From the results of hypothesis testing, this study also formulated managerial implications that can be applied by Make Over as an additional reference to improve service quality in retail stores such as bundling strategies and giving free gifts, implementing referral marketing strategies and focusing on increasing satisfaction

Financial self-efficacy: a determinant of financial inclusion

2017 ◽  
Vol 35 (3) ◽  
pp. 338-353 ◽  
Author(s):  
Rachel Mindra ◽  
Musa Moya ◽  
Linda Tia Zuze ◽  
Odongo Kodongo
Keyword(s):  
Financial Services ◽  
Self Efficacy ◽  
Structural Equation ◽  
Structural Equation Models ◽  
Service Providers ◽  
Financial Service ◽  
Financial Inclusion ◽  
Financial Behavior ◽  
Cross Sectional ◽  
Content Type

Purpose The purpose of this paper is to examine the relationship between financial self-efficacy (FSE) and financial inclusion (FI) among individual financial consumers in Uganda. Design/methodology/approach Using a quantitative approach and cross-sectional research design, a sample of 400 individuals from urban Central and rural Northern Uganda was drawn. SPSS and AMOS™ 21, regression analysis and structural equation models were used to establish the hypothesized relationship between FSE and FI. Findings The results suggest a strong positive and significant relationship between FSE and FI. The results further suggest that other variables which were controlled for, such as age and gender, had significant influence on an individual’s usage of formal financial services. Research limitations/implications The study was assessed using both potential and actual consumers of financial services collectively. However, if separately assessed, possibly there would be a variation in behavioral responses toward FI. Practical implications Formal financial service providers need to enhance individuals’ levels of confidence in management of finances and utilization of formal financial products and services, so that the financial consumers can realize the changes in financial behavior and consequently FI. Social implications The enhancement of individuals’ level of confidence in evaluating the available financial service options will guide them to take financial decisions that will improve their livelihood. Originality/value The results contribute toward the limited empirical and theoretical evidence for FSE and FI from a behavioral demand-side perspective.

scholarly journals THE EFFECT OF CUSTOMER TRUST AND COMPANY IMAGE ON CUSTOMER SATISFACTION AND CUSTOMER LOYALTY IN INDONESIA CLASSIFICATION BUREAU IN SAMARINDA

2020 ◽  
Vol 4 (03) ◽  
Author(s):  
Syariful Mahsyar ◽  
Suharno Suharno ◽  
Zainal Abidin
Keyword(s):  
Customer Satisfaction ◽  
Customer Loyalty ◽  
Latent Variables ◽  
Structural Equation ◽  
Structural Equation Models ◽  
Structural Equations ◽  
Partial Least Square ◽  
Least Square ◽  
Analysis Tool ◽  
Customer Trust

This study aims to determine the effect of customer trust and company image on customer satisfaction and customer loyalty at the Indonesian Classification Bureau. The population in this study were customers of PT BKI with a total of 95 respondents. The method of data collection is done by giving a list of questions or questionnaires to respondents who are customers at PT BKI, where the questionnaire is distributed to these customers. This study uses a data analysis tool that is partial Least Square (PLS), then this study uses the analysis method of structural equation models or Path Analysis to determine the causal relationship between latent variables contained in structural equations. The tool used in data processing using the Smart PLS program. The results of this study indicate that 1) customer trust has a significant effect on customer satisfaction, 2) company image has a significant effect on customer satisfaction, 3) customer trust has a significant effect on customer loyalty, 4) company image has a significant effect on customer loyalty, 5) customer satisfaction has an significant effect to customer loyalty. Keywords: Customer Trust, Company Image, Customer Satisfaction, Customer Loyalty

Financial self-efficacy: a mediator in advancing financial inclusion

2017 ◽  
Vol 36 (2) ◽  
pp. 128-149 ◽  
Author(s):  
Rachel Mindra ◽  
Musa Moya
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Self Efficacy ◽  
Structural Equation ◽  
Structural Equation Models ◽  
Financial Inclusion ◽  
Mediating Effect ◽  
Mediation Effects ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this paper is to examine the mediating effect of financial self-efficacy (FSE) on the relationship between financial attitude, financial literacy and financial inclusion (FI) among individuals in Uganda. Design/methodology/approach Using a quantitative approach and cross-sectional research design, a sample of 400 individuals from urban Central and rural Northern Uganda was drawn. Using SPSS and AMOS™ 21, structural equation models and bootstrapping methods were used to establish the hypothesized relationships and mediation effects between financial attitude, financial literacy and FI. Findings The results suggested FSE as a mediator of the relationship between financial attitude, financial literacy and FI. Further, there was a significant and insignificant relationship between financial literacy, financial attitude and FI, respectively. Research limitations/implications The study was assessed using both potential and actual consumers of financial services collectively. However if separately assessed, possibly there would be a variation in perceptions or behavioural responses towards FI. Practical implications There is a need to develop and sustain high levels of financial confidence among individuals to enable them use formal financial services. Social implications Possession of financial knowledge, skills, an evaluative judgement with high levels of financial confidence enable individuals make financial decisions that improve their integration into the formal financial system and improved welfare. Originality/value The results contribute towards the limited empirical and theoretical evidence regarding the mediating role of FSE in explaining the financial behaviour.

scholarly journals Willingness to pay for organic cotton

2017 ◽  
Vol 119 (8) ◽  
pp. 1815-1825 ◽  
Author(s):  
Federico Nassivera ◽  
Stefania Troiano ◽  
Francesco Marangon ◽  
Sandro Sillani ◽  
Iskra Markova Nencheva
Keyword(s):  
Willingness To Pay ◽  
Structural Equation ◽  
Equation Model ◽  
Social Consequences ◽  
Content Type ◽  
Consumer Responses ◽  
Organic Cotton ◽  
Csr Strategies ◽  
Managerial Implications ◽  
Social And Environmental Performance

Purpose Consumers seem to be increasingly concerned about the environmental and social consequences of their purchases. For this reason, companies are involved in corporate social responsibility (CSR) strategies for their supply chain to responsibly manage the consumption of the environmental resources and to support sustainability. The purpose of this paper is to contribute to a better understanding of the Italian organic apparel consumer by investigating the importance of consumers’ attitudes towards CSR in agricultural products processing industries and their willingness to pay (WTP) for organic cotton clothing. Design/methodology/approach Questionnaire data were gathered in Italy on a Likert scale. Questions focussed on WTP for organic cotton, with the aim to test consumer responsiveness to a CSR initiative in Italy. A structural equation model is proposed to shed some light into this relatively unexplored area. Findings One of the direct implications of the authors’ study is that companies in apparel industry should try to improve their social and environmental performance to elicit the desired consumer responses. Originality/value This implies important managerial implications for new marketing strategies. If consumers’ perception of CSR practices drives their behavioural intention, firms will be motivated to be involved and to invest in socially responsible practices.

scholarly journals PENGARUH COGNITIVE DAN AFFECTIVE ONLINE SHOPPING EXPERIENCE TERHADAP E-LOYALTY PADA GENERASI MILLENIAL YANG BERBELANJA DI SITUS BELANJA ONLINE

2019 ◽  
Vol 12 (2) ◽  
pp. 253
Author(s):  
Ida Farida ◽  
Renny Risqiani Roesman
Keyword(s):  
Structural Equation ◽  
Online Shopping ◽  
Customer Experience ◽  
Equation Model ◽  
The State ◽  
Cognitive State ◽  
Shopping Experience ◽  
Managerial Implications ◽  
Cognitive Experience ◽  
Object Of Study

<p><em>The purpose of this study is to examine the effect of online customer shopping experience on electronic satisfaction, electronic trust and electronic loyalty. The online customer experience is divided into cognitive and affective online shopping experiences. Data was collected from 143 respondents. The Structural Equation Model method is used to analyze data using hypothesis testing.</em><em>The results showed that the state of cognitive experience had a strong influence on e-satisfaction but the state of affective experience did not have a significant effect on e-satisfaction. E-satisfaction has a significant influence on electronic trust and loyalty.</em><em></em><em>The managerial implications of this research is that e-satisfaction plays an important role in building consumer trust and loyalty. </em><em>To build e-satisfaction, the perceived customer experience is necessary especially the experience that comes from experiential cognitive state obtained customer. </em><em>The limitations of this study are in terms of numbers that are less representative so that further research is expected to expand the area used as the object of study and increase the number of respondents to the study so that the results obtained are expected to be better.</em><em></em></p><p> </p>

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